Firstly, i dont think hitting the ore is priced in at the moment. There is still significant risk to something going wrong and further delays happening. They only have 3 odd mil in the bank, delays would eat into this and keep the shareprice low, risking options conversion. We are already a month or so behind and look what that has done to the shareprice and WCU's credbility, personally i think they have gone along ok, but the market disagrees.
Its not everyday a uranium producer is born, so it will be quite an achievement. But a U producer should have a higher market cap than the current 20 mil. We are flying under the radar.
Will it be enough to get the daytraders excited, mums and dads to pile in or attract an institutional investor, who knows, but i am betting it will drag the shareprice up somewhat. I hope the PR for this is a little better than we have seen recently.
The TSX listing could potentially get things moving along, especially if its in conjunction with reaching the first uranium. It could well be the easiest way to raise WCU's profile to a new bunch of investors. WCU have also stated no cap raising in association with this so any shares on the TSX must be covered on the ASX.
From a American or European perspective, the ASX is definately less attractive and less accessable than the TSX.
I think the shareprice will rise when the ore is hit and we list on the TSX barring a full on market crash. Just my opinion, but i guess im an optimist. Will it be enough to satisfy the option holders who bought in on the last rise around mining permit i dont know.
Keen to here others thoughts.
WCU Price at posting:
20.5¢ Sentiment: Buy Disclosure: Held
