consolidation pattern

David King, an ESG director has recently sold off 6m shares on-market. IMO, this has contributed strongly to preventing the sp breaking through 31c.

I'm always curious why a director would sell such a big percentage of his holdings at a time like this when the future looks so bright. Perhaps he needs the funds or has another investment opportunity he wants to get into. Perhaps his holding of ESG has become too dominant in his portfolio and he's diversifying.

We can keep guessing - I don't think it's bad news but it reflects the fact that ESG is in a period of consolidation at the moment. All is going well and proving up reserves is progressing nicely. The market knows roughly what to expect and as such it is unlikely that we will get any big surprises in the short term - good or bad.

I like this kind of investment - it reflects a company growing at a steady and healthy rate with a well thought out strategy.

I wouldn't be surprised if ESG was around 80-90c by the end of the year.