Red Rock Resources Share Discussion Threads

[m1sterx] 27/4/2022 21:33

jlondon

One thing that stood out to me reading the Red Rock bulletin boards back in 2010 was the significant interest at that time by activity (volume of posts) and the number of posters who used to discuss the company, at the moment there is no interest in Red Rock because of poor sentiment towards the sector and lack of meaningful news.

It appears the in ground value of gold ranges $25 to $50 for analyst valuation purposes, RRR has a JORC of 723,000 oz in Kenya, 'worth' £14m to £28m at current exchange rates, RRR has a m/cap of only £4.6m now.

The above is an example of how undervalued the company is just based on one project.

The Paul Johnson thesis of buying when the shares are despised and floored worked in the past so is now that time, maybe yes.

[jlondon] 27/4/2022 20:11

From RRR - MIKEI RESOURCE

totals 1.2 Moz gold JORC Indicated & Inferred over 5 areas within the Mikei shear zone.

MACALDER TAILINGS RESOURCE

Link:

[m1sterx] 27/4/2022 18:54

jlondon

The rise in the RRR share price in November 2010 (2p to 17p) came about by 2 news releases, the 1st being the gold mine in Columbia delivering higher production and grades than expected then they announced a bullish update concerning their stake in Jupiter Mines.

I had to troll back so many RNS's to find this info as I was curious to discover the reason for a surge in market cap from £10m to £90m in quick time.

Now looking at today, market cap £5m

There seems to be a chain of events that MIGHT propel a similar rise, these are


IPO of Elephant Oil exceeding expectations = large pot of unexpected liquidity
IPO of New Ballarat Gold, again offering a value kick
A meaningful cash award from the Congo dispute with 3rd parties (inc Glencore)
A JV or deal in Kenya
A JV or deal in the Congo
A JV or deal in Zimbabwe (the lithium scene in country is red hot currently)
A disposal of any project
A uplift in POW shareholding value (recent broker notes say POW worth 4p a share)
The potential of bonanza grades from any of the suite of projects
A turn in market sentiment


In my view we have hit bottom, if PJ is buying back here (speculation) then that is no surprise to me.

£5m m/cap is a binary bet but look at the upside potential from the above news suite, it only takes a couple of RNS positives.

[jlondon] 27/4/2022 18:29

A.B has done an analysis of 16.5 years for RRR in response to what someone posted on Twitter as well as this forum.

"RRR tweet: 4 years to END 2010, riding out GFC collapse in '08 + 420%, 4 years to 2014 -98% and next 6 years +22%."
.
Ah, so that would coincide with the time PJ was in this stock ie 2p to 17p.

Not here so dont know the history but perhaps someone could fell us in as to how it rose 420% and for what reason? Thanks.

[jlondon] 27/4/2022 18:18

GLR - Just listened to a Vox interview [audio] with Colin Bird relating to yesterday's RNS that they are doing the technical work over their newly acquired licences.
Mr Bird sounded excited like someone said about the lithium in Zimbabwe which is near a tin mine and quite easy to identify surface pegmatites.
--
PREM has also just JV'ed out their other spare licences for lithium in Zimbabwe. So, there is interest in Zim given Acadia was sold to the Chinese for $422m [US$].
--
Rather brave of PJ to invest nearly £100k+ into RRR at the time which made his fortune of £900-£1m as RRR rose from 2p to 17p. PJ can speak to A.B if he is invested in that he can gauge A.B better than us as to where he intends for this co.

In so far as I can ascertain, there are assets to exploit?

Wed, 27.4.22.

[kemche] 27/4/2022 17:17

We were all big shareholders here once but have now turned into tiny shareholders.

[jlondon] 27/4/2022 16:24

On the other forum, one poster talked about BIG SHAREHOLDERS not agreeing to 0.8p placing some time ago.
As far as I can see, HSBC Nominees hold some 23% but this may not be accurate ie up to the very minute.

So, who is behind this large holding?
--
Knowing the PJ style, like to CGNR, he wanted to un-lock the potential and with the backing of big holders, they even went to court to try to unseat the sitting founder.

Yes, there are quite a bit of holdings and no doubt if A.B is willing, then PJ could be CEO, like so many co's he re-structured eg GGP etc. However, I am not sure if A.B would agree - sometimes, its good as the style of new management is different. A.B. could still remain as Chairman given he and PJ work well together.

Eg THR - couldnt make progress but with Warland now as CEO, mood, sentiment has changed.

