Remember the scene in the movie 'The Life of Brian', where Reg (played by John Cleese) the leader of the Peoples' Front of Judea (not to be mistaken for the Judean Peoples' Front!) asks his followers the question "What have the Romans ever done for us"? Then, after an exchange where the supporters outlined the many things Rome had provided, he retorts with;
"Yes but apart from the, sanitation, medicine, education, wine, public order, irrigation public health, etc etc etc, what have the Romans ever done for us"?
So it seems true of Red Rock Resources (AIM:RRR). Despite a period of amazing development the question still persists;
"Yes but apart from investments worth far in excess of market cap, potentially enormous future royalties, a 1.2million ounce gold JORC in an African gold project near production, etc etc, what have Red Rock Resources ever done for us"?
Here's the problem (perhaps); the market mistakenly thinks Red Rock Resources is an investment company and that's a BIG BIG mistake, I think. In fact it's that bad that I have an image of Andrew Bell leaning out of his boardroom window at 115 Eastbourne Mews shouting, "We are not an investment company!!" You get the point.
So here perhaps we have a simple case of mistaken identity. Your typical micro cap explorer would never be mistaken for an investment company. They usually operate in a one sector (e.g. gold exploration), in a narrow geographic region and under one corporate vehicle. So the market ticks the box marked "Junior Explorer" and all is well with the world.
But what if your business is a more sophisticated animal and not so easy to categorise? The Market would then need to pay more attention and dig a bit deeper to get a better understanding - but markets move fast and are not exactly known for their application and attention span.
So here's where you run the risk of being mistaken for your closest look-alike. And in the case of Red Rock Resources (AIM:RRR) that would be a "Mining Investment company". Which brings us back to Andrew Bell's big challenge - how to get his message across to the market - RRR is not an investment company - well not as such!
So you have to have some sympathy. Since floating Red Rock off from Regency Mines…
