Yep but people do this for all sorts of reasons. The most obvious being the desire to invest elsewhere where they think they can make profit now. Then they can return to a stock that they think still has some time to go before big price rises. That MAY be the case here.
Whatever it is, I cannot see a reason based on what EEE have achieved in 2021. Very keen to get the next news on Eclipse. I decided a while back that I am sticking with this and so I am.
GOod presentation today and very positive news flow for H2 2021
As the trading day ends i just have to post this. We EEE'ers have had a few painful weeks and an unwarranted drop in the SP EVEN as the POG has recovered from $1700 to $1900. These are BOTH very high prices for Gold.... BUT gold is undervalued and it cannot stay that way for ever. It just can't. When it will kick over $200 I don't know but it will and as you are all aware, the line that traces its price is NEVER a smooth one. So expect fireworks....
Now, most junior miners looking for Gold go up when the POG rises. Logical. But most are not yet in production so in some ways the POG is irrelevant. Here are EEE, we are not far from actually digging some ore out and sending it to the mill. Errrr hello!
Over the last 2 weeks we have had a new MD, a new VERY exciting and prospective tenemant option and now a cash injection to confirm over £3 million in the bank. I mean, bloooody hell, what more do you want.
My ISA is very heavy EEE and every tenth of a penny brigs a smile. This has not woken up yet. It will. If the Eclipse data is better than expected it is going to get very interesting very quickly. Now imagine actual production of GOLD and a hit at Menzies!!!!!
Shaun Bunn, Managing Director, said: "Having now completed the sale of our 50% interest in GCG our cash at bank now sits at a healthy £3.1 million putting us in a strong financial position to continue to create shareholder value principally from the Eclipse and Central Menzies Gold Projects in Western Australia."
No cash to develop Eclipse to production then.... errrr NOT
Say Hello Mr GOLD.... hence the '5p plus soon' from TW... (who I am not a fan of but who is often correct .....when he wants to be)
From the RNS:.....well funded for further exploration and project development works at our Eclipse Gold Project; for the initial work programme at our Central Menzies Gold Project; and, if justified, also funded to exercise the option at Central Menzies. I and the rest of the Board look forward to supporting our new MD Shaun Bunn as we develop real value through our assets in Australia."
Development work.... at Eclipse... Toll Milling=Gold=more dollars to go back into Eclipse AND fund new exploration at Menzies.
$$$$ lucky dogs buying sub 3p.
Anything under 4p a bargain. Management have options at 4p and 5.5p. This is a SCREAMING BUY.
All of which just shouts 'what a bargain' the SP is now. The current price HAS NOT factored the big Clarke intercept in and it's potential extension north and down. ANY other positive hit makes the MCap move from 'silly' to 'crazy'....
So whomever was talking about 'topping up' at these lows was spot on. I have 'eyes on' that is for sure.