Member Info for ElectricLion

Kpow. TK only. 160k oz a year. 83% attributable to KEFI = 132,800oz. Assume gold price is the same as today = $4700/oz and total costs, including debt repayment = $1400/oz, means $3300/oz profit = $438m = £326m per annum. Divided by 13.5bn shares gives 3.2p per share potentialy available for dividends. Obviously some assumptions in there e.g. gold price and number of shares.

How much will actually be paid out as dividends is another matter. My view is that the company should keep half for further exploration and development, and pay half out as a dividend.

I don't think I've missed anything, but feel free to check the maths. It's still a lot, even after all the dilution. Which is why, even though the placing hurts, it's best to take a cold rational view and buy if you can, even if it's through gritted teeth.

"Buy when there's blood in the streets, even if the blood is your own" is a famous contrarian investment maxim attributed to Baron Rothschild in the 18th century. It advises buying assets during moments of extreme market panic, fear, or panic-selling, suggesting that maximum pessimism often presents the best profit opportunities.

Solo1 - read the RNS.

https://www.investegate.co.uk/announcement/rns/kefi-gold-and-copper--kefi/proposed-equity-fundraise/9483231

Could he not have done it a couple weeks ago, at 1.4-1.6p? The timing sucks. Oh well, what's done is done. At least it's finally finished and we can move on.

Trump's responsible for this mess Simms. You really think he can clean it up over the weekend? I hope for everyone's sake that you're right, but I'll believe it when I see it.

Didn't ask you Senator... cross-ramp somewhere else...

Are you watching any other shares Krok? It's hard to believe that you haven't noticed the bigger picture, so... you're trolling?

I have very little interest in what you do UPshunt. KEFI is good value at this price and better value at 1p. So I'm buying now and will buy some more at 1p, should it get there. Pound-cost-averaging it. You can't expect to buy the bottom and sell the top consistently, but in a couple of years, I reckon I'll be pretty content with my choices. Time will tell.

"reverse Lassonde curve" LMAO.

While you're moaning, I'm buying. Small quantities so far as a.) I don't know where the floor is and b.) I'll have more in April, due to work bonus etc. But buying none-the-less. DYOR and remember to try and buy low, sell high...

He looks stoned to me. Funny expression. It's probably fine, but yeah, he does look a bit odd.

Well, now that it's down, I'm perfectly happy for it to stay down until the 6th April. It can rocket after I've got a few more into the ISAs!

Sakura - we've had this discussion. Drachs bought. JM sold. Not much controversy there, as both were largely evidenced by RNSs. That was in the past however. No recent evidence of either making further moves for a while. You should probably move on yourself.

I agree that a takeover is unlikely, and that there is no evidence of serious stake-building by an II. So we're not too far apart!

That said, I think you under-estimate how many PIs would take a quick 100%, done and dusted by this time next month. It's probably more than 50%.

MF2017 - while friendly takeovers, ie. with the BoD's blessing, constitute the vast majority of takeovers, for various reasons, a hostile takeover is also possible. If a would-be buyer approaches the BoD with a 3p a share offer, and the BoD rejects it, the buyer could then go to shareholders directly. The BoD would advise against it, but could not actually prevent it.

How many folks here have seen *any* takeover go through at, say, more than double prevailing SP? It just doesn't happen. If there is to be a takeover, it will not be at many multiples, it just won't. 2.5-3p would probably get enough PI support to get it done, whether you or I like it or not.

However, I don't believe there will be a takeover, and that the whole takeover conversation is really coming from rampers in a misguided belief that it'll multi-bag overnight as a result. But it won't.

Personally I am far more inspired by HAA's talk of multiple mines running, etc. This company can be huge, in time. It's just that most AIM PIs have no patience, and so need to invent short-term narratives to keep themselves amused and motivated.

I'll be as interested as anyone if there is any evidence to support this rumour, but I suspect there won't be any forthcoming. Hubstar just makes these things up - surely you can all see that?

It's 'mate', mate. Not 'm8'! lol

Inclined to agree Major. I'll stay for La India production regardless - for better or worse, I'm emotionally invested in that project! However, for all the applause he gets from the usual LTHs, there hasn't really been much to shout about since the CNR aquisition. As I retain significant exposure to MTL, I would be very happy for further positive developments, and to end up singing his praises as much as anyone, but I'm a scientist at heart, and evidence convinces me more than faith ever will.

For a growth company like KEFI, I'd much prefer the cash to be ploughed back into the business, rather than merely given away as dividends. For a steady-state business like a supermarket, sure give some money away, but it's not a very interesting use of funds to me. HAA talks about having several mines like TK in the future - that'll take some capital to setup, and we'll need every penny. Huge growth opportunities here, above and beyond TK, but it'll take time and money to get there, so dividends can wait as far as I'm concerned. HAA may have other ideas though - we'll just have to wait and see!

Unecessary...

Couple of small corrections Aldebaran:

- My understanding is that royalties will be paid when there is money *available* for dividends - ie. once we actually have some profit available from production. Whether dividends will *actually* be paid, or the money re-invested in the business will be decided at the time.

- All-In Sustaining Costs (AISC) are lower than $1400/oz - around $1100/oz IIRC. The $1400/oz number is for All-In Costs (AIC), which includes debt repayment.