They do not have the capital to start production. They are shopping the Paramount "story" and there are no takers. The only logical conclusion to this company as it bleeds through its remaining cash is to be sold to a producer that has the expertise to monetize the reserves. This management team is very unlikely to accomplish that. Even with their long awaited end of August report the stock bump was only 2 cents.
Traders target PLWY as the company enters the digital apps market now worth more than $23 billion annually. There’s even talk of a $4.50 price target
PLWY now officially in the digital apps business after Idea Webcatchers confirms rev share deal with AppRocket Studio. Analysts predict at least .20 a share in the coming weeks
386K average volume signals the major boost in liquidity for PLWY. Management makes move on digital space with new rev share deal
The PEA results have been postponed until the end of month hoping that they will impress the market, but the SP dropped again; the results are not stellar. I also see how Crupi is talking now about a partnership, so all those interviews with his friends about the trips to China and Hong Kong didn’t produce any results. It’s pathetic. Were the buyout is? Why he didn’t sell the company when the SP was $4 two years ago?
My research on non-contributing JV's of other companies indicates very little income for the minority jv partner. Equates to a royalty position providing some cash income for the company and nothing substantial for the stockholders. Like you said, PZG is an exploration company with an exit strategy to sell the properties or company. The majority stockholder has controlling interest in a mining company and could easily provide a jv if there was interest in a jv. A jv takes the property off the market while producing nothing substantial for the shareholder. A jv without a PZG cash commitment would not be good for the stockholders, nor would a cash commitment jv be good for the stockholders. The return to the shareholders is in selling the company. Be careful what you wish for......... Don't take my word for any of this; instead, do you own dd.
PZG wouldn't need to contribute that kind of cash... usually, the deep-pocketed large producer(s) would put up the $$$. PZG is an exploration co. I see core inflation rising...as I am certain the large Gold Producers do as well. It takes awhile to produce so now is a good time to get better labor conditions, etc and ramp for when the spike comes. As I see it (and confirmed by analysts initiating coverage) PZG is going to partnered with or bought out in short order. Personally I hope for a JV as we get participation in the upside (usually)... unless the sale price is in the multiples of the current price... I think Crupi wants a JV as well.
Sentiment: Strong Buy
JV at this time would be betting on a sharp rise in pm prices. Not likely to happen. PZG can't substantially contribute to the required start up cost of $250-300 mil in Nev. Even with some of the infrastructure in place it is not likely with low grade ore under current market conditions. silver demand not where it should be for start up. Don't remember % recovery but it seemed a little low. In my opinion only a sharp rise in pm pricing will bring suitors to PZG and by my own admission, my opinion is worth as much or little as the reader agrees or disagrees.
Your wait approach is the right move. I expected it possible SD could drop a few cents when I made the purchase. It may go farther than I originally thought. I'm in at 5.25 with the intent to sock drawer it until the turn around. Not worried about bottom falling out. If the oil spike is really coming, the return could be sooner than later. Look at the companies in the south and west Texas plays. They are draining the labor force in the DFW area. Local mom&pop motel operators are getting $300 a night for rooms. Maybe time to sell the RV Admire your patience and perseverance. Hope your approach is "lottery winning" successful.
Come Sept.... PZG will trade up... once everyone returns from vacation. $1 is a pretty good entry point. Crupi has to be disappointed this isn't higher... so much work has been done. I am positive the tires are being kicked hard by the large guys who need resources 'before' the upswing in gold. I have bought and sold this stock for years. Every year the resources get dramatically better. Crupi knows his stuff. 1 PR about a JV with... I would guess Barrick (based on the geographical locations) and this is a $4-5 stock IMHO. My guess the coverage was initiated to prep for the JV. GLTAL
Sentiment: Strong Buy
"I just doubled down on SD looking for a turn around in a few months".
HK is the only Bakken I presently own. Back in again now after 2 trades the past few weeks but looking to "hold" this time if possible.
Been watching SD a while now and waiting to buy but my view is to be patient and wait for daily Slo STO to again approach the 50 level before purchase. One yr chart tells me I won't get the bottom but risk/reward will again be very strong and likely signal probable "trend change". Your purchase probably good here but I'll be patient and wait for Slo STO.
MEDA announces brand new features for Klarity. Users can now gain access to cross social platform analytics. Is this the catalyst for heavy trading?
Always interested in what you are trading. I just doubled down on SD looking for a turn around in a few months. Got into KMI just before it took off. More like I stumbled and fell into it. Have done well with TJX not normally a retail investor. Sold my CVX maybe too soon. Looking at CDE now in the 8's but the potential back to the 20's is there. Could be slow getting there. RIG is getting a lot of noise but no real movement. Still think there is money to be made there. Sold YUM. Looking at WF again since it fell from grace. Thanks again for the heads up on SLV will spend some time looking at it. Never found my comfort level trading options but that doesn't mean I won't trade them. Good to hear from you. Stay in touch.
I did well w/KOG but was not in when WLL purchased. Have been trading SD, HK, TPLM, NOG, OAS past yr. These are my interests.
Flipped around with some large cap energy too. Traded RIG a few times but not in now. I'm holding LINE right now....big monthly dividend. Also think BOIL will turn soon.
If you think SLV can get over 21 by January 2016 (17 months) you should accumulate some 21 strike calls....