Highlands Pacific continues to strengthen on corporate speculation
Highlands Pacific (ASX: HIG) is a recent introduction to our Portfolio that has risen strongly from under $0.06 to a current price of $0.105 in just a matter of weeks - in part driven by Chinese group GRAM’s cash takeover bid for Highlands’ PNG joint venture partner and major shareholder, PanAust (ASX: PNA). We believe market interest in Highlands Pacific will remain strong for a number of reasons – not least of which is the PanAust connection and the high level of corporate interest surrounding it. PanAust has proven itself to be a very successful and active developer of resource project in the Southeast Asian region and its involvement with the Frieda River copper-gold project helps underwrite confidence in its eventual development. If GRAM is successful with its bid for PanAust, it will also inherit PanAust’s interest in the Frieda River project and a significant stake in Highlands itself.
Gavin has been a senior resources analyst following the mining and energy sectors for the past 25 years, working with Intersuisse and Fat Prophets. He is also the Executive Director, Mining & Metals with Independent Investment Research (IIR).