NGEx Resources (NGQ:TSX) hit a multi-week low last week as the resource explorer, which is led by mining mogul Lukas Lundin, continues to struggle. The first page of NGEx Resources’ corporate presentation reads “No Guts, No Glory”.
Many junior resource stocks claim to have guts; and, while many do as it is a tough business of calculated risk taking, few can reflect on the glory that has followed the way Lukas Lundin can.
After rebounding to above $4 in late 2011, NGEx is down more than 75% to a recent low of $0.92 per share.
NGEx Resources – 10 Year Chart
Volume has been steadily trending lower in NGEx’s market for years and has averaged just 55,000 shares per day over the past few weeks.
Lukas Lundin and NGEx Resources
NGEx Resources is led by its Chairman Lukas Lundin. There are few men in the mining industry who cast a larger shadow than Lundin.
Below is an excerpt from the Denison Mines website:
“His uninhibited pursuit of highly prospective properties around the world has resulted in numerous resource discoveries, including the multi-million ounce Veladero gold discovery. Mr. Lundin has also led several companies through highly profitable business acquisitions and mergers such as Lundin Mining’s $3.3 billion merger with EuroZinc Mining, the $2 billion sale of Tanganyika Oil Company Ltd. and most recently the $9.2 billion sale of Red Back Mining Inc.”
Buyout details here: http://www.denisonmines.com/s/Directors.asp
Needless to say, Lundin was featured in our latest EBook on 50 of Canada’s top small-caps buyouts.
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NGEx Resources’ most recent press release was from April 16th, when it announced drilling 42 Metres of 1.13 g/t gold and 145.6 g/t silver at its Filo Del Sol Project.
The results highlighted the company’s final fourteen holes of its 2014/2015 drill program at the Filo del Sol copper-gold-silver project located in Region III, Chile and San Juan Province, Argentina.
While the results were positive, NGEx’s market moved above $1 only briefly before selling off.
Click here to read the entire press release from April 16th.
NGEx holds a 100% interest in Filo del Sol among an extensive portfolio of other 100% owned early stage exploration projects located in Chile and Argentina.
According to Quotemedia.com, the company had 32 employees and a market cap of $176.45 million Monday morning.
The Lundin Family Trusts own 19.9% with its next largest shareholder, US Global Investors, owning just 2%, according to the company’s latest investor presentation. NGEx had approximately $28 million in cash on hand at December 31, 2014.
NGEx Resources‘ focus remains on advancing its South American projects which include several large copper-gold systems including the Josemaria, Los Helados, and Filo del Sol projects. The land package is located in Chile’s Region III and adjacent San Juan Province, Argentina.
With NGEx Resources being led by one of mining’s greatest leaders Lukas Lundin, investors have to be wondering how low the company’s share price might fall before a rebound takes place.
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