Good afternoon
back from holidays, the world has gotten more difficult! Tech stocks with problems - from Facebook to Trump-beaten Amazon, the FAANg´s are facing tougher regulations. The Syrian situation has escalated; Trump has imposed sanctions on Russian companies, which might have a bigger impact than China-sanctions imposed so far; China-US tensions are still rising....and perhaps unsurprisingly, all these rumblings are starting to have an effect on the economy, as most of recent numbers are indicating, that the best might be over. Perhaps even worse, there ar still some early-warning signs appearing for higher inflation - a problem, which has been forgotten about lately.
So no surprise, that risk-off seems to be driving markets again, as Trump´s behaviour seems to be getting more erratic by the day. The worst of all of this: The narciss loves his power, and he seems to me irresponsible and volatile enough to play with it!
One thing is for sure, in my opinion: One should be prepared for strong corrections - i.e. don´t be fully invested, and keep some powder dry!
North American gold stocks are still extremely disappointing...while Australians continue to strongly outperform.
Prairie Mining - we got hit here by what I consider nationalists making it difficult for foreign money, I think....more on Thursday, following a call with management
Finders - the stock is all but gone. While it remains uncertain, whether the company will be completely delisted, I guess everybody from over here will have accepted the takeover. Funds should flow very soon, if you have not received them by now. Management has been taken over already by the new, Indonesian owners.
Apollo Minerals - Have completed a placement of 5 mill$ at 23ct to large , institutional investors in London. The price is a little disappointing - but I guess the fact, that it all went to institutional guys is more important. Following the grant of access, and the aquisition of the remaining 20% of the project, this placement was the third and last step needed to seriously start exploration/drilling activities at their tungsten/gold project now. I would expect the announcement of drilling activities soon. AON have been kind of dormant for some time, pending the above three announcements. From now on, we should see some fun here!
Genex- have completed negotiations with land owners for a third, renewable energy project at their Kidston hub, this time for a 150 MW wind project. The feasibility study will need very limited cash, and should take 15-18 month to complete. This third leg of their project should allow them to produce energy around the clock, further enhancing the high value of it to future East Coast energy supply. The company continous to put high pressure on the financing of Stage 2 expansion project, for which financial close is expected this year. A subordinated financing approval from the Northern Australian Infrastructur Fund and a firm offtake-agreement will be major near-term triggers for the stock.
I will report on Strike Energy´s new aquisition tomorrow.
Have a nice evening
WS