what are we after here?, page-3

Here's a quick summary of my opinion on up and down side prospects and risks for JRV

1 Chairman and family's buying spree in the past few months.

2 Scandium possibilities and arrangements with EMC

3 Royalty income from Bullabulling gold project or lump sum sale of royalty income stream

4 Arrangements with Hanfill to negotiate a Chinese partner for the Young nickel prospect - initial expiry date 28 Feb but can be extended (there have been a few other failed negotiations to involve Chinese partners in this resource)

5 Wildcard prospects like Lake Barlee and uranium - BHP recently acquired some neighbouring land to explore; maybe some potash potential here too.

On the downside is management:
Chairman and family have a large hand in running the company. Surprises me that suitable non-family members cannot be found for some of the posts occupied by family members.

If we take the share price as an overall indicator of performance over the past few years, then you can see the general trend has been negative, with lots of dilution, though trending up in recent months.

What keeps me interested in JRV is

1.the Pursell family has a lot at stake. I suppose they will do ok from salaries even if there is no spectacular share price appreciation, but they could do very well if the share price appreciates markedly

2.the generally positive outlook for resources stocks over the next few years

3. smarter people than me (Norm Seckold) maintains his million dollar investment in JRV (at cost price - it is probably worth only about $400K now)

I have held JRV stock for four years and recently doubled my holding, though still sitting on losses