This company is a sleeper only because it was just listed and has no market promotion. My opinion is that the management are in the process of proving up and understanding the relevant mineralisations in their projects. I simply can't believe how derisked the current market valuation is...the signal for me to purchase was on the recent drill results. I could not even fathom people selling their holdings...if i was in their shoes, i would be purchasing.
These guys have not one but 4 drill ready projects that are sitting on existing historical mining areas and adjacent to operating mines held by majors. There is no doubt that they will be bought over if they start proving their resources....i can see that they are tightly held so the takeover premium will be high and there is no risk of a hostile move. In the months to come, look for majors giving additional funds for equity positions or royalty agreements. This might be bigger than AVB and AUC's moves only because they have so little shares to offer and will be releasing a lot of drilling and assaying news in relation to all 4 projects.
As brickworks has stated...it is not too difficult to see a 2-3 bagger...and that is being conservative. I will be looking for more news in the coming days...we have multielement assays and news for the other projects coming through. The best part about this company, is that they are funded till 2012.
BID Price at posting:
29.5¢ Sentiment: ST Buy Disclosure: Held
