Price and volume! Another big AMI day. AMI today with 500K volume across all exchanges, closing at $0.50 on the X. Highest volume in 2 months. Back then, announcing a contract for 1M tonnes sand sale from Firebag & Kearl to be delivered in 2022. On Dec 20 that drew a closing price of only $0.30 despite contract revenues worth multi-millions for this tiny company (still tiny at present) ...but with gigantic, scalable aspirations. Intended massive growth through executing on a promising strategy, being supported by already cultivated, synergistic, cash flowing divisions.
The building blocks appear to now be in place. Products, People, Vision, Markets.
Quite a ride over the past 2 months for AMI. What's next?!
Possible drivers?
1. Increasing market awareness of the Major opportunity presented by this Micro-Mini market cap? Recent appreciation in AMI share price serving only to catch up on prior undervaluation of an unnoticed, perceived as miniscule company in a prolonged, beat up market segment?
2. Notice only now being given to the high quality of its BOD and management team?
- 26% insider ownership encouraging strong alignment with external shareholder interests. Millions of insider reasons, which fortunately for us all, includes their own financial self-interest in working very hard to see AMI succeed very well. (A rising tide floats all boats...same goes for the same company shares owned both by insiders and outsiders).
- Question- why would such a seasoned and impressive BOD and management team attach to AMI in the first place? Take the time to read their profiles on AMI's website. Pretty impressive IMO.
- I suspect these folks recognized a big opportunity early on, and the market may just now be starting to see it as well.
3. Above BOD includes JM, the USA based director with very deep pockets, pockets which now also hold 15M highly appreciated AMI shares.
Fortune favors the bold, and the brilliant. JM has a tremendous business track record, with widespread USA business holdings, including the recently announced 50/50 silica JV owned along with AMI (i.e. the Wisconsin silica operation, purchased for $1M and $6M future reclamation liability, buying assets with an estimated paid up value originally worth over $100M! Seriously??). Potential for future cross pollination of further USA-based business opportunities involving JM and AMI? Both now share significant common interests on both sides of the border.
4. AMI is working toward government approval for its Prosvita sand development (30M tonnes premium silica sand to serve gas drilling, with logistics favorably situated near land development held by an international player having expressed interest in partnering with AMI). Existing 5-year offtake contract with Shell once Prosvita is operational. AMI is well known to AB government through many years involvement in managing AB's massive Susan Lake pit. Reasonable to conclude AMI is felt to be trustworthy to AB govt as AMI was subsequently awarded the Coffey Lake pit 15-year contract. That track record cannot hurt and should only help with AMI's AB government applications. Once successful, fireworks should fly when Approval Day arrives. Possible new progress on that front? AMI's CEO mentions in the Q3 website address that the purchase of the Wisconsin operation actually involves 2- one million ton wash and dry plants. Potentially a 1M ton wash and dry plant, if found redundant to Wisconsin's future operating volume, could be dismantled and transported to Alberta, then set up for local silica production at a fraction of the cost for new, unowned equipment. Cost friendly and anti-dilutive.
5. Upcoming arrival of RockChain 3.0 which will produce new revenue stream(s) and should result in even further accelerating market breadth and depth. RockChain's actual 2-year growth and its forecast trajectory is Very Significant. CEO mentioned there is USA interest already expressed in RockChain with potential for USA partnering. Game changer? Potential news on that front?
6. AMI's focus on local community relationships and business partnering in order to promote business development and sales within its aggregates division. Perhaps along the lines of the Firebag/Kearl announcement? Possible news to follow?
7. Wisconsin silica JV possibly picking up new customers, contracts, successful expansion outside of energy market as targeted by CEO (i.e. construction, solar, land remediation)? Anything new bubbling there?
8. And much more...(not even considering +600M tonne Richardson granite/dolomite venture).
Each an exciting prospect with the potential for fruition.
Really, there seems so many catalysts that could ignite AMI from current ground floor to where it may be heading!
3-2-1...
JMO. Do your own DD.
GLTA