ABOA owns 50% of Baja Coastal Properties, LLC, a Nevada company, which 100% of Pacific Beach Pebbles S. de RT.L. de C. V., a Mexico corporation, which owns the Mexican coastal properties. 

According to Mexican law foreigners cannot own property with 50 kilometers of the beach nor 100 kilometers from an international border, thus the reason why the Mexican entity was formed.

According to all studies and appraisals of land and the estimated amounts of pebbles on our “land”, there is approximately 323,136,000 pounds of Mexican Beach Pebbles on the beach on our lot number 87. 

Our original concession with the Mexican government allowed us to removed 250 tons of pebbles per Our original concession with the Mexican government allowed us to remove 250 tons of pebbles per month. So that equated to 500,000 pounds per month in whatever fashion. Whether we dumped 3000 pounds into large bulk bags and shipped 16 of those large bags on a 48,000-pound truck (which they were going to allow 11-13 of per month) or we sorted/bagged the pebbles in various 40-pound bag sizes and shipped 1200 bags per load and 13,200 to 15,600 per 11-13 trucks per month… the concession allows either way to approximate the gross removed weight of 500,000 pounds per month.  The overall profit difference and employment for local workers is huge though.  We want both higher profits per month on a long-term basis and we want to employ local workers to show Mexican government that our project is good for their economy.  This economic relationship will cause the Mexican government to expand our production and approve other projects we want to do in Baja Mexico. 

We have analyzed several competitors for pricing examples and just Home Depot’s online pricing system shows Mexican Beach Pebbles selling fo much more than any of our previous projections on hundreds of pages of our business plans. 

We find today, the overall value of the 323,160,000 pounds of pebbles varies between $0.30 per pound in 40-pound bags ($96,940,000 for total resource, ) to $1.00 per pound if polished in 10-pound bags ($323,160,000 for total resource, but some rocks are too large to polish so those would be bagged), or even $0.10 per pound in build 3000 pound bags ($32,316,000 for total resource).

We believe we have an overall mix as larger rocks get sold by 3000# bulk bags and used for landscape accents on our Affordable Homes projects or possible 4-plex hacienda areas, most medium size rocks go to cleaned and sorted 40# bags, smaller rocks get both polished and go to 40# natural bags. A 48,000-pound truck that we can also push to 64,000 weight in Mexico could carry a mixture of some build 3000#bags, several pallets of 40# bags and some bags of polished pebbles. 

The real story on the Mexican Beach Pebbles is much more profitable than expected and is an immediate addition to revenue to further the Growth Vision ABOA.