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Buster - not a ruskie - just a realist. I don't think the BoD have acted like clowns / made constant excuses ... what I see is a family who have invested heavily (I believe their average is around 250p) and not yet seen a return on their investment. Unlike other BoDs on shares I own, they haven't done some nefarious deal to collude with a new investor to maintain their share at the expense of diluting the other private investors, nor have they accepted onerous debt conditions. Instead they have taken a slower than hoped for progress ... but progress never-the-less and they are a consistent gold producer now.
This isn't getting the recognition it deserves, but when it does the Assaubayev's should see handsome profits on their 250p average price !
I don't think you give them enough credit. The PE ratio is ridiculously low but the company now is more than sound, giving a great return on capital employed. They've had problems but stuck with it and have overcome them. They haven't diluted minorities nor have they taken exorbitant salaries. Costs have gone down.
SToneFold, personally I would now like the CEO to do a presentation to inform the market & investors on their current plan to utilise the $40m investment. It should include when they plan to reach 1mtpa and the forecast gold production over the next 3 years.
It would also be a boost to investors to indicate when dividends could be paid and roughly how much.....although to be honest maximising gold production is paramount.
At the same time they could also discuss Teren-sai, the icing on the cake.
If Putin has given the loan then we all get stuffed . Putin could be on the board ? No one trust these Ruskies bunch of barbarians is Stonie fold a ruskie ?
Is retired banker a ruskie ?
Baldie has become like me a Deramper ?
Point is Baldie has had enough of broken promises and like me got used to B.O.D. .CLOWNS , excuses .
If share price goes up then everyone will be happy thats why we bought shares in first place .
Humble Pie for Tea would be nice with good share price !
Very easy to gloat Dof , lets see what happens next ? does the loan end in B.O.D. CLOWNS pockets ?
Lets go back in time very long time in 2010 ? Lots of promises ? Never happened , Cash went into directors pockets then sold out ? Dividend was talked about 5 years ago another way to attract idiots to buy shares , Like you and me .
My point was to put off more new investors to lose hard earned cash .
I have many shares invested from 2007 and countless other years making it a very crap investment my point is to warn any new investor of this company under performances ,
When the share price goes upwards I will be very happy to get my hard earned cash back , but given a choice now on these last 15 years it a big NO . That s hindsight but the market is a forward thinking mechanism My advice to anyone is to follow the trend as its your friend !
"Just bought some more gold shares but it def not this one ? I want a dividend ? I want to invest in a company that delivers"
Maybe Deliveroo is for you Buster?
bald_eagle, Sorry if I mis-interpreted the aim of your posts.
I thought that there would be a loan or something later this year but before the December bond repayment date.
When I saw on Friday that the status of the russian bond application had moved from planned to cancelled
https://cbonds-ru.translate.goog/news/1903119/?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en-GB&_x_tr_pto=nui
I assumed that it was MOEX that ended the bond listing as the application had timed-out, it did not occur to me that perhaps Altyn requested the cancellation as part of a clearing the decks process to secure a loan.
This financing agreement came sooner than expected at a lower cost than expected, so good news. Now I would like to see the resource update. In any case, Altyn is making progress without diluting shareholders, so far so good.
I think this is excellent news. Sufficent funding for the expansion and at very good rate.
Think today's movement will continue to increase over the next few weeks ... might even see a 1yr high above 140p !
Although, BaldEagle you will now have no doubt picked up on the long term plan to get Seki to 2mtpa with a second plant there, in addition to the one at TS! ??
6% interest rate seems extremely reasonable to me.....but of course I know nothing!!
Stonefold, I think you have me wrong. I am not a deramper....quite the opposite really. I just like people to know the facts......like they plan the 2nd processing plant for Teren-sai (although that seems a long way off now)
The fact that the auditor signed off the report with a qualification was as much a surprise to me as anyone. I'm still not sure how the news leaked out but confidence in the company took a hit. Hopefully we can put that in the past now and they can concentrate on the production plan.
I'm not eating humble pie....just pleased as punch.
I never heard anyone saying that a loan was imminent or that it would be easy to get. The Russian bond was off, the chance of a loan from UK financial institutions was zero (same for a rights issue). So I thought the only realistic chance of a loan was from 'the family'.
I didn't know that the Kazakh government was having to offer loans to replace Russian money....as it turns out it worked out very well. I would say investors are very lucky and I am very happy.
So my analysis was correct based on the information I had.....even the Dofmeister didn't disagree with me.
