RE: RE: RE: RE: RE: RE: Financings My friend, I think you have another thing coming if you believe that the market dictates terms to a company in anything more than the short term. Over the long term, it is all about fundamentals. I don’t know why I need to keep explaining this, but the 100% ownership model is key. If they hit on anything or have good numbers in the coming quarterlies—the market “recognizes” this quickly because the company has 100%, not fractional ownership.
Skip the Coca Cola analogy and think Oil. If they hit on a new target that could offer up 10+M barrels, the market sees they own 100% of it, and the Sask government royalty is only 3%, netting out 97%, so the sudden value realization is about to the share price is much more drastic and in such a case there will be huge volume. This is what happened on just one hole last year, when the stock went from around .50 cents to well over $2.30! Forget about average trading volumes. For nearly 3 months last year, this was the most watched stock on the exchange, and it had many days of millions of shares changing hands. The same thing will happen again when any significant good news is delivered to market. The business model is the key influencer of the share price. Not what any of us type on Stockhouse.
That is the whole point of 100% ownership and the key point you seem to be missing. If you compare ARW’s low-risk model (a fine story in its own right) if they hit on 10+M barrels, they net out 25% after JV and royalties. Not the same! And since POP has not ever printed paper at a discount to market, and has put very few warrants on the market, with very tight terms, it is EASY to blast through it all on just one good discovery, or for that matter, production surprises to the upside, published in the quarterlies? Have you also considered that POP has up to 20 million in marketable shares of GoldStrike within the treasury? GSR is the best up-and-coming company in the Yukon. What if they hit? Have you considered what that would do for POP’s cash position and market valuation? Now do you get what I mean?
The original post you replied to was “goodbye to the 50s” and we certainly have said goodbye to them. Next, you questioned how POP could get to the 70s or higher, and it has been explained to you ad nauseum—and we are already getting close to testing .70! No one is suggesting that a PP close will drive the share price to the moon, so please don’t bring that in either. So I hope it is clear now, no more red herrings and distractions—the material facts of the business and how the shares are structured will enable POP to blast through to new levels as soon as there is new and significantly positive material change. Don’t take my word for it. Go over the press releases and market action of last year and see for yourself.
JMH