Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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I've topped up this morning still crazy good value.
78% since my first purchase on 22/12/23, with an average of 39%. Although that may appear quite good, I'm genuinely puzzled as to why the SP hasn't risen faster. Listed as a Super Stock category on stockp.... with a low P/E of 3.8, and qualifies for 7 of the long term screens, which is an unusually high number. Still plenty of Gold available over the next four years. Maybe its just under the radar due to its small size?
Average gold sale price for Q1 was around $2090, that’s over $100 higher than any other quarter, average interest charges of $1 million a month since we started paying down the loan is a thing of the past, so that’s another $1 million a month adding to the war chest, with gold at ever higher record prices, we are in another league today, who knows what we will spin off this year? But I can honestly see $100 million free flow being a possibility, based on $73 million free flow in 2023 at a much lower gold price and paying interest on the loan, $100 million? let’s see.
....and Gold hovering around $2500 to start off the new financial year. On the starting blocks for Tuesday.
Considering the amount of debt paid off in the quarter, we may have just closed a record quarter (in terms of $ Gold Sales). Next big event will be the publication of Annual Report, at which time I'm expecting another move up. GL longs...
Certainly looks promising for MTL with DB at the reigns. Think I’ll add some more next week. That’s an interesting link regarding the mining in Philippine, appears to be so much un tapped potential, is it likely we will see big players coming into the area?
This board is fantastic thanks all the info chaps, have a great weekend. Let’s hope the blue days keep coming our way :)
Atm
Beautiful strong finish. I was so impressed with an interview I saw a few weeks ago that I bought some MTL. Wish I'd bought more and may add. Technicals look very strong. GLA
The last two are buys.
Nice to see the Bid running up into close, hopefully we have a breakout soon, would be nice to be in one that goes UP for once.
Have a good long weekend, all the best.
Accipter
Nice one mate, good info for us, might get an idea of the scale of things once more companies start exploring here. Only 5% of the estimated reserves explored means 95% opportunity to strike it rich.
Cheers for the link, I'll have a read with my kebab later.
Here is an interesting extract from July 2023 about mining in The Philippines. It would seem that there are lots of opportunities for MTL to expand their operations in coming months and years
https://www.austrade.gov.au/en/news-and-analysis/analysis/mining-in-the-philippines-a-new-chapter
“The Philippines is one of the world’s most richly endowed mineral resources countries. It is estimated to have about $1 trillion worth of untapped copper, gold, nickel, zinc and silver reserves. Only 5% of these reserves have been explored, and 3% are covered by mining contracts.
The Philippines’ mining industry is rebounding thanks to the Marcos Jr Administration’s mining policies. Metal production increased almost 32% in 2022 compared to the year before. Total export value for 2020–2022 was US$18.7 billion or 8.51% of the country’s total exports.
The Administration wants mining in the Philippines to adhere to responsible and sustainable mining practices. It wants to strike a balance between protecting the environment, benefiting local communities and supporting the government’s socioeconomic agenda. It is especially keen to rehabilitate mined-out areas and undertake progressive rehabilitation.
These developments send a welcome signal to potential investors and businesses interested in the country’s vast resources at a time when mineral prices are high and demand for critical minerals is strong.
There are 56 operating metallic mines and 7 processing plants or smelters in the Philippines (see Table 1). The Mines and Geosciences Bureau of the Department of Environment and Natural Resources predicts there could be another 190 mining projects in the next 4 years.”
That's my view as well ppp, I first bought in Oct 2020 and added twice, in May 2021 and Sept 2021 I have an average of 2.07p so am extremely happy but very content to hold and wait for MTL to be a much bigger co. in the future. We seem to have a top class leader in Darren. GLA.
My own opinion is that Darren is going to turn this into a monster of a company, he’s always said he wants mtl to be a world class miner and so far he has delivered again and again on his promises, the future looks very rosy dyor
That's great. So still worthwhile investing here.
Regards
4 years LOM, 1.29g/t average gold recovery, 80k ounces per annum making $80 million annual income.
$5 million to close the current mine at Runruno.
Hope that helps
Hi
I haven't the time at the moment but will look later hopefully. What is the life of mine currently and the wind down and dismantling costs etc?
Cheers.
Yes, Darren Bowden has stated that the BOD are looking high grade, gold rich areas that can be mined on a small scale to ensure good cash flow during the period while the Runruno plant is dismantled and transported to the Abra tenement.
Are we looking at purchasing an already producing mine before Runruno?
My main concern with keeping my long term investment here is the timing of the overlap. 4 years can fly by in this sector as we all know
Interactive Investor video from few days ago featured MTL and Darren. Our part starts at 5:10
https://youtu.be/D7efXCQ8TnI?si=vwHKk8rdCpHzuudv
Morning
Yes, the gold price is helping massively and I would hope DB will not go on a 'spree' with all this cash like a lot of other AIM CEOs (I don't believe he will). It's apparent to me that we are staying in the Phillippines, at least for the majority of our assets, so measured M&A deals that leave MTL with less risk and more reward should be the way to go. A few speculations here and there is to be expected (exploration projects), but the majority of deals will/should be with previously explored areas and with companies that are already set up/listed.
With the debt covenants removed, the balance sheet of MTL will start creeping up and the cash at bank will start catching up to or market capitalisation within 18 months or so (if the price didn't adjust with the growth in earnings we are now seeing). If it turns out that we have to pay RHL their 'interest', it isn't an issue as it's $1.9 million so it won't affect the company in any way other than peeing off DB, Candy et al.
RHL may then find themselves excluded from any future deals, so it really is cutting off the nose to spite the face if they want to get involved with any future expansions etc. $1.9 million really is a drop in the ocean at the minute so the sooner that itch is scratched we can close the book and move on.
I'm hoping DB builds up a large cash position as security while looking at M&A deals. Junior mining companies have a habit of massively over extending and coming unstuck so it would be nice to see one break the mould. No need for debt, no need for dilution, Runruno can fund whatever it is we need, and Abra will hopefully start adding to the coffers in 2025.
All the best
Totally agree Mac, couldn’t have put it better.
Debt free at record high gold prices, the chains are off, we are now sprinting ahead and the cash is already being banked today at $1000 profit an ounce, and we all own our share of that cash, very happy days.
Not sure what happened there . Should read "mid to late April 2024."
Mikehr1991. Welcome . There is an update mid to late December which should set the SP on another upward trend, followed by a vote around MTL's expansion in June. Most if not all of the LTHs on here can see 5p easily, the more optimistic can see 10p and beyond. If MTL becomes both a gold and copper producer then who knows?
Fantastic to see the clearing of debt yesterday, ahead of what even the most optimistic of us thought would happen. As usual, price reaction to great news is slow and steady here, but it will come in the weeks and months ahead.
Key point is the clear illustration that Q1 will be a terrific quarter. We have paid down effectively $19.8m (net debt at 31.12.23) and will likely finish with a bit of cash from the last week's production, notwithstanding the Easter holiday period. At an average of say $950 (update Lee if your calculation is different), production should be north of 21k oz. Whilst that's not a record, our revenue will very likely be and if gold stays in the region it is today, we truly are entering the golden age for MTL.
For those of us who have taken the long journey, our time has come, and for the newcomers - welcome!