It's a very good announcement obviously. The market has marked AVB shares up from around 6.0c to 6.6c, a 10% rise in SP and Market Cap.
For what the Announcement was all about, 10% is probably towards the upper end of what AVB could be rewarded with I guess, so the market likely got it right. Even if the SP itself is greatly undervalued.
Management were asked to provide better on-going communications and have done so. A very comprehensive announcement. Couldn't ask for more.
It is a disappointment to me that they chose to describe what was coming as an Exploration Update. An "Update on the Infill Drilling Program at Antas North" would have been far more accurate and appropriate.... but then again it produced fun speculation, creative thoughts and hype which is all part of the game?! It shows TP, Scotty and the Gang as having a sense of humour. I am all in favour of Trading Halts and Suspensions because they add to the mystery and excitement. Even if they are sometimes a let down at the end. I mean how much rivetting excitement for shareholders can there be in building a Mine. Really.
Nevertheless in the overall picture that is just an irritation, and much hard work and skill has gone into getting that useful shallow result.
It must have come as quite a pleasant surprise when they were drilling!!!
AVB has two distinct arms... Mine Building and Exploration. In the end it is true Exploration that will send the Share Price into orbit. History proves that.
A lot more surface copper than previously thought at AN suggesting an improved early cash flow and lower cost to produce in the early stages. The magic word chalcocite gets a mention too in the photos at left.
All positive stuff supporting AN. It brings finance closer.
In the end it is not the material that causes huge SP rises and makes fortunes overnight. No world-shaking new discovery. Or more importantly a Share Price shaking Announcement... which is what I and many others were hoping for I believe.
A lot of people must be sitting on an average BUY price far greater than 6.6c, so for their sake especially I would like to see it go rocketing!! 6.6c is pretty dull.
Anyway, for those bold enough to buy strongly in the 5's it is a nice reward, so well done to you!
This post is more focussed on the Share Price rather than dissecting or trying to talk-up how wonderful is the announcement itself. I am no geo or mining engineer.. Others more formally qualified will do that I'm sure.
I went and bought 2kg of scallops, some coral trout, and prawns too on the strength of something BIG coming. Ah well.... it will still taste just as good on Christmas Day.
Good luck to all, have a great Christmas.. and.. bring on the next Trading Halt!
2014 will be AVB's "coming out" year. PP
AVB Price at posting:
6.6¢ Sentiment: LT Buy Disclosure: Held