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Dear dear SH. Not ready this business at all. Classic case of brain fade x sensitivity = ego.
DShox is also dismissing the Motley Fool's delist scenario. Like I said it is business as usual for POG. Deal will be reached at some point before the full year results, which are due now in 3 weeks. They changed the date last week from 13th April to 19th April. These little information is also important for me as it confirms that POG is running the business as normal. Also reach out to IR if anyone has questions. John is very prompt. May take a day to respond but surely he will.
Once the deals RNS is issued, it will go NT for 15mins or more to buy. Best to top up now than waiting for it. Just added more at 4.08p on the bell. Target 1.5M shares. Yes, increased my target from 1M to 1.5M!
POG and GPB will exploit the loopholes in these sanctions and will make an arrangement and that is why POG is still in talks with GPB as per yday's RNS.
Also see the POLY RNS, the same applies to us as well -
"
Sales of gold bullion in Russia have been restored to new counterparties on terms consistent with those received earlier. Domestic demand for gold is boosted by local retail investment. The recent Central Bank of Russia statement that the bank will buy gold from commercial banks at a fixed price of RUB 5,000/g (approx. US$ 1,800/oz at the time of the writing) is not expected to affect Group's sales price materially as gold continues to be sold at global market price, both for exports and to satisfy physical retail demand.
"
POLY just said "new counterparties" and "retail demand" for the sales. They didn't mention who the third party is. They also cited retail demand. I expect similar type of RNS from POG when the arragement is agreed with GPB. GLA.
Nice One Strike that makes perfect sense & obviously great news for POG..
Re Russian exports in Roubles
Russia trade surplus $110bn - Oil & Gas make up $142Bn of exports (Gold is $18.7Bn :-))
They are going to have to pay for their imports in something other than Roubles (probably) - which excluding Oil & Gas they are a net importer
Fun & Colourful info website with trade data
https://oec.world/en/profile/country/rus/
DShox, read this article please -
https://www.reuters.com/business/energy/russias-gazprombank-is-intermediary-rouble-gas-payments-putin-order-says-2022-03-31/
The key bit important for POG in the above article is this -
"Gazprombank can open such accounts without a presence of a foreign buyer's representative."
So POG can open a special account with GPB and noone knows whether that account is for gas or for gold!
Of course POG needs to RNS and they would just RNS in same way like POLY to say that POG has found a counterparty that is not sanctioned. Just like how many evade tax legally in UK by opening multiple companies and trusts!
POG that is why said that it is still working with GPB to restructure the debt. GPB would already have setup a subsidiary bank(s) which are not sanctioned(who is going to Russia to verify the subsidiary?) and POG will just pay into that subsidiary bank! POG will just RNS that they found a counter party just like how POLY announced yesterday.
I don't see it being a huge deal. A big optical and political win for Putin but practically, there's not much in the way of forcing a wholesale change in sanctions currently applied. Now if these transactions take place relatively smoothly, once its up and running, how long before grains including wheat switch and every other commodity export to undermine the dollar?
Strike, yes its good news but possibly for different reasons. This is specifically Gazprombank for EU gas purchases - which was unsanctioned for the EUs benefit ie it needs Russia's gas - and the currency used. Putin has basically said you're paying me in useless currencies that I can mainly only spend propping up my own, so now you'll now do that for me. You'll change your currency trader to GPM and deposit your EUR/USD in GPM accounts across the EU and they'll buy you RUB, which you'll then spend buying my gas. So suddenly its my currency that enjoys demand. Moscow is looking at this across other commodities including wheat and metals, which'll create more demand for its currency. For POG, the issue is UK sanctions on GPM and gold doesn't enjoy a carve-out. I believe the most noteworthy result of today's move is that the RUB could hold value without Central Bank support, which should surely force a change by the LSE.
from BBC -
The order signed by Mr Putin means foreign buyers of Russian gas will have to open an account at Gazprombank and transfer euros or US dollars into it.
Gazprombank will then convert this into roubles which will then be used to make the payment for gas.
...the market reaction suggests the details of the mechanism mean that, in practice, European customers will just have to change their currency dealers to Gazprombank. That bank has already been left unsanctioned, for the purpose of continuity of energy trade.
Interesting. Because the LSE has clearly taken a position that it won't respect the MOEX POG share price because it considers the RUB artificially inflated / overvalued as the Central Bank has been using foreign currency derived from gas / oil sales to support the RUB. This switch means the Central Bank could end its currency support operation and the RUB holds or appreciates in value in world markets. The LSE should be forced to recognise the massive share price gap between the two stock listings of POG in London vs Moscow. The other advantage to Moscow is that funds are available for other uses - such as extending the military campaign - instead of being pumped into buying its own currency. This should also help Western warmongers understand there's no value to egging on Mr Z to see more of his country destroyed.
I was just about to post about this!
That seems like a very GOOD NEWS for POG!
Gazprombank is the main lender for POG. Putin says that countries should open bank accounts with Gazprombank and other Russian banks to get gas supply from Russia to pay in Rubles!
This means that even POG can work with Gazprombank, which was the main issue for POG since last week and it looks that will be resolved.
Tomorrow should be a good day for POGers!
That bank has already been left unsanctioned, for the purpose of continuity of energy trade.
https://www.bbc.co.uk/news/live/world-europe 60923158
A different bank or different approach to sanctions from UK and EU?