RE:RE:RE:RE:I can assume two things....Yes. SNL is in strange position now.
If result is negative, than well, it would be hard to believe in this company. Although, 2 holes are not definite.
Also, how negative it is? 11PPM is different from 120, both are questionable economically, but second give hint that the good grades are somewhere around.
If it is 250+ then SNL is ridiculously cheap now.
Its best comparison, LBY - we are share the very same salar and some useless project in Arizona, just like SNL does.
All LBY has is survey that indicate that there is brine (of something, could be mud) under them.
THAT'S IT.
LBY cap is 32M, which possibly overpriced and should be 25M, but so should be SNL.
Would SNL get positive result, the cap should go to 40M and go up or down further depending on future results.
Now is is 6.5M. So, with 250-500 Li in, s/p should 40/6.5=16 times. Surely won't happen overnight.
It went down very low and investors simply psychologically won't pay that much.S/P can go only 50% up overnight, but then might crawl up (to 20M cap, i.e. 8 times) as new money pour in over few month.
Normally, I do not suggest that valuation; but assuming LBY had drill 2 holes with 250 average, that would be considered a success and 25% s/p increase would be considered reasonable, even conservative. That, however, would also give 40M cap. Again, LBY has the very same salar as SNL, just 3 km West of us
Not enough? PE shared other part of very same salar. They have better property in Arizona, but still with very poor grades. They so far did nothing on East part of "our" salar, their market cap is 58M. Probably, 25M attributed to East part.
So, 25M should now; 40M if grades are 250-500; 55M if grades are 500+ ;10M if grades are 150-200. amd 5M if grades are 15-100 should be in compare with peers. Unlikely happen immediately after results, we are in strange Venture exchange, but normalization is happening here as a rule, for most of the cases anyway