Good questions Vic.It seems as if the market is having another...

Good questions Vic.

It seems as if the market is having another look at that last announcement, and doing some re-interpretation.

Almost 5 times as many sellers as buyers, and 10 times as many shares for sale.

The last announcement did not require a trading halt, nor was it clear and unambiguous in it's details and tone.

One gets a sniff of the rising stress within management, at the expectations now, the result of them having to halve the last raising price, and the value of every shareholding, in order to purchase the tenements.

One senses just the faintest whiff of panic about DRG in some quarters (though probably unjustified at present).

Was the due diligence long enough and detailed enough? Did DRG give in to the pressure of time constraints? Did the seller see DRG as a gullible target? It is too late to change any of this now.

I was never that convinced about any of the 8 projects at the time of due diligence (having read, and re-read both the old and new technical reports), and stated so in my posts on HC. But then when the 60m at Teeg was hit, I thought maybe I am wrong, perhaps at least 1 of them may be worth something.

If Teeg fails, investors should go back and have a read of the in-depth technical due diligence reports, I would not bank on the other 7 tenements.

If DRG are smart (and I have seen no concrete evidence of this to date), then they will not be banking on an Indonesian project, not since the change of ownership rules in Indonesia. They should be looking for additional Mongolian coal projects, and if something prospective appears, they need to purchase it.

We have to trust that if there is economic quantities of coal on the Teeg(s) licenses, that DRG has employed the requisite professionals to find it. At least DRG has the next 6 months of northern Spring and Summer to drill.

Gw
I've been riding on the crest of a slump lately.
(Tom Waits)