I checked Google Finance all time share price history and was shocked that it was once £3.87 some 11 years ago+?

Does anyone know who the big shareholder is? Taking a guess, maybe.....?

Wed, 27 Apr 2022.

[gb904150] 27/4/2022 15:23

RRR said on 24th March that interim results for the six months ended 31 December 2022 will be released second half of April 2022.

Seems like they've got 2 days left to do that. I'll hang on to see what the cash position looks like.

[jlondon] 27/4/2022 14:04

m1sterx

Thanks for the link to Fairdeal2008's ADVFN history - I went through almost all the 45 pages.

Its all about RRR.

I worked late into the night relating to RRR's assets and it took me quite some time as I had to re-check against individual assets including looking at the annual report etc.

Since PJ made his £900k/£1m, from 2p to 17p =8x.
That would require at least £100k in capital which PJ did not have initially.
So, he would have had made the initial money somewhere else.
I have heard that he is looking at 9x and hence later he sold GGP at 9x and did not
wait for the huge gains later.

I have decided that PJ is patterning POW in the RRR style although far more stringent in $$$ control given he is a Chartered Accountant and worked as a Loss Adjuster.

Will look at other end , thank you.

Interesting.

Wed, 27 Apr 2022.

[jlondon] 27/4/2022 14:04

m1sterx

Thanks for the link to Fairdeal2008's ADVFN history - I went through almost all the 45 pages.

Its all about RRR.

I worked late into the night relating to RRR's assets and it took me quite some time as I had to re-check against individual assets including looking at the annual report etc.

Since PJ made his £900k/£1m, from 2p to 17p =8x.
That would require at least £100k in capital which PJ did not have initially.
So, he would have had made the initial money somewhere else.
I have heard that he is looking at 9x and hence later he sold GGP at 9x and did not
wait for the huge gains later.

I have decided that PJ is patterning POW in the RRR style although far more stringent in $$$ control given he is a Chartered Accountant and worked as a Loss Adjuster.

Will look at other end , thank you.

Interesting.

Wed, 27 Apr 2022.

[m1sterx] 27/4/2022 13:03

jlondon

I would not rule out Johnson taking a position in Red Rock, he could do it via his family offices or personally, he does not have to declare if under 3%

Rather interestingly a new poster has appeared at the other place with a posting style very similar to PJ.

For what it is worth I do feel the constant negativity on various BB's has effected sentiment here, it is also worth noting that the same negativity persists on just about every other sector AIM listed minnow.

PJ purports the time to buy is when sentiment is at total rock bottom which is exactly what he did back in early 2010 at RRR - he bought at 2p and sold 15p+

Without doubt there are a number of upcoming significant value events at RRR for sure.

[space_dust] 27/4/2022 10:10

Looks like Power Metal shares are starting to re-rate, Red Rock had 37m of these back in October, currently worth £630,000

[jlondon] 26/4/2022 13:46

LoL - Is Paul J back for a 2nd bite?

[noirua] 26/4/2022 13:39

GBP v USD:
Continuing to fall especially against the dollar. I have to accept RRRs foreign assets and royalties are increasing in value week by week in GBPs. The half year report is due out this week that some may be waiting for. The gamble factor at 0.375p has lessened.

Off topic:

[m1sterx] 26/4/2022 09:34

jlondon

Plenty of evidence on this thread in 2010 that Paul Johnson was buying and enhancing the Red Rock proposition, the shares hit 17p in November that year - Johnson was buying around 2p.

Like all AIM investments timing is key, can history repeat is the question.


Fairdeal2008 - 25 Jun 2010 - 08:37:42 - 8928 of 20955 Red Rock Resources 2009 - RRR

People will look back on this share price and wonder how they could buy at 2.3p for this diversified play

[grimreaper2019] 26/4/2022 08:56

From the Final Results statement....


'We expect investors to be materially rewarded for their support over the course of 2022'


One third of the year gone, is it the time to buy ??

[space_dust] 26/4/2022 08:46

Been watching this for a while now and have put my foot in with some 100,000 buys over the last week, will build to 1m, not a lot of cash I know but the floor appears to be in and on AIM you can get large percentage moves.

[jlondon] 25/4/2022 20:27

m1sterx

Have been waiting ages to find out what PJ [Fairdeal 2008] invested in to make his fortune in small caps. Lol- RRR. Now wonder he and Bell go a long way in that he would have to thank RRR for his initial fortune. He said from recall, his capital was not a lot.

