Outlook This Week

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    It's not looking great in the short term for Admiralty Resources given the recent price retraction. I suspect it could continue the downward movement. There is little in the short term (at least until the 28 June - Equity 1 Bid date for 51% at 6.7 cents) to encourage it to recover quickly. I need to agree with others that the market seems to think that they will fail with their existing bid.

    Given this and Equity 1's failure to deliver recently, this brings me to this Wednesday's extraordinary meeting. My first observation, resolution 5 which proposes a name change to Equity 1 Resources should fail given that Equity 1 has done nothing to give the shareholders confidence and it also requires a 75% in favor.

    As for resolutions 1 and 2, the past directors have already been provided with sufficient compensation via their options and simply do not deserve a further handout. I am very surprise that the existing directors had the nerve to propose this in the first place. What does it say to you. I for one, totally disagree with this proposal.

    Finally, I support resolutions 3 and 4 to reduce the administration costs with minimal parcels, etc.

    In summary, there seems little to encourage the price to rise this week. As usual, it is your choice. Always seek your own financial advice.
 
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