Member Info for grammadux

I mean it would make sense to take the company private. The owner company is a private company and I do not really see any benefit for them to be publicly listed. Question is how much would they pay to take remaining free float. At current share price the 25% stake they do not own so far is valued at around GBP 30m, even if the bid around 5p this would be just around 60m. Not too much money taking into consideration that the already put well above 100m into this company. Just interested where you heard his rumor?

Guys, the 2016 results are no surprise at all, this was all baked into the share price, we all knew this was a really bad year. What matters is 2017 guidance of AISAC of around $950 per ounze! All costs will come down, mining costs, processing costs and no debt repayment due until March 2018. So Q1 2017 will give this a further boost, with costs and performance well above 2016 numbers. Further on in Q2 we will see more improvements.

Exactly! According to latest presentation 73.7% are held by MNG and 13% are held by institutions, only 13.3% by retail. So at least 3.92bn shares which are held by MNG are not trading, and very likely the 690m shares held by institutions are neither So free float is around 730 million shares which not such a huge number

http://avesoro.com/wp-content/uploads/2016/12/Avesoro_Corporate_Presentation_January2017.pdf have a look! Looks quite good. I think next week we should see debt restructuring.

What I like most is that they have been refunded their legal costs. Looking at other arbitration cases this could be well around $1m in expenses over the last 2 years. So this will be a good one time gain in Q1 2017. "Further, the Company has been successful in the majority of its counterclaim and has been awarded its legal costs."

http://avesoro.com/ have a look at the new website, much better design now

No you were right, RNS states: "we intend to update our investors with production guidance for 2017 later this month." So expect an updated mine plan and guidance for late January! Plus finalization of lender negotiations, which will result in a new repayment schedule. Please also not recovery levels are almost at original mine design which was 93%, in Q4 they were at 87%. So with further new equipment installed in mid Q1, I think the mine will be running at nameplate capacity. So exciting times ahead with gold price recovering again. I would expect at least 2p share price by end of the month.

So only around 600M shares are held by retail investors, rest is held by MNG and 3 institutions, http://avesoro.com/investors/share-information Issued Capital % Shares not held in public hands (Board of Directors & Management) 73.7% Institutions 14.8% Private/Retail Investors 11.5% Total shares in issue 100% Top Shareholders Avesoro Jersey Limited 73.5% Richard Griffiths and controlled Undertakings 4.2% Henderson Global Investors 3.3% Condire Resource Partners 3.3% Issued number of common shares of no par value: 5,324,759,001. There are no common shares held in treasury. Last Updated on the 13th December 2016.

We should all start posting under ASO here. That's also where recent trades are shown. http://www.lse.co.uk/SharePrice.asp?shareprice=ASO&share=AVESORO_RES.

That's 5% of the free float, when MNG is holding around 75% of the 5.2bn shares outstanding. That is indeed a big transaction. Also price was 1.65 which is 10% above equity fund raising. So if this was a institution why didn't they participate in the placement? Maybe somethings coming up. Bank waiver will end next week. Might expect new repayment schedule with guarantee from MNG.

You don't have to forget that there was a $5m write down on low grade stockpile which directly impacted AISC. So if you exclude those real costs were $25.4m which results in AISC of around $1800 rather than $2100 per ounce I expect Q4 to look much better something around $1200 per ounce which is not great but a good improvement, this should than gradually be decreasing to under $1000 which mgmt expects for 2017

There is no advantage, it's just a re branding reflecting the different company structure with the new ownership Again it trades around 2p which is a third higher than the placing price. Positive note was the updated forecast for 2015. 100k ounzes of gold at all in of $845 per ounze, that would be a nice profit at POG of above $1250 per ounze

"MNG Gold Jersey Limited, the Company’s majority shareholder, is in discussions with the Lenders with regards to potentially providing a corporate guarantee in exchange for the re-sculpting of debt repayments and the relaxation of loan covenants. " Good news, another commitment from MNG, after the equity injection and the equipment deal. No production update though. Guess we have to wait for Q3 numbers

That's exactly what I think. Already wrote this here when they announced the transition to owner operator. The structure for this transaction was designed to give them more time for another placing with no rush to do a placing at a low price. I also think there will be no placing till year end or so. We should get an update on debt negotiations with the banks and the new mine plan soon I guess. Next is production numbers and financials for Q3.

Means to me that they have not issued any new shares or warrants under the stock option or warrant plan over the last 6 months. So nothing important here IMO

I have around a 100k shares at an average of 4p I might top up in the next two weeks when I see volume picking up. I think we either get another one month waiver or they release a new mine plan which is a prerequisite to restructure the bank loans. If the second one happens we easily go above 5p. And as I already said when the last news came out 3 weeks ago, I do not think they raise additional capital at these prices, there is no hurry to do so. Thats why the bought it with another vehicle in the first place.

In the RNS from 15.6.16 they state a 4 month waiver. So taking the date of RNS as beginning this would be till Oct 15th. Or still another two weeks

Nobody ever said the 30m are gone. As of the end of Q2 they had cash of $3m if I remember correctly, plus the $15m of the second tranche from mid July are around $18m per mid July Some of this might have been spent on paying suppliers and creditors and keeping operations running, consulting costs and material costs for mill improvements etc they did over the last few weeks or even buying those famous reagents. But there is definitely cash left, might be $10m, might be $5m. But for sure not enough to pay those $37.4m. So required funding would rather be around $30m than $40m.

I think you guys are missing two main points here: 1) nobody ever said a placing would be done right now at these distressed prices, in fact MNG chose not to raise additional funds now, Instead they bought those assets with their operating vehicle AISL! To me such a transaction only makes sense if they plan to hold the assets for a certain period of time (let's say 6 months to 1 year) before they transfer them to AUE at the same price. So yes there will be a need for additional funding but not right now! 2) This is actually another confidence vote of MNG in the AUE deposit. They spend another $37.4m of their own money to buy the mining operations equipment for AUE. SO they invested now a total of $67.4m into this company! This means to me that they are determined to get this mine running at 100% and make it profitable. This will also benefit old share holders. IMO yesterday's news was another step in the right direction, those conspiracy theories are highly amusing

IMO a they might wait for another equity raising till the shareprice appreciates. Otherwise MNG could have annouced a placing right now at 2.5p or whatever. BUT instead they chose to buy all the equipment etc with their own mining operations vehicle company ASLI. They will fully underwrite the fund raising. Adding up the numbers I end up with $37.4m for everything including the novation fee. At today's price this would be a sh*t load of new shares. Again I can see them holding those assets in the ASLI vehicle till the end of the year for example when we have full production etc and share price is much higher. "It is intended that upon completion of an equity fundraising by the Company, which MNG Gold has agreed in principle to fully underwrite, the Sale Assets will be sold by ASLI to BMMC at no gain or loss." I agree that the production update is somewhat disappointing but I expect them to produce at around 80% now due to the following sentence. "Average plant availability has been 66% over the past 65 days, however better availability has been achieved in recent weeks. " I think the picture will be much clearer once we get an updated mine plan.