bots are back, page-4

I hope that an announcment doesn't come out till late this year. You won't get much opportunity to be buying this stock at below 15 cents.

Bought, 40,000 extra shares @ 13.5c today to add to my existing 300,000. Average price is under 19 cents. I noticed "bots" selling small parcels as soon as i bought what was on offer at 13.5 cents to keep the price at 13 cents. Probably an "If uptick then sell small parcel bot" from an investors with a large stake looking to get out without decimating the share price. Because they are not "getting out at all costs", it is probably liquidity motivating selling.

My personal share price targets are 30 cents (short term ramp up before announcement), 50 cents (1-3 months after announcement on good JV terms) and 70 cents (anywhere up to 6 months after announcment, combined with increase in platinum price to $2000 / oz or very favourable JV terms).

Up to 12 months, over $1 on a platinum price boom and very favourable JV terms.

However, I will not hold on the long term (> 12 months) because I simply do not trust the management and any futher increases in prices above $1 would be highly speculative moves in my view as the price would imply there is management goodwill. More fundamentally, I do not want to be a minority holder in a BEE controlled entity where generally minority shareholder interest will always come second to the black community interest.

The prices I have quoted are based on a simple comparable earnings valuation paying for the asset and discounting for the below par management and the fact the asset hasn't been developed yet as well as the dilution from options and issuing discounted stock for the DFS as well as my general experience with share price movements to meet fundamental value.

The depressed share price levels in my view reflect lack of funding, lack of JV partner, lost credibility (in particular short term shareholders selling because deadlines have not been met), tenure issues (preventing institutional capital buying the stock). The bad news is all priced in (in my view) and all these hurdles can be overcome sometime this year.

This does not constute financial advice.

DYOR