I could try to explain it now, but I think Dan can do it much better - apparently he gets asked this question a lot. I would wait for the replay of the webinar. I thought his explanation was very clear and he took his time with it.
He also made a few references in terms of how HMX wants to "position" itself around Mt. Hope - I found that more than logical as well.
Of course, there are other ways of looking at it - I'm not a geologist - so I can't answer that conclusively. Either way, the HMX team has to make this decision - not me
By the way, it was also asked why HMX drills at so many different prospects and why they don't focus on one or a few locations. Here, too, Dan came up with a - in my view - very logical answer. Not only did I find the answer logical, but the examples he then gave (from other explorers or "discoveries" in this context) would make perfect sense from my point of view.
Again, everyone can disagree. For me, the answers were consistent and logical. I still have the feeling that the team is very structured and methodical. Normally, this approach should sooner or later lead to success - as was the case with other explorers.
In connection with the drillings in Yandal - which are apparently due to start next week - he also explained a few "things". Although lithium has just lost some of its luster - above-average results here could bring a little life into the SP. In addition, they are also drilling for gold there - which probably has a good reason (he also said something about this but I can't remember it).
I could watch the replay again now, but I think I'll leave that to "others" - who perhaps also understand more about the matter. Then I look forward to reading about their conclusions.
Either way, I stand by my opinion: the current SP does not reflect the current state of affairs or the possible future potential. Unfortunately, 80-90% of investors react pro-cyclically. Almost always momentum-driven. For this reason, they are almost always wrong. Either they buy too early and then give up disappointed because the SP does not rise (but falls) or they buy too late - namely when most of the movement is already over.
In other words, if you bought at 8 cents because you were convinced of "something", you should ask yourself whether something has fundamentally changed in the story. Just because the SP has halved does not mean that the story has changed. It just means that the market has developed a different perception - which can quickly change again.
Dan also gave an example here. While drilling results (I think it was Trafalgar and Ajax) moved the SP sharply upwards - identical or almost identical results in 2023 didn't "trigger" anything. That's illogical, but that's just how it works. "Results" or progress-wise - 2023 was a good year - probably the best of the last 5 years. And where is the SP? Pretty much exactly where it was 5 years ago.
However, what I have learned in many years of observation: You make the most money when the story is right - but the company gets no love or attention. Let's wait and see whether this will remain the case with HMX.
But now it's getting too philosophical and I'll stop writing.I'm curious to see what happens in the next few weeks and I'm ready to add to my position if the SP goes lower. Many things tell me that this is the right thing to do. DYOR
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