Morning “Anything less than one million ozs as an announcement...

First 2 Last

Share
Profile

Follow
pintohoo

96,490 Posts.

75

10/02/18

06:44

Post #: 30962167
Share

Originally posted by Discoveryman ↑

Following the most recent drilling result announcement on 10 Jan 2018, the share price went to .71 cents on 12 Jan 2018. Less than a month later it has quickly drifted back to .495 cents today.
That is a drop of about 30% in less than a month after what looked like a terrific announcement.
I can’t help wondering why the share price has dropped by so much on low volume when all the hype suggests this is a major green fields discovery.
Surely there are quality annalists’ out there who would be advising their clients to buy if they thought the value was there. Unfortunately, it doesn’t look like anyone of significance is prepared to jump in and buy at these prices which make me wonder if BRB has the goods.
The maiden Resource announcement was delayed by 3 months in what has been promoted as a better opportunity to include extra drill results, let’s be honest, the numbers simply didn’t stack up and the maiden Resource announcement had to be delayed to try and get a better result.
Anything less than one million ozs as an announcement will disappoint and the share price will drop further.
One way which Tom appears to be trying to sugar coat the process is to inform the market that there may be an opportunity to build a low cost start up without limiting the scale of the development.
The advantages are offered as early cash flow, low initial capital expenditure which will provide funding towards drilling and further feasibility work.
I can’t help wondering if BRB knows the numbers won’t be what the market anticipates and are promoting the concept of a start-up plant.
I have thought a lot about this and in my opinion, it is a load of rubbish, the company and Paterson’s have ramped this company, and now must be held accountable if the Resource figures are poor.
if the numbers stack up to what is anticipated by the market, there is no need to waste time and energy building a small processing plant as shareholders will gladly participate in a capital raising to continue drilling to expand the Resources which eventually leads to funding an appropriately sized plant.
The nagging concern I have is the company knows they do not have the numbers to back up the hype and they are trying to placate shareholders by floating the suggestion how they can benefit by a small plant.
If the maiden Resource announcement is not a minimum of 1 million ozs or more, then I would have strong concerns regarding the veracity of future announcements from this company.

Expand

Morning

“Anything less than one million ozs as an announcement will disappoint ”

“if the numbers stack up to what is anticipated by the market”

One question before discussing-

How do you know what the market is anticipating?

Tia

BRB Price at posting: 51.0¢ Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

LIS

'Opens doors': Li-S Energy the first Oz company to produce lithium metal foils

AII

Inside the depths of Panasqueira: A legacy carved in rock

HotCopper Highlights: RIP to Botanix (for now); Droneshield new ATH; Trigg mystery halt

Week 28 Wrap: Tariff chaos back for some reason; CBA holds strong

CWX

Carawine faces Fraser Range JV collapse as IGO moves to scrap partnership

Trump just dropped a 200% tariff bomb. Here's how to cash in

VMM

'Big tick': Viridis positions for global leadership with Colossus pre-feasibility study

AAU

Antilles brings Chinese ally on board to keep Neuva Sabana work chugging on

ILU

Rare earths stocks surge as Pentagon buys big stake in US REE miner

Listen: HotCopper Wire Podcast 017 – RBA holds the toppings

First 2 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

Morning “Anything less than one million ozs as an announcement...

Top Stories

'Opens doors': Li-S Energy the first Oz company to produce lithium metal foils

Inside the depths of Panasqueira: A legacy carved in rock

HotCopper Highlights: RIP to Botanix (for now); Droneshield new ATH; Trigg mystery halt

Week 28 Wrap: Tariff chaos back for some reason; CBA holds strong

Carawine faces Fraser Range JV collapse as IGO moves to scrap partnership

Trump just dropped a 200% tariff bomb. Here's how to cash in

'Big tick': Viridis positions for global leadership with Colossus pre-feasibility study

Antilles brings Chinese ally on board to keep Neuva Sabana work chugging on

Rare earths stocks surge as Pentagon buys big stake in US REE miner

Listen: HotCopper Wire Podcast 017 – RBA holds the toppings

Featured News