Capricorn feasibility study due next quarter, writes Barry FitzGerald, page-13

IMO it is a solid company with solid management and a bright future as long as you're prepared to ignore the stock price for next 18 months to production.

I would imagine the recent fall from 12c is due to a combination of events. Firstly the delay with maiden ore reserve which I imagine will now come out with the quarterly and also the delay with the DFS until the sept quarter .

Secondly I would imagine there was a certain amount of end of financial year stock dumping which also contributed to the current levels.

However on the upside we should have at least 1m oz of product (avg grade of about 1.1) at shallow depths with an approx. 10 year LoM.if I'm honest I would prefer a higher grade though. It is also clear based on all the presentations that their marketing direction is the simplisicty of the mining operations which suggests a lower cost base.

In terms of other news in the meantime that will drive the stock price when they start to do additional exploration which was also due in the sept quarter from memory any solid / promising results will move the price up as well.

Currently it is clear to me that they have been focusing on making the company more professional with management changes and office upgrades which whilst boring is absolutely necessary to turn this into a production company.

Whilst patience isn't a strong point of mine ( pun not intended ) I expect a solid performance in / over the next 18 months ish time.

For the sake of disclosure I have already been holding for about 18 months and also added to my collection recently at these levels.

GLA