Member Info for jammin86

I see. Thanks for that. Seems like a natural hedge.

What could go wrong? 😂

Are the costs all denominated in local currency?

We don't know but it's fun to guess...

What options does the FED actually have? Surely it has to print money to finance is ever growing debt requirements (more debt to service interest on debt). I think a return to money printing is inevitable, as is a continuation of fiscal expansion, and long term rates suggest bondholders agree with me

Yikes

Understood.

But if gold falls 10% I'm not sure we expect costs to also fall 10%. I appreciate that costs are within control to some extent whereas the price is gold is not, so the focus should be on AISC. But POG staying at 1900 vs falling to 1800 is worth 200k oz * 100 = $20m in profit over a year, assuming no offsetting changes in AISC

AISC margins are a function of the gold price, aren't they? Wider is obviously better lol.

Given how highly leveraged most miners are to the price of gold, we definitely don't want the gold price collapsing right now...

Why on earth would those who benefit from the system want to see it replaced? Lol

Inflation is definitely going higher as its the only way to "repay" the debt. Countries with monetary sovereignty never default nominally, but they do deflate in real terms, and the USA will have no choice.

Long term rates are going up, which is an indication that the market expects higher long term inflation. The market knows the government will continue to borrow.

What the hell is going on

When everyone realises just how soft fiat currency has become, the fire will be lit under gold. Not even a 5% increase in "risk free" yields has been able to hold back the price

Yup. It's coming and no amount of government borrowing can forestall it, but they will try as hard as they can.

FED will have no choice but to inflate it's debt away. At which point more people will realise just how soft fiat currency has become

Oh I agree. The idea that we'll all double our money in a week AND that there are no downside risks is completely incongruous. You always have to earn your risk premium, there are absolutely no free lunches

Most eyes are on the megacap tech space and the AI story at the moment.

Would you rather buy shares that have already run 100% and have PEs over 50? Or those where the company is performing but the share price doesn't reflect it?

In the short term the market is a voting machine. In the long term it is a weighing machine.

Lol. Are you sour because you lost money on this share or something? Unless you've shorted it and have skin in the game, I'm not sure why YOU haven't disappeared.

I bought in recently, just below 10p, and am pretty happy with the outlook. If you think gold is going higher, which I do, then owning small cap gold miners is about the best leverage you can get.

Absolutely nobody is saying this is risk free or a done deal.

Fed to hold and then cut into the recession. Money printer goes brrr. Unlimited QE4EVA, gold to 3000+

Exactly. The concern is that instead of returning money to shareholders, they become obsessed with growing bigger, and drilling more, and opening new mines. All of which is extra risk and more jam tomorrow.

The tiny dividend is small dick energy, it must be said

I guess quite a lot has changed, particularly following the large equity issue that brought in some people who seem to know what they're doing.

It's a miner in Africa, the risks are high. If you want easy money, put it in a money market ETF

This is why they need to up the dividend. It's the only way of getting money back to shareholders.

I'm disappointed they kept it at 0.1p. They can easily afford 0.2p or much more

I guess there is a very good reason for the market giving management absolutely zero faith or credit until they demonstrate consistent positive cashflow.

I sincerely hope they find a way to sell Dugbe. If they decide to use the cash they're generating from the current mines to finance another, shareholders will never see returns.

Another AIM lifestyle company for management?

This is turning out to be a bit of a dog.

Or rather, AIM is a dog

As a few pointed out, the results today are a reiteration of the Q2 operational update provided a while ago, therefore there's not much news.

The share is up c10% in a week though...