This is a more high risk stock, which is why it trades at under a penny. But as this is a value investing forum I'll share why I placed my order yesterday.
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Directors opted for shares instead of the pay they were owed (after the recent capital raise)
The capital raise was beneficial to share price, as the placing was for 1p a share, a significant premium which shows the market values the company significantly higher than its current price.
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Gold price has rebounded near 10% since the share price started to dip. It has been trading around one penny for months and this is the first real re-entry point.
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RNS from the company stating they've found gold in their new development.
Protections installed since the last rainy season to help mitigate the risks to their operation.
Gold price is far higher than this time last year which should result in profits for their next results.
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This is around 5% of my portfolio for a bit of fun and a potential 100%+ upside if they can address their challenges. Historically not a great company, but with a new experienced director on board, I'm confident to not make a loss at these levels.