Difficult to work out, for me anyway, exactly when La Jolla finally exits. Looks as if there are going to be more curtain calls in the form of conversions as they complete their loan book to UXA Resources -- though at some point they may be squeezed.
La Jolla investors are still picking up stock at 0.24c with trading at 0.3c - 0.4c, though buyers at 0.3c were light on the ground - I should know as I was late in and bought 600,000 at 0.3c 10 minutes past the official close.
Market cap is very low now at about $2.3m at 0.3c, though it is easy to lose track as more and more shares are added. GAA wireline should have booked $1.2m - $1.5m profit on the 30%+ increase in turnover -- a very good performance and should give a value between $7m and $10.5m.
The above points then to the difference between that $7m - $10.5m and UXA market cap of only $2.3m.
At least Bank debt has been reduced and the risk of foreclosure with it.
UXA refuse to comment much on the possibility of converting 100 UXA shares into 1 new share = 30c each share. I think a somewhat sarcastic 'interesting' and 'thank you' in the reply was the best I got.
As others have posted, it will depend this month on the drilling at Nabarlek. The UXA reply to all this was good but was the same as already announced, of course it would be.
We need a near surface uranium find and UXA are confident about a uranium price increase in the form of a rebound. Email noted the recent upbeat articles on the use of uranium in Saudi Arabia and the Aussie Government's enthusiastic support for sales to that country.
I bought as a gamble on Nabarlek but feel surveying will increase chances this time -- let us stand and hope, flag waving, this time SURELY must be our day.
UXA Price at posting:
0.3¢ Sentiment: ST Buy Disclosure: Held
