It’s looks like Gold will rise again to new highs, at least monthly chart is pointing towards that.
Barc has range upto 300p,but Gold is going to remain in strength for foreseeable future, Goldminer like POG is multibagger
It is possible IRC Gurantee is already gone to nill because of EBITDA to debt ratio .
Rusty, this is from POG website, where did you come $200. Since IRC started repayments in 2019, IMO it is significantly reduced “ Petropavlovsk is a major shareholder (31.1%) of IRC Limited and guarantor of a US$225m debt facility, whereby the Company’s total guarantee liability is currently US$160m but which fluctuates over the life of the loan depending on certain operational milestones being met and the duration of the loan. IRC commenced its scheduled loan repayments in Q2 2019”
IRC is as much important as POX hub, and will be jewel in POG’s diversified resource (Gold+Iron). Gurantee Is already reduced to 40 or 60% of debt if you read terms and conditions carefully.
10 year yield is high because of bubbles formed in growth/tech stocks, that will fizzle out in sometime. Gold is stable and will find new range once Economies return to basics. By and Large Jerome is saying the same thing. Goldminers like POG is going to rise above 120p
On hind side, Gold price has causal link to the health of Economic activity, not with vaccinations or locked being eased. On bright Gold miners are benefiting a lot. POG Goldminer is multibagger
Rusty bucket, own production guidance is same as the last year actual production. So they haven’t included guidance from floatation plant coming in operations
Its true if POG CEO cuts unnecessary costs can alone generate 1p dividend for shareholders, along with restructuring in IRC
Rusty, Let’s try to figure it out from figures. Own ore mine is as it is. 60k ounces they are talking about in my view is Gold in circuit from own mines. You can see in my previous posts about 60-70k Gold in circuit. That’s how they came up with around 450k forecast. But, 2021 forecast was 700k ounces, which was revised 560k ounces, but ended up 548k ounces. CEO has come clean in these estimates at the moment. But he is going to end up 560k ounces in actual production in 2021, little bit tuned according to Gold price. Moreover, he would like to be CEO of Russia’s third largest Gold producer.
Rash, higher spending inflates inflation, and Gold is hedge against inflation. Tech/Growth stocks have peaked weathering high yield. There is left nothing much in stocks which can boost yield. Many tech/growth stocks are now overpriced, a bubble is there now
$1.9 trillion fiscal stimulus just unleashed, actualy yesterday; Gold price can rise to a new high.
Rusty, that is Pavels and Peters mantra for their own reasons. Company’s and shareholders interest is in IRC to declared as core asset/investment . This factor alone can take POG’s sp above 100p. IRC is overburdened similar to POG for wrested interests. It will be very small amount if POG chooses to increase stake in irc. Then POG can mull to be in same ranks of FTSE as it was before bonds issue.
Current Board needs to come clean and declare stake in IRC as core investment and asset, and increase stake if possible. This is the single most important decision they have on their table.
POG didn’t update on this matter, POG holds around 32%, but they were trying to sell just 20%. If they wanted to sell all 32% , then buyer needed to make offer of entire share capital. It can be infered, POG has no restrictions to increase its stake under lse and Hong Kong rules.