Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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By the way, that piece on the gold price was posted by Bob Moriarty on his site - http://www.321gold.com/, and today, 31st March is the 40th anniversary of the day in which he made history with his daring stunt of flying under the Eiffel Tower (watch it here, https://www.youtube.com/watch?v=_txdqnVP3-c).
He is quite a character - from Wikipedia -
"Robert J. Moriarty (born September 9, 1946) is an American Marine F-4B fighter pilot who holds the record as the youngest naval aviator (at age 20) in the Vietnam war, achieving the rank of captain in the Marines at age 22. Before leaving military service in 1970, he recorded 824 combat missions.
He holds 14 international aviation records including the record for flight time between New York to Paris in two different categories. In 1984, at age 37, he was in the headlines for flying, on March 31 at 11:20, between the pillars of the Eiffel Tower (in Paris) aboard a Beechcraft Bonanza aircraft."
The Wikipedia page about him is a disgrace. It is correct with its account of his famous flight under the Eiffel Tower, but under "Publications" it fails to mention that many years ago he started 321 Gold, which is stil going today. Wikipedia censorship.
Just before I get to gold, may I bore you with more on "pence"?
After decimalisation, people (many, but not all) stopped saying "penny" and "pence", and said "pee" - i.e. 50p - "fifty pee" for "fifty pence", which used to be ten shillings, or ten bob, in proper money.
Other units of currency - a score, a pony and a monkey - but that's another story.
It's Sunday, so nothing serious but it might cheer you a bit - "PROOF THAT GOLD SHOULD GET TO $10 000!! and
SILVER TO $500!! (by 2028?)"
http://www.321gold.com/editorials/lodewijks/lodewijks033124.pdf
Unless you are in need of a bit of fantasy entertainment, I wouldn't recommend wasting your time on it. I've seen it all before - "Gold Going to Parabolic Top of $10,000 by 2012 – For Good Reasons by Arnold Bock, June 2010." and many more like that.
For those who don't know - gold didn't go to $10,000 by 2012.
However, I am coming round to having confidence in the forecasts of $2,400, $2,500 and even $2,600 in April, 2024 - the month that begins tomorrow.
Hang in there Mattyboy.This could be our year.Multi bagger on the way
I was trying to cheer up Crystal after my earlier negative post.
"98.10% loss!!!!"
Typical aim.
You are not alone.
But you can't lose more than 100%
But can increase 1000% or more.
''I notice that KEFI rates as a Walter Schloss 'New Lows' Screen(Bargain Stocks)''
No sh it Nimrod22!?
I've been invested in KEFI since 2016 and am currently sitting on a 98.10% loss!!!!
Thank you Grezzz.
Noel - Your explanation about pennies/pence sure does make a lot of cents!
I was slightly off in saying that " pence is British English and pennies is American English".
In Britain we do say pennies. "The little girl saved all her pennies in a piggy bank."
The British versus American issue is just when referring to the units of currency.
Anyway, when it comes to gold, Americans won't be talking about pennies. They will be talking about the price rising in dollars, and lots of them.
I never realised before that pence is British English and pennies is American English -
This page explains how to use each of of them.
https://thecontentauthority.com/blog/pence-vs-pennies
Thanks for that video 1755.
At 27 seconds - in 1972 the gold price took off just before a wave of inflation hit. That inflation was caused by war in the Middle East pushing up the price of oil to record levels. Yet again, there is trouble in the Middle East. Has the oil price yet to react to the restrictions on shipping in the Red Sea? Plus the situation could get worse. Yesterday I read that Russian warships have entered the Red Sea.
In the video, he goes on to talk about a rising gold price signalling an economic downturn. Hear what he says at 3 minutes about economic growth.
The US economy has a new, huge problem - and this is by Martin Armstrong no less -
"Francis Scott Key Bridge Collapse – Black Swan Event "
https://www.armstrongeconomics.com/world-news/world-trade/francis-scott-key-bridge-collapse-black-swan-event/
In that article - "Let me begin by explaining how crucial the Francis Scott Key Bridge was to America’s supply chain. Around 52.3 million tons of international cargo estimated to be worth $80.8 billion passed through the port in 2023. Around 4,900 trucks, carrying around $28 billion in goods, must be rerouted due to the bridge collapse. It is the second busiest strategic roadway in the US for hazardous materials. These hazardous materials include diesel fuels. Did you know that diesel fuel is not permitted to be transported via tunnel? Fuel prices will rise, fertilizer prices will rise."
- and - "Baltimore is the largest entry point for all large agricultural and construction equipment, and this will have a ripple effect across US agriculture in general. It has been noted that this collapse occurred during the peak of planting season for Midwest region as the ground has begun to thaw. Our entire food supply is at risk."
By the way, about penny and pence. Something struck me that I had never thought about until now - that we have two plural forms of penny - pence and pennies. I don't know if there any other words in the English language that have two plural forms.
There are one hundred pennies in a pound
When Americans get hold of anything at a very low price they talk about buying it for "pennies on the dollar".
