After the issue of the $2M worth of shares to the Chinese Co the...

After the issue of the $2M worth of shares to the Chinese Co the ratio came down to about 3.66:1. Personally I think the WR1 shares will rise significantly on the opening day. The company will be well capitalised if a maximum uptake occurs, and it's not as if they'll be starting exploration from scratch. What has been identified so far is high grade and shallow so the prospects look good for the future.

What's interesting is that the current stellar rise in our SP can't be put down solely to the spin-off. If someone holds 100,000 shares they are now worth about $58,000. The number of WR1 shares that person will receive is about 27,322 x 20c = $5,464. So out of that $58,000 almost $53,000 is being attributed to the Sturec gold project. Of course it could be argued that the WR1 shares may double in price quickly but still they only represent a small fraction of the current MTC SP. A few months ago the market didn't take Sturec seriously - hence the sub 20c SP, so does it mean that the market got it all wrong then and is now correcting its error? I don't know, but quite obviously some very serious investors have been buying in over the past two weeks - and I don't think they're finished acquiring yet.

One HC poster repeatedly said he knew things that he couldn't tell and that we should all be buying up big. He was ridiculed by a few others but perhaps he did know more than the rest of us after all. It's not often you see the sort of rise that we've seen this week and there has to be more reason behind it than just the WR1 float, as I showed above. I won't be at all surprised to see 70c topped next week and can't wait for Monday to kick it off.