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Re-re-reiterating on Novo Resources (NVO.v) (from IKN438)

This is somebody else's show, not mine. This published to subscribers on Sunday. By the way, interesting that NVO has removed that original video from youtube.


Re-re-reiterating on Novo Resources (NVO.v)
Due to the continued hype and noise being generated by Novo Resources (NVO.v) and all who sail in her (or have hitched wagons on her back) and to a new raft of mails, inquiries and general prodding of your author, though slightly annoying to do here is another short note on NVO.v and the position of The IKN Weekly.

Here’s a segment of what I wrote on NVO.v in IKN426, the weekend after the whole circus started (that Youtube video (22), remember?):

“NVO is already a $150m Market cap company and that’s expensive for a junior, exciting discovery or not. I’m not saying there’s not speculative potential in the stock, I am saying it’s hardly a riskless trade by any means.”

Here’s a bit of IKN430, mid-August:

“For what it’s worth I stand by every word in my IKN426 note and it matters not one jot that the share price happens to be +200% since then. It was expensive then, it’s expensive now and I may end up telling people that it’s expensive at $10 when it rockets through that level too.”

And here’s what I wrote in IKN433 on September 3rd, the last time the stock got a mention:

“…I’d like to take the opportunity to state again and for the record that I am on the sidelines about NVO, strictly neutral, no dog in this race.”

Are we clear now? Now you may call me a fool for not getting involved with “The greatest discovery story of the last…(etc)”, call me a yellow-bellied chikkinshit coward, call me weak and jealous of missing out, call me what you want, I don’t care and what’s more I’ve been called much worse by uglier people than you. On the flipside I could start pointing at the gold fever hype, the one-way traffic of bullish opinion, the way any dissenting voice to that of the now near-Godlike Quinton Hennigh is deserving of The Spanish Inquisition, the way in which the whole geological narrative is being driven by newsletter writers who not only are not geologists but, more dangerously, think they are. I will name names on that specific matter, those names are Kaiser, Moriarty and Taylor and if you want just one example of the potential problem, look at how John Kaiser promoted Arizona Silver earlier this very year (and for my money he’s the most respected of the three). This isn’t me being catty and taking a side-swipe at people in the same sphere, it’s me knowing about one of the biggest pitfalls of this thing I do on a weekly basis and try hard to avoid (and even then come up short). For geology, either 1) be a geologist or 2) understand clearly what a geologist is saying to you when she or he opens their mouth before writing things down and publishing them. To its credit, NVO has stated on several occasions that they do not know what Pilbara etc is yet but that hasn’t stopped the shouting when it should at least have given some pause. Two words: Gold Fever.

Yes, I have been watching the hype and hoo-hah going on (it’s impossible not to if you’re an observer of the junior sector) but my position hasn’t changed a jot. I still do not understand the stock and its deposit, the only way any of us will know is once the thing has been drilled, we haven’t even had a single hole let alone the series that will be necessary, its valuation is sky high and the risk/reward leverage has climbed exponentially as a result. And once again, you the investor/trader/whatever do not need my opinion; for one nobody knows yet, for another a thousand other people are lining up to give you their opinion so one more voice is neither here nor there. I am neutral NVO, period. Any more inquiries to this desk regarding this stock will be answered with, “See IKN438”. Thank you for your attention.