STTCOMP DEG FA long De Grey Mining .. Gold W.A. MC $54M SOI 325M...

STTCOMP DEG FA long

De Grey Mining .. Gold W.A.

MC $54M
SOI 325M [@16.5cents] 55M listed options [10 cents strike/Nov 2018] ~70M unlisted options.

DEG will be announcing the assays for their Blue Moon(BM) prospect fairly soon. The chance the assays are good is very well flagged ... and someone exercised 5M options [4 cent strike] only a couple of weeks ago ... so a good announcement is very likely to be met with supply. I am still tipping it for the following reasons... the SP has traded sideways for a couple of months and despite the profit takers I think the Co will re-rate on a good BM ann ...there appears to be long term value in this stock and good grades at BM will significantly de-risk the Co bringing more people in for a longer hold...imo

DEG was a major beneficiary of the Witts2 frenzy but they do appear to have some very interesting ground. The Co is on a path to become a gold producer.... the current MC is too low for that scenario so in general I think it is undervalued. I think the BM ann has a good chance to be a catalyst for the SP to trade in a higher range than at present. [disclosure..I hold a parcel of options]