Our latest Investing Matters Podcast episode with QuotedData's Edward Marten has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Eagle
I am no accountant so i stand to be corrected,but free cash flow of 320m are you sure
Sensible stuff. As so often happens these days the share price drops excessively as the stock goes ex. I sold about 75% of my holding in the last few days at just over 100p so very happy to buy it all back today and get back more than the div. Happy days. Can't see this share staying so low for long... And the next div of 5c isn't that far away... Can't lose!
Thanks for sharing Tornadotony, food for thought.
Thanks Tony for your thoughts and calculations very appreciated.
Roll on 1900/2000 USD per ounce.... far to low SP unless I am topping up
And hopefully CEY are conservative with guidance but start to exceed mmmm
Hopefully, some good news with licenses soon and maybe an uplift
bests to all
Apologies for the odd typo in previous. One day this site may allow corrections.
1. A significant history of accumulated waste has been stripped out. The first two quarters removed nearly 9 months of previous waste ore not processed.
2. A significant amount of waste ore at 0.47g/tonne was processed. Again fixing the roof as the sun shines.
3. A solar farm contracted that saves $13M in costs per annum. This equates to $30 off AISC costs per year. After 5 years all the capex costs are recovered. The company reduces its carbon footprint.
4. The company is keeping to its targets on production and AISC costs for this year. Future two years give a 7% growth in production per annum and 10% compound savings on AISC for 2022 and 2023.
5. The company has assets to sell of around $40M (Batie West) and on the basis of measured resources in Doropo has $4.8M value of in the ground NPV. It has a future post 2023 potential of $234M at $1450 gold price that may be added in as offset to Sukari mined out material that is not replaced so helping keep a sustained share price value.
6. The west wall drilling which starts again in late Q4 has 2g/t open pit resource of up to 90,000 ounces that facilitates the nest two year growth targets and is far higher than the current open pit drilling that is not from waste is 0.7 g/tonne.
7. The Sukari underground mine plan is to be delivered in late Q4 say to give a post 2023 outlook on production. Investment in Q3 and Q4 exploratory drilling has received a budget increase from $5M to $17M which is likely to yield more ounce and value for Doropo and Sukari underground.
Overall, this is quite a robust stock to invest in and has quite a lot going for it. At a gold price of $1600 in 2022 for example, should earns $96M after profit share or 8.3 cents per share or 90p target price at 15PE on £1.38 to the pound. The value increases 22% for every additional $100 gold price so $1700 average gold gives 109p at $118M earnings and 128p is the $1800 average gold price.
Eagle,
I didn't say anything of the sort. I simply suggested that if you were referring (By your comment 'Unsurprisingly we have posters who've just come up and make weird price drop predictions') to Wildtigers comment on the SP, (85p or some such) that Tigers opinion may be based on the Liberum price target, rather than just having made a price drop prediction.
I agree that the current SP is bonkers and makes no reflection of the future.
Almost a year ago cey was at it's high of 223p and now it's at it's yearly low at 95p. Where to from here one wonder's?
A really interesting, if somewhat scary read. I do wonder when these particular birds are coming home to roost. What, if anything, can be done to change the situation, or have we already crossed an invisible tipping point?
And the next question I guess, as an investor, is what can I (we) do to avoid the worst of the fallout. Diversification of investments into scarce assets?
Not really when you take out the divi- broadly in line with all other PMs as has been the case YTD.
looks like that poster got their 95.
what a pumelling.
Today on inflation and POG etc
https://www.goldmoney.com/research/goldmoney-insights/inflation-is-a-monetary-curse
Eagle86, if you are referring to Wildtigers 85p comment, it's only a guess but I think that prediction may be based on the Liberium Capital SP target of 82p. I didn't believe it myself and bought in above the 100p mark. Out of spare capital at the moment, but will certainly continue topping up if the SP stays this low or continues to drop.
Mr Graham would surely remind us that this is just Mr Market suffering from a phase of bottomless pessimism?
Rebought back my end May 2nd Jun sales at 117/118. Gold price will rally into Xmas, despite the taper tantrum (overdue but may be deferred by 6 months due to slowing economy again.
GLA all.
Life is a gamble.
Broadly in line with all other PMs, as it has been all year- unloved sector currently. The concern for the sector is QE will taper which is guaranteed and interest rates will rise although not for some time.
@goldgnome - fair enough my friend, I don't disagree
Mando
I suggest there are other more important matters to watch. I would also suggest that trying to predict the momentary variations in the share price of a company, is ... well its gambling
There are better plays in town, but they may take a bit longer ...
US jobs today? US jobs tomorrow?
Can I suggest that gambling is a bad habit and in these days of ridiculous noise in the media, ... there maybe better pursuits and strategies...
the gnnome
I think everything is a bit flat today awaiting the US jobs report due tomorrow. US GDP figures just had a miss so I expect possibly some return to safety investments and gold. Just my opinion.
I’m in with quite a chunk at 100p. Can’t help but think there is real value here. Looking for a top up point if dip continues - very surprising to see it lingering below £1 thought ex divvy wouldve shot it up. Needless to say, not in any hurry to sell, just excited to see the value….some day ;)
The often! "Extraordinary popular delusions and Madness of crowds" was written in 1841, and what a ripping read it is, but more importantly it suggests how little we have learnt, and there is more.
" We find that whole communities suddenly fix their minds on one object, and go mad in its pursuits: that millions of people become simultaneously impressed with one delusion, and run after it, till their attention is caught by some new folly more captivating than the first."
..and off they go....
Be it a virus, be it a rumour, be it crypto's of a certain flavour, or the odd tuilp of a certain color!?
"Some in clandestine companies, combine
Erect new stocks to trade beyond the line
With air and empty names beguile the town
And raise new credits first, then cry em down
Divide the empty nothing into shares
And set the crowd together by the ears
..Defoe
and it all ends in tears,
savings of years
...the gnome
It is peculiar to me as to how the crowd washes around,
chasing flavours, and saviours,
and then feeling frightfully let down
Great time to accumulate for the long termers ....
best
the gnome
Nice point to buy for the true believers in Gold and CEY!
Thanks Som.
PosGo of course is a part of the Indonesian Post-Office system. - Indonesia POS - It's a service widely used throughout Indonesia as a banking system. - Thank you for replying.
XD today. Well at least you will now receive a 2.9p dividend in the not too distant future to make up for the pullback this morning. Hopefully we will receive a meaningful update from management very soon.
Hi Rebess, I live in Phuket and sadly no, I haven't heard or know anything of PosCo. Lol perhaps not a surprise, I am a complete beginner as far as crypto and don't anything about them. Sorry.
Re my request - link to posgo - https://posgo.id/
Many thanks