AAR: The company is due to report further drilling results from the Sandiego Deposit at any time. The previous results announcement stated that substantial sulphide occurrences had been intersected in several holes but assays were not yet available. It is results for these holes that I am eagerly awaiting. I particularly liked the way that the company chose to undertake a small raising of only $1m to professional and sophisticated investors in the recent placement. This signals loyalty to longer term holders in that they minimized dilution by raising a small amount of capital now in the hope that more exciting results will lead to higher prices before a more substantial raising. Management have received a big tick from me in the way they have acted. News Due: Further assay results from the Sandiego Deposit where previous results delivered intercepts of 71m @ 5.04% Cu, 7.69% Zn, 68g/t Ag and 0.43g/t Au. A comprehensive statement of the results of the on-going drilling program is due to be released some time this month. Price Target: The stock broke through resistance at 4.5 cents last Friday and then tested it as support. Given today's negative market there is likely to be another test of this level. To the upside, the next resistance level is at 4.8/4.9 cents however I don't expect this to be strong. If this breaks then a move to 6.0 cents looks possible. Disclosure: Holding AAR
AAR Price at posting:
46.0¢ Sentiment: Buy Disclosure: Held
