First day I haven't looked at the markets this year and wouldn't you know it, I miss an HGD announcement.
Good news and I suspect there will be more of this to come. (i have been increasing my stake holding). However a lot more will be needed to get this share back in favour with some disgruntled investors.
For me a key statement by Peter Atkinson is:
"We are encouraged by results so far and will update shareholders on the
drilling as results become available.
I hope he keeps to this statement/promise, as I personally believe this is one of the reasons HGD has so many sceptics. Take Paddie's posts for instance, even if I don't totally agree I can relate to his comments.(HGD have taken a long time to deliver anything and still have a long way to go!)
The market is results driven and while most investors have a bit of tolerance, HGD is amongst those that have tested many limits.
I have been in the position to be able to hold for a long time and acquire when prices are low, but I am always keen to see company's follow through with their announcements.
HGD is still promising a lot, but needs to actually produce that gold resource upgrade they have been talking about and list MEM as indicated to actually 'walk the walk', rather than just to talk, or at least provide some positive alternatives.
Then investors/buyers will be really interested and start to push the share price up! We need regular activity that are results driven. As commented previously: If HGD can provide evidence of greater resource levels to approx. 3 times existing levels (ie: 600K+oz gold resource) watch this share price multiply many times over.(IMO at least 10X ).
So I agree - this announcement is good news, but there is still a long way to go for Peter Atkinson and HGD.
Many investors will need a lot more substantial news in the next quarterly report to be convinced to buy in! Lets hope the management of HGD makes this happen, especially with the price of gold looking like heading upwards also.
IMO they may just do so, especially with some help for our Trans Tasman neigbours!
Then I will look forward to Broken Hill news a bit later in 2007.
Cheers
BP:)