Member Info for Daisan

0.5 on the ask now with almost 1m traded. Starting to get very interesting.

And more buying over the last couple of days - 388k in the first hour of trading which is more than the recent daily average. No smoke without fire? Or is that light an oncoming train? Now trading at 0.035/0.04 in Canada. Curiouser and curiouser!

Dibs, Agreed! I put my comment on it on the MTR board as it was posted on there as well and I suspect my input would not be particularly well received on here by his lordship (although he seems to have gone quiet the last couple of days).

The numbers are mixed and don't really support it, but I wouldn't put it past the FED to raise by 0.25 to maintain face. There has been a lot of discussion about it and I suspect that the US stock markets would not react too badly to it as a result which is their main concern. They couldn't give a monkey's about gold.

Roccbottom, It is a good point. Losses narrowed to £250k despite the very limited production during that time frame. Given that we are looking at 50+% margin once significant production is maintained (and, yes, I understand that we need evidence that it IS maintained), we are very close to significant returns. Also consider that DCP have a stated aim of paying dividends.

Life's too short for conflict hereandnow!

DappaT, It could have been more accurately stated but sometimes you suspect that the impact of these things on investors is not quite appreciated by the management of companies, particularly on AIM.

Hereandnow, You look at it one way and I another. I believe that they have done extremely well against the odds but I will try to keep my histrionics under control!

Well, hereandnow, you can re-write history how you like but Lace's history is in the public domain rather than DiamondCorp inspired propaganda. Nobody would argue that they have had difficulties but diamond mining is difficult and they have been trying to develop a mine during a generationally bad backdrop for miners. You think they have managed that poorly whereas I think their efforts have been little short of heroic! Well, the next few months will show us how they progress. It will not be plain sailing but it should at least be in the right direction.

zanthrus, I am invested in SHG as well so am familiar with the operation. I think SHG deserves a higher market capitalisation. Its costs are lower and has more defined resources in the ground with drilling suggesting they could have a great deal more. But I suspect that the current differential is about right and believe that both are very much undervalued compared with their peers. Given a supportive gold price (that is the BIG caveat!), there is no reason why both shouldn't do very well in the future.

DappaT, Come on. It is easy to play around with the dates so that they either fit or don't fit the time scales. It could have been 10th to 19th and 24th to 31st in which case they would not have known. Equally it could have been a day or two earlier as the RNS was likely with the Nomads before the 9th. But I have no reason to believe that DCP are not 'playing with a straight bat'. As usual with these things, mistakes are made and issues crop up. That is no reason to believe that the actions are 'suspicious'.

hereandnow, Complicated indeed. But you might want to look at the history of the Lace mine as its closure had little to do with costs spiralling or income declines. It closed in 1931 as a result of the depression and then was never reopened by De Beers when they bought it in 1940 as they sought to control the supply of diamonds. It remained this way until DiamondCorp bought it. The flooding is a bit of a concern but certainly not that unusual for a start up operation. The 'old workings' appear minor to me. I will, however, seek clarification about both from DiamondCorp themselves rather than speculate as to whether these are more than just a temporary setback. There will be stoppages over the next few months. That is inevitable and I have yet to see a start up operation get through the first few months without stoppages. Unfortunately AIM investors always seem to forget this!

Now that gold has steadied, Shanta has resumed its upwards trend. Always a push/pull with gold miners - when both the price of the metal and operational performance 'push' the share price rockets. I go back to my point a few weeks ago - given a rising gold price this will challenge its share price highs. Maybe not in a few weeks and definitely not in a straight line, but this will start to throw off so much cash at higher gold prices that the share price will re-rate enormously as enterprise value translates to market capitalisation, the hedge is subsequently reduced and the potential for dividends at some point. All of these things will give the share price a lift. Let's hope that it reaches full value before being taken out for a premium!

DappaT, I agree with this but it is not often the case with miners. If there is a stoppage or reduction in production due to operational processes, these are generally reported during an operational update. Stoppages due to safety issues are generally reported immediately.

einvestein, AUE was an example of something going very wrong during the process and even that is not particularly abnormal. Miners usually go through several phases of euphoria (initial discovery, commercial discovery, BFS, mine financing, etc.) and disillusionment (the 3Ds as I think of them - delays, dilution and disappointment) before getting to the gradual climb associated with stable production in a positive environment. AIM investors are typically too impatient to wait through to production, which is why I think miners are a bad investment for most people - they join on a spike and leave in a trough. This is the sort of time when you should think about buying although I suspect that DCP is not about to rocket.

The RNS has reduced the expected production for the rest of 2016. This is not unusual for an operation just commencing production and you tend to see these comments on bulletin boards all the time. New mining operations are never smooth sailing. It is just a question of how choppy the waters are before full ramp up. These niggles will go on for a while yet and when they come to ramp up further I am sure that they will encounter issues as well. That said, I expect this to impact the price today with a likely retest of 6p that has held for a while.

Very small. I make it you made £70 before charges. Still, there seems to have been another trade that lost £100 before charges so you were one up there!

Once debt is under control and falling, such as is the case with Shanta, the good thing about having a substantial proportion of the EV in debt is that the debt gradually converts to market capitalisation without making the company more expensive from an EV point of view. If you factor in a gold bull market increasing the potential for EV improvement, this has a very positive impact on share price. I like to find companies in the early stages of bull markets with a high debt component of EV. Once the doubt about survival is gone, the share price appreciation can be eye watering.

Good to see that the drop in the price was immediately bought. A very good sign

A reaction to the short term movements in the gold price.