When it comes to making money and sticking to an investment thesis that you have a lot of conviction in, oftentimes it’s best for shareholders to focus on fundamentals and pertinent company news flow as opposed to strictly chasing price action (which can be altogether deceiving and unreliable).
As readers are well aware, lately I’ve been spending a lot of time discussing about Birimian Limited (BGS.AX/EEYMF), which is one of the largest holdings I own in my portfolio.
To say that this company has taken me (and other shareholders) on a wild rollercoaster ride would be a huge understatement…
Lately, there’s been a lot of changing developments and news flow, thus the increased coverage on my part.
Anyway, just this week, the following update hit the wire.
From Birimian Limited.
The company still remains in a trading halt at the time of this writing, but nonetheless this is very encouraging news!
Check out the most recent resource upgrade from 6/22/17.
The Goulamina deposit has increased to 32.9Mt @ 1.37% Li2O, with much of the inferred resource having been upgraded to indicated resource.
At 27.8Mt @ 1.42% Li2O, Goulamina was already large enough to put into full-scale commercial production.
The 15% increase in total resource can only be seen as a good thing, share price be damned (we are sitting at essentially 52-week lows right now).
But perhaps even more positive and noteworthy is the following image map, showing more juicy targets that the company will be focusing on in future drilling campaigns.
Check out the swarm of pegmatite outcrops!
Birimian’s Bougouni project (total land package/tenements) are highly prospective for spodumene (hard rock lithium), and perhaps even more so than many of us even knew. I’ll admit, prior to this press release I had no idea that there were more outcropping targets outside the 3 previously defined zones (Main, West, Sangar).
Anyway, this is all good stuff and something that all BGS.AX/EEYMF shareholders (and interested parties) need to be aware of… because all these dots aren’t yet connected to the share price, and perhaps they won’t be for awhile longer… Birimian is still in a trading halt and has some serious outstanding corporate governance issues that it needs to resolve.
Still, it is my own personal belief that news flow and fundamentals trump price action all day, everyday.
Contrary to popular belief, the markets are not always forward-looking, and sometimes re-ratings take a lot of time to occur…
News flow, for better or worse, that’s what I’m paying attention to and my main focus.
Most everything else is just noise, particularly in the short-term.