GDN - Golden State Resources

[trading4schoolfees]

I have been following this thread since buying in at $1.17. I'm enjoying some success at the moment with PLT and MVH but this share is a wild ride. No point in selling now, but am I right in saying that some of you are positive about the future despite the SP drop??? I cannot see why the market is responding the way it is?? Any thoughts??

 

[Haveacrack]

Why didn't the market like THAT ann???
Even with free shares in a U mine the price keeps going down!!

The market is pretty much down across the board. China was off about 8% at close yesturday and US was off the boil at opening last night. I don't think these u shares will be free as the ann said "priority entitlement in the capital raising" - there going to want some more of our blood!

 

[Haveacrack]

I have been following this thread since buying in at $1.17. I'm enjoying some success at the moment with PLT and MVH but this share is a wild ride. No point in selling now, but am I right in saying that some of you are positive about the future despite the SP drop??? I cannot see why the market is responding the way it is?? Any thoughts??

If i knew what was going to happen next id be a trillionaire. as for the sp it also baffles me. i have been in and out of gdn for about 12 months and i thought i had this bull by the horns - but not to be. i started buying back in at 80c and have been topping up along the way as and when i thought it had hit bottom. ive just bought in again at 46 only to find it has retreated more - i left my desk for 20 mins and when i got back the first thing i said was WHAT THE.......

Its just hit 43.5 and is now back to 44.5 what happens next is anyones guess.and but still as it will come back just have to be patient

 

[bigdog]

Todays ASX ann:
"Golden State shareholders will have a priority entitlement in the capital raising for the new company."

I wonder how sucessful this will be for current shareholders who are not having much luck with the GDN share price!

I have my doubts with investing more of my $ with this group!

 

[the barry]

The shares in the ipo are not free. You will have priority to buy 1 share for every 4 you own. The reason they are doing the record date when they are is to entice shareholders who haven't converted their options by the end of july to do so. The reason the share price is behaving the way at the moment is a sparrow farting would produce as much gas as it is looking like the current well will produce. Until the company proves a commercially viable well, the further the share price will decline. At this point, the short term for this company is highly speculative with serious downside if they announce a dud well.

 

[constable]

The shares in the ipo are not free. You will have priority to buy 1 share for every 4 you own. The reason they are doing the record date when they are is to entice shareholders who haven't converted their options by the end of july to do so. The reason the share price is behaving the way at the moment is a sparrow farting would produce as much gas as it is looking like the current well will produce. Until the company proves a commercially viable well, the further the share price will decline. At this point, the short term for this company is highly speculative with serious downside if they announce a dud well.

So nothing has really changed has it lol, its been speculation all along barry!! As for that sparrow im tipping he would be kinda crispy after the flaring....hmmm could i get mine with the hot n spicy seasoning.
Seriously though this is the third time its tanked in 7 months and each time it has had a remarkable recovery. Should this time be any different ?? I wouldnt have a clue but there was plenty of large buys put up in the last hr of trade. Call that the "smart money" coming in or is it just the same people who sold out when it was over a dollar and now ready to reload and do it all over again!

 

[DAZT49]

Chinese consortium is the $10,000,000 holder in the new venture.
Apparently the consortium will pay a premium on the issue price.
GDN holders will be able to purchase 1 for 4.
ie 100,000 GDN shares /4 = 25,000 at 35c (issue price)=$8750
Chances are the testing will be reported before listing.

 

[chance fate]

... problem is no one can attribute a value for the gas or the uranium to the share... there's no concrete results yet and there is time to kill until gas results come through plus options expiring soon ... so traders taking the opportunity to squeeze some holders out of the market... possibly all the way down to 30c???? can't see any reason in the near term (week) for the sp to climb... reckon the initial U results due early July are intended to underpin the IPO... have to say the comments copied from HotCopper a few postings ago are consistent with this announcement on the U... which makes me put some credence on the comments on the gas and so feel comfy enough to stay holding due to the potential 500Bcf (director's comment) reward... best not to look at the sp over the next week or 2 unless you want to trade or just buy more low....:hide:

 

[Broadside]

... problem is no one can attribute a value for the gas or the uranium to the share... there's no concrete results yet and there is time to kill until gas results come through plus options expiring soon ... so traders taking the opportunity to squeeze some holders out of the market... possibly all the way down to 30c???? can't see any reason in the near term (week) for the sp to climb... reckon the initial U results due early July are intended to underpin the IPO... have to say the comments copied from HotCopper a few postings ago are consistent with this announcement on the U... which makes me put some credence on the comments on the gas and so feel comfy enough to stay holding due to the potential 500Bcf (director's comment) reward... best not to look at the sp over the next week or 2 unless you want to trade or just buy more low....:hide:

the option holders are in an awful position now, they don't have enough information as to whether or not to pony up more funds, and if they try and sell a large quantity and the liquidity isn't there....well, they are over a barrel.

 

[the barry]

the option holders are in an awful position now, they don't have enough information as to whether or not to pony up more funds, and if they try and sell a large quantity and the liquidity isn't there....well, they are over a barrel.

