Centamin PLC Share Chat (CEY)

Thanks Razor for your summary every morning,always interesting,best regards G.L.A.

European stocks were mixed in premarket trading on Friday as tensions between the United States and China continued to grow after US President Donald Trump signed executive orders forbidding American companies to do business with TikTok owner ByteDance and WeChat parent Tencent. On the data front, investors awaited German industrial production and trade balance figures.

The FTSE 100 lost 0.09% at 7:42 am CET. Meanwhile, the DAX rose 0.23% at the same time and the CAC 40 was flat at 7:41 am CET.

The euro lost 0.29% against the dollar to sell for 1.18428 at 7:45 am CET and the pound declined 0.10% compared to the greenback to go for 1.31291 at the same time.

Breaking the News / NP

Happy Friday y’al

Yes, it does look like a dash for the door! Has obviously seen better opportunities elsewhere.

Great result for Teranga in West Africa. Thse guys are very solid,if not consrvative operators.
https://www.mining.com/terangas-wahgnion-exceeds-planned-production-by-25/

best
the gnome

Hi Cowichan, Endeavour bunch of carpet baggers, full of promise possibly some time, wouldn't touch this outfit with a bargepole, glad they didn't get hold of Centamin if they had we certainly wouldn't be receiving a dividend any time soon!

"With the integration of the SEMAFO assets into Endeavour’s West African operating model largely complete, Benoit Desormeaux, former CEO of Semafo who was appointed Endeavour president upon transaction close, has decided to step down to pursue other opportunities..."

https://www.mining.com/endeavour-keeps-guidance-dividends-approaching/

Benoit Desormeaux joined as President in July 2020, following Endeavour’s acquisition of SEMAFO. Prior to this, he was President and Chief Executive Officer of SEMAFO from August 2012 – June 2020, Executive Vice-President and Chief Operating Officer since 2004, and previously held the position of Chief Financial Officer between 2003 and 2004.

Canadian gold miner Barrick Gold Corp (ABX.TO) is weighing moving its main listing from Toronto to New York, the company’s chief executive said, a step that would weaken its traditional links to Canada, according to a Wall Street Journal report on Wednesday.

Chief Executive Mark Bristow said the company was debating a move to the New York Stock Exchange

Strong bullion prices have boosted Barrick Gold’s shares about 65% higher this year, taking its market capital to C$70.61 billion ($53.17 billion). It trades on NYSE with the symbol GOLD.

https://www.reuters.com/article/us-barrick-gold-nyse/canadas-barrick-gold-considers-switching-primary-stock-listing-to-nyse-wsj-idUSKCN2512T2

Aug 5 2020 - The mining industry can help diversify revenue streams, create jobs and support wider industrialisation efforts -

"It is no coincidence that Egypt’s announcement came shortly after it updated its mining code, moving away from top heavy legislation that required extensive state participation in mineral projects. The result could be a billion-dollar windfall for the country – and that is just related to discovered gold deposits, not what still remains to be found, according to minister of petroleum and mineral resources, Tarek El Molla.

The North African country hopes to attract foreign investment through the industry.

The separation of mining from energy production is crucial, if the former is to prosper. The two sectors have very different capital structures, making it difficult to fit them into the same policy framework.

With oil for instance, upfront development costs tend to be lower. But it becomes more expensive at a later stage with transport, storage and especially refining devouring an increasing amount of capital.

A study by the Department of Energy of Allameh Tabataba’i University in Iran found that it took around $15m to establish an on-shore oil well in the sanction-hit country. Another study by the mining unit of KPMG in Johannesburg found that a new mine required at least $100m. Even the initial exploration phase, when prospectors actively seek out new deposits, carries a large cost with little guarantee of a return.

For countries that get it right, the payoff can be big. Saudi Arabia last year removed mining from a sub-department of its energy ministry, creating a new, separate mining ministry.

Albara’a Alwazir, economist for the Saudi-US Business Chamber, recently published an extensive overview of Saudi Arabia’s mineral resource potential. The kingdom wants to lessen its dependence on oil, and has an abundance of unexploited mineral wealth to help it achieve this goal, he told The National.

