Power Metal Resources Share Discussion Threads

[soulsauce] 18/7/2023 11:54

Too many overhangs Noirua.

[noirua] 18/7/2023 10:55

The market spread holds at 0.69p-0.70p despite a long line of buys for several days. The number of shares available is hidden which might mean MMs are trying to fill a sell order.

[noirua] 17/7/2023 10:57

It looks in my view like Power Metal will lift from here just based on being sold down too far. I doubt a takeover is at all likely but interest may come from a Uranium mining company in the States to take a longer-term interest. So the downside from here is limited with some upside short-term potential. My swingometer has moved into buy territory and I added more this morning.
Several years of the bear - the little bell has rung.

[bradshaw980] 17/7/2023 07:56

Bitcoin miner and a mining junior with potential moose pasture and African nickel dusters where's the link bro

[noirua] 15/7/2023 10:27

Even Greatland Gold has succumbed to the bear market though Newcrest not taking up the option on their final investment in GGP hasn't helped.
Shares in Kavango have collapsed and are a complete punt on further drilling.

[noirua] 14/7/2023 14:29

POW shares look as if the low point is 0.5p to 0.7p though the turn as always will surprise. I note the Bitcoin Miner RIOT that fell to $4 not long ago is now above $20. Few want Power shares now but at an unknown point, every person and their donkey will pile in.

[noirua] 11/7/2023 22:49

Power Metal shares in issue as of 11 July 2023 - 2,080,106,256 x 0.675p = £14,040,717.
Fair comment the_debt_collector though the market cap is much higher. Not a good day for Kavango KAV.

[danmart2] 11/7/2023 10:07

POW can cash conserve and sit it out until an a market sentiment upturn, it could take years but most markets are cyclical but there is no defining how long that cycle takes

[the_debt_collector] 11/7/2023 08:46

It is clear the IPO business model has failed, might be to do with market conditions but it does not work because the liquidity in each floated outfit is tiny.

With a small free float it is nigh impossible for any modest bundle of stock to be sold meaning POW cannot release value through the market. This means POW is forced to dilute via equity raises (at ever lower prices)

Sometimes the initial project spend + the costs involved with IPO'ing exceed the real value that can be realised therefore, other commentators of POW are now seeing this.

Question is have the new management given up on these spin outs, recent comments suggest they have, are they looking to offload projects now, the sale of the New Ballarat Gold has been mooted for example.

Still think the £10m m/cap ascribed to POW is rich compared to peers.

[noirua] 09/7/2023 21:51

danmart2, I've been downbeat for a long time about Power Metal and have only changed horses a matter of less than a week ago. If the bear market continues then the shares could go down to 0.5p. On the other side, the plus points have improved even though Kavango and Katoro interests remain floored. The odds IMHO are an improvement and the Lithium interest is looking underrated.

[danmart2] 09/7/2023 20:45

Noirua,
Respectfully POWs holdings have failed to live up to PJs hype

Some are predicting an upturn for small miners and discoverers so maybe POW might get back to 3p

[noirua] 09/7/2023 14:46

The Kibby Basin has shown promising lithium brine discoveries.

[noirua] 09/7/2023 08:43

July 7, 2023 - Can copper prices regain their momentum? [...]
www.australianresourcesandinvestment.com.au/2023/07/07/can-copper-prices-regain-their-momentum/
Copper prices have yet to return to the heights of 2021–2022, where the base metal was trading consistently above $US4 per pound (lb) for over a year.

Comex copper futures were trading at $US3.74 ($5.64)/lb on July 6, which continues a cold patch for the commodity, which hasn’t reared its head above $US4/lb since April.

[noirua] 06/7/2023 19:14

FCM First Class Metals 18,516,860 shares (25.93%) Locked in until 29 July 2023 - value at 10p = £1,851,686.60 - ( FCM shares in issue 71,394,589 as of 24 March 2023 after warrant exercise ).
517,705 warrants with an exercise price of 10p - 29 July 2023
Cost to convert = £51,770.5

[noirua] 06/7/2023 09:43

The small cap bear market will end as it did in 2003 sending some shares up as much as 100 times down under over the next 7 years. It will happen very unexpectedly as the herd returns traveling relentlessly North. As investors turn on a sixpence.

[noirua] 06/7/2023 08:40

We should see Power Metal shares at 0.85p quite shortly. The Lithium prospect close to Pilot Mountain and only 250 metres from another company's successful drilling looks good.
Considering movements in other shares the 1p - 1.3p range should not be far off.
My last two share sales of Power Metal were at 1.72p and 3.05p so a long way to go yet.