Right on the money. If the results from the gas flow aren't out in the next week there are going to be a lot of nervous people. No results, in trouble, bad results, trouble. Not to many upsides really.

 

[elcruzy]

this is the wildest ride i have ever been on. if only we were all smart enough to sell at over $1 buy back in and sell again over $1.

with the gas shows, doesnt this mean that there should at least be some commercially extractable gas in the well? unless someone is guesstimating on that photo being less than 50bcf.

 

[DAZT49]

My bro ses they are mystified as to the SP.
"Nothing has changed"
Still sees the share as a multibagger but maybe have to be patient enough to hang until No 2 well is drilled so maybe 8-12 months.Thinks the SP is cheap. (Dont we all??)
8-12 months for multi bag..Sp to recover in the meantime

 

[chance fate]

... another posting from hotcopper ... this time re. the rig move... still only mildly confirming productive well....

jantimont,

I sent John a couple of emails over the past two days. One was about info been leaked prior to announcements, the other was about changing the rig.

here is the reply about the drilling rig:


Using an exploration rig to do completion work, especially where it involves
stimulation or fracing, is not ideal and is very expensive. We went down the
route of using Rig 12 to reduce delay in giving the company and shareholders
some early comfort that we might have a producer. We have successfully done
this and now can no longer delay the inevitable - we have to get a workover
rig in. You may be aware that rig costs will be 30% of what Rig 12 costs us.
I am sorry you don't like the idea of a rig move but there is no technical
or economic reason to use a fully equipped and crewed deep drilling rig to
do development work.

-----------------------------------------------------

 

[Haveacrack]

What a day the market has had, or not.

ASX200 is pretty much down about 75% with only very moderate gains for those who did make some ground on todays trading. If there is anything that may contribute to the very poor performance of GDNs sp its that for the past 3 days the maeket has been retreating to say the least. China and the us have not helped with there poor showing and this may or may not have had some effect on GDNs sp.

If its any consolation for holders who are seeing their hard earned $ heading down the toilet - you're not alone not to mention us poor option holders who have seen the op fall off highs of 92 cents and now have fork out another 30 cents to convert each option.

GDNs sp has dropped substantially since it announced the restructure of its u interests and there's no surprise there, at least we are getting priority with the listing at 1 for every 4 GDNs held at record date. We should, given the premium new u floats have achieved claw back some of our lost profits if the decision is taken to buy in.

Fundamentally i still believe GDN is value for money at this level (DYOR im no expert) and have continued to top up. This is going to be a long haul stock now and certainly very speculative but looks like there is much upside given what they say is in the ground. The waiting game is driving me nuts and the company ann have in all their entirety not been the most comforting or encouraging and i think the market is completely confused as to exactly what they have to offer and this is reflectant in the sp. i myself can't understand what has happened as the past few ann have'nt been negative and if anything they have been quite encourageing - so what's the story.

I would like to think that once the market has finished its correction we should see some confidence come back and hopefully some substanial gains as well.

Good luck to all holders and if you thought my carry on was crap, that's ok i'm just have a bit of a winge and trying to justify to myself why i have what is equal to the value of my house in this stock.

 

[Broadside]

Haveacrack, do you intend to convert all your options into shares? hope you get some good news and some more information before you have to make a decision, if you haven't already.

 

[Haveacrack]

Haveacrack, do you intend to convert all your options into shares? hope you get some good news and some more information before you have to make a decision, if you haven't already.

I have cheques sitting on my desk which will be posted tomorrow. Don't really have a choice on conversion, but i do think the good news will come, just have to be patient and work on my intenstinal fortitude.

 

[Broadside]

I have cheques sitting on my desk which will be posted tomorrow. Don't really have a choice on conversion, but i do think the good news will come, just have to be patient and work on my intenstinal fortitude.

Why not wait another week before posting your cheques - see if more news comes out, it is always a possibility - why commit before you need to? they need cheques cleared by June 26 or something like that. It's not my business and I am not advising you, but if I were in your shoes I would hold out to the last minute (without risking them not getting the cheques cleared). When is the record date for the priority entitlement for the Uranium float, I guess that needs to be considered too.

 

[Haveacrack]

Why not wait another week before posting your cheques - see if more news comes out, it is always a possibility - why commit before you need to? they need cheques cleared by June 26 or something like that. It's not my business and I am not advising you, but if I were in your shoes I would hold out to the last minute (without risking them not getting the cheques cleared). When is the record date for the priority entitlement for the Uranium float, I guess that needs to be considered too.

i hear you - may wait, but will still cost me what i paid plus 30 cents or do you know something i don't?

record date 10th july - ann. yest.

 

[Broadside]

I don't know anything you don't and I don't know if news is coming sooner or later. But I would wait longer if I were in this position to see if there is more news, that's all.

 

[Haveacrack]

good idea, will hold off a week and pray for good news.

What's your take on what's happening with the sp?