I am focusing on the fact that the annoying issue of the capital increase is off the table. They now have around 6m cash available to push ahead with a more intensive drilling program.
Rationally speaking: I think that HMX (Dan) was only approached because of the presentation at the RSS. That was on 16 May. Looking at the chart - it doesn't seem to me that we missed much - even if there was some selling. I also think that we could go back up towards 8-9 cents relatively quickly.
It seems to me that the main driver for the "re-engagement" are the drillings around Mt. Hope and the 10000 meters at Yandal. Mt.
Hope because of its proximity to Carnaby: that is, very good drilling results would quickly attract a lot of attention AND consequently fuel the fantasy of cooperation - in whatever form.
And we have seen some euphoria in lithium. Exploration successes with consequent hundreds if not thousands of percent price gains. No telling where the SP might go if something really solid were found at Yandal.
Or in a best-case scenario at Mt Hope and Yandal.....
I'll leave the rest of the stories aside. Be it the search for IOCG or any EM surveys. There may be surprises here, too, but I think these are more like side noises - at least for the moment.
I don't really care about any other speculation as to whether any of the new shareholders might have somehow benefited from the situation now. I think they see the potential and want to multiply their millions. The directors also threw in a little money. Maybe a new substantial Holder will turn up - that could also be interesting.
I think the chances are not that bad. Let's see what happens. The next few months could be really exciting. DYOR.
HMX Price at posting:
7.0¢ Sentiment: Buy Disclosure: Held
