I am a holder of AXM and have been for a while. I tend to sit with wrxsti.
I see alot of bashing going on within this forum. Sure, you can blaim, everyone in the world for the Apex SP going down. But ultimately, your are the one that pushed the sell, or buy button.
I myself bought in at $0.20 (obviously dissappointing).
I have done substantial research on this company. Capital restructuring programs can be painful for current shareholders.
I guess depends on your view, but I think its known there is gold, obviously depending if you believe the Apex release regarding the 3,050 Million ounce of inferred gold reserves is up to you.
There main problem (and ALWAYS HAS BEEN) has been cost of extraction (just like many other mines). They have run into a number of problems as the Wiluna mine is quite old, and have decided to go to the market in order to get additional funding for maintenance and potential diversification in order to operate four mines.
There cash burn has been substantial, and there have been a number of "silly rumors" floating around on this forum which I don't believe at all.
1. The company is going into Adminstration. (simply not true). The reasoning for paying out the senior debt of $58.5M has to do with large institution investors (if i was a guessing man it has been at their request).
2. The mine life is no more than 2 years. DYOR but also, do not believe.
3. Mark Creasy is selling out. Wrong. Legend Mine (LEG) is selling out. hmmmm, could be for other reasons such as cash requirements and funding of some other project? have you looked at their financial statements and noticed cash is down 50% year on year 2008 to 2009? guess you didn't.
Anyway. I guess i'm just alittle bit annoyed about how many rumors are on here. I joined assuming that there would be some posters whom had informed and logical opinions. I see a lot of emotions (which has nothing to do with investing), and not much logic.
Don't hate me.
Regards
AXM Price at posting:
4.5¢ Sentiment: Buy Disclosure: Held
