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Resistance line at 122.5. If we can hold above that then this is looking good.
Yours in hope,
Wow !! Great stuff
European shares decline in premarket
Sentiment in the markets on Friday was unfavorable for equities before the opening bell on European exchanges. Investors were bracing for the outcome of the latest round of negotiations between the United States and the government of China for direction. President Donald Trump revealed he would declare a national emergency to obtain funds for the wall at the border with Mexico, a move which is seen escalating the political crisis.
Growth in consumer prices in China weakened to 1.7% per annum last month, the lowest level since September 2016, increasing concern about its health. President Xi Jinping was due to meet US Trade Representative Robert Lighthizer and Secretary of the Treasury Steve Mnuchin in Beijing.
Gold moved only 0.13% up at 8:38 am CET, selling for $1,314.45. The euro was 0.14% down at $1.12758 and 0.15% in the red at £0.88127. The pound was flat at $1.27958. The FTSE 100 stock index lost 0.22% in premarket, compared to drops of 0.53% in German DAX and 0.15% in CAC 40.
Breaking the News / IT
A good spot and even better news.
+ 0.13% + $1.71 $1314.34
High of the day $1314.70
Côte d'Ivoire... even'
Hard to beat a bit of excitement..
Happy Friday ya’ll
The M and A are a common way of "tidying" up the balance sheet of each of the companies, and getting rid of the dirty linen of which there is generally huge amounts. When you consider the value creating deals of the gold industry it defies belief
The 2013 Forbes article was illuminating in its capture of the stupidity of the industry
In total, gold mining companies spent $45 billion on projects and acquisitions since 2010 with another $15 billion of spending still scheduled, but gold output has declined to 17.4 million ounces from 18 million ounces in 2010. Deutsche Bank put out a report recently called “The End Of Big Gold?” questioning if the big capitalization North American gold producer model is “fundamentally broken.”
...rise of resource nationalism and tax grabs, accounting measurements that mask true operating costs, an overreliance on equity issuance to fund capital expenditures and acquisitions—and huge cash pay packages to gold mining CEOs that have nothing to do with share performance.
In ~2012 Barrick Gold, hired John Thornton, a former Goldman Sachs president, as a likely successor to founder Peter Munk, and put together a $17 million pay package for Thornton that included a $12 million signing bonus. Barrick’s stock has fallen by 56% this year.
Barrick, the giant Pascua-Lama gold project .... http://www.mining.com/barrick-pascua-lama-hits-keep-coming/
Newmont and its expansion of Yanacocha ...shelved $1b write down ....https://www.reuters.com/article/us-newmont-mining-impairment/newmont-sees-fourth-quarter-writedown-related-to-peru-mine-closure-costs-idUSKBN1422TU
2010, Kinross Gold purchased it as part of a $7.1-billion takeover of Red Back Mining in 2010, and then what happened, what was the ROI on that investment .....
The Toronto-based miner said on Wednesday it would take an impairment charge of $3.206-billion (U.S.) on 2012 earnings, most of it attributable to the Tasiast project in Mauritania amid soaring capital and operating costs that have hit the entire mining industry.That comes on top of a $2.49-billion charge on the assets a year ago. Altogether, Kinross has now cut nearly 80 per cent of the value of its takeover of Red Back Mining in 2011, which included Tasiast and Chirano, another mine in West Africa.
80% WRITE DOWN F THE ACQUISITION COST...$5.6BILLION....
If Centamin can learn from the gross stupidity in the industry, and NOT repeat this they will deliver fabulous benefits to sharehodlers and stakeholders. Focus on what you are good at, do not follow trends (especially in the gold industry!), watch your cash flow like a hawk 24/7, invest capital wisely amke sure you build upa solid understanding of hte xploration potential aroud your own mine as quickly as possible and do not jump into jurisdictions and cultures of which you know nothing..because everyone el
Newmont will acquire all of the outstanding common shares of Goldcorp in a stock-for-stock transaction valued at approximately $10.0 billion.
This compared to Goldcorp's pre-impairment book value of its shareholders' equity of $13.9 billion, resulting in a difference of $3.9 billion.
The non-cash impairment was recorded entirely against the carrying values of Peñasquito, Cerro Negro, Red Lake, and Éléonore; and related to historic acquisition and construction costs of these mines.
Poof! 4 billion dollars wiped from the books. Gone just like it never existed. There has been so much mismanagement and its resulting capital destruction in the gold mining industry it's a real tragedy.
While we lament and wonder why it's taking Centamin so long to grow production we can take comfort that perhaps our management team moves slowly to avoid making the same mistakes.
I see the Brexit debacle continues, not sure how the pound is standing up so well! I think the Scots and Welsh should head for the hills! LOL certainly entertaining. Its gettting harder to make movies which compete with real life these days !? Add in the US, walls, ... and we even have our own swamp animals marching off to an election down-under, the usual bottom covering and wads of fake news, ... with our growing of the most water intensive crop on the driest continent emptying the only river system we have, an unhinged energy policy that has never worked, our high speed internet roll out which will be obsolete by the time it rolls out and its a laugh a minute.
But more seriously good luck to all, things will improve after intermission !
There is no legal compliance angle to site visits that I am aware of, but they are excellent venues for increasing awareness by the investment community (shareholders and stakeholders), of what is really going on in a company, at least in an operational sense. So if done well (and you do not want to fail), then the analysts should be far more critically informed as to the viability, SWOT within the operaiton, they should be able to appreciate bottlenecks, where things have gone wrong, and who they are bing fixed etc. The analysts should be completely independent and should have done thorough in-depth preparation so they can focus on the key issues and probe until they get to the bottom of the mission critcal issues. So it is a transparancy, confidence and trust building exercise. It looks like there would be a good exposure to the operaitonal management, and hopefully staff, and even attended by government, esp given their role int he operation and they are stakeholders of note..
