Folks,The down-rampers only care to bother with stocks that will...

Folks,

The down-rampers only care to bother with stocks that will eventually rise again...after all, no good them getting our stock cheap if they cannot sell it back latter for more?

The placement is real...at 19c...so therein lies a bottom line value as determined by the industry experts...but as we all know, such placements are at a discount to current prices, so one might argue it was at a discount to current value.

We have a clear value line here...one that starts at current prices and ends when they are in fault commercial production and cash flow positive...and expanding...in their relatively captive market.

So...our line goes from say 19c...to what...50c...$1...for a successful outcome?

Draw this line on your charts, over what ever timeframe you see fit...and this should give us an idea of what the stock should be worth and when...and any variations above and below this line are potentially tradable.

Remember, every day that brings KSX closer to commercial sales, is in effect an extra day of value.

Now...in about 80% of placements, the stock eventually tracks back to (or on rare occasions, up to), the placement price...one might argue we have seen nothing unexpected here to see it close tonight at 20.5c.

Interestingly however, the options are very close to par.

However...for the stock to behave as it has in the face of the wider meltdown...to be quite frank, is simply amazing.

Stocks like BHP, RIO, MBL...etc...have all taken a bath in recent sessions...and in the top 100ASX stock, there are many who have fallen more than KSX...so are we to deduct that these companies also have nothing?

Seriously, the grey matter capacity of some people on this site would make an amoeba look intelligent.

Like many I suspect, I thinned down on these in the face of the wider carnage...actually taking profits to my surprise after the placement announcement...but now that I am down to a core position I am happy with, I am happy to look away while the stock swings 10% this way and that.

Cheers!