Yes Joooles, the backdoor publication of the Pelican Fe results is a further example of the opacity of management reporting. I don't feel that sell downs are daytraders getting bored. It's not a daytraders stock they wouldn't even waste their time on this one, they look for stocks like EGO or RAU. Some of the sell downs are sizeable and are performed in a methodical, measured pattern so as not to spook the market too much. The buy depth is of course, at times, abysmal. I've seen instances of maybe 2 or 3 buyers on the entire buy side at 5-10 cents below the last trade. Of course I dismissed this at the time as an obvious spook.
I feel genuine holders are being left holding the baby whilst larger holders and former accumulators that have done well even at current levels offload little by little to stay in the green and sit on the sidelines for a while. This of course is only my opinion but on a good day for the all ords and KMN loses 2.5 cents to flirt with its 365 day mov price av.... well, the market action speaks volumes.
I'm guessing: A possible capital raising and attendant dilution of existing holders' equity... the reference to the costs of trucking water could point to a cash squeeze and also the engaging of three additional geologists won't be cheap. There is also the costs associated with proving up the San Anton project.
I can't help but look at the substantial gains on all my other stocks relative to this laggard. Having said all that I'm a long term investor and will likely hold a little longer. Hence my interest in the timely release of the Re results...
KMN Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
