RE:GMA potential / perspectiveMoulouk wrote: In my opinion, the management really did not deliver and we have all the rights to criticize them. They affected GMA's credibility and GMA's shares will trade at a discount for quite a while as the management factor will be taken into account by investors. They were not transparent with the shareholders and with the investors and we are doubting about their every moves as they disappointed us over and over. Simon seems to be a "seller" more than anything, the cheerleader type, announcing big news, being over optimistic with his comments, timelines and interviews and so on. One example. In the November corporate presentation, GMA announced the resource update (and the PEA I think) for December. But in January, the corporate presentation mentionned in the second part of 2015...That's ridiculous how off they were , but we have discuss it over and over in the last few months!
That being said, I think that GMA is still progressing and we can now see a bit more clearly, despite the fog created by the management.
- With the creation of Innord, we can be assume that investors want to invest in the technology, but not in the actual resource (Montveil or Anik). In my mind, it looks like a government type of investment which will be able to justify why it invests in a particular eco-friendly technology (which is unique) and not in a resource (which is common to a lot of Quebec company);
- Investment by the bovernment of Quebec might give credibility to the project;
- GMA hired new people recently (an actual CFO (that replaced the controller), a chief technology officer and an investor relation person, which seems to indicate that things are turning more positive than less;
- The QP asked for more testing and actual proof on the numbers provided by GMA, which we can assume means that the numbers were very good. A QP would not be affraid to sign off on a PEA if the numbers were bad. Bad numbers can always be corrected in a PFS or FS, but investors would not buy shares thinking that's the new Bre-X. Lawsuit exposure are less important if QP sign off on a bad PEA. If numbers are really good, the reputation of the QP is at stake, since new investors would buy based on the integrity of the actual PEA;
- With more testing, the PEA might be closer to a FS than we may imagine. This could remove a part of uncertainty as to the reliability of the PEA;
- The potential of the technology alone can bring GMA to an unprecedent level, which means that the upside is almost impossible to evaluate;
- Dr.Duchesne seems to be positive about the tech. Mr. Lifton seems to be very intrigued about it also, but waiting if it can be done on a commercial scale...
All that being said, almost every shareholders have lost money (on paper) with GMA and the management does not help in our attempt to put a dollar figure on this company. For the last year, it was disappointment after disappointment. But in my mind, the potential upside to this stock is exponential and it is a risk worth taking at least for now. Let's hope GMA turns our shares to gold (while forgetting the actual gold of Anik for a while!)
Moulouk
Well said and I agree. There has been plenty of good and plenty of bad......lets just hope the wait is worth it. Either way we are stuck with Simon and the situation of being kept (somewhat)in the dark. Let's hope the five of us longs on here get our payday. We need to see the numbers of that PEA and an update on how the tech is proceeding.
Did anyone visit GMA at the PDAC show ?
I see Ucore had big separation news this week. They've caught up with GMA. Big volume the first day and now nothing. No one cares. Will that happen with GMA when their PEA is finally released ? The news needs to be huge and they'll have to announce at some point some sort of partnership to draw any attention. Then start a promotional campaign of sorts.Can it be done? Is Simon capable of setting that up? Can they scale up the technology better and cheaper and more efficiently then Ucores MRT method? Lots of questions. Some can't be answered now but an update on how things are moving along is in order.
From Ucores biggest cheerleader Jack Lifton. About their separation news:
An outstanding accomplishment. Among other firsts, this is the first time that high purity dysprosium has been generated in the U.S. using American feedstock. What’s more, the accomplishment was made without the use of traditional solvent extraction, a technology long known for the generation of unavoidable environmental pollutants. In my opinion, Ucore now has the opportunity to both extract and purify heavy REE’s completely within the U.S. This is a remarkable win for American technology independence from China