AQI - Alicanto Minerals

[System]

Alicanto Minerals Limited (AQI) is an exploration company with a primary focus on gold and base metals in Australia and overseas.

http://www.alicantominerals.com.au

 

[greggles]

What am I missing here?

$6.1 million in cash as at 31 March and the Sala Zinc-Silver-Lead Project in Sweden which the company is touting as the "largest active undeveloped zinc-silver deposit in Sweden". Inferred Resource of 311,000 tonnes of contained zinc, 15 million ounces of silver, and 44,000 tonnes of lead with mineralisation open in all directions.

Market cap of ~$20 million? ?

 

[Dona Ferentes]

What am I missing here?

$6.1 million in cash as at 31 March and ... Market cap of ~$20 million? ?

spent $2.8 million in previous Q; down to $3.2M end June

 

[greggles]

spent $2.8 million in previous Q; down to $3.2M end June

Yes, but aside from that I wonder what is keeping the share price so low? Let's say they have $2.7 million in cash right now, that means that there will be a cap raise later this year but they can likely keep things going until the end of the current quarter. The project looks like it has a lot of potential and there are assay results due soon; the Quarterly Activities Report released on 29 July said, "Further results due in coming weeks".

So the only reason I can see is that there is still a bit too much risk. The upcoming assay results may be duds, the share price tanks and they are forced to raise capital at a much lower share price. Conversely, if the assay results are good, the share price will rise and there will be more investor interest in the cap raise.

So it would seem that a lot hinges on the upcoming assay results.

 

[greggles]

Some more information.