As we all know, figures and written comunications can be misleading.
I note the action on the share price was a little different today, more positive.
Good times ahead, and hopefully the issues which have caused a loss of SP value are obviously mitigated or being mitigated/managed. Be interesting to see the analysts reports whih should hit the invesment ocmmunity in the next few days.
Good luck to us all.
Egypt’s parliament began debate Wednesday on constitutional amendments that would extend presidential terms from four to six years and could see current President Abdel Fattah al-Sisi remain in office until 2034.
The 26-page draft proposal of 22 constitutional amendments will need to go to committee then be voted on by the full parliament before a national referendum can take place, Egyptian state media Ahram Online reported.
Currently the constitution allows for only two terms of four years each. If approved, the amendments would reset the clock for Sisi, whose second term ends in 2022, and allow him to run for two more terms.
“This crisis left the country severely divided, not to mention that it posed a grave threat to the nation’s internal stability,” the draft proposal says, according to Ahram Online. “There is no doubt that the proposed amendments come as a response to practical and legal needs which all obligate that some articles of the existing constitution be amended.”
+ 0.55% +$7.92 $1313.70
High of the day ‘1313.81
Hi - What is the purpose of a site visit by analysts? - Is it an initiative undertaken by the company who's site is being visited or is there some sort of legal-obligation connected to such visits?
+ 0.43% + $5.81 $1311.68
High of the day $1312.69
Gnome I completely agree and hope 25/2 will answer the questions BUT this presentation is for analysts who are visiting when the company is supposed to be "closed" so what's the point?
OK I always gained a great deal from site visits as it tells you a great deal about how a mine is run so if the analysts are able to ask the questions we would ask and get answers then all well and good BUT if they are "closed" then not sure of the timing of the visit.
We're half-way through the 1st Qtr. - I wonder how things are going? - It would be useful to know wouldn't it?
Why won't they tell us like they used to? - I'm still on my guard with this lot. - I mean, a 40% hit takes some forgetting, irrespective of dividend.
Europe mixed in premarket as US-China talks resume
European stocks were mixed in Thursday's premarket trading as high-level talks aimed at resolving the trade dispute between the United States and China continue today in Beijing. US President Donald Trump said yesterday that the deal between the two countries is "going really well," while it was reported that the US president is thinking about extending the deadline for imposing new tariffs on Chinese goods by 60 days.
On the earnings front, a number of major European companies reported their results earlier today, including Airbus, Credit Agricole, Commerzbank, Nestle, Credit Suisse and Renault.
The FTSE 100 was 0.14% lower in premarket, while the DAX added 0.27% at the same time. Meanwhile, the CAC 40 gained 0.33% before the opening bell. The euro was 0.15% higher against the dollar to sell for 1.1283, while the pound increased by 0.16% versus the greenback to change hands for 1.2868 at the same time.
Breaking the News / FH
+ 0.15% + $2.01 currently $1307.94
High of the day $1309.44
Good presentation, but could be better. Investors are looking for clear view of cap growth and dividend sustainability of forward estimates. If there is a large % of shareholders invested to go after the long mine life AND the 8.4% Div, then there should be an effort to report succinctly on factors, be they best estimates, on what, the free cach flow is ...perhaps I missed this...and hence div...I am not interested in hwo many kilometers they from the closest tourist resort.
Then give out the detail that allows one to clearly understand how they are deriving these interpretations.
It seems like so many miners, they get lost in the technical buff, and go off with endless detail in a language that is difficult to understand. Mining is a business. Lets get down to business. The social sustainability s a good read and investment.
So if I read this they are expecting 137,600 ounce at a cash cost of $650-700 per ounce, sold at perhaps $1300 to generate free cash flow of about $80-85 m. They had cash reserves in Sept of $290m, so they have the div policy and the cash reserves to pay out a decent dividend and give the faithful shareholders who withered the unexpected storm from some mediocre management and concomitant 40% decline in share price.
Be a great boost to shareholderes lost reserves, and to faith in the future of the company and share price ...
They are closed until 25/2 yet they have analysts visiting today and tomorrow who can from the sound of it only be fed old information.
Must however say that the presentation that the analysts will be receiving is very good and well put together.
Hopefully what we hear 25/2 is consistent and the reserves update brings us some welcome news including something positive from WA.
I think we should hold back on commenting regarding the heresay because a little information can be misleading.
The company that I worked for were criticised on placing a Nigerian into a senior role in East Africa, a Ghanaian also into a senior role in Nigeria but this was a strategy that reaped benefits as we were able to get government departments on board with cross fertilisation of knowledge and skills, opening up people swaps for given periods of time. This unlocked and improved promotion opportunities and the transfer of skills.
I don't know how Cey are playing this but wouldn't be surprised to hear that some West Africans are working at Sukari, if this isn't the case then they are missing a trick.
Looking forward to 25/2? I hope so.
I raised your points with a contact I have and they were of the opinion that there are some mistakes in what your stating re Burkina.
They couldn't give any answers as we are currently in a closed period until they announce the FY results on 25 Feb.
They suggested that as there will be a conference call on the day of the results (25/2/19) that you raise these points with the management representative on that day?
Thank you ton-fra-cen for your news!
I have heard via a past reliable source that 2019 is going to be a good year for production.