Pilot Mountain – Skarn-type W-Cu-Ag-Zn Project -
Kibby Basin - Has staked claims over a significant footprint within the Kibby Basin, where lithium brine discoveries were recently made. The claims acquired sit very near to the Company's 100% owned flagship Pilot Mountain Project, located within the prolific Walker Lake Mineral Belt in Nevada, USA.

[noirua] 06/7/2023 08:03

The new Lithium interest staked near Pilot Mountain is interesting. The shares look oversold at a buying price of just 0.7p in the circumstances. I bought back in early doors this morning. Just under 400,000 shares as there is still uncertainty - trades 1 and 11.
I'm not expecting fireworks just a gradual rebuilding after the shock departure of PJ and the long downward trend from 3.4p to 0.675p - a fall of 80%.

[the_debt_collector] 06/7/2023 07:58

Looks like they want to secure even MORE projects, would suggest that a fair proportion of their existing portfolio suite is of poor value.

However they dress this all up more cash will be needed meaning more dilution, the recent interview implies as much, whilst the new CEO has not said in as many words he implies existing shareholders will have to stomach more pain to hopefully get longer term gain.

AIM is a fickle place, the POW business model was set up in a bull market, we are now 2 years into one of the toughest and longest bear markets for two decades with no signs of any uplift, compared to peers some may say the £15m m/cap POW sits on is somewhat over extended, the shares have further to fall IMO.

[soulsauce] 04/7/2023 17:12

Can't disagree with any of that unfortunately Noirua 🤷‍a94;️

[noirua] 04/7/2023 16:57

The present management looks good on paper but is generally lackluster from a shareholder's point of view. As you say many RNSs are just finding something to update on.
Power Metal has succeeded in two IPOs in dead markets but no one seems to care. It is still 100% exploration without any amazing developments.
Katoro and Kavango are lead weights despite all the rhetoric over the years so the market sleepwalks past POW these days.
The shares could trail back to the 0.5p entry price as the company buys into new ventures

As to Uranium, this is an expensive exercise unless Power Metal can sell the tenements on at a good profit plus royalties.

All the fun went out of the window in Power Metal as PJ departed. He needs to return in some guize or other and not like a back street advisor.

[apfindley] 29/6/2023 07:57

"Intends to pursue""Seeking".I wish these companies would stick to releasing rns's when they actually have news to report, rather than flooding us with waffle about their intentions and things that have not happened yet.It just comes across as trying to pump the price with news that is not news.

[noirua] 28/6/2023 09:05

As is well said, the market will remain depressed with a share continuing down longer than we can remain solvent.

Short Position: A share like TESLA remained on an upward trajectory despite being overpriced for a very long time - eventually, it collapsed from over $400 to not far off $100 but unfortunately even the strongest of the strong were smashed by then. The only one I know of went back to recover most of his losses but for most their firepower was gone and they were flattened. TESLA eventually broke back to go well over $200 where it stands today. Who sold $billions at the top as we know Elon Musk and he even told people he was. A few reckon TESLA is worth $50 but who is brave enough to go all in and short the stock now?

This bear market will end! The last big bear market in mining ended in 2003 about three years after the dot-com bust. That was about six years after some said the boom in mining was about to begin. One share I held was at 35c in 2003 and I had an 80% loss on paper. I sold most of these shares in 2008 at $23.00 a share. The company had a market cap of A$10 million in 2003 and peaked in 2008 at A$4.3 billion.

Power Metal's day will come but will you be on board - not many will. It will all happen suddenly and unbelievably and probably when the market for most is a near bust.

[the_debt_collector] 27/6/2023 17:40

It's a bit rich all and sundry suggesting POW is worth multiples whilst they continue to dilute at gutter prices, big song and dance over Rick Rule buying in but so what, did he pay a premium to buy - NO!

Clearly the .85p placing was partially forward sold with the shares trading at 1.15p in late April, they gave 20% of the company away at .85p.

Will the 2p warrants come into play, hard to see, but note the 5 YEAR expiry date, five years ! If the BOD was so confident of value creation then why five years?

Feel somewhat sorry for Johnson, market conditions have worked against him, the pressure mounted and according to his latest podcast it effected his health, he had to step down.

The market is a much changed place, the bull cycle Mr Johnson continually talks about may never come, it's a traders scalping market now 10%/15% profit and sell.

Will this drop further, probably, £15m m/cap is high to peers.