Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Hopefully then in any further tie up between cey and Egyptian government on newly won concessions will be on more digestible terms?
Shaeteen are a strngely run company I researched almost 2 years ago.
With strong Government and Military connections if yo look carefully.
Wouldnt be surprised to see Naguib Sawaris funding the concessin or conceeions for a good return. IE a lot o dosh.
The location may not be a mystery Cowichan, but everything else is. It always has been. - It just goes on and on.
Giving newbies a tie up with the Egyptian government of royalties for 20% or less whilst cey pay 50% is just not cricket though?
Yes Sherlock, just giving other investors a little bit of its history :-)
Article dated June 30, 2020
Egypt has been trying to lure foreign investors to its mining sector with new regulations introduced earlier this year. They eliminated the need for miners to form joint ventures with the Egyptian government and limited state royalties to a maximum of 20%.
https://www.mining.com/egypt-says-1-8bn-gold-deposit-found-in-eastern-desert/
Egyptian House Of Representatives approves that Shalateen deal with the EMRA today. The locations are not a mystery but just how Shalateen will remain involved is another question. I can't see Shalateen operating outside the commercial framework the EMRA has finally established with the likes of Barrick & Centamin - so the question who will finance Shalateen's exploration? And what does Shalateen offer besides the physical location?
https://www.linkedin.com/feed/update/urn:li:activity:6860976021571821568/
The $ 60 million half year profit can be seen in the interim half year accounts.
Sorry my stupidity but where did you read the $60m profit for the first half? My second point below that you refer to was predicated on this year's earnings per share being quite a bit below the average eps of 11cents over the last 5 years when ave share price has been about 140, all best
Sotolo. The half year showed net profit of approx $60 million , which equates to 5.16 cents...if you simply double up then it will be approx 10 cents .. not unreasonable assumption, production should be up slightly in second half of year and gold price stable .
I don't understand your comments about earlier years .
I am pointing out that EPS this year of 10 cents with a current share price of £0.94 is an extremely low share price in comparison to years 2017 to 2019 when EPS only averaged 7 cents per year ..but the share price during those years averaged much higher than the current share price of £0.94
Hope that clarifies things
So does Candid or Sotolo need to sharpen their pencils, I wonder, but couldn't possibly comment!
Now where is that top hat?
Well Paul ""You might very well think that; I couldn't possibly comment!"
https://www.youtube.com/watch?v=Oz8RjPAD2Jk
Candid so this is based on you estimating net profits of $115m, (10c per share)? I am estimating rather less so when you say the share price was higher with higher profits, which seems strange, I think it is based on a rather optimistic calculation for profit this year so our share price won't be lower than previous tears with higher profits now, but lower with lower profits that makes more sense. Of course I hope you are right on your optimistic eps but can't see how?
Yes Mr Bond ----and hopefully we will start to get the production figures up sooner rather than later. I still have a feeling (HOPE!) that Martin Horgan will pull a rabbit out of the hat.
The start of Centamin going green. With additional battery storage it could provide power when its night. If the first solar wind farm is a success and its relatively easy to maintain, who knows they may build another one and be a carbon zero emitter a few years from now. Its virtually free energy after 3 years.
I over ran on my previous message ...the point I was making was that once the new year commences , the honeymoon period for the current management team will be over , and it will be solely on them to deliver .
I am reserving my judgement on them until they do
Paul, you forget that when production rises the profit rises.
Given Gold doesn't drop back to $1050 as was the case in the past.
But even then the company made a profit, even though it was still claiming back investment in plant from EMRA.
So realistically speaking CEY has far less to worry about than most. Having new prospects lined up,one would expect at lest another find.
Imo.
Just a few comments on the fundamentals
1. People including myself pay attention to absoloute dividends , because once they are given , they cannot be taken away , unlike the whim of a companies share price which can take it away in less than a day, albeit on paper only, if the share is held .
