Stock Code: VMM
Shares Purchased: 250,000
Share Price: $0.20
Reason for Buying
SOI: 35,397.889
Cash: $5,000,000
Market Cap: $7,079,578
Enterprise Value: $2,079,578
VMM is listing with 5 projects including the South Kitikmeot Canadian Gold Project, Boddington West Gold Project located in Western Australia, Bindoon Nickel/copper/Platinum Project also located in Western Australia, Poochera Kaolin/Halloysite project located in South Australia and finally the Smoky Kaolin/Halloysite project located in NSW.
The management team are also very experienced and include 2 board members from Nova Minerals (NVA:ASX) which recently discovered the Estelle Gold Project. Also all 4 directors are on extremely small salaries and will own close to 15% of the register in shares and options.
Ultimately VMM has an extremely low EV, a number of highly prospective greenfields projects and an experienced management team that has a history of success in the mining exploration space.
Finally in the interest of full transparency, I have purchased a substantial amount of VMM shares in the IPO outside of the 50k Challenge.
Risks:
1) Obvious risk with any explorer is share price and success is highly dependent on drill results.
2) More capital will be required in the future, however if company milestones are met then capital raise price should be much higher than current levels.
Please remember all content is intended to be used and must be used for informational purposes only. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on our Website and wish to rely upon, whether for the purpose of making an investment decision.