1371424--7/29/2009--ROYAL_MINES_&_MINERALS_CORP

related topics
{gas, price, oil}
{cost, contract, operation}
{stock, price, share}
{cost, operation, labor}
{personnel, key, retain}
{loss, insurance, financial}
If we do not obtain additional financing, we may not be able to continue our operations at our Phoenix Facility or complete our exploration and development programs on the Piute Valley Property. If we complete additional financings through the sale of shares of our common stock, our existing stockholders will experience dilution. In order to maintain our rights to the Piute Valley Property, we will be required to make annual filings with federal and state regulatory agencies and/or be required to complete assessment work on those properties. Because we are an exploration stage company, we face a high risk of business failure. Because we anticipate our operating expenses will increase prior to our earning significant revenues, we may never achieve profitability. Because of the speculative nature of exploration of mining properties, there is substantial risk that no commercially exploitable minerals will be found and our business will fail. Because of the inherent dangers involved in mineral exploration, there is a risk that we may incur liability or damages if and when we conduct mineral exploration activities. Even if we discover commercial reserves of precious metals on our Piute Valley Property, we may not be able to successfully obtain commercial production. Because we are an exploration stage company, our business has a high risk of failure. As we undertake exploration of our Piute Valley Property, we will be subject to compliance with government regulation that may increase the anticipated cost of our exploration program. Certain work to be performed on our mineral projects may require us to apply for permits from federal, state or local regulatory bodies. If we receive positive results from our exploration program and we decide to pursue commercial production, we may be subject to an environmental review process that may delay or prohibit commercial production. If we are unable to hire and retain key personnel, we may not be able to implement our business plan and our business will fail. Because our stock is a penny stock, stockholders will be more limited in their ability to sell their stock.

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