re: Ann: Musket Returns Highest Nickel Grade ... I don't hold...

re: Ann: Musket Returns Highest Nickel Grade ... I don't hold but I watch rxl and I Think between initial discovery and moving on towards a resource is a hard time for any explorer on the asx.
Initial good news and follow up drills had given the market belief that there is something there. But now the market wants to see shallower hits if it can be open pit and the resource expand. For where it is I think it's pretty well priced with an mc of 40 mil. As the market knows to get to Jorc compliant another 10 to 20 mil will have to be spent drilling.
So unless good hits keep coming and it looks like the resource is expanding the market will take a look and see approach.
Another thing with nickel is a lot of hot money don't really understand nickel,
So the only comparision they compare against is SIR and the hot money will float towards any new discovery in hope of a nova style play.
Please don't take this the wrong way as I think the asx is full of people who aren't willing to invest and see 100 plus returns and expect that.
Companies like rxl will grow, but maybe at a slower rate inline with recent results. It's not cheap to bring a resource to BFS the market knows this and will rerate accordingly. But in its favour at the moment is a higher nickel price and a shortage of sulphide plays that can supply concentrate to the market.