The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
The main problem with the BH investment is the fact that it is very left-field and demonstrates the willingness by the BOD to throw (even though its a very small amount) money at a project that is totally out of most current investors comfort zone.
The question I'm asking myself about the deal is 'if they are willing to spend our profits on this, something completely out of the blue, then what else are they planning to do with them?'
I personally think there is some deeper link to , something to do with Goldfields as IIRC there is some link with BH and Goldfields (or did I imagine that?)
Anyway, all we can do is wait and see what, if anything, comes of it. Hopefully we will have more interesting things to discuss soon.
I concur with TBTT's post earlier.
We are still making a decent chunk of cash even as POG is subdued and based on that alone our valuation at the minute looks ridiculous.
But none of that matters unless we can put that cash to good use.
However we are still pouring gold, making a profit, awaiting imminent drill results and recently made some good additions to our BOD.
Hopefully this is the low for the SP and we will get some upward movement as news comes in.
What a day to have a lay in eh?
‘Trading pot’ out at 24p for a superlative loss, core holding as is.
Quite a few numbers to crunch in that RNS, but it will have to wait until the weekend.
Obviously not great but them’s the risks eh?
Have fun over the next few days
Vin - I also struggled to buy online at that price, had to do it by phone in the end!
At a smidge over 32p.
Have more cash ready to go if we touch 30p
Just got in (why does this share drop news when I’m always somewhere with no mobile signal?)
Well that’s a bit of a let down but not totally unexpected.
Can’t decide wether to sell up and buy myself dinner with what I have left after this or just to stay here for the sheer hell of it.
Decisions eh?
You can’t beat a bit of bully
Imagine if you only logged on once a week to check the share price, you’d be wondering what all the fuss was about.
Thanks for posting that Broxburn, good info
Yes I agree, good posts this evening.
Barring the bunker hill bit I thought it was a good interview.
I’ve made my feelings on bunker hill known but I do agree with the potential pitfalls of Dugbe. As BOD have said I believe a JV of some variety is the best option there.
Personally I think the best use of cash (apart from what we have committed to drilling and Dugbe) would be to look for acquisitions in the Yanfolila area, and if non are available then crack on with the share buy back or throw me a special dividend.
I’m still not too worried, at the minute, although I do seem to have a lot less money than I did this morning :-(
BWTFDIK
The paragraph
‘As part of the binder supply agreement, ADM is assessing how best to service the contract for the long-term. This assessment will include looking at the potential feasibility of constructing a new processing facility in close proximity to Sirius' operations in Teesside to service both Sirius' needs as well as supply for the broader UK market.’
Sounds like good news and things like this can surely only support the quest for gov underwriting.
Just come out of a meeting with someone from Virgin Money and was chatting about the general stock market conditions after we had finished.
During conversation he said he was from Middlesbrough.
'Oh, thats near where that massive new 'potash' mine is being built isnt it?' I said.
The reply 'not far away, its more Whitby area, and I think its an old mine but they've stopped mining potash and started mining something else, something to do with mobile phones I think'
Now the gent wasn't in investment banking or the such but was a 'money man' and did own stocks and shares.
Plenty of people even from the nearby region don't know about Sirius it would seem. I wonder what the SP will be when it appears on their radar?
Fallen back more quickly than HUM if anything, I really dont think POG is doing anyone in the sector any favours (obviously)
At least my Uranium shares seem to finally be going in the right direction *insert picture of rocket*
Gascoyne?
'I'm just wondering what the top-slicing would be in response to.'
Hopefully a rise in the SP!
Broady speaking but need to consider
Mali Government own 20% and AISC wont cover things like income tax, financing costs, working capital and obviously nothing that isn't relating to ongoing operations (i.e. Bunker Hill)
There are different valuation metrics that can be used.
So, I think what people are asking is, its OK earning $300m, but what are we going to do with it?
I think the main problem is we've been waiting for, expecting, this free cash flow. We had faith during the build hoping that all would go well and the cash would start flowing.
There were those who said 'you'll never build a mine on time and budget', then moved onto 'they wont hit the numbers', there were those who said 'I've written a book you know', and yet we stayed the course, believing in our research and trusting the team, waiting for the cash.
We knew some of it was going to be spent on drilling, we knew some of it was going to be spent on Dugbe, We expect some of it will be spent on Cora.
But what about the rest of this juicy cash we will have? Mmmmmm, lovely cash, think of what we could do with it all. An empire of goldmines throughout Africa.......
Then, The Q2 report came in, the cash was there, what we had been waiting for, and...........
oh, wait, a hint at an obscure brownfield zinc/lead mine in USA where we had to go off and raid the recipients website to even find more detailed terms of the deal.
Can see why the BOD didn't want to say anything and can see why people are getting a bit narky.
But at the end of the day we are still mining gold, expending the life of Yanfolia, researching Dugbe and owning a stake in CORA, so I'm still content.
Yup agree with you there Playboy (not often I say that ;-) )
As for Bunker Hill, well lets wait and see what happens, we all have the option to vote with our feet at the end of the day but having reflected on things over the weekend I'm still happy here for the time being.
Been reading ADV board, cor bit of a bunfight over there, makes you lot on here seem quite reasonable.
Yes good post LITC, broadly in line with my thinking on the matter.
Whats concerning me more than anything is the **** state of the current government, perhaps I'd better take 8 weeks off to de-stress myself.
Stokey - I don't think the site will allow a link to be posted but its worth tracking down, interesting read.