The great thing about MXR is that it has more than one string to its bow. Management are taking a very prudent approach imo going after what is perceived as the low hanging fruit or what is going to give shareholders the best bang for our buck.
Methodical exploration around the old pit has already yielded a new discovery at S5, this in combination with exploring the geological model of the interconnection of gold deposits along the shear zones and expansion/upgrading of the Redback resource is an excellent way forward for building shareholder wealth. Couple this with the EM work done for Nickel at Wattle Dam East less than 2 Km from the pit and we basically have a free hit at a juicy conductor that could result in a serious re rate of the SP. I say free hit because the gold story here alone should support a significant rise in the SP over coming months, the Nickel could be a bloody big cherry on the top of the cake.
I don't see too many stocks on the ASX with this sort of potential and risk reward scenario for the current EV.
MXR Price at posting:
13.0¢ Sentiment: Buy Disclosure: Held