“Saudi Arabia is endowed with a significant mineral base which it plans to use for domestic production and to become an export leader across a number of minerals, including gold, "

https://www.thenational.ae/business/why-some-countries-are-turning-to-mining-1.1058887

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My Thoughts: Egypt typically looks to Saudi Arabia as a leader in terms of economic policy which in the case of developing its mining industry is encouraging

Rebess I wouldn't give up on West Africa and whilst I understand people being frustrated but when I was in the game the minimum gestation period from gaining knowledge of activity in a given area was about 5 years. So OK Centamin are a overdue BUT as I say a minimum of 5 years and those that were over 5 years in my experience pretty much turned out to be the most successful with far less early doors expensive mistakes.
I think we need to give the new team time to analyse what they have got and establish priorities and implement plans with specific timelines.

Hi Dasut - Yes, I'll go along with that line of thought. - It makes a lot of sense. - I really do hope that Centamin is involved in the bidding-round, or some other venture, recently commented upon, that removes the 'Single mine dependency' status and the threat it poses. -

Rebess something we all need to be aware of is that if there is an area or areas of ground on the list to be bid for that is of interest then they will be bidding. They won't be letting anyone know what they will be bidding for because in Sami El Rahgy they have pretty much the leading expert on Egyptian Geology.
Will it be local to Sukari not necessarily as any property worth bidding for will likely necessitate the formation in the long term of a new mine. The good news is that they already have in house local expertise and artisans and this is a massive advantage.

But will there be a liquidity issue as in previous months?

It just keeps going up. It's hard to buy after the sort of run we've already had, but there's no sign of the run ending just yet, so hopefully the counterintuitive will prove it's usual worth. It's given me a headache pressing that buy button though.

Sorry typo, SA predict

Hi spot
We'll soon know the answer. - I'm wondering if the 'mysterious' Allied might form part of the picture. - Just speculation of course on my part.:-)

I though to share it with you,

https://seekingalpha.com/article/4363863-why-stocks-still-upside-fall-crash-comes?utm_source=push&utm_medium=onesignal&utm_campaign=05-08-20-article-3

"Gold continues to look extremely attractive here. We may see a slight consolidation phase, but a transitory move beyond a few percentage points lower seems unlikely in my view. Once gold breaks out decisively above $2,000, there are no points of resistance, so I suspect a relatively quick melt up to around $2,250-2,500 before year end is likely."

GLTA,
Dan

Hi Rebess thats the way i read it as well.
Its been so long now with west Africa it should have been given the go ahead by now, this makes me think that they've got their eyes on bigger fish closer to home.
They've been working in partnership with EMRA since day one very amicably, so you could be forgiven for thinking that behind closed doors conversations must have been had regarding other areas.
Could be wrong but i just can't understand given the amount of years spent drilling in west Africa they've not pulled the trigger?

Looks like price is going north again.
New York pre market trading probably.
Very keen the yanks at the moment.

"Company continues to seek value opportunities in organic-growth and strategic-acquisitions". - I wonder what the stategic-acquisition refers to? - Could it be connected with the new licence-bidding? - I'd like to thinks so.

Hi Razor!
Yes, but gold stocks with a bit of a hangover following yesterday's wild party.
Not a bad one considering how much champagne was drunk. It will wear off in a few hours.

High of the day $2054.06

Yes Mr Gnome , good morning, or in your case night ,the divi in these times reigns supreme,that along with no debt,and the philosophy of new ventures as stand alone, after initial startup.And of course long life of mine
Pity more were not so wise.
Be interested in seeing what te MM's do to the price today,not that it really bothers me.
Have a great day ,everyone.

Shares on major European stock markets were lower in premarket on Thursday after several companies form the continent, including Credit Agricole, Siemens, Lufthansa, ING, Unicredit and AXA released their quarterly reports. Also, the Bank of England will announce its interest rate decision before the start of trading sessions in Europe.

The DAX lost 0.31% at 7:40 am CET, while London's FTSE 100 decreased by 0.64% at the same time.

The euro was 0.16% higher compared to the dollar at 7:41 am CET, trading for 1.18822. The British pound advanced 0.10% against the American currency, going for 1.31270 concurrently.

Breaking the News / MS

In Oz the mian source of the dividend streams has been the banks. They were worshipped by all manner of investors for years, if not decades for paying out about a 6% dividend regulalrly. Well that has stopped now, and will be al long time before it starts again, if ever.

So CEY on a 6% dividend is fabulous, and it looks sustainable in these times, if not expandable!

great days for CY true believers!

the gnome

Quite so Sotolo and Mr Bond, I am also holding on tightly!

So much uncertainty, but stimulus packages will keep gold high for now. China tensions and an uncertain US election. I am not selling in August, may consider selling a few at £2.50.