Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Think we see this one back towards 20p soon
Fallen a long long way and management seem to have got this in a fantastic position to turn it back towards the highs as the Gold spot price soars
Struggling to see any gold miner on the London market that isn't undervalued to some extent. At least, those likely to survive!
“…the company is massively undervalued particularly in a great gold price environment…”
https://total-market-solutions.com/2023/11/chaarat-gold-holdings-ltd-nov-2023/
Kapan now sold. It's full steam ahead at Tulkubash.
The Elephant awakens from its slumber! Chaarat's on the move.
3p?....must be very near the downrend low..
Great to see Martin is buying more shares. He's the man in the know. It's a shame the share price has toppled so low, but a great opportunity to average down and top up!!
RNS Out
Market missing this.
£5M funding,
Just need that Chinese deal at 20pps
No reaction on Friday and I suspect that it will be muted owing to the fact that there are now no producing assets - back to being an explorer. Will definitely react on the Chinese deal but this is looking less likely as time passes and Chinese companies are unreliable in my experience on the market.
Today's news on the CEO 'resignation' seemed inevitable given the recnt events.
RNS out
Sale completed.
Good news
RNS due anytime now.
This is so well under the radar many are going to miss out on the inevitable .
Year low hit today.
Shares are very tightly held.
Added more
Gla
RNS was not shown on LSE on Friday.
The Kapan mine sale for 55M dollars expected to complete this week.
Mcap is now hugely discounted so a great opportunity before completion RNS.
GLA
RNS out good news
Completion next week.
Should be a nice rise coming here guys
Gla
I've seen these chinese investments at premium prices muted before over the years and they don't seem to materialise. I was skeptical from the very announcement as the market seemed to be also, pricing the stock no more than around 12p at the time. Interims weren't very inspiring either.
So what now? Do CGH have enough money to continue? It's meant to be completing the sale of a mine (Kapan) also, very shortly, which will help cash wise.
It looks like some are cashing out. Judging by the share price, the market either:
1. Doesn't understand
2. Doesn't believe
3. Doesn't care
Probably all three. The deals stated need to be completed. At the moment the market sentiment suggests that the Chinese deal feels unlikely.
I doubt whether it would go to 20p but even if it just went to cash value (not considering the assets in Kyrgyzstan) it would be a considerable increase from here).
100% upside here to Nav
If the 20p Chinese deal goes ahead SP goes straight to 20p
Bargain for sure
Zak calling this excellent news
Comment: An excellent piece of news for a market which is obsessed by cash / liquidity, or at least the lack of it. One would expect the sale of Kapan to greatly improve the market perception of this company.
Sale RNS)
The potential rise on a deal being done is enough for this to be a decent 'punt'. If you believe in the management team, then the deal provides it with sufficient funding to turn this into an investment.
Of course, the market would then be ignoring the obvious in the fact that a serious play views the company as being operated by serious players - you don't pledge $250m to a bunch of nobodies. These people would have a pretty significant warchest with which to make deals - a much stronger position than they have been up to this point.
So, the market is currently discounting the deal on the table, i.e. it doesn't really think that it is goong to happen. Nevertheless, should it fall through I would expect a bit of downside.
But let's assume that the deal does go through with the stated terms.
If the market subsequent to the deal values the entire entity at cash (i.e. ignoring all gold assets) then the shares would be valued at 11.35p.
However, if the market values the assets at the value they held before the deal plus the new cash, then the share price would be about 15p.
So, if we ignore the potential for using cash in a value accretive fashion (this end of the market frequently ignores such a thing), we have potential upside of 3-6.5p just on completion of the deal.
I suggest reading the last update from a week or so ago. It gives an indication of the potential hold ups that are out of their control and unlikely to be met by the target date of 30/7.
On proposed Chinese equity investment at 20p?
Part of the News
Chaarat Gold Holdings Ltd on Thursday reported a swing to annual loss due to "challenging environment" in Armenia, as it appointed David Mackenzie as chief financial officer.
Shares were down 18% at 9.50 pence each on Thursday morning in London.
The gold mining company with an operating mine in Armenia, and assets in the Kyrgyz Republic reported revenue of USD92.3 million for 2022, down slightly from USD72.8 million in 2021.
It swung to a pretax loss of USD6.9 million from a profit of USD349,000, as operating loss was USD538,000 compared to a profit of GBP7.8 million a year earlier.
Earnings before interest, tax, depreciation and amortisation amounted to USD6.5 million in 2022, down 52% from USD13.5 million in 2021.