Member Info for DASUT

Looking good as there is a continuing appetite for gold as it pushes through the $1500 again hopefully we will soon see a similar trend with our SP.

When I travelled the mines in Tanzania and visited both North Mara and Bulyanhulu I never actually thought about investing in Barrick, maybe because Barrick are a Major even when they changed to Barrick Africa. Buzwagi also came on stream but I understand Buzwagi is winding down as it always was a relatively small resource.
I know nothing about their new resources in West Africa and am fascinated with the reference to Kenya as whilst I did follow a couple of possible opportunities in Kenya nothing came of them. ACA's North Mara mine is the closest I got to a Kenyan resource as it isn't far off the Kenya/Tanzanian border.
Fascinating turn of events as Barrick are a very straight up and down company and how it all got nasty with the President of Tanzania is surprising. OK I know Acacia is not strictly Barrick but suggest in name only albeit became Acacia after my time.
My preference always was a new start up resource such as Sukari and with a Prospecting/Minor with a significant resource opportunity. This was helped by being involved in the early days of Sukari as the resource was developing and listening to Sami's enthusiasm and expertise, based on his experience and reputation, when attending various presentations.
Excellent to see that the SP is on the up.

Silent I fully understand your frustration but if you read the report that is on the Centamin web site or easier just click on the shortcut provided by ChasB.
It doesn't matter if you don't understand the jargon or all of the details. What you will get is positive words and numbers, all of which to my mind are achievable albeit not easy in the short term.
What I read as far as Ivory Coast is fantastic and reminds me so much of reports that I have seen back in the day when travelling in West Africa and whilst I don't envisage early start up mines, it is when rather than if given these relatively early positive results, so I can fully understand why they are concentrating on Doropo and ABC and we aren't hearing much about Burkina.
What I will say like all mining investments it is a marathon not a sprint and Centamin will be far stronger with more than one resource.

Like you Tibbs I don't get it because this time last year was supposed to be bad news as less gold being produced because fall in ore grade and LHDR breakdown. OK a drama BUT still got the gold in the ground.
2nd quarter this year we produce more gold BUT the costs of extraction up by 35% and revenue down over the 2 quarters by 3%? Thanks to the GP all wasn't lost.
I do hope that 2nd half sees an improvement in the cost of production because this is the area that will make the difference and of course the GP remaining strong.

As I said last week we aren't out of the woods yet especially with cash cost of production up by 17%. This is basically the increased cost of extraction and last year 1st half was supposed to be expensive due to poor grades and LHDR breakdown?
Still too much waste and not enough ore, however if the market like the numbers then good on them, lets hope that 2nd half the improved grades aren't negated by higher strip ratio.

Jimbo Convert what into pounds? If you look at Centamin's web site you will see that the company works in US dollars as far as accounting and reporting is concerned but I am sure they work in multiple currencies on a daily basis including Egyptian given salaries and local transactions.
The gold they sell is sold in US Dollars but gold being an asset can and is also valued in Pounds I would suggest as a worth for those of us who invest but suggest Pounds as a currency that Centamin need will be quite small compared with US Dollars.
Centamin will have many currency accounts but suggest their largest will be a US Dollar account so that they can buy and sell with no currency risks.

Thoroughly agree with goldgnome they are wasting their time as just not competitive.

Siko, Cowichan The new laws are significant to any future investor and there are many important major mining companies looking at growth and it is well known that there are significant mineral opportunities in Egypt.
Given that Egypt has struggled to encourage these investors the new laws will need to be competitive and worded so that International organisations can fully understand all of the laws and how they impact the bottom line and their commitments.
These companies do not invest in ambiguities they invest in hard factual information with written thoroughly detailed contractual obligations.
So if I was one of these companies how would I be able to access the detail of the Egyptian Mining Law because if I am reading what is currently available to this board I am certainly not interested?
I mentioned earlier the need to be competitive so if the Egyptian law makers aren't looking at what their competitors offer they are wasting their time.

Tibbs I agree with your analysis of analysts however those who visit the mine are those that would interest me albeit I don't have the opportunity to read what they have to say as they will primarily be representing the major investment companies.
From what I can gather Kees came to his conclusions based on reports provided by Centamin and yes the reports weren't as detailed as maybe they could have been at that time, hence the opportunity for the likes of Kees to put together a critical paper. However a little bit of knowledge can and often is dangerous as was the initial paper because had I or other investors taken his advice we would have lost out on the considerable increase in SP over the following 12 months.
It was and always has been known to me that the open pit grades & strip ratio are to be managed very closely especially considering it is a low grade mine (open pit). This is why I was so surprised last year when management was being so bullish. It really isn't a mine to be too bullish about it is a mine to be quietly conservative about and take the wins when they come along but don't promise that the wins will continue. The joy of Sukari is that they have the underground potential where there is a major opportunity to get into smaller volumes but much higher grades.
The broker who gave you initial advice I thoroughly agree with regarding the court case and I am amazed that it hasn't been thrown out as no case to be heard as it definitely has a negative effect on investment from other mining houses.

