UXA are very confident about drilling for lead and zinc at Dome 5 and expect further drilling to show that high grade finds extend at sufficient widths to be commercial.
Cash raising will take pressure off the stock price and release the overhang of shares waiting to be sold at a minimum 1.5c.
Confidence in GAA Wireline and the JV with Reliance in Arnhem Land sealed this deal at 4.75% interest.
On the above basis UXA Resources appear undervalued and should trade above 1.5c in the future, as all projects are now 'systems go' again.
UXA Price at posting:
1.6¢ Sentiment: ST Buy Disclosure: Held
