Hi everyone,
here is another small li explorer we can compare ourselves to, this year – TAW in 2016. Have patience,
as it’s a bit of a long read. Note all data from the ASX website, and any errors, mine.
STOCK PRICE - JANUARY - JUNE 2016 (Source ASX - two sample dates per month)
Jan 2016 between 2.3c and 2.7c; Feb 2016 steady on 2.7c;
Mar 2016 between 3.0c to 3.4c; Apr 2016 between 2.7c and 3.1c;
May 2016 between 2.5c to 2.7c; June 2016 between 2.4c and 3.0c.
EXPLORATION ACTIVITY - JANUARY - JUNE 2016 (Source ASX)
This WA headquartered junior explorer’s main activity, was their Mofe Creek Iron Ore Project in
Liberia, Africa. NO interest in li whatsoever.
CASH SITUATION - JANUARY - JUNE 2016 (Source ASX)
Cash at December 31 2015 $0.788m
Cash at Mar 31 2016 $0.35m
April 2016 cash raise $1.1m
Cash at June 30 2016 $1.242m
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STOCK PRICE - JULY - DECEMBER 2016 (Source ASX- two sample dates per month)
July 2016 between 3.0c and 10.3c (Mt Belches li EL acquired)
August 2016 between 9.0c and 9.5c
September 2016 between 7.8 and 11.0c (Namibian li EL acquired)
October 2016 between 13.0c and 14.0c
November 2016 between 8.7c and 12.8c
December 2016 between 10.9c and 11.8c
EXPLORATION ACTIVITY JULY to DECEMBER 2016 (Source ASX)
July 11 - lithium projects acquired: Mt Belches, Claypan Dam (in WA)
August - no news
September 15 - lithium drilling commences
September 23 - Uis lithium prospect mine acquired in Namibia, Africa.
September 30 - RC drilling begins at Mt Belches
October 24 - Bald Hill EL lithium and tantalum prospect next to Mt Belches, joint partner
November 17 - significant li in drill results from Bald Hill
December 20 - Bald Hill EL, officially completes joint venture requirements
CASH SITUATION - JULY - DECEMBER 2016 (Source ASX)
Cash at June 30 $1.242m
July cash raise $1.75m
Cash at Sep 30 $2.218m
Oct 26 cash raise $7.2m
Cash at Oct 31 around $9.0m (Nov 30 s/h presentation)
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TWO OTHER LITHIUM 2016 STOCK PRICE PERFORMANCE REVIEWS and KSN
This is the third Australian junior exploration company whose stock rose rapidly in 2016, when they began
exploring for li, the other two being, CXO and KDR.
In each case the company’s managers changed their mineral exploration focus from: iron ore in Tawana’s case, zinc, lead, uranium in Core’s case, and gold in Kidston case, to lithium.
In each of these three cases, their stock prices rose dramatically from the moment they announced their intention to buy into lithium tenements OR to drill for lithium.
CXO from Aug 9 first drill starts (ASX Aug 8 2016 3.7c) to high grade li discovered, Oct 3 (ASX Oct 3 2016 14.0c)
+ 378% IN LESS THAN 2 MONTHS ;
KDR May 10 2016 (maiden drill to begin at Mt Holland (ASX 10.8c), Oct 4 2016 - li field continues to expand at Earl Grey (ASX 80.0c) + 741% TAKES THE WHOLE OF 6 MONTHS;
TAW July 11 first announcement of acquiring li tenements (ASX July 4 2016 - 3.0c) note TRADE HALT July 6th and 7th (ASX July 11 2016 -7.2c); drilling starts at Cowan li Project [Mt Belches] Sep 15 2016 , Sep 23 2016 second li project acquired, Namibia (ASX Oct 11 2016 – 15.0c)
+ 500% TAKES 3 MONTHS AND A WEEK.
CONCLUSION
Whilst the prior circumstances for each of the above three junior explorers, were not identical – the lithium effect - on their share price, WAS. Namely, a dramatic boost to their stock value in the market’s eyes, ranging from a bit over 375% to nearly 750% . I see, Kingston as no different, I expect the lithium effect.
What it will ultimately be, I don’t know, or whether it takes two months or six months to occur.
But I am using 2.0c as its share price prior to - the lithium effect, and January 13th as my base date.
Let’s see what happens.
DYOR
Cheers
Bluequartz
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