Pushme I actually bought in even lower and am therefore still OK with current situation not super happy but OK as could have been somewhat better had the market not over reacted to last years blip and management taking their eye off the ball. Believe me could have been a lot worse as I have witnessed when a high wall collapses and there are machines buried or dam burst and mine floods, Generation Plant fails and nothing works.
I still don't think based on the last lot of figures that we are totally out of the woods. I like that there has been a 12% increase in material moved in the open pit. Don't like that there is a reduction of 42% ore mined because ore produces the gold the rest goes to the waste dump and only produces a cost. So the increase in grade of 41% negated by the reduced ore mined. So to my mind the only good thing as far as production is concerned is that there is an ability to move more material. So in a nutshell still needs to be an improvement in ratio ore to waste so as not to negatively impact improved grades.
Last year was said to be bad news BUT shows how fickle the market is when this first half we are only 17,000 ounces better off but last year we had the ability to mine significantly more ore.
However just imagine if this year we had moved same amount of ore as last year with the grades of this year. Tibbs would be sooo! happy however as someone says nature doesn't always play the game.
Also Tibbs it isn't all about what Kees dreams up from afar and it isn't about high grading whatever this means in the context of Kees report it is also how the grades are diluted by the amount of waste that you have to move to get to the ore plus many other factors. As gnome says can only economically drill so many holes to a depth and in a given area before it is deemed mining and geology whilst a science that is getting more and more accurate with improved technology it isn't by any means perfect and was less so when Sukari was mapped.
So I am not expecting 31st July to show up anything significantly wonderful and suggest any numbers for next 2 to 3 years will be conservative and achievable. Achievable gives a chance of an improved SP and as we saw last year overly optimistic euphoria gets us into a bloody mess (Boris heed my words).

Tibbs Anti Trump OK and he won't be President forever but please not all of Americans deserve the put down as Centamin are using serious number of US built equipment to extract the gold that we are relying on and with Trucks at 94% availability can't knock it .
Also I had a look at the Tesla recently and pretty damn good.
Keep the faith

"Gnome" Excellent summary of the reliability or otherwise of feasibility studies BUT quite obviously there has to be a kick on point and if there isn't a bankable feasibility study raising funds to move from exploration to production is doubtful. This is why I am appreciative of Cey taking their time in moving forward to production in West Africa. The 32% for mine design and scheduling together with the 12% for Plant Design (should also include location within the design) account for considerable risk. Also why I would seriously recommend the use of "Contractors" with local experience at the start up production phases and grow into the resource and try to build on the knowledge. As for Cey merging with Cardinal Resources with Kevin Tomlinson and Trevor Schultz on Cardinal Board suggest it is a possible maybe sometime in the future.

Tibbs OK thanks I didn't read this as a 3 year plan but will be interested to see how much detail the guidance provides.

Tibbs where did you pick up on a 3 year plan being presented as I can't find anything on their web site? I know it was asked for at the last phone in but thought Pardey was pretty adamant that he wasn't going to provide a 3 year plan.

If you take a look at 2015 Annual Report the forecast for 2016 thru 2019 was upwards of 500,000 ounces and they have actually beaten the forecasts BUT because certain managers opened their mouths caught up with the euphoria of success we got hammered.
So not sure what the benefit is of long term forecasting because even when it is beaten it means absolutely nothing.

Tibbs I remember the days of 3/5 year plans and to be honest they never counted for too much at the end of the day as there is always too many outside influences and every quarter or so modifications were required and management time could be far better used achieving results. OK for internal estimates on likely expenditure, manpower requirements and maybe borrowing etc BUT for external use can open you up to "TOO MUCH INFORMATION".
I can only imagine how much time is required at the mine(s) both in production and under exploration analysis to make long term plans.
As I say rather than asking for input from the production teams, processing teams, pit foreman, workshop engineering, mining engineers, geologists, machine/equipment and other suppliers, and the list goes on and all will be putting a finger in the air and guessing what is going to happen over the next three years.
Hence I thought the answer from Andrew Pardey to James was that he isn't providing a long term plan as they are only useful at any given moment in time.
I would far rather see all of the guys and girls who are responsible for bringing in the results concentrating on just that sorting out issues and taking corrective measures and bringing in the efficiencies and hopefully good news.

Why do we need a 3 year plan when history tells us how difficult it is to predict grade characteristics therefore production, Egyptian politics, gold price and the list goes on?
I would suggest growth and expansion is the reason for any worthwhile long term forecast being delayed.

Prof: I can live with 520 but not too much more as we are still talking about difficult ground with low grade ore and very little margin for error, unless of course they hit a rich vein underground which will reduce the margin of error.

Agreed doubt there will be any predictions above the 500,000 ounces pa but not overly worried as quite like a boring conservative achievable number with the quarterly pleasant surprises which is how we got to the almost 200 mark.
I always get very nervous when I hear of over ambitious forecasts that is why I jumped into gold in 2007/8 as banks, Governments etc were all getting carried away with growth.
I was likewise nervous last year when all I was hearing from Cey was growth and higher profits resulting in the subsequent consequences, just as we were weathering the blips caused by Arab Spring & CC's.
Another important factor is the increase asset base with new resource and hopefully ounce predictions which could boost the annual production maybe at or nearer to the end of a 3 year plan.
July production numbers I see as being on target or marginally above with financials healthy given the POG.
I am hopeful given Cowichans input that there is some light at the end of the tunnel with government approval of a positive change to the Mineral laws. Providing for a better investment climate as Cey need allies and an opportunity to expand locally.
Tibbs like you I am livid with the share payout to certain directors BUT maybe we are going to get some good news to justify the payout, I live in hope.

Not sure I want to see a three year plan/forecast as with low grade open pit being main source of production and to date difficulty to predict grades last year even over a 3/6 month period. If we get such a forecast I hope it is realistic/achievable and maybe a little conservative without any shocks even small shocks that can impact the SP.
Love to see GP remain 1400 and above through next production results and given we haven't had any news in recent months am hoping for good results.