Adamant DRI Processing and Minerals Group (ADMG)

[Potse]

ADMG(.10)...added to position.....

I've been adding to my ADMG position over the last 3-4 weeks in the sub-4 to 13 cent range. My cost basis has dropped down to under 14.4 cents per share. Seems to be getting slightly more difficult to accumulate shares now after the change in control of the shell.

Approximate share structure (based on the March 31 8-K).......

16.26M outstanding
4.39M float

I picked up another 100K shares over the last week in the sub-10 to 11 cents range. Currently holding a 551K position at a cost basis under 13.6 cents per share.

ADMG is still relatively under-the-radar in the shell/RM investment world, so I am viewing this period of time as an accumulation opportunity. The share structure on this shell should provide potential for interesting upside from around this price/valuation area. Although the market has been rough, there are still shells/RMs happening out there where the legacy shares are seeing valuations in the $5-15+M range.

So I think ADMG should be capable of that kind of potential/valuation. Absent any extremely negative change in ADMG's legacy share structure I will be disappointed if ADMG doesn't see prices over the 30-cent level at some point.