Member Info for Daisan

Andrew1995, I'm sorry, I have no idea what the price was on the TSX at that time. As for MTR, I suspect they didn't sell as they had a target price in mind. Also, you have to remember that shifting a large number of shares on a company like this is not that easy and the spike was very brief.

There are four factors that will move the share price. Firstly, if they find a buyer for their gold asset it will provide a significant boost to their current and net assets (it is held on the books as having no value). This is likely on its own to attract investors. Secondly, and most significantly, if they announce progress on financing Karchiga there will be a flood of investors. Thirdly, the market capitalisation is very low compared to net assets and similar companies. As there are a limited number of shares in issue and a small free float and given the price movement over the last few days, it is clear that small volumes can result in large movements. Fourthly, an improvement in the sector as a whole should result in a rerating. There is a fair amount of evidence to suggest that this is starting to happen. No two companies are the same but it is useful to compare to other companies in the sector. ARS is a useful example. Although BKM is larger as a project, they have similar NPVs owing to OSU's superior grade. OSU is much further along having completed all feasibility studies. OSU also has sufficient working capital whereas ARS is likely to raise some soon to continue. ARS has superior other assets although these are credited with little value currently (the majority of the value is associated with BKM). Given this, a case could be made for similar market capitalisations. I hold both by the way.

Cons: 1. Karchiga requires $115m to develop and so far they have been unable to raise this funding. When they do raise the necessary debt financing (indicated as $90m previously) they will need to raise equity financing as well. However, announcing debt financing will give the share price a MAJOR boost 2. A sale of the gold asset fell through recently and there is currently no indication that another buyer will be found 3. They have a cash burn of about $2.9m per year which will eat away at the available cash. Ultimately this will require some form of equity financing but this is some way down the line 4. Orsu has fallen a LONG way so any appreciation in price will attract the inevitable selling of disgruntled shareholders who have viewed themselves as stuck in the share Hmmm. Struggling with this so anyone else, please add to the list. The first two are obviously the major issues with the company, particularly the first. Everything else is a distant second when considering the prospects.

Further to my previous post, I thought I would jot down how I see the pros and cons of Orsu: Pros: 1. Cash - unlike many small explorers/miners, Orsu have a significant amount of cash on hand - equivalent to about 2x market capitalisation. Whilst I don't tend to put much value on cash for explorers (they spend it!) it does mean that they can remain in the game without needing to dilute existing shareholders for some time. Cash should last for well over a year. 2. The market capitalisation is approx. 20% of net assets. You rarely see explorers at net assets (and I would never invest in an explorer that is at a premium to net assets) but this is far too low. 3. Commercial asset in Karchiga - whilst not the biggest resource (about 200k tonnes of contained copper), it is a reasonable grade (just under 2%) and commercial at relatively low copper prices 4. NPV and IRR for Karchiga are reasonable at $150m and 30% respectively. The NPV is calculated at 7.5%. I prefer 10%. The copper price is at $3.25/lb which is higher than today but is a reasonable assumption in the next five years as it is about the average price for the last ten years. 5. NPV compared to market capitalisation is ridiculous. Generally speaking when looking for takeover targets companies look for a market capitalisation of less than 30% NPV. The market capitalisation here is about 1.5% of NPV 6. In addition to the core assets they have a gold asset, Akdjol-Tokhtazan, which is for sale but which has been written down so that it no longer forms part of their net assets. Given this, any sale of this property is a significant bonus 7. They have significant, unrealised tax losses. These have been variously reported on this board but according to the latest accounts, they stood at about $222m and are held as an unrecognised asset of $44m. Personally, I don't value tax losses as a saleable asset (they can be beneficial to potential buyers but usually only in association with the other assets of the company) but they do boost the potential commercial viability of the project itself. 8. The location of the resource is very closer to the world's major consumer of copper - China 9. The outlook for copper prices over the next few years is quite promising owing to predicted shortages from 2018 onwards due to increased consumption, for example in electric vehicles, and reduced supply as exploration has reduced and the copper grades have generally decreased 10. The licences for Akdjol-Tokhtazan have been extended to 2020 11. There are indications that the markets are changing their perception of the mining sector in general and small miners in particular Cons to follow!