2. It does, however , need to be borne in mind that there is an opportunity cost of dividends paid out , in that the amount paid ..(in this year's case $105 million planned) is now unavailable to fund future capex. I think from memory , this amounts to $230 million in the next 12 months , which can be funded more or less out of cash profits, but that means that the cash dividend ($ 105 million) will have to come out of the $ 300 million cash held in the bank , these are only approx figures as I haven't gone through the numbers in detail, but the principle remains . I do though seem to remember the FD saying at the capital events briefing , that their estimates assume that the cash held will fall by approx $100 million ..which equates to the amount of the dividend proposed .
3. Yes the CEO did acknowledge the importance of dividends for shareholders, but that isn't the same as saying that they will be held at their current level , so don't get too carried away .
4. When I talk about the fundamentals being strong , that is on the basis that I estimate EPS for the current year will be around 10 cents ..it has to be pointed out that in the 3 years from 2017 to 2019 the EPS was only 8 cents , 6 cents and 7 cents , so this year will still be better than those by some margin , yet the share price in those years averaged more than what it is now.
Last year when the EPS was 15 cents for example , the share price leapt up to £2.29 very quickly , so once they can get back to the previous production levels and assuming that the gold price holds good , then there is no reason why the share price shouldn't move up significantly from here ..
Furthermore when you add in future gold finds , which based on the judgements of the geologists on this site is highly likely , then the outlook for future share prices is looking very favourable indeed .
5. A key point which might have gone unnoticed, is that the quarter on quarter unfavourable production comparisons to previous year has now gone through its full course .. From herein the comparisons with the prior year should now all be positive . In the final quarter of last year for example , the production was only 70,000 ounces, even using a conservative estimate for this current quarter production , will show a 50% improvement on the equivalent quarter for last year ..think how that will go down in the markets when that is announced ..it should though also be pointed out that the full year comparison will still be unfavourable , which might cast a shadow over the 4th quarter result.
One final point , when the new year begins, the honeymoon period for the new senior management team will be over, and they must del
Unfortunately even those with the best intentions and considerable investment in the company The Man on the train & Siko's contact) quite rightly trusted those running operations at the time in the company, unfortunately like us they were not given the full and truthful facts about the corner cutting and glossing over at Sukari, as questioned in two Kess Dekker articles , both of which where denied by Pardey and to be fair many of us gave him the benefit of the doubt rather than Kees Dekker because it suited us to at the time if we are honest, lesson learned I hope!
All I will say is looking back to earlier times in the Sukari history, such as during the court case license dispute, fuel & explosive issues/revolutions and on various other issues the man on the train and Siko's contact were sources of some very useful factual information that assisted many of us to remain calm during turbulent times and able to make our own rational investment decisions which are still proving to be very successful if we are honest, even with the share price pull back!
SteveJones,
True long term investors seeking out a good dividend yield return are a special breed of investor with an emphasis on current income, clearly, for a reason: they are retired or coming up to retirement or diversifying their portfolio into value situations away from total reliance on high-priced, highly volatile growth stocks. One-off dividends are of little importance, but if a company can demonstrate a consistent dividend payment out of post-tax earnings, that will encourage certain investors to buy, accepting the risk that the dividend is no guarantee of future payment especially in a cyclical stock such as Cey.
Boris Johnson wanted the clocks' put back to fifty years ago!
Jacob Rees Mogg wanted the clock's put back to 200 years ago!
Nigel Farage wanted the clock's put back to wherever they came from!
Well Mr T, as I have said previously, various sources, from "your man on the train" to the person who told Siko "good times are coming" have been worng, largely I feel due to previous management. We know about it so no point banging on with it.
I/we could be wrong but I feel Martin Horgan is a decent chap and is taking things carefully and getting things in place.
If he can reduce costs, then that has the same result profit wise as gold going up. If gold goes up as well then that is even better. I think things may go steadily for a while longer, then as a result of the new licenses and the remedial work to the plie of dirt we will get things moving faster. I have been re investing dividends and hopefully in the not too distant future this will seem to have been a good move.
So---fingers crossed and good luck to the LTH here,