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What are the MAs telling us about what the current bottom will be, and then what is the upside resistance point to confirm a chance of the multiple gains the optimists are hoping for? What lesson is there from the last time the price was at this level before falling back towards 2p?

Exercising the shares is not the same as unloading them. If they have the funds to pay the 2p per share they won’t necessarily sell — perhaps hoping rather than take a 150% profit now, they might get 10 times as much if the rampers can pull in enough suckers, like me, maybe, on a reversal.

Don’t know anything about horses but a bit about the stock market and AIM. But your analogy is closer than LTI’s suggestion that this should be valued as some kind of investment trust !

No, can’t walk away: as someone has said this is a compulsive circus marred only by ill tempered insults. I think if the sp holds within the 5p to 6p range I might even come back in. But only the £5k I wouldn’t grieve losing.

“It did it once, it can do it again”

When it was 10 times what it is today it couldn’t sustain the crazy overvaluation once the 2p warrant holders exercised their rights and naturally then sold. If carefully eked out RNSs and paid for ads (which would have been illegal “in my days” and should be now) can ramp in more speculative cash, then similar overvaluation could be repeated. But as LTI keeps trying to point out, there is NO intrinsic value to justify such a valuation, a high likelihood the whole operation is essentially a scam, based on only SENTIMENT and faith that you can scalp a profit. It’s an admittedly alluring speculation that buyers at this level won’t be the last in and left holding huge losses. I think there’s a reasonable chance they’ll scalp a few pence rise but the downside risk must be greater. Having been foolishly sucked in at the low twenties and managed to exit at break even I am frankly scared to risk the helterskelter again. Maybe I shall regret it. If I were already in recently near 5p I would hold.

God do these two need help with some media training!

HHRetruns

Thanks, so sadly there will be some punters who think because it once traded at 50p it “must” get back there.

I’m mostly a value investor and only dabble in 4-5 of shares like this in sums I can afford to lose, and know from experience this is rarely true.

When it last traded at 50p was it before the share consolidation?

IMHO it is misleading to compare this company in any way to an investment trusts, which enjoy a privileged tax treatment; nor with a prospective fire sale asset disposal. Do you not grasp the comparison with future or gold panning?

How about answering why you keep bothering? If you haven’t grasped yet that a company is only ever “worth” what those of us on the secondary market are daft enough to pay for it, maybe you haven’t been around “long term” enough yet.

No need to be offensive because I point out the errors in your comparisons, though I see it is sadly par for the course here to insult anyone not in one’s own echo chamber. I fear it is you who don’t understand that the optimists who see future value based on nothing but faith constitute a vital role in providing liquidity. Why are you so keen to discourage them? Is there something in it for you, other than altruism?

Just because these chancers have a couple of holdings in other companies does not make them an investment trust as you must surely know. To suggest the shares shd therefore be at a discount is as misleading as to suggest the shares should trade at NAV.

Though apart from exploration rights and the so far unspent cash from exercised warrants it is admittedly their only tangible asset.

But some speculators are prepared to put money on a hope it may one day be worth something. A bit like buying a futures, or staking out a panhandler’s plot.

All these gamblers are optimists who help lubricate the secondary market which is vital for attracting cash into companies (the primary market) because investors know there is a liquid exit. The drivers of the secondary market may be financially illiterate but we shouldn’t discourage them!

JS. I think you are quite right, the failure of the positive announcements to support the recent recovery is going to frighten a lot of the less experienced horses. I am impressed that you are able to get “carried away” and spend £200k buying at loss making prices today and still be worried about not getting over 3%. You are clearly much richer than most of us; certainly me. We all know the company will need another equity issue once all the warrants have been exercised, so why don’t you approach them and offer a private placing at whatever your average cost is, plus some juicy warrants, and then relax?

"What's Next"

No one knows or can know with a company whose only assets are some land and a few million cash they hope to use to discover something of value. So any attempt by Laura or LTI to suggest the share price should have any relationship to its net asset value is misplaced. The recent recovery from the equally recent collapse was driven by precisely the same causes -- sentiment, translated into an excess of buyers over sellers as opposed to the other way round. How high can it go? Does the fact it was 25p or 50p recently mean it's "worth" that? Only in the eyes of the chartists or momentum chasers. No one buying this sort of share is an investor: we are all speculators, because this company has no intrinsic value beyond the 2p breakup calculation which so excites LTI. I suspect he is essentially a value investor, like me. I would never put more than 5% of all my assets into any exploration share, and then only on the assumption I will lose it all. I am really anazed that JS wants to increase his 15m holding, mostly apparently bought at signficantly higher prices, to 50m. If I were he I would be contacting the company and offering a private placing. With warrants of course.

Apologies if I am teaching some of you to suck eggs, but there seems some confusion about warrants. Warrants give the owner the RIGHT but not the OBLIGATION to stump up more cash within a specified timeline. They are usually issued as a sweetener to a placing to provide an exit otherwise prohibited by the usual lockup period, and those of us who didn’t get them provide the liquidity for their profitable exercise and exit if they wish. On this LTI is correct, if not on his price forecast which ignores SENTIMENT. There is as yet no inherent VALUE in this company, only SPECULATION as to what its holes in the ground might be worth one day.

Presumably some of the 2p warrant holders might think the company has longer term value than 5p and so may not all be sellers?