focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Https://twitter.com/goldseek/status/1788573561990295895?t=DR94q7J-wgQwdbhcdQUm2g&s=19
DYOR
We are agreed $3m cap on Smelter Royalty which you never mentioned . Why no just unblock me and answer direct ?
Why does RRR not forward sell smelter royalty for $1.5m to avoid dilution / giving away most of Greenstones ( our FASO subsiduary) to Sam or dilution ?
Answer I suspect after a 2 year dispute with Soma on the upfront payment in 2015 the smelter royalty will be hard to extract from Soma.
I can read and might know as much or even mord about RRR than you and have a more objective and balanced view !!
Do this board a favour and take me off filter so you address my concerns directly.
I am told that some people can't read or they can read but don't comprehend or can read and comprehend but like to pretend they can't so they can make important statements when really they have nothing to say...
From my post below...
"El Limon was a success for RRR, it sold out of a complicated asset that RRR did not have the skill set to develop. Para Resources/now Soma Gold still owes RRR $3mil"
So RRR is owed $3m, not $100m or some infinite number. Nowhere did I state RRR was owed more than $3m. For clarity $3m is less than infinity, just to be clear and all that good stuff..
DYOR
Https://twitter.com/goldseek/status/1788573561990295895?t=rAyEyz7yz4xhCG3hbdxIXw&s=19
DYOR
Cap is $3m on royalty.
Date of agreement 14th April 2015.
Royalty 3% for first $2m
0.5% on final $1m .
Let's hope the 2 year legal dispute on the $2M up front payment ( sale value $5m in total) is not repeated.
Logically Mr Bell should be selling this to Soma for say $1.5m up front today. It might mean there is a company left or just 4 billion shares not 10.
Would be a great move and send the SP through the roof.
Nike - best of luck with the recovery.
You really do seem a nice person and poster
To be honest you have made me reflect on my posts.
I genuinely hope RRR does well and SHs do well.
I'm only really here because of Helpful and might have saved a few on the drop from 1 pence 2 years or so ago. Perhaps no one else needs saving and we ( not you) are just arguing with no point.
Please elaborate
"RRR did not have the skill set to develop" So why did RRR get involved with El Limon?
RRR's actions, past and current, are baffling to me
As you once said Banbury, this is a "fun board" it's certainly an interesting one with some occasional good humour on both sides of the debate as well as some serious perspective.
The last three and a half weeks I have been allowing full recovery from an injury after slipping down some rainy steps after a sudden outpouring of the vapours. Nothing too serious and though still active wasn't going to the gym so had more time to be involved in the chat. Have been a reader of this forum for some time so even though I will soon resume lifting I might be unable to resist commenting or maybe I will save myself slight niggles from typing and try and maintain a decent posture a bit like an averagely decent tree.
In relation to your question, I'm no acorn - just an ordinary voter with slightly less beer money and a couple of pints in different pubs.
Net Smelter Return Royalty.
https://en.wikipedia.org/wiki/Net_smelter_return#:~:text=Net%20Smelter%20Return%20(NSR)%20is,owner%20of%20the%20royalty%20agreement.
DYOR
Https://finance.yahoo.com/news/soma-gold-reports-end-financial-090000520.html
"Total cash costs per ounce of gold sold(1) for 2023 was US$983, slightly lower than the US$1,002 reported in the previous year."
"Finalize plans to restart the el Limon Mill to process both excess ore from Cordero and ore from formalized small miners"
"This additional feed material justifies the restart of the el Limon Mill, which has been on care and maintenance as production scaled up. We also anticipate lower mining costs due to the transition from mechanized mining to the conventional raise stope method."
DYOR
Just for balance helpful
1 - Soma loyalty is capped not continuous.
2 - RRR had a horribly acrimonious dispute over the core consideration in 2017 ( let alone the royalty) this took a lot of effort and a few years to resolve. I'm not convinced Soma will easily pay. Bell has rotten luck ( remember the barrel of nipples) so history repeats itself with no.proper contract.
God knows what happens to the FASO gentlemans agreement !!
You will have to excuse Dukey, he can't help himself. He sold out of RRR and made decent money and then bought back in and lost money (all according to him). Subsequently, he has a vendetta against AB and anyone who says anything that is not negative.
He said RRR would not get the licences in Kenya reissued and he was wrong. He said that Musonoi was worthless and no one would buy it, he was wrong.
El Limon is not known as the Lemon because it is a nickname: El Limon means the lemon in Spanish, duh!
El Limon was a success for RRR, it sold out of a complicated asset that RRR did not have the skill set to develop. Para Resources/now Soma Gold still owes RRR $3mil.
As usual with his track record of being right, he maintains his methodology; he checks nothing, switches his brain off and his mouth on.
This is nothing to do with what I say, this is what Soma Gold is saying. Soma Gold is now saying restart of El Limon mill in Q3 2024. Soma Gold is saying 8k oz in 2024, 12k oz in 2025 and 16k oz in 2026. If you want to check, read the recent AR and their latest presentation.
