According to the latest promotional email worth $10 thousand in support of New America Energy Corp (OTC:NECA), the company has every chance of taking off like a supernova just because it owns a lithium property located very close to the Nevada-based Silver Peak Mine, which is currently America’s only operating source of lithium. However, does NECA actually have what it takes to get the most out of its Clayton Ridge lithium prospect
Last Wednesday, NECA issued an official press release to announce its plan to embark on a full-on exploration program for its 3200-acre mineral property. In addition, the company’s management will be relying on its Nevadan operator, GeoXplor, to provide financial support so that the survey could commence by the end of the year.
As seen on the chart, however, investors gave a lukewarm response to the news. On Nov. 9, NECA stock lost 13% in value, starting a downtrend that continued during the next two sessions, as well. As a result, NECA closed last Friday’s session at $0.38 per share on a volume of less than 58 thousand.
Obviously, investors cannot ignore NECA’s financial condition, which is why NECA stock has so far failed to skyrocket. Indeed, the company is still in its exploration stage, hence the lack of any revenues whatsoever. What is more, when exactly NECA will start generating cash is anyone’s guess. Nevertheless, its supporters will hardly give up so easily. Otherwise, NECA stock would not be so frequently promoted as it actually is.
