Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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About 4 months ago. Hoping all the bs is over and it will develop into a prosperous mine at some point. It is difficult to imagine what the next lame excuse will be but I'm sure the BoD will come up with something, they always do!
Me too for two years at 29p to start with and now at an average of 4.6p. Will not sell at a loss so intend staying until I am booted out!
I've been in right from the very start at30p & intend staying to the very end. but what end finally becomes is anyone's quess .
Totally agree greenghost. Just hope there's more like us left in here. Good to see some optimism.
there are a few of us AIMforprofit. A few factors that give me hope: 1. Name change, why bother. MNG must be sure they can make it work 2. AUE raised US$76 million via an equity fundraising and Shaeholders meeting - they are not going to ask for a vote to approve raised funds without convincing stats and a good plan. 4. Operation cost are high - good reasons given...these will fall with time as the company becomes more efficient. 5. Company received an extension until December 14, 2016 to its default waiver...why extend he life of a dying horse? 6. Mines are in operation. 7. Ebola is gone. 8. MLME provisional approval to mine in Liberia is now full approval. 9. Orders having placed for two additional PSA oxygen plants in 2017 Q1 - why do this if its all over??? I'll stop there.
Ha!
Probably
Am I the only one who finished reading the results feeling optimistic about the future?
You don't have to forget that there was a $5m write down on low grade stockpile which directly impacted AISC. So if you exclude those real costs were $25.4m which results in AISC of around $1800 rather than $2100 per ounce I expect Q4 to look much better something around $1200 per ounce which is not great but a good improvement, this should than gradually be decreasing to under $1000 which mgmt expects for 2017
your maths are ok the only thing wrong is this goldmine or should i say money pit. In the last year its been one problem after another with money disappearing faster than Lord Lucan. Most on here have had it with this mine (gecko, bryn and others are you still in) Next Q4 production 17000 approx. !!! last person out please turn the lights off
Highandmatt, There does not appear to be anything wrong with your maths, but the assumptions used may not be accurate. In the last quarter " the Company experienced periods of unscheduled plant downtime whilst plant modification activities were undertaken, which disrupted gold production in Q3 2016." We do not know the costs of these repairs and modifications. If they have got them right then hopefully they are one off payments, and will not be repeated in Q4. However, the Q4 production estimate is well short of the design capacity that you stated, so I expect that costs will be lower, but still on the high side. "Management now expects production for the fourth quarter of 2016 will be in the range of 17,000 - 20,000 ounces."
Someone please check my maths. I don't want this to be the last word!
So, if I've got my maths right, 14,000 oz @£2,153/oz = $30.4m costs/qtr. Revenue of $18.8m means a loss of $11.6m. That $6m in the bank isn't going to last long..... If I remember the design capacity is 30,000 oz/Qtr. This would give costs of around $1,000/ oz, and a profit. But it looks like we are way off that point at the moment.
"Since the restart of processing operations on 30 June 2016, the Company experienced periods of unscheduled plant downtime whilst plant modification activities were undertaken, which disrupted gold production in Q3 2016. Despite this, 221,360 tonnes of ore were processed during the quarter at an average feed grade of 2.92 g/t, resulting in the production of 14,392 ounces of gold." I don't know whether the low Q3 production, and high cost figures are distorted, but the Q4 figures may not be a great deal better, if production is towards the lower end of their prediction. "Management now expects production for the fourth quarter of 2016 will be in the range of 17,000 - 20,000 ounces."
Its a shopping spree today amid the latest news and depressed gold prices, is there light at the end of this tunnel?And oh ya the share price is down, I'm so confused!!!!!!
am i wrong but are these figures grossly distorted by the mid year shut down and the takeover and subsequent improvement and investment costs?
am i wrong but are these figures grossly distorted by the mid year shut down and the takeover and subsequent improvement and investment costs?
Is insanely high.... Gordon Bennett! Making almost $900 loss on each ounce sold!
Third quarter results and operational update.
this looks like a reverse take over to me!!
1.5p reached in two seperate occassions and it look like the bottom is 1.5p since we all know mng is issueing shares are 1.5p, hold on this should double quickly in the short term with a resistance of what mng paid for their last shares at 3.26p
Hgm and paf imho dyor of course
dead duck?
Yes plausible, in fact what most here were hoping for when the announcement was made that MNG would become involved. For myself the lack of communication from the "NEW" BOD is chipping away at that hope. Still now I know the bottom price there doesn't seem to be much I can do other than hang on. So far I have lost enough to make my eyes water but not enough to break me..
If I were MNG, with producing mines, and want to grow my business and still keep control of it, but attract more investment, to increase the value and liquidity of my company, I would look for a small, producing, and struggling public company that I could buy at a bargain (100M). Enter AUE. I would want as much control as possible (>75%) but have lots of shares available for investors to drive up the value. Then, I would take the rest of my private company public using AUE as the vehicle and of course change the name. Now, I would have a medium sized company with lots of potential, inviting more analysts to look my way. In a years time with all my mines (how many do they have?) producing between 150K-300K oz/yr? the companies value would increase, and I could do a consolidation to raise my share price to attract more institutional investors and the value would continue to increase. 2 to 3 years down the road, if pog stays where it is, my investment will be worth between 5 and 20 times what I put in. Yah, 2Billion potentially. Just my crazy whimsical dream. Plausible?