Thank you.

[noirua] 25/4/2022 14:58

Markets are very troubled at the moment and the gold price has tumbled. Interest in most micro-cap explorers has moved down another notch.

I thought AB posted as Atino - could be wrong as I'm thinking way back. Some allege as Atino Auntie Ettie these days - who knows.

[m1sterx] 25/4/2022 14:26

Johnson goes on about negative posting by frustrated investors, he implies negativity breeds negativity, you can see why he was initially chummy with Bell due to him creating his investing wealth, btw his 2.5p buy back call in 2012 did not work out, by year end the share price closed at 1.1p.


Fairdeal2008 - 13 Mar 2012 - 09:55:21 - 5853 of 6208



I think all people owning a stake in a company have a right to vocalise issues, both positive and negative.

That said, people need to understand the impact of that vocalisation on themselves and others. And simply put, negativity breeds negativity.

With hind sight the best time to buy RRR in 2010 was when the shares were around 2.5p, and when it was clear that any one of the irons in the fire (thanks topical) could blow the share price and Market cap away.

Of course with hindsight, late 2010 was a poor time to buy in, for looking looking for shorter term gains, certainly.

Now at 2.5p again, people face a similar decision. Fact is a few braver souls will be backing up the truck now. The company is more advanced than ever before and notwithstanding the dilution is a much better call than before IMHO.

But to see that you have to see beyond the negativity. That's hard. What's easy is to focus on the negative and only be convinced you should turn upbeat again when the share price as risen 200%.

But that is not the way to make serious money. So I am backing up the truck. I find it tough because I want to view rrr negatively too. But simple fact is, over the coming months, I believe there is more likelihood of 10p than 2p.

And, to date this approach has yielded stunning returns, so am going to stick with it, no matter how many of you guys laugh at me and criticise. If it makes you feel happier then go for it!

IMHO good fortune all!

[m1sterx] 25/4/2022 14:12

Paul Johnson allegedly made something between £750,000 to £1m via Red Rock, he was buying heavily in early 2010 just before the share price surged to 17p from 2p.

It was well known that Johnson posted under Fairdeal2008, this was before he entered the sector as a director and then became a CEO.

You can follow his posting history about RRR here from 2012 when he talks about the move from 2p to 17p and is then contemplating buying back around 2p as the share price tanked from that spike during a sector demise.



There are some similarities to Red Rock potential now compared to then project wise, it is up-to Bell to deliver something meaningful.

[jlondon] 25/4/2022 13:07

This morning, Premier African Minerals issued an RNS wherein they have a JV with another co for their lithium licences in Zimbabwe.

This JV co has to spend $250,000 or it lapses and accordingly this JV co tends to list assets on stock exchanges.

So, there is interest in Zimbabwe lithium given Colin Bird also is interested via GLR. However, Mr Bird's interest is at Bikita whilst RRR is both at Bikita and another licence area closer to Acadia.
---
Interesting to hear that Paul Johnson made big money on RRR as posted on this forum ?

[noirua] 25/4/2022 11:07

The crumbling GB£ against the US$ is favouring Red Rock when it comes to assets quoted in US$s, the AU$ has also strengthened against sterling.
NBGC IPO, EOC IPO, El LImon Royalties and Musonoi DRC.

The UK is missing the boat as interest rates should be set at 2.5% now. However the government and Bank of England remain concerned about interest payments on mounting debt.

[noirua] 25/4/2022 10:40

A post of mine not all that long before Red Rock shares bounced from 0.18p to about 1.3p. Now at 0.375p could it happen again. I was £32K down though happily sold nearly all my 7.25 million share to end up well into plus territory:

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Noirua - 28 Oct 2021 - 15:52:58 - 11613 of 12133 RED ROCK RESOURCES PLC - Information Thread - RRR
the_debt_collector, When I held a lot of shares in Red Rock and Jupiter Mines and the shares kept dropping in price I was sensitive to posts by Torp and kemche. As posted before, down £32k and counting and still I bought more at 0.2p - earlier I bought at 0.85p and AB at 0.8p.

From the above I truly understand what it is like when your share, probably over bought, declines 65% from highs - after all it happened to me. Hopefully RRR shares will go up further after today. I have no wish to step on your personal sensitivities be assured. Good luck with your investments!

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A chart by poster Torp on 27 July 2020 as the rise to 1.3p began: