PLV - Pluton Resources

[roland]

Hi Guys,

Having Tony on board to fill us in on company activities and answering questions is a great thing (thank you Tony), but I am wondering if the added activity and possibly slanted view may sway some of our less experienced investors to make investment decisions resulting from biased input?

Also, we are all very free to "slag" off a company if we feel it is deserved, and this input is often helpful in evaluating an investment decision. I am a little worried that having Tony around will dampen our enthusiasm with expressing our disappointment in our usual way.

I would urge ASF members to take responses from Tony with great respect and appreciation for his time, but to be mindful of the obvious passion a company CEO would have for their own endeavours.

Tony from Pluton is a very welcome and valued guest, but please keep this forum as objective as it normally is.

 

[Tony Schoer]

Roland, you make a very good point. If my appearances cause you concern or the right to "free speech" I am happy to remove myself. The last thing I want to do is hinder what you guys want to talk about.

As for being biased I probably am, but only to a point. I have already stated that I will not "spruik" my shares. I also own shares in about 20 comapnies and regularily slag off about them. Please feel free to do it!!

Anyway, I will only answer questions directed to myself. Otherwise say what you want.

Again, happy not to post if anyone feels I have intruded.

Regards, Tony.

 

[roland]

Roland, you make a very good point. If my appearances cause you concern or the right to "free speech" I am happy to remove myself. The last thing I want to do is hinder what you guys want to talk about.

As for being biased I probably am, but only to a point. I have already stated that I will not "spruik" my shares. I also own shares in about 20 comapnies and regularily slag off about them. Please feel free to do it!!

Anyway, I will only answer questions directed to myself. Otherwise say what you want.

Again, happy not to post if anyone feels I have intruded.

Regards, Tony.

Nope, you are most welcome - often it is so hard to get information. When you invest in a company, you want as much as you can. Personally when I invest, I feel like I am an employee and want to be part of the whole deal.

Your presence here is very progressive, and most welcome - please speak up if you have something to say.

The point of my message was obvious. ie. I notice a question earlier that was aimed at the forum that you answered, stifling any other response - hence I just wanted to express my thoughts on the format of this part of the forum with you on board.

ASF forum members, please take note that Tony is now full aware that we will slag off as much as we feel necessary

Thanks for your responses Tony, hope you business efforts are successful.

 

[Tony Schoer]

ok thanks, point taken. The one about the rumours.

Best if I answer questions directed to me only.

Thanks, Tony

 

[cuttlefish]

Roland - can see your point but think the pro's outweigh the cons - but its an interesting one to ponder.

On a merger with MGX - I can't see how it would make sense for PLV to enter into any kind of merger or deal with MGX - the company potentially has a resource thats better than MGX's entire current resource base put together. (MGX has 100 milion tonnes of iron ore resources based on this years annual report. )

PLV has indicated they potentially have more iron ore than this on Irvine island. This is a long way to being proven of course but if you've seen the photos and trust the management, and based on the resources that were on Co ckatoo and Koolan islands prior to commencement of mining by BHP it doesn't seem unrealistic. The drilling program next year if succesful will go a long way to providing a clear indication of the potential.

At a current diluted market cap of under $200 million for PLV vs MGX market cap of $2 billion, PLV would be a steal at current prices if they have the resource they think they do. MGX got a fantastic deal buying Aztec (who had the koolan island project) for around $300m two years ago (hostile takeover). Hopefully PLV management, and more so PLV shareholders, wouldn't repeat this mistake.

PLV management looks like it has the quality and collective experience to bring this project to fruition, and they are also in JV with Portman who mine Co ckatoo island and so know the issues of mining, environmental, logistical etc. in the area.

If MGX went after PLV at this stage I'd find it difficult to imagine it would be a friendly affair and I doubt there's the liquidity in PLV for them to get it anywhere near current value.

The fact that the Irvine ore body appears to be almost flat lying vs the vertical ore bodies at co ckatoo/koolan is a significant factor in the potential accessible resource size.

Unfortunately will have to wait at least 6 months by the looks of it before having any solid confirmation of the quality and size of the ore body.

 

[Sean K]

Hi Guys,

Having Tony on board to fill us in on company activities and answering questions is a great thing (thank you Tony), but I am wondering if the added activity and possibly slanted view may sway some of our less experienced investors to make investment decisions resulting from biased input?

Also, we are all very free to "slag" off a company if we feel it is deserved, and this input is often helpful in evaluating an investment decision. I am a little worried that having Tony around will dampen our enthusiasm with expressing our disappointment in our usual way.

I would urge ASF members to take responses from Tony with great respect and appreciation for his time, but to be mindful of the obvious passion a company CEO would have for their own endeavours.

Tony from Pluton is a very welcome and valued guest, but please keep this forum as objective as it normally is.

If there is something negative to be said, it still needs to be constructed in an objective and reasonable manner according to ASF posting guidelines. Positive points also require sufficient analysis and justification. Posts framed in the above manner provide the basis for reasonable and objective discussion. Cheers, kennas

 

[Tony Schoer]

Hi Guys,

There should be a large article in tomorrows The Australian business section (Monday 29th October). this should answer a few of your questions, provided that I am quoted properly!

Regards, Tony.

 

[prawn_86]

Anyone out there still following these guys?

Considering the fact the are Iron Ore and are at a reasonably advanced stage i'm interested to see who holds/held.

