The following contribution to Stockhouse comes by way of an investor known as DougieTheGreat, who posted the work below on the Bullboard for Roca Mines (TSX: V.ROK, Stock Forum) on October 9. The investor spent time digging into the information that can be gleaned from following the moves of Sprott Resource Corp. (TSX: T.SCP, Stock Forum) with respect to molybdenum. Presented below in its entirety and edited for clarity is the opinion and analysis of DougieTheGreat:
First off,
Thank you AuContraire for lending support to my theory about "the powers that be." You would have to be somewhat dense IMHO to think that a company in the worst crisis since the Great Depression does not want to release news to help its share price unless there are other factors involved. Especially when they are QUICK to release only negative news.
A friend of mine suggested to me the other day that Sprott Resource Corp. is looking to tender their PBS Coals stake to a lucrative offer that expires tomorrow (October 10th). Folks, we are talking about a few hundred million dollars approximately if the Russian firm's tender is successful.
Check out Sprott Resource’s website to see what they do. It has always been my firm belief that as a huge shareholder (as of May anyways), Sprott is in a prime information flow position with the company. It is public knowledge that Sprott himself said he is on the lookout for a major moly asset on his Sprott Molybdenum Participation Corp. (TSX: T.MLY, Stock Forum) conference call earlier this year and last. Does one not think he would like to control this ridiculously priced asset? Cannot see using Sprott Moly paper as an option for them now if this was their intention, as it is a very poor script. A CASH offer from Sprott Resource may turn a couple heads at much higher prices, say over $3 in cash. If you look at the PBS Coals acquisition and sale, Roca would be another relatively fast-payback return to add to their portfolio.
This trading between the same firms to and fro is the same as when Sprott accumulated their 19% plus stake over time up to May of this year. Just noting a similarity here, nothing more. The big selling is gone IMHO; it's all about market games now.
Get wise folks. And if you are one of the 5% of RETAIL that has to sell something, use your common sense. This game now is ALL about getting every last loose share possible. And you are the target.
rimbaudnyc, whoever has hired you to stir up selling is not paying you enough. In my opinion, you are just more circumstantial proof that something major is in the pipelines. People should read about how "pro hires" play the fear game on stock boards.
I will be very interested to see how long it takes to update Roca's buyback figure on SEDI. I also suspect that Corriente may have been adding a little as well. Those boys are nobody's fool in my opinion.
ALL IMHO.
PS. Desjardins can do more than 2,000 shares today. Pick it up boys!