Or at least it should be. From what I can see the suggestions are that gold production in Azerbaijan was off in Jan/Feb. Was it a harsh winter over there? Will be interesting to see what the production was and, most interestingly, whether there is any movement on debt as that has probably been a factor in the current valuation.

OK. I have been looking at the valuation of this over the last few days and it does seem absurd. When you look at other copper explorers the undervaluation appears extreme. I still say that I can't see the trigger here (well, I can see what they are but I don't see any progress on these) but any form of sentiment towards the company will see the price increase significantly. I already have a stake in these but I have just bought some more. Two different accounts so they will show as two buys - one for 500k shares and one for 223,880 shares. Not much but then I suspect that the current price could remain for an hour or a year! Technically there are a number of bullish suggestions about the price although short term the price has probably moved a bit from its short term averages.

Wisecrow, You have misread the report and fig. 13. It is ppb (parts per BILLION) NOT ppm (parts per million). Ppm is equivalent to g/t so you need to divide your 51-100 by 1000. Glad to help.

Jollyspeculator, 'No Timeless' is great! You should try filtering him and then all the BS goes away. No more ramping. No more expressing only the positive sides of the story. No more having to see him plagiarise and corrupt your thoughts. 'No Timeless' is the way to go.

http://www.bloomberg.com/news/articles/2016-04-06/the-gold-miner-excavating-nothing-but-13-years-of-india-red-tape I particularly like the quote from R.K.Sharma, secretary general at the Indian mineral federation: "Nobody in his right senses will ever come to this country for reconnaissance because he has no automatic right to get the mining lease at the end" The mining company at the centre of this article is the one that KGLD are hoping to merge with at some point.

Oh dear oh dear oh dear! Techfan, investing really isn't for you. I will take your post seriously though (I really hope for your sake it isn't). Perhaps you should consider: 1. They don't have any proven gold 2. They will need a lot more money for the drilling campaign 3. If that was successful, they would need a lot more money for all the studies 4. If those are successful, they would need a lot more money to build the mine and stuff 5. If that is successful, they would only achieve profits after operational costs and replacement of resource (AISC) Assuming all of that, you would get considerably less back than you are projecting. CON is an honest little company with a history of good zinc assets (which nobody wanted). Let it do some drilling to find out what is there before you ramp the share price to £2+. Good grief.

'Look at Ind market cap'? What does that mean?

Can I have some of what you are smoking flyinghorse? I suspect that you haven't invested in explorers before. Today's news is interesting but far from definitive, especially given the width of the veins here. Much more work to do yet.

It would be surprising if the activity dried up so quickly so you would expect further ups and downs until it reaches some form of equilibrium this afternoon.

There was nothing poorly worded about the RNS. In fact, if there is one thing that this company should be proud of is its honest and clear communication. The Fintech connection is BS and you know it.

So 'No stock' is the reason for it being so easy to buy stock and difficult to sell? That's a bit of strange logic even for you Timeless.

But it looks like people have started to bail out again. The problem with these kind of companies is that it is difficult to buy into them but much more difficult to sell when the company releases news as bad as that released here. I learned those lessons some time ago when I got stuck in a number of small mining shares. Still, on that basis there is still hope as a number of them seem to have come back to life!

Who knows? Could be them selling. And 'no' I don't know that is the case. But if someone is executing a large sell then it has to be one of these: Gold Fields Exploration BV Charlemagne Capital (IOM) Limited Sprott Asset Management LP Metal Tiger PLC Company Directors The first three are long term holders and I would prefer MTR to be selling rather than the directors!

So you can't sell now but are able to buy in quantity. And the ask is rising. I confess I have seen this only once before some time ago and it was indeed a large sell order being worked. For large amounts of shares in illiquid companies it does take some effort. I could be wrong (I'm sure Timeless will suggest I usually am :-)) but I can't think of any other reason for the current SP behaviour.

Anyone got any theories about this? The ask keeps going up but there is no scarcity of shares. The only possibility I can think of is that there is actually a reasonably large sell programme going on in the background. I confess I can't think of a reason to sell this as it is so low.

But you wouldn't expect to be able to buy easily and you can. Anyway, not sure a leak would have much substance having come just after the annual report is published.