Plenty of Black Hills residents lack confidence in Powertech Uranium Company's ability to dig for uranium in the southern Black Hills without doing permanent damage to water quality in the Cheyenne River watershed.
The stock market appears to lack confidence in Powertech, period. Jim Woodward at PowertechExposed.com notes that Powertech shares fell 8% on the Toronto Stock Exchange yesterday.
Powertech shares fell 8% today to close at an all-time low of $0.06 CAD on the Toronto Stock Exchange. Although the stock hit an intraday low of six cents on May 3, today was the first time it closed at that level.
Powertech shares began trading at $1.48 CAD on August 15, 2006 after CEO Dick Clement and Wallace Mays took control of Canadian shell company Powertech Industries through a reverse merger. Powertech Industries was a financially troubled company that manufactured boilers, and was traded on the mining-friendly TSX Venture Exchange in Toronto.
After changing the name to Powertech Uranium Corp., the stock hit a high of $4.45 on March 23, 2007. After crashing to less than $0.25 CAD in mid-2008, the stock recovered to $0.47 CAD for Powertech's one and only public stock offering that closed on March 15, 2011, only four days after the Tohoku earthquake and tsunami that caused meltdowns at the Fukushima Daiichi nuclear power station [Jim Woodward, "Six Cents," PowertechExposed.com, 2013.05.13].
Woodward reported Friday that Powertech's first-quarter financial statements show the company on track to burn up its cash reserves by June. Unless Powertech builds some enthusiasm among investors, it may not be around to participate in its water permit hearing in October.
At 0.06 per share, it will take a lot of shares sold to reboot.