The previous week did not end on a particularly happy note for investors in Ridgeline Minerals Corp (OTCMKTS:RDGMF) (TSXV:RDG) as the stock suffered from a selloff and declined by as much as 10%. Considering the magnitude of the decline in the stock, many investors might feel that it may in fact be an opportunity to get into it.
Trading Data
On Friday, RDGMF stock fell 10.48% to $0.2826 with more than 39.36k shares, compared to its average volume of 15.5K shares. The stock has moved within a range of $0.2100 – 0.3003 after opening trade at $0.21.
Ridgeline Minerals Acquires Shallow-Oxide Gold Discovery at the Robber Gulch Project, Idaho
In order to have a better idea, investors need to take a look at the announcement from the company on January 26. Ridgeline announced that it had inked an exploration earn-in option agreement by way of which it was going to pick up the entire stake in the Robber Gulch oxide gold project.
The acquisition is going to be made from the company Bronco Creen Exploration, which is a fully owned subsidiary company of EMX Royalty Corp. The acquisition could eventually prove to be a game changing one for Ridgeline but that was not how the investors looked at it on Friday. The stock was in the midst of a steady selloff and it is now going to be interesting to see if it can make any kide of recovery over the course of this week.
Key Quote
Chad Peters, Ridgeline’s President, CEO & Director, commented, “This is a very exciting acquisition for Ridgeline. Robber Gulch is a perfect complement to our exploration portfolio and aligns with the Company’s strategy of acquiring and systematically advancing underexplored projects in known gold districts, an approach that led to a recent earn-in exploration agreement with Nevada Gold Mines at our Swift project. Robber Gulch is a drill-ready, shallow-oxide gold discovery in a rapidly emerging gold district in southern Idaho and we look forward to getting boots-on-the-ground as soon as possible.”
