Argonaut Resources (ARE.ASX)

Argonaut Resources (ARE.ASX) is an attractive stock at these prices. The company has a number of interesting projects. They have just raised $13mil and are capitalised at $47mil, so their zinc project is looking pretty cheap.
The zinc price mind you is not looking great since its at a support level. I think it will hold this support because of USD weakness, but the continued upward pace of zinc stockpiles does not give one confidence in the zinc price outlook. Mind you, Argonaut are drilling a number of projects at the moment, and there is strong basis for a rally since its fallen considerably to a strong support level.
See the zinc price and stockpiles at Kitco.
This stock actually reminds me of a stock I used to hold called Minotaur Resources. Back in 2001 I think when I was working for a broker, spending way too much time watching the market, when I should have been writing research reports. One late dark night, I found this $2mil stock MNR trading at 14c and it was drilling an 'elephant size' magnetic anomaly' that could have been a huge repetition of the Olympic Dam base metals deposit. As it turned out I was right, but I sold out after 3 months because I did not expect the drilling to take so long. Anyway, the stock sailed to $2.40, and the 20c opts when from 5c to $2.00. I had those as well :) But sold too early because of the fucked disclosure still evident today.
Anyway, this company is like that except its capitalised at $47mil, not $2mil, and this Torrens project they are drilling I believe has been drilled before, so that undermines the speculative appeal because a 2nd geological interpretation is less veracious than the first I believe, even though there is more info. But I do believe in such opportunities. I must say its hard to find these opportunities these days. Anyway its a good punt given the zinc exposure and technical support. See Google Finance and my ARE forum.
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Andrew Sheldon www.sheldonthinks.com