RE: FAO Portfoliopower15 Apr 2024 10:50
ID78 / Tro,
I think that is the sensible way to play it & good risk management.
Read many posts from He1 holders who were going all in on the first drill even though the SP had already risen multiples.
If the HEX SP does go on a rip pre drill you have to start thinking how much of a success case is built into any positive shows?
He1 is a great example. When it was up at £250m market cap having 10 x bagged ahead of the first drill, folk should really have been de-risking going into results
Whereas when it had fallen all the way back down to around 10m market cap and the SP was fully covered by cash held, licences and assets held, any positive news then was likely to trigger a major re-rate (which is what happened). So fair enough to be more 'risk on' in that scenario.
Plenty of time for DM to ramp up the HEX SP as they move through the pre drilling milestones.
Could be a fair bit of cash in He1 waiting to move across to HEX as the year progresses.
GL.