Member Info for addicknt

In order to satisfy the demand for shares created by inclusion in an index, Market makers have to get stock from somewhere, and they do so by dropping the price to scare weak retail investors into selling. The last two trading days have been a clear example of this practice.

Jdubya, I agree with your point about not overstretching the management team and the need to concentrate on the jewel in the crown.

In my opinion, we need another NED, who should be independent and should come from a strong mining background. As it stands, our board is too finance focussed and we appear to have a part-time CEO, although to be fair we don't know how much time he spends on the company.

Wyndrum, you're quite right.

I can think of one board at the moment where the overwhelming majority of posters are up in arms against the one chap who clearly has far more knowledge than they do. They berate and mock him on a daily basis, whilst it's blatantly obvious that he's right.

Wookie, you've got that right, but it's not just a 'few' investors. If you look across these boards you'll see a very large percentage of people who quite clearly don't have a clue. They risk their capital without understanding what they're doing; they have no knowledge of the City and very little understanding of the way companies operate. I suspect they take great care when buying a new car or other expensive item, but somehow don't apply the same degree of diligence to their life savings. They're gambling with their futures.

From time-to-time they may get lucky, with the consequence that some of them come to believe they're expert investors - they're not, it was just luck.

The 'democratization' of share holding, which happened after Big Bang, has had many positive results, but it also tempted rank amateurs into shark infested waters, and over the years I've seen far too many people get wiped out. And these boards don't help matters, as folk get caught-up in the hysteria of a rising market and make extraordinarily bad mistakes.

Having said that, some contributors clearly have expert knowledge of certain companies and sectors, and their contributions stick out a mile and should always be read very carefully.

I spent the majority of my career in and around corporate finance; do I regard myself as an expert? Absolutely not. Do I make mistakes? Most certainly, but at least I understand the fundamentals of corporate life, the way the City works, and understand a balance sheet.

I know this may sound a bit arrogant, but it isn't meant to be - it's merely an observation of the facts based upon years of experience. In any event, I wish all shareholders good luck and let's hope this share is one of the winners.

A degree of panic going on. Why? What's changed? Nothing.

The market was doing its job albeit in a way not clearly understood by most of us, and the consequence is that we now many more institutional shareholders.

Take a breath and focus on the real story here.

Over the years I've been in and out of this stock and lost small amounts of money each time. I now see this share much like the old truism of golf course ownership.

The first owner is the visionary who buys over-priced land, borrows a great deal of money and goes bust. The second owners thinks he's got a bargain, borrows more money and creates great new facilities, but it still doesn't fly, and he too sells for next to nothing. The third owner pays peanuts and reaps all the rewards.

I believe we are very much in the third owner position, which is why I bought a couple of months ago and will not sell again until the real value is realised.

Have you seen the Jeffries rating on this page? Apparently, it's £20,000. 00. Personally, I'd be quite happy with this, although I think it's a bit on the low side.

Does anyone have an idea which of the institutions who took part in the placing are still on the Register?

Bilbo, agreed. At the moment it's not necessary. GGP seem to be happy with the way things are.

Seadoc/Digi, indeed, but I was thinking about it from the company's point of view rather than retail investors. But you are right.

A Main Market listing didn't help solg, but that was an unusual situation...to put it mildly!

I should have added that in theory, it offers greater liquidity for the stock, although that doesn't appear to be a significant problem here.

Licanabur, there are two main disadvantages of a Main Market listing; 1) cost - the annual charges are more than double that of AIM, and 2) regulation, disclosure and general bureaucratic BS.

On the plus side, more funds can invest, greater market awareness, and a view that it's a sign of a more mature business.

It is not a guaranteed path to more institutional investment, but it does theoretically open more doors.

Cureboy, I should have clarified and said our future valuation will be based upon a version of earnings, not revenue.

Cureboy, you're applying a multiple to the wrong figure. It should be profit; either pbt, pat or ebitda, not revenue.

Have a look at the post by Stakker at 7:53. It'll warm the c0ckles of your heart.

How does a 24k sale, qualify as being a 'big sell'? It's peanuts.

My comment that it was rather expensive is unfair. In fact, and given the company's status, it's actually quite reasonable. The explanation for why it was necessary must be delays in the signing of their larger facility, which has completed DD, but remains to be completed, although is very much on-track.

What it does demonstrate is his commitment to the project and his interest in the sub-sector. I maintain my view that his interest here is very far from being coincidental.

Funding news at TUN. Coffey has provided a rather expensive $25m bridging facility.

Inforapennyortwo, currently we are not Code compliant. In many ways, for a business like this, it's immaterial, however, many institutions won't invest in a company unless it adheres to the Code.

Mind you, if the intention is to sell post PFS, there's not really much point. Of course, the reverse is true if they wish to push on towards production.

My only quibble - and it's a very minor one - is that we only have one NED, and all of the main board directors are effectively finance people. I would like to see an experienced and senior mining person join as an NED. If we found the right person, it could be a really useful addition to our capabilities.