I was just wondering/thinking of when and how Sandfire(the most recent great discovery in australia) got to a $1b value from the discovery. The discovery of a 22m massive sulphide zone was discovered in April 2009 by some out of box thinking by Sandfire Geologist Margy Hawke after deiding late in the program that they needed to test deeper which unlocked the traeasure below.
It wasnt until september 2010(17 months after the discovery) when SFR hit around $6 which gave the company the $1b valuation. The Nova project as a whole not SIR on its own has hit the billion valuation just 2 months after the discovery in what could be described as a fiarly ordinary market at the time for speculative mining companies. The discovery has reignited the spec end to say the least.
My biggest question is just why has the market taken SIR to the moon in just 2 months.
My only logical answer to this move is that clearly big money is betting heavy on SIR being the best nickel discovery in years. Around $100m was thrown into SIR shares last week alone. I hope we can get to see who and where this big money is coming from, its very possible that the biggest and best in the nickel business could already be on the register.
One thing ive worked out in this crazy market is that the money trail no matter if its getting pulled out of a stock or pouring into a stock its happening for very good or bad reasons, the money flow into SIR from day one(52m shares traded) was significant, 2 months later that money flow while its hard to believe has obviously picked up in pace.
Pay attention always to the money trail which at this stage is my biggest reason for holding..
Would love to hear from Merdo and see how his new SERIUS BOAT is treating him!!! A fitting name for his boat might be "SERIUS FISHERMAN"!!
SIR Price at posting:
$2.77 Sentiment: LT Buy Disclosure: Held