The gold price is now materially higher than it was when the last royalties were being paid. The NSR is not based on AISC but the marginal cost and so the cost will be high $800s/low $900s per ounce. At a gold price of $2,300 and a cost of $900 the margin is $1,400 per oz. Multiply out 8,000 oz x $1,400 x 3% and you get $336,000. Nowhere did I state or imply that Soma is a game-changer but it takes a bite out of corporate overhead. 2025 is $504,000 and 2026 is $672,000.
In 2023 Soma produced just under 33,000 oz of gold, so they know what they are doing. They have stated that they have taken steps to reduce costs and it could be the NSR margin is greater than above.
If gold goes higher than the royalty will be higher, if it goes lower then the royalty will be lower. All of the above is down to Soma, nothing to do with RRR.
But as usual the trolls check nothing and prattle on because they have an agenda.
DYOR
Breaking out today for some reason now up $20 ? perhaps investors are buying into that early interest rate cut quicker than expected after all ?
No worries with the lower RRR share price, declining cash balance or that 'good news' has not arrived because RRR is in a "good place'
posters should now be looking towards the new shiny object being talked about.
A technical person arrives on site and can tell just by looking that there is a lot of gold (1million +), this is a very cost effective and fast way of evaluating a gold property. It eliminates the needs for sampling, drilling and assay results.
This is a game changer. Look for other companies, world wide, to adopt this new approach to gold exploration.
RRR is showing how it does things
Joint record low on sell 0.045.
Buys at 0.048 is record low.
I remember the arch conspiracy theorist H5o saying six weeks ago he did not think you could lose when it was 0.06p.
H5O wrong again- no conspiracies no shorting no financial shenanigans ! This is RRR lurching from one rainbow DRC to another Lithium and to another FASO.
All the eggs in FASO and the SP reflects the risk difficulties and complexity of that.
Helpful can and does post nonsense each and every day $3.5m per month to RRR from June by way of illustration.
The market and this board no its nonsense.
Nike - you have a lovely tempremant, and genuinely seem a nice person.
No hyperbole in your posts, merely trying to allways see the best in people ( on both sides of the divide here) and the best in the company.
You've posted for a while but in the last few months far more frequently.
Could I ask are you a shareholder and are you down on your investment ?
Nike, unfortunately El Limon was another massive failure for RRR, hence got the nickname the lemon. The price they actually sold it for was far less than what they spent, and also the final terms of the deal were far less than original terms. Helpful spins the royalty off as if it’s a game changer, when in reality it will be a few K a month ! Have a look at previous royalty payments !
I was concentrating on previous production and profit, the other variable is market cap - currently very small and currently without any production and profit.
Partly joking but how much does an acorn cost?
Dukey, that period is way before i had ever heard of Red Rock Resources.
...
NikeAir you are hilarious!
Andrew Bell is a useless Chairman who should have been sacked years ago. Trying to give Bell credit when if you take into account the 25-1 share consolidation in 2015 the Red Rock share price is really many hundreds of times smaller since those 2011/2012 days.
19th October 2012 - not 29th, regarding final year results / annual report including gold production - proftit for that and some general profit.
Well... it didn't stop someone buying the gold asset in Columbia - no theft is ideal but I await seeing how significant it was with appropriate detail.
The year in question remains a decent year with some successful production and profit re. Final results 29th 0ctober 2012 - year of enterprise ending 30th June 2012 after citing operational RNS on 11th October 2011 relating to gold production.
No worries Nike !
Gold definitely went missing from El Limon - Zumore might remember and can probably find where when it was mentioned !
The start of that interview about our over excited experience geologise report'' must be very bullish for RRR indeed'' so much so that 36 second of what the interviewer was asking was redacted ? I have never seen that before ? AB look almost embarrass and too gagged up by NOMAD and regulators to say how good 1m ounce of gold gold gold FKN everywhere is for RRR'' that he goes on to excitedly play it down ?
and for the life of me i cannot see why'' when RRR SP is already at an all time low'' but the don't FK it up'' was a big give away as to how much potential gold we have on our claim, without the deeper rock AB was talking about..
all we can do is watch it play out at option money INTO next month JUNE AND SEE HOW LONG THEY INTEND TO LEAVE US HERE to be trolled on a daily bases
Regards
Theeduke, you are referring to the RRR annual report of 19th 0ctober 2012 covering the year's enterprise ending 30th June 2012. This on page 33 of the RNSs on company website assuming ALL is not pressed.
There is no mention of any gold theft either in writing or in the figures.
There was mention of profits for that gold production, it was a good report and was another good day in the history of RRR. I appreciate there have been ups and downs.
Thank you Theeduke for helping me to draw attention to a decent annual report on what was one of the good days...
Says to me Helpful wants people to believe it’s all about bilbale is coming so they buy and he can sell ! If Helpful believed news was coming and good news at that surely he would be buying at these levels ? Wouldn’t he ? Or am I missing something ? Why are you not buying at the lowest share price the company has ever been ? But yet super positive ! As you know I’m not the most intelligent but think even I can work that one out 🤔🤥🤷♀️