938113--4/2/2007--APOLLO_GOLD

related topics

{loss, insurance, financial}

{control, financial, internal}

{gas, price, oil}

{cost, contract, operation}

{interest, director, officer}

{cost, regulation, environmental}

{stock, price, share}

{personnel, key, retain}

{property, intellectual, protect}

{competitive, industry, competition}

{stock, price, operating}

{operation, natural, condition}

{tax, income, asset}

{acquisition, growth, future}

We have identified a material weakness in our internal controls over financial reporting. The market price of our common shares could experience volatility and could decline significantly. If we complete additional equity financings, then our existing shareholders may experience dilution. The existence of outstanding rights to purchase common shares may impair our share price and our ability to raise capital. There may be certain tax risks associated with investments in our company. We have a history of losses and we expect to incur losses in the future. We have a limited operating history on which to evaluate our potential for future success. We are dependent on certain key personnel. Our earnings may be affected by metals price volatility, specifically the volatility of gold and zinc prices. Our reserve estimates are potentially inaccurate. We may not achieve our production estimates. Our future profitability depends in part, on actual economic returns and actual costs of developing mines, which may differ significantly from our estimates and involve unexpected problems, costs and delays. Exploration in general, and gold exploration in particular, are speculative and are frequently unsuccessful. We have experienced operational problems at our Montana Tunnels mine. We do not currently have and may not be able to raise the funds necessary to explore and develop our Black Fox and Huizopa properties. Our Black Fox property is pledged to the holders of our 12% Series 2004-B Secured Convertible Debentures and we may not be able to obtain financing from an asset based lender. Possible hedging activities could expose us to losses. We face substantial governmental regulation. We are subject to environmental risks. We face strong competition from other mining companies for the acquisition of new properties. The titles to some of our properties may be uncertain or defective. We may lose rights to properties if we fail to meet payment requirements or development or production schedules. Our operations may be adversely affected by risks and hazards associated with the mining industry. You could have difficulty or be unable to enforce certain civil liabilities on us, certain of our directors and our experts.

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938113--4/2/2007--APOLLO_GOLD_CORP