Yeah Ric its abit of a mystery, however, trends are rarely linear and the usual asymmetrical movements are always open to conjecture.
If you recall FMG at one stage (around 2005), prior to its eventual consolidation of 1:10, was languishing at approx. $2.50 shortly following reaching a high of about $5.00.
At the time, I think it was the sale of the entire holding by a director (who was also a famous Aussie sports person and mayor of the Gold Coast or something like that) which spooked everyone and subsequently opened the door to additional theories to explain the dive. The lesson at that time was that "the doubters" all of sudden had a field day.
Following a hiatus the share then ran off to attain a value in excess of $100 (albeit occurring in a boom period for mining stocks overall).
Chances are that long term holders of BRU such as myself have read every BRU report to see daylight over the past 24-36 months, attended AGMs, are familiar with daily BRU trade volume nuances, have O&G industry experience, are aware of the micro WA/domestic O&G market (and matters like the forthcoming rubber stamping of the significant state govt agreement re domgas matters), macro O&G market trends which hint at a continuing appetite for unconventional resources of major players, O&G market fundamentals (ie. whether oil is currently overpriced??), unconventional drilling debates and BRU's PR management (ie. how ES has long been proactively educating state/fed legislators re the geo differences between shallow CSG fraccing and that proposed to occur in the Canning), the fact that JPP was never advised to be of strategic importance to BRU and the according impact of WPL's recent announcement concerning same, imminent reserve uopgrade announcements ......the list goes on, but not least of which are the stellar drilling results achieved to date being at Yulleroo, Valhalla and the highly prospective Ungani lookalikes, Ungani itself (the goldilocks discovery) and its immediate impact for mitigating future CR and potential to underwrite the near/medium drilling program.
One with a finger on the pulse with regards to BRU can observe that ES & Co are patiently sticking to their knitting.
Rome wasn't..... and neither can it be any different for BRU.
Personally, I felt a lot more like Buffet at $3.85 as compared to now but that's a typical tremble of trade psychology that shorters just love to prey on.
For a BRU believer, pure and simple, its a fantastic time to accumulate (at prices I truly never thought I'd see again) or alternately for the non believer, it's a convenient time to jump ship, wash up for June 30 and chase some safe yield elsewhere. TLS with current management and the NBN can't lose long term IMHO.
DYOR.
BRU Price at posting:
$1.88 Sentiment: LT Buy Disclosure: Held
