Reading the ASX notices it shows they were not fully on top of all the listing rules of what you can include and not include in a report between facts and opinions. That usually signals to me a yellow or red flag (i.e. stay away). However...
My personal opinion now (I am not making an excuse for them but will give them the benefit of the doubt once as long as they learn their lesson from this). .
Because, these previously tiny companies (smaller than microcap stocks) that used to have a market cap of less than $10mio and usually run on a day to day basis by only 2 people of which 1-2 are the geologists (and they usually outsource the administration to a part-time Company Secretary to save money) with many years experience they at times don't keep up to date with the ASX listing rules as they prefer to spend their time and our money from an equity issuance on the exploration field doing field rock work or drilling (assuming they are now not a life style company), rather than full-time in house administration.
So they stuff up on what they can say and I am assuming it was over excitement of what they found in the drill holes on this occasion that did it. Now they have been given by the ASX a proverbial kick-up the backside and expect they learn't their lesson and won't do it again.
So I am prepared to give them the benefit of the doubt on this occasion. If it was a small cap or larger ASX listed company that did this I would have sold out as they would have had the resources to know better.
But its your choice and your money to do your own research and have your own opinion with your money whether you invest or not in this company.
GNM Price at posting:
2.3¢ Sentiment: Buy Disclosure: Held