The company now have deliver on their plan....no more excuses....and dividends coming soon apparently, happy days!!
The question is will the production figures increase in line with the hopes and timeframe of investors?
bald_eagle on 24-07-2022
"...due to almost zero chance of a loan at the moment .."
Altyn on 25-07-2022
Behold our shiny new loan.
Humble pie for breakfast? ;-)
---
The issue the auditor stated in their qualified opinion in the annual report has been read and discussed by those interested, the prepayment has largely been converted into increased production. Derampers will have to look elsewhere for rocks to throw.
--
If this loan is converted into an increase in the operational mill capacity from 605,724 t p/a (q1 2022)
to 1,000,000 t p/a
then that 65% increase will be reflected in increased turnover
turnover for year to 31-12-2021 = $50m
The loan and interest should be easily covered by the increased cashflow, well before the end of the term of the loan.
Two other companies reported fund raising today at 12% interest and share warrants and risk of bond converting into shares. Altyn's 6% loan says that it is not viewed as being on the risky end of the investment scale.
"The auditor did sign off the accounts and has applied to continue in their role as auditor for the company. "
==========================================================================================
StoneFold, Just for clarity, what was the issue with the auditor that caused the delay in the posting of the final results?.....and why did the SP drop after the issue with the auditor was uncovered?
If the auditor signed off the results then they must have been 'happy'.....so why all the fuss?
Excellent news.....and the CEO even mentioned a dividend policy (again).
What was all the fuss about funding? They trawl the financial markets of the world and come back empty handed. Then they go to their local bank bramch and get a big loan at very good interest rate!!
No more excuses not to deliver 1mtpa within 2-3 years.....to infinity & beyond.
Outstanding result and credit where it is due. I expect Altyn has benefitted here as the Kazakh banks are being directed to take a more active involvement in financing key Kazakhstan projects due to the substantial loss of Russian capital, but frankly who cares how and why - its the money needed to move the development on, the interest rate is excellent and repayment over a 6 year term is comfortable.
The auditor did sign off the accounts and has applied to continue in their role as auditor for the company.
The interest rate they have now got for the loan is probably better than they would have got from bonds, worth waiting for.
--------------------------------------------------------------
Today's RNS
"Funding update
AltynGold plc (the Company) is pleased to announce that its application for an additional credit line for an amount of US$40m from Kazakh Bank JSC “Bank Center Credit” (BCC) has been approved by the bank’s credit committee.
The loan is repayable in instalments over a term of six and a half years and bears interest at 6%.
The loan will be used to expand the capacity of the processing plant to 1mtpa in anticipation of the expected increase in mining production at Sekisovskoye.
The signing of the loan agreement will be carried out after passing the necessary internal procedures of the Bank. The Company will update shareholders as plans progress.
Altyn’s CEO Aidar Assaubayev commented:
“The goal was to obtain the necessary financing at competitive terms and in the best interest of shareholders. After exploring a number of opportunities and an extensive due diligence period we are very pleased to update our shareholders on the funding approval. The proceeds will accelerate our growth strategy by expanding production and processing capacity towards our midterm target of 1mtpa. Timely execution of this ambitious plan should set the stage for a sustainable dividend policy.”
What was that, Baldy? LOL.......
With debt to repay and mine development coming from profits - due to almost zero chance of a loan at the moment - it seems that any chance of a dividend seems remote.
Capital gains requires that the SP increases from the historic lows we are seeing.....and that is due to confidence that the management has to restore. Having an auditor that will sign off the books is a 'good' start.
The BOD have about the lowest wages out there (CEO on $41k) and if you look the main shareholding family have been lending the company money in the past rather than taking it. Dividends can't be done for now as there are accumulated losses from the past, despite being highly profitable now, and the rules say you can't. So you can get capital gain instead as they build up the company, then eventually a dividend when profits exceed past losses (maybe 2 or 3 years). If you need the money you just sell a couple of shares and pay CGT at a lower rate than income tax. Hopefully with the current pe ratio where essentially the company makes profits of what you pay for the share every 1.5 years, capital gain will be coming.
Look even some one bought 2 shares , what on earth is that ? probably to risky and 28 shares that must be very risky or pushing the boat out ? shows no one trust these clowns at all ?
Just bought some more gold shares but it def not this one ? I want a dividend ? I want to invest in a company that delivers ?
Buy these and see your money disappear into the B.O.D clowns pockets ? They sit on their arse holes laughing all the way as we suffer years of drops !