Dourado Resources (DUO) - Tech Vend in?

There's no doubt that the current market for junior resources firms is bleak.

Technology start ups on the other hand are the flavour of the month.  This combination is resulting in a number of resources firms finding themselves with dwindling cash reserves and not many other alternatives but to vend in a Tech. firm to raise capital and rebirth.

Another company that has fallen into this category is Dourado Resources (DUO).  The Perth based company has been focusing on developing gold & copper projects (Mooloogool & Sabbath).

Their quarterly report to 30th September shows a company cash balance of $86,000. Subsequent Appendix 3b's (x2) show raisings of $25,000 and $75,000 both at $0.01 per share and a premium to prevailing share price at the time.

The company currently has a miniscule market capitalisation of $1.3 million and interestingly shareholders have approved raisings of up to $3.5 million to be made in the future, obviously significantly higher than the current market cap!  The company has stated that it is in advanced discussions with one party in regards to a capital raising initiative.

I would like to point readers to the announcement made to market on 20th of November titled "Company Update & Forward Strategy".  The market response on that day was quite muted however after market a number of popular Hotcopper members started spruiking the stock and the next day it surged from $0.01 to a high of $0.012.

Since the announcement the traders have moved on and sold the stock down steadily.  The announcement stated the company is discussing, negotiating and assessing opportunities in various sectors.  Three proposals have been put forward to them include one technology opportunity.

Considering the current market you would think that the only way to raise funds would be via a technology acquisition.  In conclusion, with a measly market cap and a possible tech vend in coming it's one worth watching, even more so with the price at or below the price before this new information has come to hand.  DUO shares closed today at $0.007.