Member Info for GreenKitty

I read an article yesterday about how the saudi can flood the market again with cheaper oil if a few countries such as Iraq do not fall in line with promised lower oil production . So far there were 3 countries who were still not reducing/ falling in line with opec agreement.

Has anyone heard of the opec + agreement being extended , as it was due to finish end of July.

I'm concerned that if those rogue countries still do not comply to reduce their oil production , then the market will be flooded with cheap oil, hence oil price will be back at the $25 Mark like in March/ April this year , which means PMO share price may drop hard back to 30p.

Open to hear constructive thoughts .

Yes I have already taken a drop, but overall still up from 27p and 35p holdings.

I'll wait to see how Monday pans out , but the motley fool article is very concerning . Makes small investors like me a bit nervous whether to just cash out asap .

Was hoping to see 55p- 60p by end of July, but these rumours without any official RNI hurts the SP so quickly .

Colonel drake - Loving the idea of getting diamonds for my Petra shares instead, at least I can do something with a real diamond . Yes from my experience you can always hold real diamonds as a long term asset , which can be passed down generations without inheritance tax !

On a real life note , I know diamonds have taken a big cost hit. My dealer in Hatton garden is trying to sell me diamonds right now at extra 25-30% discount right now just for him to keep afloat, but alas he won't take Petra shares instead .

Since the latest airline travel news over this weekend and how the general public have gone mad booking holidays yesterday , SP should be going up on Monday.
I'm hoping we get to 55p and hold that steady pattern this upcoming week .

GLA !

So mentally yes I was upset that I had to write off loss of my original £24.5k investment this weekend, it might not be alot to some people here , but ouch for me in my portfolio .

But hey if I get anything back then that's better than nothing IE. If I get back £4k , thats much better than the £2k it's worth if I sold today .

Imo - Better not to get too excited until more news appears of any actual real buyer? . Also acquisitions can take anything from 9 months to over a year to complete , so more volitility expected for this share price based upon rumours and speculation until purchase is completed.
Also any official RNS will likely be very basic in details , just enough to ramp up interest/ hope to keep share price from falling further to help the sale? . Personally I'm not feeling very confident that Petra management actually share the truth, since this announcement late Friday, seems to have come out if the blue, without any input from shareholders? .

Good luck all - DYOR

I have been holding very reluctantly hoping to just get out at breakeven or little loss even losing 20%.

I was hoping that the firm would have improved since they began to implement strategic changes . All talk about a project to drive efficiencies and generate cash , they called it a so called success ?

See the last article report at beginning of June 2020 which claims improvements via special 2022 project was executed to free up more cash . But now blaming covid for their failure , even though looking at share price in January 2020 before crash it was not improving.

So the question I have is why are these people still in charge? Within 1 year share price is down now to 2p?

I'm my opinion only, even with a RI issue which most companies do first to raise cash , might not be enough to help, hence no option but to jump ship and sell. Cullian mine will be cherry picked off first as it has most raw blue diamond potential and largest asset . Rest of the other mines are breadcrumbs . So they would loose the crown jewels to try to keep afloat ? .

Below in my crazy theory logic :
It will be a cash buyout at ridiculious cheap price likely Chinese firm with deep pockets, who will sort out management problems quickly ( fure them all hopefully ) . They mine and then have their own raw commodity base, so will not have to import as much from other global sources, then control internal Chinese consumer market? . Chinese will want to expand their self sufficiency, just like expanding into oil and gas or currently exploring methods to change dessert lands into environments which can be changed to agriculture for the future.

Article link mentioned above :
https://im-mining.com/2020/06/01/petra-diamonds-project-2022-initiative-provides-bright-spot-in-latest-interims/

Likely the company will take first offer on the table from any buyer as the debt clock is not going anywhere fast, so they won't have time to court the market properly. I won't be selling on Monday or buying more as that would not help my already high average price of shares- throwing more money down a pit.

So I will be just watching and see if I get anything eventually in next few months for these shares, whether if a buyer can be found. IF no buyer can be found then shares = £0.000 , debt banks & administrators will take the lot and us shareholders are always last in pecking order to get any money.

Likely some may buy on Monday to ramp up share price, then jump ship as soon as they see any mini profit, but not bothered about the future of the company itself. No judgements here as to how people wish to spend their money / trading strategies . As always people need to DYOR and do what's best for them.

I have been holding £24.5K worth of shares at 22.53p average since last year, so I am currently looking at a minus 90.37% loss at the current share price. I was hoping for the long term in a recovery, but now even if a buyer is found I might as well kiss this investment goodbye . Not deramping - but a reality check for other investors that this share carry heavy risks , but I never thought this one would crash so badly, hoping that I'd have to hold for few years.

The new buyer can hold long term and reap the benefits of the diamonds within the ground . We just have to see how much a new buyer wants to pay out to current loyal shareholders within the next few months.
I say at least months for a new buyer, as I doubt in this current market that anyone wants to buy a mine, even if it is going at such a cheap price. Even if they find a 20,000 carat blue diamond tomorrow, not enough appetite in current market for people to buy diamonds ( see by recent auctions the big houses have tried to trade at miserable results)

Good luck all as we need a miracle of luck to get money out of this rock now !

I usually just read as I am not a professional trader like most here. I am holding PMO at 27p in my ISA, and more at average at 35p in usual trading account. If I cashed out everything I would have made £31K profit yesterday, but my aim was to make some extra money to help pay off school fees for next few years, so I would only be holding PMO until end of this year/ early next year.

Honestly in my opinion only I would be happy with 60p range and cash out, as IMPO don't see £1+ until next year at best, due to (i) the global current oil market and (ii) volatility of COVID popping up again in isolated cities around the world (until a vaccine is found).

My reasoning is that:
(i) I do not believe there will be a mass country lockdown again when outbreaks occur again, but isolated lockdowns to ensure the economy is not impacted like it has been. No politician wants to be forcing people back to full lockdown, political suicide.
(ii) the OPEC+ agreement is ending end of July and no word of that being extended. So Crude oil will begin to over produce VS fragile global demand which is trying to bounce back.

I see that most on here seem to be near term day watching on these threads?, but I am planning for the medium term outlook for PMO ( until end of this year).

I also wanted to hear some logical opinions on the RI topic for PMO due to proceed in next few months as BP deal must be completed by sept and funds will need to be raised to pay for this. RI would dilute share price but in my opinion only at least 10p, before any eventual climb. So I may cash out before the RI and see if it is worth jumping back in later once the price stabilizes to reflect the RI dilution.

I am open to hear constructive logical comments. I am not ramping or deramping but keen to understand where this share may be heading in near term by end of year from an investment POV.