I think you are being too harsh in relation to Gome. Many shareholders of MAK has been holding this stock for many years and has been disappointed with its performance in the past. To be honest, these shareholders should blame themselves for holding MAK prior to it de-risking like signing off by the Traditional owner and a MOU for a chinese partner to build a fertilising plant.
However, I believe MAK is a much lower risk proposition and especially in light of the recent announcements. Definitely the market is liking what it is hearing from MAK. If you look at the Buy Vs Sell, prior to the recent announcements the volume has dramatically shifted to buy. Even if you take away the bogus 8 million share to be purchase at 1 cent, you still leave an outstanding ratio of 4:1. So i think it is a bloody good time to start taking position in MAK before it is too late. It is a very exciting time to be in MAK right now. We have the follownig:-
(a) Shares in TNT in 2nd Qtr (b) Announcement of Chinese partner (c) Finance (d) Operational cost has been reduce thus dramatically increasing its profitability. It would be good if management can release its operational cost base on the new leaching method. (e) Namibian Phosphate is huge. Currently it has an estimate 1.58 Bt at 18.7%. This may increase to 3.58 BT according a recent announcement by MAK.
I am looking forward to the next 3 months. However note that this share does come with risk. If there are no risk, who knows what this share would be value at, maybe 10 or 20 times more.
AEV Price at posting:
42.9¢ Sentiment: Buy Disclosure: Held
