In my opinion, the Apollo shares & options are very good value at current prices.
Tasman (TAS)...had a bit of a sell-off recently due to an average news release, so I suspect the options simply have not caught up yet. Also, there is a similarity with one of their "prospects" to the Minotaur story (prior to their big find), which may well explain why TASO are trading at a premium.
As for Apollo, I think their shares (AOO) and options (AOOO) have been sold off recently due to the conversion of the convertible notes just prior to re-listing. There were only 7m of them, so most would be gone by now...I may be wrong, but it would seem to make sense.
Judging by the way AOO bounced off 10c last week, it would appear that support has formed.
Also worth noting...Apollo may be carrying some baggage from a previous life (formerly Focus Technologies Limited and 131 Shop.com.au Limited) but with CEO Dudley J Kingsnorth (ex Sons of Gwalia) now at the helm and the new man Andrew J Haythorpe joining the board, AOO is increasingly becoming resource concentric. To this end, I also notice that two "old" directors have recently resigned.
Strangely enough, Dudley J Kingsnorth was in charge of selling-off the "Laverton Tenemants" when he was at SGW...seems he couldn't bear to part with them!
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Some details about Apollo...
As at November 2002 resources and reserves contained at the Laverton Joint Venture were estimated at 1.8Mt @ 1.8g/t Au for 681,000oz Au and 1.57Mt @ 2.32g/t Au for 117,000oz Au.
The company is aiming to generate initial cash flows through toll treatment arrangements and joint ventures using the treatment plant as leverage. As at March 2003, AOO was aiming to complete a Project Verification Study by July 2003 with the aim of confirming the viability of commencing gold production by March 2004.
The first phase of a 20,000 metre drilling program has commenced and will focus on reserve definition and the expansion of the existing resource base on the Western and Central Laverton tenements.
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The CEO has said that they will not go back to the market for more funds unless it is to expand the processing facility to account for a 10m ounce resource...so no dilution!
I'm in at 10c (options at 2c) and very happy to hold!
Do your own research and see what you think!
Cheers!
TAS Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
