Hi Johnny,IiI think there are a number of factors that the...

Hi Johnny,
IiI think there are a number of factors that the market wants confirmation on:
1. Syrahs deposit has posted a big gap between what was previuosly thought as a world class deposit in terms of grade and size.
2. We are yet to prove that we have what is over the fence, although as a geologist myslef, the continuity of geological strata was confirmation enough for me to get in 2 years ago and play patience, unlike the trading junkies who a need quick fix. They will exentuate the highs and lows, so a pullback is no surprise until we get the confirmation of results from trenching and drilling.
3. At the heightt of the market run for speccies this would proably be trading anywhere from 3 to maybe 10 times current price. We are not in those market conditions anymore, unless you get the drilling results eg sirius, sandfire.
4. There will always be people exiting the market at set prices no matter what the potential.
5. I still beleive as a geologist the market has little appreciation of all the time and effort required just to get to where we have in the last 12 months. One example, the granting of the licences: in nsw this can take up to 18 months, how "quick" did we get ours in mozambique? And we had alot of dribble on this forum about how long this was taking. Traders dont care about this, they just need an entry and exit point.
6. We have a lot going on over the next 4 months with results next week, resources for cobra plains secondary target which will be the second largest in the world at around 5 to 6 % cut off, funded through to scoping study mid year, end user sign ups with possible funding for more drilling at nicanda hill and nearby prospects to years end. Bigger and better resource in grade and size to come. Long term holders just need to play patience and hopefully we will all be rewarded. There will always be ups and downs along the way.
7. Probably is an over concern with the cash balance and the need for a cap raising. We are funded to mid year according to BB, and I am confident we will get a deal. We also have a major shareholder with good connections, so not so worried about this at present. History has showed we can raise funds and keep moving on.

My take on the current situation Johhny. Hope this helps.

Mino
8. Lets see what the results show next week to start with.