RE: BZT22 May 2023 22:29
The MM's don't want to be stuck holding stock so they offload and price is pushed right down. Especially when nothing is happening as news or the anticipation of news is the life blood of these micro exploration Co's.
Generally that's the very best time to buy and scope up some shares as it doesn't usually take much to mop up all available stock and price can start to tick up quickly on very few buys.
A good recent example is GSCU
Price Kept being pushed down on low to no volume as no one was trading it and so the price fell to 1p (2m market cap) earlier this year which was basically trading at cash held at the time. I spotted that someone took £22k which was an out of the usual purchase for such a thinly traded stock. Took a few around a penny and price spiked up quickly to 1.5p. It then drifted again on low volumes back to 1p (time to reload) then spiked back up over the past week to touch 2p today off the back of a couple of RNS. Almost 100% up over the past week
If volumes dry up and no news it'll probably drift again, but it has plenty of cash for a minnow so not going bust and there are some smart individuals involved in the shape of GGP's former CEO Gervais Heddle and Sam Garett who was also part of the GGP discovery team for Haverion.
It's a hidden little gem at the mo that's just ticking along with no exposure, no stooges, no trolls.
See how it goes but I'll probably accumulate some more if it drifts back to the bottom of the trading range and can either sell on spikes or keep some for when drill results are due.
There is a similar set up happening over at CHF, newsflow is less certain.
Something similar also at WSBN, but folk are worried another placing may be on the cards and they need their heritage survey to be completed before green light can be given to drill, this is the same for any company looking to drill in the pilbara region of Australia. Similar to first nations approval in Labrador, Canada.
Re: BZT
It isn't help by the fact the placing looks to have gone to flippers who can still make money offloading some even at a discount to the placing due to high fees they make at the outset.
I should have tracked the volumes, since the placing took place, two might be closer to this? Either way, the overhang will clear at some stage and it's trading well below break up value at at a 50% discount to an independently valuation of one of its four assets.
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