Member Info for ElProfessor

I appreciate that RMM previously had poor financial IT systems and now have better ones in place. I struggle, however, to believe that they would not have had a reasonable ball park grasp of their financials - you could do that with a sheet of paper as many on here are doing.
As such are we sure that there has been a sudden 'reveal' that their financials are awful that has led to this or could it be they have been clumsy with the RNS with the main message being: 1. need more funds for the ore sorter, 2. want to restructure the loan over a long term to give more financial headroom now copper price is lower, 3. oh and by the way here are a few other things we want to tidy up.
Best wishes,
Prof

Hi Johnny,
I think Broker's understanding and mine are in step and what you are seeing is just private investors aggregated up.
There might be a few wrappers in the list you kindly shared however.
Best wishes,
Prof

Thanks Johnny,
But aren't many of these, for example HL, just the nominated holder for whole number of small private investors?
If I look at the company fact sheet on the Rambler site is shows the two biggest holders as being:
E Mining III 27,107,090 17.03%
Aether 5,258,375 3.30%
What do you reckon?
Best wishes,
Prof

Hi Johnny,
Who are you referring to on the institutional shareholder list please?
Thanks,
Prof

Fukurokju,
Thanks for the response.
I am certainly of the view that they should not raise equity at this SP without the existing share holders getting first dibs - hence my preference for a rights issue.
Current market cap is c £18M. Assuming that they did a 1 for 1 at this SP (ish) then I would like to believe that would give them enough to pay off outstanding creditors, make the necessary capital investment, such as the ore sorter, to reduce the cost of production and perhaps even pay down some of the LT debt/ restructure it. If all that were done then arguably we would be in a far better position than investors thought before the RNS.
I would happily invest the same amount again under those conditions. Would you? Would others?
Best wishes,
Prof

Fukurouju,
I was just about to try and write a similar summary to the one you have just done but you have both beaten me to it and done it far more succinctly and eloquently than I could have - thank you.
They have, for whatever reason, issued this RNS but not provided enough detail for anyone to understand the scale of the issue and funding requirement. I note the following:
'Operational results have been released monthly up until the end of June 2022 and will be discussed in greater detail in the Company’s interim financial report which will be released before the end of September.'
I would doubt the interim financial report will answer all our questions but I would hope it will shine a light on some key bits of financial info such as AISC and therefore the required copper price to breakeven operationally.
What are your thoughts on a 1 for 1 rights issue as a route out?
Best wishes,
Prof

Morning Sotolo,
Sorry to hear that. I guessed you had taken pain on CEY, like so many of us, but hoped you might have somehow off-set it with gains elsewhere. Good to hear you have the beautiful woods, lovely surrounding areas and the kind neighbours, even if the flat is that small.
Everything is feeling strange at the moment, I agree gold does not seem to be performing as you would expect given the current global situation but then again the stock markets on the whole don't. I can't believe the DOW is within 10% of its high, which was 'high', with everything going on. My personal expectation is that we will see a fall back in stock markets this autumn as the true economic pain becomes clear to all - but then again, when have I ever got my predictions right.
Hope you can keep your chin up and smiling by taking pleasure in the good things you dohave.
Very best wishes,
Prof

Hi Sotolo,
Great to hear from you too. How is the house plan going?
Best wishes,
Prof

Hi Tibbs,
I may not view it as strongly as 3bear but I am certainly not entirely convinced by Maguire.
The aim of communications is to communicate. If what he says cannot be understood by the reasonably intelligent layperson, who it seems is his audience, then it is arguably not effective.
Best wishes,
Prof

3Bear,
Thanks for getting back to me. If the discussion was just before the hour mark then I got diverted onto a phone call so obviously missed it. Will listen to the recording.
Even with a 6 month delay that would still be great news.
Thanks again,
Prof

Link to presentation that I just mentioned:
https://www.centamin.com/media/2853/cey-1h22-results_presentation_20220804_final.pdf

Morning 3Bear,
Thanks for confirming that is also how you saw it. Yes I agree that there was a real feel of 'progress on all fronts'.
I was particularly excited by slide 6 of the presentation which, if I read it correctly seemed to show a return to c500k oz per year as early as FY 2024 through Sukari, a rise to c700k oz by 2025, through Doropo and a peaking at 750k oz by 2028. The notes on that slide seem to suggest that the Sukari uplift is from underground improvement of both mining rates (1.5Mtpa to 1.875) and a 15% in reserve grade to 4.1 g/t.
Again I would be grateful to know if others understood this in the same way because if I am right in what this says then I would have expected more to have been made of it in the presentation by CEY as well as more focus to have been on it in the analysts' questions. Clearly if the intent is to get Doropo producing within 3 years then you can see why there is a need for major investment and why therefore MH is talking about CEY's capital structures.
Best wishes,
Prof

Cherry burn,
I agree. They are sounding like they are really getting a grip on the business and identifying some really exciting opportunities both for cost savings and expansion.
If I have just heard it correctly the combined cost saving of the solar generation facility (now built) and the connection to grid (sounds like it will be within a year and for a cost of c$10M) will be $40-45M. Does tie in with what others heard?
Exciting times to me!
Best wishes,
Prof

John,
Thanks, great analysis of why we do it!
Best wishes,
Prof

Mike,
I admire your resolve in sticking to a % target of funds invested in a single company.
I have been burnt a number of times by having ridiculous concentration in a 'dead cert'.
The broad deal I made with myself was no more than 25% of my portfolio in any fund and no more than 5% in any individual stock. I have never come close the 25% rule but have regularly exceeded the 5%. Recently I was putting more and more in an AIM stock and eventually limited myself at 15% out of respect for the principle of my rule even though I was convinced it was going to climb and climb. It didn't and bombed. I was saved only by my semi adherence to the rule of diversification.
Best wishes to you oh wise and disciplined one,
Prof

Sotolo,
Haven't topped up here either. Like CEY I am happy with THS as a company but worry about the macro headwinds. August is always a funny month but my fear is that Sep sees some serious selling as everyone returns from holiday and get nervous about a recession. THS/SLP/ JLP/ CEY , I am happy with all four companies for the long run but am unsure for the next 6months. Best wishes, Prof

Hi Sotolo,
Interesting. My decision was also influenced by the strong resistance level in the 1680s although in my case it stopped me selling, which I was very tempted to do out of worry about gold falling further. The other element that stopped me selling is that I really do think CEY itself is on the up provided the headwind of the gold price is not stronger.
Best wishes,
Prof

Looking at the mixture of timings, quantities and price it is difficult not to conclude that the large unknowns are sells. That means there have been 19M shares sold in less than a dozen transactions. That must be clearing one heck of a lot of downward pressure on the SP.
What do people think?
Best wishes,
Prof

Rhodium now showing up at 15400 on Johnson Matthey.

Rhodium now showing up at 15400 on Johnson Matthey.