Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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This is low cost mining, oxide which is easy to process, no expensive mines, very little automation, very cheap labour. Profit will easily be $1,000/oz. Yes its small scale even with the third stamp mill but its about developing a mining business.
Exactly InvestorPA - Not deramping here. Just simply addressing the key pieces of info that have been omitted from the RNS regarding the potential profitability of this project in a reasonable manner. My opinion (which is going to be different to others) is "this doesn't excite me in the slightest".
Anyways will leave it there and hopefully more info comes to light down the line as revenue figures are meaningless here.
Agreed Tray556. What is the AISC? No doubt this will be pumped by the usual suspects on Twitter and Telegram as it's got a low mcap but we'll have to wait and see what the profits look like.
This thread quite interesting as I found some of the RNS a bit puzzling .
https://twitter.com/Ben_Turney/status/1766024080514269428
Upping production and adding plant is a sign that there is revenue and profit . Across multiple areas/claims.
The cash from the raise along with new detection technology is proving positive.
Stop the deramping of your own investment and back them !
Nothopeful, the Company has designated four priority prospects at the Hillside Project with a view to discovering larger-scale gold deposits that are suitable for modern bulk mining.....Hillside potential is massive and this move today is the first of many great moves...... just the beginning .....many people will be buying today as it an exciting phase in the company and they have the backing already ....millionaire /billionaire backing.....which makes this company very exciting and great progress is being made now which is fabulous to see
Revenue is pretty much irrelevant here. What is left after costs i.e. the profit element (or at least some profit projections) of the venture is what matters.
The RNS does state "Current revenue at Hillside amounts to around $30,000 per month and the operation there is already profitable"
The question here is how profitable? Is the profit margin 1%, 10%, 20%, 50%? That is what matters and there is no info in the RNS regarding this. I can only assume that the profit margins are nothing to shout about, otherwise it would have been included in the RNS. But like I said, I can only assume do to the minimal info in the RNS.
Nice to see what appears to be positive progress. However, there will be directors in the new Zimbabwe subsidiary that need paying. Hopefully the additional overheads won't dwarf any benefit.
Ria20, from the RNS earlier today it states that the company is taking over an existing mine, surely they would have undertaken due diligence before entering into the takeover. The company must know how many oz were being mind and the costs incurred to generate the oz. As a shareholder I'm pleased that progress is being made, but until the costs are disclosed we are in the dark about profitability, surely you must agree with this ?
You might want to take a look at this and read to give you a good background on the company and why it is a buy
https://twitter.com/Share_Talk/status/1766051809037070375
Tray556 is your bank balance in profit and if so, does that excite you ......are you spending it on a monthly basis and are your daily costs too high or are you banking healthy gains every month?. Do you give your partner RNS on the revenue you bring in ....have you got a good venture and profit in the work you do?
We are talking about mining and first gold production and you Tray556 you want profit and costings ....wow......Rome wasn't built in a day pal.....but everyone to there own and i guess you are not invested in here neither. Only saying.
I've got to agree with Tray556, the RNS only states revenue.......... What about the costs or running the machinery? Hopefully there will be further disclosures fairly soon. Anybody that watches these mining shows on discovery will tell you the costs in fuel and machinery are very high.
I never said "there's no profit" and I never said "30% profit is irrelevant".
I simply said its all about the profit margins and this has not been outlined in the RNS in the slightest. I would suspect the business have a good idea on the profit margin too for this venture (I would hope so if they wish to scale up!) so why hasn't that been discussed in the RNS?
The revenue stream could be £10mil a day. If its costing the business £11mil a day to get that revenue in, then its a waste of time. Hopefully that's not the case, but without the necessary info, the RNS tells us nothing.
Until I see profit margins, I cannot get excited, that is my point.
Today by First equity anyone seen it this morning?
Unsubstantiated tripe from Tray, first saying there's no profit, then a 30% profit is irrelevant etc etc. WTF post that rubbish.
Also to add - if you are invested why talk Down your investment.
There have been x2 excellent rns this week !
And the revenue coming from The Nara project 0.63g p/t … that alone is the mcap of the company.
Nobody is claiming that the revenue they've just announced from Hillside will cover all of Kavango's corporate costs - that's a ridiculous strawman to shoot down and claim the RNS is a dud.
What we have here is the beginnings of the Zimbabwean projects producing some revenue. Sure, not all the $60k per month revenue will be profit - I'd guess half maybe? But the point is that they now have a project that is contributing towards the balance sheet, for the first time ever. This is just the first revenue stream at Hillside, with more to come there, the other projects (Nara in particular) also looking promising, and we're told they have a list of other possible projects they could add too. Kavango is changing their model so that they can keep exploring the licences in Botswana without needing to keep tapping the market for discounted placings with warrants. What they've announced today is that they've managed to get some revenue coming in, faster than anyone foresaw.
As I say: Don't shoot this down as completely dud because one announcement doesn't cover all of their corporate costs. That's not what this is about.
Tray556 do you buy gold yourself?.....cause gold prices are on the increase and KAV just starting at hillside .....just the beginning of great things to come pal
$30,000 per month / £23,000 per month which is just the revenue element.
The profit figure hasn't been mentioned which I would suspect after costs is very little at the moment if it isn't worth talking about in the RNS. Yes KAV looking to scale this up, however, its the profit margin here that matters. We can all bake a cake and sell them for £20 but if its costing us £19.99 to make the cake, then its a total waste of time.
Even £10,000 profit a month from the venture isn't going to cover Ben Turney's ridiculous bonuses I'm afraid. The RNS doesn't excite me in the slightest.
Have you not seen SNT ? 😎
Https://www.bullionbypost.co.uk/gold-price/1-year-gold-price-chart-ounce-gbp/
On the leaderboard this morning. KAV is moving up swiftly and mms ready to lift higher ......Fabulous RNS ......Exciting times ahead and gold prices seem they are also going to new heights too this year.....which is great for KAV
Https://www.share-talk.com/rns-hotlist-with-zak-mir-coin-maru-kino-kash-tgr-kav/
media coverage JUST STARTED now KAV on Daily RNS HOTLIST
Volumes 5 times daily average buys outstripping sells and MMS ready to lift we should motor up fast past 1......fantastic start and opening 1hr 30 mins of trading this morning