Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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I don't think the hedge is the source of all our trouble lol. Remember in 2020 Hummingbird looked like a great business, gold was high at the time and they just had Yan and no debt. Sadly since then almost everything has gone wrong and most of it could have been avoided by really experienced businessman with experience in mining. Even one of the analysts notes quite rightly pointed out that other operators in Mali haven't had the issues Humm had that year, it was self inflicted.
We really need to find out how bad the cash burn is at the moment and what the plan is to manage any cash situation and also what operational plans tie into that. If this picture looks doable and well thought out this business is probably incredibly cheap. Unfortunately its been on problem after another for 2/3 years now so you'd be a brave person to bet either way.
I just feel there is enough incentive for everyone to find ways to support each other in this somehow for it to fall apart suddenly. Dugbe must be worth a small fortune with gold near here too !
I've been reading up a bit on CIG. They appear very confident in the longer term plan and more importantly Dugbe!
It just seems that Hum can not make a profit regardless of what's going on, let alone a problem with the mine. I don't think the cash burn will be too bad but the Debt repayments are hanging over our heads. It wouldn't make sense for the lenders to not be supportive but you never know. Either was pushing back the payments just means this will take longer to turn a profit. How long are we tied into that hedge for? If we could get rid of that then all our troubles would disappear.
Yeah sorry i was kinda writing shorthand. I meant 1m of shares. I'd really like not to hear loads of bad news tomorrow !
A lot more than 1 million shares... He took 1 million dollars worth at an average 11.25p comes out at circa 6.5 million shares
I'm gonna take a very hopeful view here. I think that between the NED having his 1m shares at 11p or whatever and the gold price being what it is you've got a very motivated team to work through this problem. We know Yanfolila is on track and is not affected by the walkout and maybe - just maybe - the cash burn isn't so bad.
Exactly how they are working through the problem i don't think we all fully understand yet but i can see a situation where it isn't so bad. I also will say i can't see why the bank would want to take over a company that's already struggling. It makes no sense to me so i'd say they might be happy to either postpone a bunch of payments or stagger them for the time being. Don't forget banks charge big fees just to re-negotiate things or enable new facilities which is why they exist - they don't want to take over multi jurisdictional struggling gold mining companies ( in my view ).
A raise is very possible too i guess but again i sort of doubt it for a few reasons.
Find out tomorrow - fingers very crossed.
Well, we know for a fact that Corica weren't performing as we'd been told about it since last summer when HUM got the fifth fleet in.
I personally think replacing them can't be any worse and I see big upside.
But possibly not imminently, as you suggest.
I'd love some 5p bonus tokens, fwiw.
Got my days mixed up. Thought the news was out today.
That's why I was asking. Normally I know what to expect, but this time I'm not sure. I believe they may have actually done well considering the main contractor walked off site.
It might be a silver lining if Corica weren't managing subbies well or hitting contract targets.
But then again, could this hit 5p if the numbers are bad?
Set low expectations to be pleasantly surprised by the upside!
Place a bet....like the rest of us.
Depends what is says but I think everyone has been conditioned to expect the worst with a sprinkle of Jam. On the other hand though, if the post period comments advise of commercial production then we'll be off to the races
Boost OR knock**
Any thoughts if it will boost of knock the SP?????