I don't want to be seen as making unnecessary excuses for Bomax and the price, but I see several "dynamics" in play right now.
First, this deal has been a l-o-o-o-o-o-n-g time coming -- and there is naturally a lot of hesitancy on the part of people following these types of stock. Let's face it...right now is bottom-fishing season and there are many prices out there on stocks which look quite attractive relative to where the junior mining stocks have been. So the potential new money is looking around quite a bit.
Secondly, there have been a few fortunate souls who have picked up stock at between 30 and 40 cents. That is just since August. To them a nice exit would be either at double or triple. So this means between 60 c and 80 c or around 90 c to $ 1.20. This is strictly the fringe volume which was able to get in at those low prices due to impatience and distress-selling which occurred over the summer. The core Bomax shareholders will not be offering any stock at below $ 1.20.
Thirdly, the Bomax faithful have added to their positions many times over the last two years and they (we) might want to pick up even more at this point, but may not want to sacrifice other investments to do it...or we are tapped out for junior stocks.
Fourthly, the deal needs VSE and Shareholder approval. The latter is slated for late January. There are those who will want to see this hurdle passed, and then think seriously about getting in on the play. Let's not forget too that they don't yet have the new drill which will add the capacity of production they need to generate the revenues and EPS we are discussing. So, there are clearly a couple of tangible events which need to take place to lend confidence to those sitting on the sidelines.
Fifthly, and it is connected to the above 4 points, there has been no attention paid to the promotion of the company's activities. The above events, as they unfold, will give newsletter editors and gurus et al something to talk about and something for their followers to watch and verify.
Sixthly, there are the other projects; I find it a lot easier to plunk down money on a company which as more than one way of hitting it big. Bomax will soon have the Granite in Surinam, their Voisey Bay activities (mainly with NDT Ventures), and then the new Surinam gold properties.
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