My stockbroker has been in contact with VRC, and they are very happy with the progress being made with the bond issue. There are "prospective investors" who are also "very supportive". Volt believes that the bond issue will be successful. And to date, all of Volt's capital raising has been highly successful. The conversion rate of the options was outstanding!
Clearly there is buying strength at the moment, and that certainly surprised my stockbroker, who had thought that there might be some dilution or profit taking.
As DC pointed out, Volt still have a lot of milestones to be achieved:
"1. Be granted a mining license.
2. Achieve a positive DFS.
3. Achieve adequate binding offtake agreements.
4. Achieve all regulatory approvals (including the RAP).
5. Achieve construction finance for Stage 1."
However the strong buying we have seen in the market over the last week, by investors who are fully aware of Volt's shortcomings, and the "strong interest" in the bond issue, shows that investors believe in Volt's sales pitch and believe that those milestones will be achieved this year.
Sure, VRC is still a high spec stock, but that is why its sp is so low. The risk is there, but the rewards may be huge! Based on what is known to date, VRC is progressing steadily through its business plan and the market is waking up to its potential!
Once the profit takers move out, the sp might start climbing significantly higher. Of course, that would be also be helped by the milestones being ticked off and the bond issue being a success!
IMHO!
October 2017 "Vision: To be in the top 3 global suppliers of natural graphite by 2020!"
Development Timeline
VRC Price at posting:
3.1¢ Sentiment: Hold Disclosure: Held
