ARS 0.00% 4.9¢ alt resources limited

I’ve thought about it and the only conclusion I can come to is...

  1. 7,520 Posts.
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    I’ve thought about it and the only conclusion I can come to is that he’s so desperate to have the market believe he can get to 500koz that he’s prepared to enter into a negotiation for that extra asset at a disadvantage (which means he’ll pay more).

    And that’s what bothers me so much about this. He reckons he’s getting 12koz for every 100m drilled and each ounce discovered only costs something like $9 so why the hell would he have to acquire these assets whilst in such a weak cash position? Doesn’t make sense to me.

    I know I carry on a lot about this company but it is undervalued IMO if James can keep drilling and getting good, shallow results over the 10km strike. The metallurgy is very good so we just need the ounces to justify a small plant and tie all these stranded assets together. That said, they might be stranded and unloved for a reason.

    I have no choice but to hold this one for now. Will either boom or bust but I think it’s extremely unlikely we’ll be the same MC this time next year: much bigger or much smaller.
 
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Currently unlisted public company.

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