help, page-9

Hello all, good thread I have just been reading through the comments. I like the communication and thinking in this page of HC.

Share price is based on perception...

...which includes some uncertainty for those that do not under this stock intimately. I was talking to a founder of a gold company yesterday and he agreed the first two rules for investing in a stock are; the people, and the people. In the case of CXY I have ultimate confidence.

Other investors may not see it that way however as CXY does not have a CSIRO in their mix. This is not a valid reason just - a reason - for some investors and I happen to disagree absolutely.

CXY is relatively new in the eyes of the market and has not proven a track record as yet. Not as CXY anyway (e.g. Chinchilla), however this is slowly changing with the Kingaroy project and broker coverage.

Another factor is the current poor market conditions. People are also wondering about the gold stocks and why they are not performing SP wise.

Shares are by nature a derivative.

People seldom understand this. For example a mining stock is announcing great exploration results, has increasing cash in the bank, is increasing production and has paid off their debt... everything going great and SP should be going up you say. Wrong, sorry the SP is not necessarily related to the actual business.

Why? What am I smoking??? SP is dependent on liquidity, supply and demand for a share of the company and this ebbs and flows with market sentiment. This is why there is no sense to make for the current market cap however things will change when sentiment and market conditions are right.

CXY SP has recovered strongly in a poor market so it is not hard to imagine that with an improving market we will see a re-rating soon. Stocks do not go up in a straight line and CXY has performed strongly in this market and might even continue with market conditions unchanged after this breather.

Seeing as we now have a concrete outcome at Kingaroy, gas reports to come, movement on the long awaited Victorian deal (term sheet done - JV pending) we will see an improvement in sentiment and liquidity.

I hope this explains a few things for CXY investors.
Cheers,
CW