The AFR Smartinvestor headline yesterday said Atrum shares set to rocket

John Robertson

PortfolioDirect

The AFR Smartinvestor headline yesterday said Atrum shares set to rocket. The article said Atrum's prefeasibility study on its Groundhog anthracite mine in Canada is simply outstanding. The journalist who had earlier spoken to the Atrum Coal MD bravely predicted that when the company emerges from a trading halt its shares will surge. What a disappointment, then, when the price has gone up only 1.4%. Why the difference between expectation and reality? Firstly, see my recent Mining Journal column on misuse of discount rates ((VIEW LINK). Secondly, the study came up with a plethora of numbers but no material change to the proposed development or its costs. The result, not surprisingly, was no material change in the share price.


1 topic

John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...

Expertise

No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.