Member Info for booboouberbear

Correct, that’s the core problem, you dump your Google shares no one notices in one of the most liquid companies on the planet, you dump your SHG shares in an illiquid market, it’s a problem, for shareholders and the SP.

Anyway, let's see how it all pans out...US Fed centre stage tonight too.

Occam's razor probably applies, it’s probably Odey, they’ve shut down any withdrawals from their funds in the last 24 hours, are probably in an all-out liquidity scramble, so the dumping begins here.

If you remember back to Neil Woodford in 2018 and the damage, he did to some companies’ SPs when he was looking for any liquidity at all costs…

Any distressed sellers of that level then the MMs will make them bleed.

The danger at this end of the market when liquidity dries up and a seller needs to sell, 0.5% shares sold today, not all sells, either, and the MMs tank it 10%, company loses £10m+ MCAP on circa £500k shares being moved about, and some of that is buys. Crazy, but the blood is being sucked out of AIM and this is the immediate future, sadly!

Of course, the company is doing great and so is the POG, so if you can ride it out, buy and weight it out!

‘City planning’ on a large scale has been ongoing for many, many years, since the dawn of civilisation, in fact, probably it was Mohenjo-Daro and Harappa, some 4,000 years ago that was the first, it’s not really a conspiracy, in fact, your local town planner at the Council works on ‘city planning’ every day, your local school / hospital is built in the location it is because of some pretty complicated and well thoughout out planning, if you don’t have these things, you have complete chaos, and on a planet of soon to be 9B, these things are more and more important or you will have wars galore over resources.

Sadly, if we wanted more ‘freedoms’ to do what we want, when we want, we should have limited our populations long, long ago…the ship has sailed.

All 100% true @ Tony, but while you have sellers on 0.1% of trading, the MMs can only take it down.

FWIW I continue to top up, the value here will ‘out’ one day, but that seems to now be further in the future than I had originally through based on how far they have genuinely progressed by Mid-2023!

It’s a mess, liquidity has drained from bottom to top, there is now nothing left at this end of the market, Toronto and Sydney are slightly better in terms of Shanta, but the London AIM is in desperate trouble.

Even in the US, when you peak behind the curtain of the Mega Cap Trillion Dollar Stocks the Russell 2,000 is showing real value / liquidity stress, even the S&P 500 is out with the Mega Caps.

With the US Treasury about to issue $1.5 Trillion in Junk Bonds this year and the Federal Reserve (trying) to continue to shrink M2 Supply and their balance sheet, we are in for a serious liquidity issue which will almost certainly trigger a serious recession IMO.

As Zurrin said at the investor call last Wednesday, if the market doesn't give the fair value, someone will eventually come in and take it off our hands for fair value, we can't be far away from more knocks of the door IMO.

Also, if you look at the PM Junior Resource Sector, it's not just us who are treading water, the whole sector is.

A great confirmatory RNS, grades appear to be at the levels envisaged by the Feasibility Study and 5 Year Mine Plan. 12 months of proving up further resources into reserves at both MLGM and Singida and stock piling cash for eventual WK deployment will do me just fine.

Https://twitter.com/LukeGromen/status/1663188018071478272?cxt=HHwWgICxvZis6pQuAAAA

An interesting take on things. One I share, and we could very well see the Post 1971 Bretton Woods landscape being altered quite drastically.

@ 15:42 24/05/2023.

The movements today in the US Treasury markets are extreme, the 2s and 10s are surging, in fact the UK Gilt Markets look like running the Truss blow up all over again, they are being dumped across the Yield Curve. Gold hanging in there without too much damage! Of course the US Stonk Market has ignored all that and are sending some chosen stocks back to 200 P/E Ratios.

Zurrin is right, no matter what, there is a full blown sovereign debt crisis that will have to be managed, it’s only a matter of time, and the route we take to the eventual destination.

At these rates, you wont be far off 10-15% budget deficits to GDP in the US!

Interest has certainly picked up here.

This is holding up well in comparison to others down here, liquidity is desperate, and with the M2 shrinkage and Interest Rates lag effect just kicking in, I fear this is just the tip of the iceberg.

2 great updates, growing the resources is now key.

Our new NED is interesting in view of La Mancha and WK development and his experience in developing big mines.

And here comes Uncle Jay to make everything seem okay....

They'll need to sell another USD1T+ of USTs over the next few months in short order in order to refill the Tresury coffers, that in itself will cause a serious greenback liquidity drain.

Interesting movements in both DXY and the UST markers, both rising, signals distress in liquidity and distressed seller's. US Debt Ceiling will play a part in this, but not the whole story...

There is a lot of spinning plates at the moment, you could equally see a retrace or a surge forward in price, the last couple of months gold has actually been stable in percentage terms.

Of course, none of that matters long term, if you believe in gold long terms you believe in a failure in the FIAT system and an ultimate revaluation in the gold price as a standard to link currencies back to, which will happen sooner or later, check out the CBO’s 10 year budget look ahead for the US, straight out of a horror story, and that’s the official rosy version.

An interesting deal, and at a 90%+ premium to the SP (assuming it goes through) during their suspension period, it opens a few eyes, alright. This will be the first of many in the Junior Gold sector and shows how mines can be funded by big direct inward investment.

Newcrest agrees to Newmont takeover. Lots of gold consolidation on the cards. Including us I'd imagine.

Shandong's 6 month takeover suspension on Shanta expired over the weekend, watch this space.

Nice post, interestingly both NGLM and Singida have brand new and extremely large leaching pits, you have to assume both have been designed that way for future expansion to be made easier.

Possibly the $5m relates to additional capex drilling on the permits to prove up the resources to increase production through additional throughput and leaching?

https://www.shantagold.com/_resources/Q1%202023%20Production%20and%20Operational%20Update.pdf

As per the attached (page 5), Singida has a total resource of 885k if they wish to send the capex on proving it up, that is 13+ years of 65k ounces, same goes for NLGM, that has 1.034m ounces to go after once they spend the capex on proving it up.

Both should see serious capex being spent on resource proving now Singida is up and running and the cash is now available to be spent, that is before Yuri expands the drilling zones of course, and we know there is more out there beyond even this.