Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.

W Resources – Sell – when’s the heavily discounted placing?

By Tom Winnifrith

3 March 2014 13:07

Shares in AIM listed miner W Resources (WRES) have perked up by 0.05p today to 0.97p valuing this fine enterprise at c£20 million. But fear not this is AIM so here are four reasons why you should sell as there is a placing ahead.

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Comments

wildrides

3 March 2014, 13:41

As a holder I am quietly hoping that the placing will be priced closer to market price this time as we are just a few weeks away from production .
Trouble with being out is this thing spikes like a cactus on heat when it goes. You godda be init ……..blah blah
Geoff

3 March 2014, 21:16

Surprised selling is suggested here. WRES have fallen recently after raising some cash. Few selling today at less than 1p will have made much if anything at all. Not enough meat on here for any gain and so not easy to be trading in and out.
Dead On

30 May 2014, 15:08

Interesting call from TW, I thought on this one and I didn’t see it at the time.

Well, transpires that that cash figure from Edison turned out to be utterly wrong. WRES had £1.4m cash at end of December after having paid for all the plant and 1st mine payment and gearing up for tailings production. Production was delayed but now producing from begining of April. There has subsequently 13 May, there’s been a much smaller placing £776k than was anticipated here (not at discount), in which the Chairman put in £180k of his own cash at market prices. – not chump change
Production confirmation, offtake agreements in shortly and a better cash situation than was thought.

Could have sold in line with TW’s call at .97p and bought at .81ish for a trade, currently back to .9p so a reasonable trading call from TW in my opinion – although was based on crap info from Edison and I doubt he has invested? as was looking for a .6p value entry.