New GIL letter
posted on
Nov 26, 2013 01:46PM
Hydrothermal Graphite Deposit Ammenable for Commercial Graphene Applications
Hi All,
Just a brief note before most of us shut it down for Thanksgiving. I will release my #1 new pick for GIL over the weekend. If I send it earlier no one will be around to read it! But, rest assured a very exciting 2 new ideas will hit this coming weekend and within a week thereafter.
Zenyatta Ventures (ZEN.v/ZENYF) chart looks very good here. I like how we're no basing on low volume above $3 and there really is no huge resistance until we get to $4, which could happen in a flash into/after the 43-101 is released. My best guess is they refrain releasing it now this week because of the holiday but early or sometime next week is very likely based on previous guidance. I have no reason to believe it is delayed.
The 43-101 is a critical piece to the story and we've waited awhile to see it. Again, the biggest benefit I see is circling back with many institutional investors that saw the story earlier, loved it, but said come back when you have a resource. Now, they can do that and I do believe we'll see new institutional buying after 43-101 news. It may not be immediate....but it will come. Just or two institutional buyers can change the face/vibe of this stock in a powerful manner. Once we see this stock back at $4-5, retail investors who were spooked out in the $2's will rush back in...watch.
I have bought some more ZEN here in anticipation of a robust 43-101. Remember, we have a $10 per share ultimate target on this stock, which is more than a triple from here if I'm right. I still fully believe this company will be bought out at some juncture. Recent news(Conoco Exec-NRC backing) is validation that Zenyatta is serious about developing this deposit and reaching the high purity graphite market on their own if necessary....I just think they'll get the chance to build a mine....someone else will swoop in and gobble this thing up.
Best,
Eric