Member Info for leehardcastle

Inflation is here to stay, took another 200k this morning, we have the last few weeks of Q4 to go and we will be in the phase 3 gold, 2022 will be an eye opener for us, I have no doubt.

It’s transitory my backside, it’s rising and will continue, it’s nearly impossible to stop, because the usual tool in the box of increasing interest rates is not feasible with such bulging debts, so it will continue as wage increase demands try to keep up, those increased wage costs get passed onto the consumer who pays more and more for essentials, and the demands for more wages intensify, a cycle that’s very hard to stop, any one who remembers the early 90s will know, it took Margaret Thatcher to tackle inflation by raising interest rates to 15%, that’s not possible today, a runaway train without brakes, hedge your wealth is the only answer, and gold has always been the historical hedge to inflation, always has and always will be.

The recent gold increase will start to spark more interest in gold producers, which have been out of favour recently, but I think Gold as the safe haven play will be sought after, I know my wealth is at risk with high inflation, it’s owning an undervalued gold miner that gives me a hedge, because huge inflation is certainly going to get worse, and not for just a few months.

Well I have taken yet another 200k as I fully believe the gold
price is set to go much higher, and like you said, MTL is poised to take a huge benefit from it over the next year and onwards, 2p base line will be back very soon, so I’m taking full advantage as funds appear.

Good to see experts views, all the points mentioned are exactly what most investors here have been expecting, its taken longer than expected, but gold values will rise, and the timing is perfect for our investment here, happy days are a coming.

$1865 at close, I think $1900 will be tested in the next week or so, certainly potential for a bumper last quarter to the year, I think Darren Bowden’s conservative annual production estimates are going to be well surpassed, along with revenues, the cogs are aligning nicely.

Your maths is spot on, 2021 is on target to be the best year to date, and all through a Pandemic plus delays caused by illegal miners on our higher grade gold, 2022 will see higher gold ounces, higher gold prices, lower interest rates with lower interest payments, possible increased LOM details and market interest in gold producing mines, sleep well my fellow MTL holders.

$1830 looking strong

$1818 is a good start, the momentum should pick up, realisation of ever increasing inflation finally sinking home.

Yes we can :-)

$1800 again, can we push through?

Another top up of 200k just now, gold is wanting to break past the $1800, the inflation/debt problem of the world is not transitory, is here to stay for the medium term, MTL will break out of this low pattern when it does, not long.

The drop from the stable 2p plus was a reaction to the lower production numbers in Q2 and that access to the higher grade phase 3 and 4 gold was a few quarters away, but now we are back to business with a little shy of 20k ounces scraped out of phase 1 and 2 beating the Directors forecast, the higher grade gold is only a couple of months from our grasp, it doesn’t take much imagination to see where we are heading in 2022, but 25k nameplate quarters are on the cards, interest amounts are reducing, this year has proven with huge headwinds, that we can pay down our loans, the next 2 years will be a breeze by comparison, and the AAZ success story will be repeated here, MTL are on track, and the rewards are going to be huge for those with the courage to buy and hold, don’t be fooled by scaremongering, read the facts, MTL as a company are stronger than ever, and relatively very few know this Gold producer exists, how long before we become known as the bargain of the decade? it’s coming, don’t be rattled, enjoy the ride.

I’m chasing your holding Mac, another 200k for me this morning, a long way to go though with your 25miillon though.

And to be clear, when the Senior debt facility is cleared, the mezzanine loan rate of interest drops to just 7% and that’s a huge change for the company, interest payments will drop to only $1.4 million for that quarter, and reduce every quarter after by around another $0.2 million, further speeding up a company debt free position, dividends ahoy

For the doubters, that’s just the start, Q4 will be even better and by 2022 Q1 we will be in the gravy, rich grade 3 and 4, happy days.

$1800 gold

Inflation is rising as predicted, not just in the U.K. but world wide, having a gold hedge as our savings shrink in value makes a lot of sense, gold values will react accordingly as investors seek to protect their wealth, either buying physical gold or undervalued stocks.

As mentioned by share Prophets, the fantastic rate we had reduced the debts in the first quarter of 2021 looks likely to resume , and we should trigger the reduction of the mezzanine interest rate to 7% quicker than you believe, 1 year from now would be more like it, assuming gold levels remain decent, this is the article I mentioned:
Share prophets post31 Jul '21
Gold producer in the Philippines, Metals Exploration (MTL) has announced quarterly results, including noting production challenges but also that it believes it is well placed for the second half of the year.

The challenges included reliability issues with the company’s equipment fleet and delays in sourcing certain essential replacement parts and not having full access to certain areas. However, it still delivered 16,591 gold ounces in the quarter and $5.5 million free cash flow (average realised gold price $1,807 per ounce), with net debt reduced by $1.7 million to $111 million.

We previously noted clear risks but also clear opportunity and that looks to remain, including with equipment investment and continuing to work with the local authorities to complete the process of removal and resettlement. Those offer some confidence of a re-acceleration of free cash flow – there was $11.5 million in the first quarter – to make the current market cap of £30 million, with the shares at 1.45p, look cheap.

As noted on recommendation earlier this year, we reckon this is a well over 6 years mine and that the 3.25p share price reached in October is realistic. Therefore, this is a tip to average down on and still a great risk/reward buy.

1 year ago when we agreed to the debt restructuring we had total debts of $137 million and this month we will release the figures showing another shaving off our nicely reduced $111 million debt, we know that the last 2 quarters have been a struggle with Covid increasing costs, and the illegal miners creating delays to the higher gold grades in phase 3 and 4, of which is now planned to be mined in late 2021 to early 2022, so just around the corner, so the dark clouds are about to clear, the plus side is we still reduced debts by $26 million and Q3 results are here in the next week or two, another $5 million reduction would be acceptable, Q4 will be better and 2022 Q1 will be where we really see the debts fall, as for the current shareprice? It’s cheap on all metrics, and taking advantage of it now rather than in 6 months when the clouds have cleared is all down to how risk adverse you are, I personally see a bright future and the recent drop is vastly overdone, opportunity? I say so IMHO