We wouldn't talk about a share price rise of ten pennies. We would say it went up by ten pence. In a shop, we wouldn't say that something cost fifty pennies, we say it costs fifty pence.
Pubs used to have a "pile of pennies" to raise money for charity. Perhaps they still do.
I don't know whether this helps you or whether it adds confusion.
Does anyone know of a rule that explains when to use "pence" and when to use "pennies"?
Under my point of view the main driver for rising gold prices (and declining dollar purchasing power) is this one:
https://fred.stlouisfed.org/series/GFDEGDQ188S
So, gold must go upwards. It is inevitable and there is nothing we can do.
The only "healing" to slow down and reduce the "Debt to GdP Ratio" is by means of negative interest rates, that's to say: interest rates below inflation rates for a long time period.
But this kind of macroeconomic scenario is gasoline for gold, silver and commodities.
So, gold must go upwards one way or another, and gold miners price must do the same 3-5 times plus because of the leverage ratio.
Thank Noel, Nick-b, Great to be here.
Please, Keep on correcting my horrible English when necessary.
I've found this 8 min. video that could be interesting for all of us. Take a look because it tells about gold prices to come
https://youtu.be/BQBFQ7g1D8g?si=c-GOgGgGKudS4t8A
The main idea is: as had happen in the past, if gold price goes up then gold/silver mines must unfold 3-5 times gold price increase %.
That goes for allmost any gold/silver miner, but in the case of Shanta there are at least 3 other main drivers that, under normal course, will pump up it's price (with/without gold price increase):
1. Increase in ounces produced, YoY;
2. increase in reserves, yoy;
3. Superpit at Singida.
And Patel knows all about and wants all of that almost for free.
I wish I where wrong, but I think we must get ready and expect the worst case scenario becomes true.
And because of that, and taking into account the idea explained in the 3rd paragraph, do some research in order to find out other miners were to allocate the takeover money, because gold price goes to a bull market.
Cheers.
Probably because I don’t know what I’m doing! I got into Shanta around 5 years ago at 5p.I was hoping for over 20p in a shorter timeframe but we are where we are.Early days for KEFI so hoping for similar share price increase (or more)in a three to five year time period.Not interested in any income just growth.
LOL ... "should" ... welcome in the reality
Crystal. I notice that KEFI rates as a Walter Schloss 'New Lows' Screen(Bargain Stocks)
Crystal. What attracts you to KEFI ? Looking at their specs, it appears to be all jam/maybe sometime in the future. No revenue, no profits, and just enough cash to be able to buy a small terraced house in Grimsby (prior to the recent share placement to raise more dosh). The political stability in Ethiopia is fragile, though Saudi ok. There quite a number of Gold mining companies that are benefiting in real terms today from the recent price/oz rise e.g. HOC, CEY, MTL, PAF, RSG, SRB, & WPM. Other than maybe profits in the future, the only other positive is the recent director buys.
It’s put me right off miners on AIM.I ‘ve been in Shanta for a few years so not losing out,but this whole process has put me off.I have also taken a punt on KEFI.Wonder if that will pan out the same way.
"If the Patels get their evil way and this bid is accepted and the company sold" - they got it on the cheap and we lost out on our just rewards. I was in TSG when it was taken in a very similar way . It had a huge gold-rich property, high grades, low cost of production, it had everything going for it and just as came out of the development phase and started paying a dividend, someone stepped in, the board recommended the takeover and if I recall correctly, we didn't even get the chance to vote. That stunk.
If the Patels get their evil way and this bid is accepted and the company sold,is there any way we can find out what happens to the company in the future after we’ve been been paid and Shanta taken off AIM.I cannot understand why these funds are piling in at the last minute for a potential small uplift.If Shanta is sold on in the near future for a far greater sum than we were offered how can we find out. All seems so fishy.
Hi 1755, don't worry about it at all. Your English is very good. Glad to have you on this board.
Beautiful Barcelona.....lucky man.
Most of us only speak one language so you're well head of the rest of us.
So please don't apologise as your post was completely understandable.
But maybe your valuation of 70 pence is a little too much.
Cheers 🍻
.
In a bull market gold miner should be valuated a 10xPER.
This means that Shanta should be priced at $ 0.90 or 70 pences, not at 14.85 pences.
Gold futures $2,237Today 12:46
A full years worth of gold sales (105,000 ounces) from today at the current $2,200 gold price brings in roughly $230 million revenue and gross profits of $90 million.
The proposed 14.85p takeover price values the company's ongoing operations at $196m (£156m).
Assuming every fund invested is out for themselves and not acting on behalf of the board, the bid has to fail and the share price rerate higher.
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Absolutely; $ 90 M profit equals 9 cent EPS.
$ 9 cent x 0.79 = 0.711 pences.
That's to say, Pastel wants to by our shares at 2.1 PER.
I refuse Mr Pastel.
Have a nice day.
But what about when Gold reaches $ 2,500??
Profits increasing due to rising gold prices and strong demand. Debt free company
This year should be very good for Shanta and I expect slow and steady rise in share price IF the bid fails.
Been here since I bought at 10p last August. I could sell now and make 45% profit but I want to wait :)