Time to ring the bell

The appointment of Mr Luke Creagh as new CEO (ex Northern Star) has to be the strongest indication this stock has finally bottomed and turned.

Despite the recent bounce, the company still has a modest market capitalisation of only $61 million, represented by ~$30 million cash, no debt, $100 million replacement plant, ~5 year + mine life, $330 million + tax losses, and plenty of developed ore already on the pad.

Brokers are suggesting that June monthly production may be a record under the new relisting.

June tax loss selling has certainly cleaned out the traders and even some of the old long standing debt/equity holders like Wyllie etc. The selling seems to have been absorbed by a handful of players in the top 20 who participated in last issue at 5 cents.

Rumour has it that the Smorgan family has recently bought 40 million units + and looking for more

The thing I found most interesting was the quantum and the terms of the new CEO package (less money and BIG incentives)
Mr Creagh receives a very large volume of shares that will vest 100% on any successful takeover.
Given Mr Creagh has previously held senior roles in business development, strategy and acquisitions … we don’t need to be rocket scientists to be working out what he will be focussed on in 6-12 months time when the share price is likely much higher.
Hawkes Point own ~48% of this company and the only exit for them will be a scrip takeover by a much larger gold producer company that can fully utilise those $330 million in accumulated tax losses.