Personally I looked at them when they were about 80c but never got on boards

 

[arminius]

top quality all round.
drilling for gold/copper in tassie as i type. im quite comfortable having my money in t.s's hands.

 

[Tony Schoer]

Hi prawn,

I received your message thank you.

I am still more than happy to answer any questions anyone has about PLV, providing I am able to.


Regards, Tony



Tony Schoer
Managing Director and CEO
Pluton Resources Limited

 

[prawn_86]

Tony,

I would be interested to gain an inside/managerial perspective/opinion on market sentiment.

A lot of the fundamental investors here on ASF, myself included, have been baffled by the apparent lack of most stocks sticking to any form of fundamentals, wether it be ridiculous rises from very little or no news, or huge falls which do not seem warranted.

For instance, your stock falling in the market turmoil from around $2.50 to under $1.50 (although it has bounced up again now).

As someone whose job ultimately depends on SP appreciation do you have any opions on this, or any strategies to try and reverse market sentiment?


A little of topic i know but i think that you can offer an insight to a lot of our members that isnt normally provided

 

[Tony Schoer]

Hi prawn,

I agree that fundumentals seem to be out the window at the moment. I think this is probably somewhat to do with the recent turmoil in world markets.

For example PLV is a tightly held stock which is good in some ways, but bad in others. When the market fell last August PLV went from $1.50 to a trade at 65 cents almost overnight. I found out later that there were 2 shareholders who received margin calls on other stocks and sold their PLV (as they were well in the money) to cover these calls.

Problem was that the buyers were sitting on the sidelines because the market was falling! History now shows that we went back above the $1.50 after only a couple of weeks.

Without knowing for sure, I think that this was probably also what happened to PLV recently.

Nothing had changed in PLV's fundumentals however the stock fell from mid $2.00's to $1.40.

I think a lot of it is also panic. It has been a long time since we have seen falling world markets.... a lot of young traders out there have only ever seen a bull market. They are used to borrowing money and buying shares and seeing their shares go up.

As to what I can do about it? Nothing in reality. I cannot help people who panic, or have margin calls to make. All I can do is keep adding to the value of the company by working on our projects and making them more valuable.

Eventually people always return top fundumentals.

Hope this helps, sorry for the slow response.

Regards, Tony.

 

[prawn_86]

Thanks Tony,

Very informative.

Another question if i may, also slightly off topic:

Do you feel that as a MD/CEO of an exploration company, you can take a longer term view, than say a producer.

The reason i ask is that you said that you must focus on adding value, which with an explorer can be a fairly lengthy timeframe. Whereas other larger producers seem to be fairly 'short termist' with regards to focusing on quaterlies and profit growth etc.

Do you feel you get more shareholder leniancy?

Apologies if the questions are too personal, but i am one of those

"young traders out there [who] have only ever seen a bull market"

 

[Tony Schoer]

Hi prawn,

I think the market does show a little leniancy towards exploration companies and tends to allow a little more time for results.

Having said that most shareholders of exploration companies do want to see results ASAP... this is pretty natural as they have their money tied up in the stock.

Investing in exploration companies carries a different risk weighting than investing in a producer. As an MD I have to balance expectations of shareholders... exploration targets take time to develop, shareholders need to be patient, however I recognise that shareholders need to be informed so that they can make buy/hold/sell decisions.

Your point "The reason i ask is that you said that you must focus on adding value, which with an explorer can be a fairly lengthy timeframe." is true, however explorers add value at each stage of exploration. The value is created by increasing the value of the target by more than the cost of adding that value. For a shareholder this should mean a higher share price as value is created.... it doesn't mean he/she must wait until the target comes into production.


Hope this helps,


Regards, Tony.

 

[prawn_86]

Thanks again Tony,

I am definetly watching with interest.

Another question if I may:

The question comes about due to one of the degrees i am studying (marketing).

As a small cap resource explorer, do you find it hard to differentiate yourself in order to attract investor attention/support?

I mean there is a huge number of companies in similar situations to yourself, so how do you go about making your company stand out? This obviously becomes harder in more volatile markets. Or is it not a problem as there is enough money out there to go around?

Part of the reason i ask is due to FMG. Obviously they are a bit of an exception due to their large resource size, however i feel they have been marketed extremely well, when you look at their market cap in comparison to other explorers/near term producers.

Look forward to your reply

 

[prawn_86]

Hi Tony,

I would be interested to see if you had anything to add to this story.

http://business.smh.com.au/director-defends-timing-of-purchases/20080415-26dr.html?page=2

A DIRECTOR who was an architect of insider-trading legislation in 1985 has regularly bought his company's shares shortly before market-sensitive announcements.

As a director of the junior iron ore and gold explorer Pluton Resources, Ray Schoer made six share purchases in the seven days before company results or a big company announcement. He also made up to 18 purchases outside the company's published share trading policy for directors

 

[doogie_goes_off]

Two announcements out today - drilling at Cethana and drilling at Dove River, pictures of drill core included.

 

[doogie_goes_off]

Does anyone know how to attach pictures from a .pdf file from the announcement? do I only need a .pdf viewer?

 

[arminius]

gday ts. (if you read this of course). any chance of a comeback here on asf? it has a lower profile.
trust all is well anyway. best of luck in the coming months.
brett.

 

[LJB]

Has any one got any idea as to the increased interest and rise in share price for this share this week?