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I've kept an eye on Vast for some time. With the substantial drop in SP I thought it was a good time to invest a few months ago as copper play. I am in no doubt long term the price of copper will stay at these levels or increase and therefore BP looked like a good investment with other mines in Romania in the portfolio.
Over the past few months/years it looks like BoD are trying to put their fingers in lots of pies rather than being hands on and understanding how to make one!
Even so they look like they have had some success at BP with price of copper and mine reworked turnaround. It's now about future figures and reserves.
On their new venture I hope they have more success here than previous operators as otherwise this will be a drain on income coming from BP. Even so I think BP should generate significant cash flow and if they are able to turn this around could be a seriously good investment long term.
Just my view on current position of Vast.
Based upon current finance arrangements being agreed I expect SP north of £2 in two years time. If for any reason this is not agreed and have to use Riverfort finance this could lead to substantial dilution in shareholding and therefore I have a revised target which is still multiples of current SP. People forget there are already finance contingency arrangements in place.
The fear factor has materially affected the SP here and once profit is confirmed next year there will be a rerating of SP.
I personally wouldn't be adding any more to my shareholding. I'll wait for confirmation that interest has been paid or if there is other news. Company has rescheduled payment on more than one occasion. Hopefully gold pour has occurred and settled interest payments but not confident.
Will wait for news at this point.
Optimistic for the future provided gold is now being sold?
Some of the RNS or lack of could have been better communicated. The recent placement with West Face which was on improved terms compared to Riverfort finance but we were none the wiser until reviewing detail. This communication is being looked into but we will not see results until future comms.
Going forward the biggest positive communication will be hitting TPD as per the plan this year and being cash positive next year!
Sounds pretty good. Will all be dependent on ore grade being mined and 2% more likely when ore sorter in place but will then be mining more ore. May even hit pockets with higher grade based on latest drilling and 18 month plan!
A lot to take in but the main thing for me is here's another mine which helps to derisk the overall risk long (long) term once it's in production. Has decent levels of graded ore so good future for Rambler whilst the price of copper is high.
I'm fairly relaxed with quarterly mining productions levels and drilling. Each RNS costs money and not cash generative until quarter one. Best to keeps expenses to a minimum.
If your a day trader maybe beneficial but don't think company are too interested in those investors.
My concern is that this mine could be a drain on any income generation at BP. What I'm interested in is how is AP and his team going to make this succesful?
Comment on Gem Diamonds BB:
Great news, Ghaghoo was a huge and expensive mistake and has been a drain on finances whilst on care and maintenance. All fair deal for all parties I think.'
HI Onthebeach and others. I often see you post this will rebound very quickly from these crazy lowball levels or other similar remarks.
I'm not invested currently as sold out following bad RNS by previous BoD. Got out at a loss but felt more comfortable considering dropping oil per day and increasing water cut (even though not increasing as much as expected and recent work over). What's changed since the change in BoD. Is there now an expectation bond holders will be repaid in full and their will be sufficient flow to continue exploration work afterwards?
There is no doubt the takeover by bondholders was wrong for shareholders as the assets alone should hopefully give you a better return.
Sorry for the questions but not totally up to date.
I'm trying to work out what potential there is going forward and what a fair SP could be. Is it worth re buying?
KnowO, as you know from the AGM I was not at all impressed with their financial forecasting these past few months. Obviously a lot of their planning involved the revenue from the collapsed stope and they subsequently have had stopes with lower grade of copper. By year end they will have 6 stopes to work from with continuing development.
A lot of the mine has been upgraded in the past 8 months as shown in the latest investor presentation from July. This puts the company in a good position going forward with general maintenance/replacement. Large costs taken up. There's more to be done hence the loan for further development/upgrading and whatever else planned (your guess as good as mine).
They are forecasting profit from 1st quarter 2022 which we'll take with a pinch of salt until we get confirmation. Even if this is 2nd or 3rd quarter it's a lot better position than companies which are still in exploratory stage.
Further exploration drilling has been undertaken and updates are expected in next few months which could increase current reserves which have already been increased once this year!
There has been further work undertaken at Little Deer so expect result from this as well.
So much has been achieved in past few months and mine would be profitable if the building blocks were not being put in place for ensuring continuous ore mining going forward.
Yes not a good Q&A session yesterday but we know more about their financial position and actual cost saving with placement.
All about 2022/2023 and nothing has changed from financial update in June.
This SP decline does not seem to be warranted and an over reaction by the market.
The company have stated today they should be cash positive in quarter one 2022. Doesn't seem long away at all. Of course depends upon your view point but really quick for a company which had the lower part of mine flooded just 7-8 months ago!
Newgen loan should be completed by end of August.
Placing done as terms more attractive than using Riverfort facility. Understandable but could have been communicated better.
Attended meeting and its apparent that they need to get a better understanding of financial position and Forecasting going forward. Toby will be reviewing.
Should not need to draw down on Riverfort Global contingency financing which is good. In my view All subject to finance available so let's see if they do stick to this.
Unfortunately no insider position. Just some normal analysis in respect to further funding finance drawn it moves me to the assumption a shipment has not been made. To confirm a million only requested makes me assume a shipment is not far away.
Sales have increased since the West Face placement with daily regular 25,000 sales with larger sales mixed in of over 100,000. Looks to be a slow selling of shares to ensure maximisation price rather than dumping the lot which would have forced SP to 20p by now. Just my reading of matter not backed up by any concrete facts. I know many disagree with my view and believe West Face are maintaining their position for greater SP later.
With positive recent RNS's over past couple of months on:
- grades of copper from exploration drilling
- joint venture approaches
- stope mining increasing
You would have expected SP to significantly increase but this has not been the case. No bad news released and hence my reasoning on West Face selling. I expect this to continue but SP to staberlise as they are not looking to flood the market with their shares.
2phevs totally agree. I am invested for the long term in this share as believe the risk reward is well worth the investment.
These short term fluctuations in SP do not concern me in the slightest provided the BoD plan is being executed. There will be hiccups along the way as mining is that type of industry where the unexpected does and will continue to happen. Its how the company mitigates these risks going forward and mining from multiple stopes will ensure a steady and constant amount of ore for the mill going forward.
Drawing down on finances is going to happen whilst the plan is executed.
SP drop in the short term is due to West Face selling their shares for a good profit in my opinion. Once this is cleared I expect SP to recover. This doesn't bother me in the slightest and was not prepared to sell my holding in the interim in case a joint venture was announced or at these prices something else is announced!
I have seen so much posted about short term share price which is probably true but for longer term investors this just represents a buying opportunity.
Just my view point
Bod were hoping 2m would be sufficient but had stated, 'The need for further advances will depend on operating results, metal prices and currency exchange rates prevailing in H2 2021.'
Whilst loan with new gen is completed finances will be tight. I don't believe next Shipment of copper concentrate has been made
Been a good couple of days but really just the start in my view.
First the debt needs to be paid off (interest payments overdue) and these gold pours absolutely covers this. Think the company needs to invest in toll treatment or expanding its own processing facility to include an elution plant and gold room. Think second option is best but more expensive. Believe this can be funded via a loan as cash flow should be sufficient to cover this. The alternative is to wait and pay this off but could cause delays to mining.
Real payback will be in 2022 when mining ramps up.
Good luck to those invested especially LTHs who have stuck by Goldstone. I'm a relative newbie as invested early this year.