Odyssey Marine Exploration (NASDAQ:OMEX) might have an unusual business model, but intrigue can turn to misery when the company faces a roadblock in the shape of a bale of sea turtles and its share price gets hammered.
That was indeed the scenario on Monday as its shares tumbled more than 60% to $3.39. And it is not as though no one noticed: the volumes traded amount to nearly 3.5 million shares - a far cry from the average of 61,000 a day.
As well as mineral exploration, the business makes its money as a treasure hunter, prospecting for gold, silver and artifacts from shipwrecks.
As you might expect, its stock fortunes are based upon its ability to source treasure sites and future revenue these yield.
The company has overcome hurdles before. But turtles?
On Monday the company was told the Mexican Secretary of Environment and Natural Resources had denied an environmental licence application for the Don Diego dredging and phosphate sand extraction project.
The sticking point is a bale of sea turtles and the potential environmental impact dredging might have on their population.
Odyssey Marine said in its release that it now has three different avenues to move the project forward. Its subsidiary in Mexico controls the mining concession for the Don Diego phosphate deposit, and it is said to be evaluating all options with its Mexican legal team in order to determine which of these avenues has the highest probability of ensuring project approval.
The company’s press release said that it believes the reason for the denial was based on misinformation. Still, Odyssey Marine did concede sea turtle mortality has been a problem for this region. Odyssey Marine elaborated that there will be further declines to endangered turtle species without effective measures.
A misfortune of a licence denial could confront any business involved in exploration. And the misfortunes facing Odyssey are rergrettably far from unusual.
Elsewhere on the bourse, there were notable risers and fallers too.
RISERS
Canadian Pacific Railway (NYSE:CP) gained 3.9% to $140 after it called off an attempt to merge with Norfolk Southern, saying it sees no clear path to a transaction in light of Norfolk Southern's resistance.
Yahoo (NASDAQ:YHOO) rose 2% to $36.76 after London's Daily Mail confirmed it is the latest party interested in bidding for Yahoo's assets.
Alphabet (NASDAQ:GOOGL) shares rose 1% to $765.23 after teh Google holding company was upgraded by Pivotal Research Group to "buy" from "hold" on optimism about upcoming earnings and diminishing negative impact from foreign exchange.
FALLERS
Norfolk Southern (NYSE:NSC) dipped 2% to $79.91 after suitor Canadian Pacific Railway called off merger talks.