WMC 0.00% 20.5¢ wiluna mining corporation limited.

Where are all the gainsayers?

  1. 3,786 Posts.
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    BLK is now going from strength to strength on the market.

    Prior to the financial restructuring we had many commentators who said that BLK was a lemon and that they would never make Wiluna pay. I do not believe that all these people were shorting because a number of the names are what I consider to be respected gold investors and who had invested in BLK at an earlier stage.
    All these names have now deserted the BLK board at HotCopper. Perhaps they quit before the rights issue or without taking it up Perhaps they are just sitting quiet waiting to be proved right after all?
    Now-a-days, the commentary is coming from different people who are obviously unknowledgeable about gold mining and who are speculators and short-term traders. I must admit - they have done pretty well over the past couple of months. BLK has "pulled the rabbit out of the hat" and wowed its audience with increased gold output at a lower AISC.
    I do not pretend to be knowledgeable about gold mining. I guess that you could call me a speculator when it comes to gold (when it comes to gold, who is not?) but I do not short and am not a short term trader either. I bought BLK when it fell substantially (well prior to the restructuring) because I listened to some of the company presentations and felt it was worth a punt.
    When the s. hit the f. and they faced administration/liquidation/bankruptcy, I had to decide whether to quit altogether or put a bit more into it and hope for the best. After all, the rights issue was a dramatic sell-down. I actually did take up my rights. Now I am just past breakeven on my overall investment

    My question is, whether to clear out while the going is good or whether to hang in there because the company really does have a profitable asset long term?

    I do not question the recently announced outputs or AISCs (to do so would be to accuse management of fraud). But I do ask whether this dramatic turn-around is sustainable or whether it has rested on some short-term management of resource and extraction (e.g. suck out the good stuff and leave the poor stuff behind while you can).
    If there are any "Old Names" for BLK out there who read this, then your comments are appreciated.
    Last edited by jogo: 04/04/18
 
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