Since the beginning of August around $15M EAR shares have been traded, around 3% of issued capital. Has dropped from around 22 cents to near 12 cents since beginning of August
No evidence yet exists of major shareholder offloading, so the bulk of selling in my view is retail, holders that are giving up the ghost with gold price wallowing and fearing, maybe correctly, that EAR will be raising funds through debt and new share issue. Quality of gold in the ground through BFS a little disappointing but payback in 12 months is positive.
My average entry is around 22 cents, so well under water now. I will wait for the cap raise and take up entitlement to average down, as I think NST will do. The thing I have learnt long over many years of investing in goldies like this, is don’t rush to exits unless clear evidence is presented. Worth longer term hold in my view and accumulating at these silly levels
EAR Price at posting:
12.5¢ Sentiment: Buy Disclosure: Held
