Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
It's clearly not undervalued, it just lost its major customer which it said 'validates its product'. The rise in recent days is almost certainly short closures and it was pretty easy to get a small one away at 14p this morning with the closures and bottom fishing coming to an end. Expecting this return to sub 9p over the next month or so.
@ScottPalmer250 no I am not saying it is lying, you can't lie about a 'hope' to achieve something. I am saying it looks unrealistic and they haven't detailed how they will achieve such a vastly reduced burn rate. Without such information, I can only deduce that they are being optimistic
31 December cash balance - $12.5m
Loan paid back: $7.5
Fundraise: $3.6m
Net figure: $8.6,
Cash position 31 May: $2.3m
That's a burn of $6.3m in 5 months, or $1.26m. At $1.26m/month, the company is out of cash before July is out. So company expects us to believe it reduce its burn rate by almost 40% to last out August, or by even more just to make it into a few weeks of September (45-50% burn rate reduction needed!). To me, these cost reductions look improbable and I expect it will go bust in August without any further interim funding.
They won't be adding if it's good news, that's insider dealing. Also, the amounts are pitiful. IMO given the recent spike looks a good short entry level. Only 4.1m cash at 30 June with cash outflow of 1.3m. That means at current rate of cash burn out of cash by Jan 2020. And that's if trading conditions haven't worsened. Placing could be on the cards.
Strong financial position? What a laugh. AMC needs death spiral financing. This is basically a 'strategic review' RNS which is, amid the guff,softening you up for the share price being hammered as they attempt to raise funds for a project that hasn't even completed a PFS after 18 years Good luck.
Closed short @ 2510 (from 3320), nice gain. May very well go a lot lower but it's reached the initial level it cratered to when then the report was released, which seems like a sensible exit point for the cautious bear.
No one's stocking up, it has just cratered by 10% that is quite the opposite of what was happening.
Very QPP here - aggresive revenue recognition, burning cash, ludicrous PE. next it'll be BBMs crying about the Global Shorting Conspiracy destroying a Great British Company, in between the incessant 'topping up posts.