patience will be rewarded!

  1. NT
    1,708 Posts.
    AVL has hit a wall - My prediction of 16 to 18 cents by the end of July is not likely to become reality.

    A peak of 15.5 cents recently is not sufficient to satisfy.

    So what is the "wall" AVL has hit?

    Perhaps the financing of stage 2 has hit a bureacratic hitch - I earlier indicated World Bank financing while supposedly on the way was a process beyond the control of AVL management hence a possible weak point - temporarily.

    However there is an announcement (comsuc)re change of substantial holder which I can not access which might be a factor in the present fall back.

    The quarterly report?
    I do not feel the fall back is due to this impending report.
    Surely most keen followers of AVL have sufficient information to be able to predict what the report contains and what it is likely to indicate for future developments.
    AVL management do not "pull rabbits out of hats" - have been on a road show to present information regarding AVL's progress and plans, and always respond to queries by individuals.

    The lack of buying excitement may be due to many factors - unproved,internal problems in Congo, unknown, speculative, in Africa, etc.
    Most of these are a matter of perception - not based on fact.

    However the present weakness may be a "hicup" related to reports of civil war, etc. in other areas of Africa.

    Perhaps as for Uday & Qusay - whose bodies must be presented before the people will believe---
    The structure and proven results of AVL mining enterprise will neeed to be paraded before a sceptical investment world before the price of shares takes off.

    However because the Congo situation is stable and improving, AVL management are making steady progress with minimising costs, maximising efficiency, and the profits will be strong and improving with completion of stage 2 first quarter 04 (assuming finance - see previous comment) holding this company long to medium term is the best way to regard AVL.
    Patience is require.

    On another topic --
    The changes made to Hot Copper - slit screens, etc. - are not very helpful.

    Cheers

    NT
 
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