Member Info for M20ASH

I think the current number held is 23,340,127 worth £3.267m based on the current bid, up from the reported carrying value of $1.425m at the end of 2019. A very nice gain to add into this year's profit. HUM could even afford to mint a special solid gold saucepan for him with that cash.
Cheers, Ash

I've been keeping them up to date, but the amortisation and tax have thrown a bit of a spanner in the works! Would like to see how everything within the JV splits out to a greater extent e.g. amortisation, finance costs & income, exchange gains/losses, etc. Ideally in the same way as the rest of the accounts. It's just really odd to have two reporting standards, especially where the key part of the business is less openly reported.
Cheers, Ash

I may. It all depends how I get on with work over the next couple of days. Still fending off auditors and trying to complete our June numbers for Friday am.
Cheers, Ash

Only because both the drop in amortisation and reduced tax are unlikely to be ongoing benefits so raising it might not fit in with the party mood over on ADVFN. I must admit I hadn't really looked at the holding company numbers as they are usually fairly consistent and the JV numbers are the key, which is why it's so frustrating with the continued lack of detail. It's non-Plc reporting standards. In fact it's not even up to SME reporting standards.
Cheers, Ash

Hi VanVan, no problem, although I wouldn't want to seem to be spoiling the party!
Cheers, Ash

Excellent set of results and way better than I anticipated. Having taken a look, it seems to me that there has been a re-jig of the mine amortisation policy - presumably they have increased the resource on which it is based in line with the increased resource at Kiziltepe, which has resulted in a significantly lower level of amortisation charge than the previous year £1.26m v £7.46m (you need to look at the JV balance sheet to pick up the reduction in the mine asset value - clever bit of accounting that has boosted profit by deferring amortisation costs into the future.
I am also surprised at how low the tax charge is, given that it is normally a flat rate of 20%, but that may just be my not knowing exactly how the incentives work as I had assumed that the relief was only on the first £16m of profit, equating to 50% of the initial mine investment. I just wish the JV numbers were less opaque with more notes to explain.
However, onwards and upwards.
Cheers, Ash

Glad you agree. Can't be too many producers where the sp is currently sat at a 50% discount to value based on the current metrics. You can speculate as much as you like with explorers and near-development stocks, but it's good to have something like HUM in the portfolio actually digging it out of the ground in the current market environment.
Cheers, Ash

Hi twogoals, yes 80p. The 30p increase is based on 120k oz at an additional $200 = $24m. Convert at FX rate of 1.25, deduct 30% tax and then minority interest share of net profit. Multiply by forward PE of 10 and divide by shares in issue.
Maybe a bit simple, but it feels about right to me.
If you want to add on any more for increased resource potential and Kouroussa, that's up to you.
Cheers, Ash

Disagree on current sp reflecting Yanfolila production. At current POG, I estimate that adds about 30p to Canaccords target of 52p for Yanfolila alone. That's based purely on net profit share to HUM at a reasonable PE of 10.
Cheers, Ash

Hi Joe, sorry you missed out on HUM, hopefully Q2 results will be good and there's a bit more in the tank. I'm hoping for 60p minimum. We don't seem to get very much Zinfandel over here and if it's good, it's not going to be cheap like the plonk we drink! Have to get used to the French reds because there's not going to be much else in France.
10p would be lovely and I thought it would be on the cards from a 51% share of Red Rabbit with Tavsan up and running and all debt paid, but even with the higher price of gold, I think we'll have to wait for either an expanded operation at Kiziltepe with underground development and/or further progress on Salinbas before we see a valuation in excess of £100m. Hope I'm wrong though. If gold continues to rise, it will benefit not just AAU, but every other gold producer obviously.
Cheers, Ash

P.P.S. Are you still invested in THR? Give it up man. Mick Billing will have every last penny that shareholders are willing to pay him and produce sod all. A bit like Patrick Cheetaham, there’s a name, at TYM & SRES. Sell up & invest in something worthwhile.
Apologies for off-topic (again).
Cheers, Ash

Hi Paul, just got the Somerville gag, laughed so much I thought my liver was going to come up (apologies Greg Davies for the plagiarism).
Seriously....
Cheers, Ash
P. S. Be nice, it suits you better, love Ash

Hi RD2U, you do amuse me, even if it’s an acquired taste! Drinking Corbiere tonight - have to acclimatise to the red wines from the Languedoc-Roussilon region in advance of prospective retirement.
HUM did ok today in comparison. Better results from ERC (back in), GRL (back in) and PXC (watch out). Apologies to the AAU diehards!
Work is now a chore - 1 month of my 3 months notice to complete. Maybe I’ll follow the charts and resurrect myself as as a trader. Lol!
Cheers, Ash

Can’t disagree with the potential. Just hope I can add more below 40p.
Cheers, Ash

Hi Shareseeker, I noted in a previous post you suggested this could be the next GGP. I don’t disagree with the potential, but we need the drill bit to talk with resource estimation to match.
Added a few more today and want to build a bigger stake, but I think the next phase as gold and silver rise, will be the smaller producers, who are actually digging it out of the ground. At least, I hope so and then I can add more. I think GGP is maybe an exception because the results speak for themselves, but if PXC takes off without me being able to add as many as I want, then I’ll settle for that.
Cheers, Ash

Hi Joe, does that mean you’ll have to change your alias to Cotton-eye Joe once you’re no longer in the desert. Won’t be the same!
Very tight spread today, rather than the reported spread, with both buys and sells under the ‘fake news’ share price. Not sure what that means other than maybe MM’s looking to pick up shares in anticipation of news....
Given today’s price action with both gold and silver, the reaction of the AAU sp was a bit limp to say the least. Roll on tomorrow....
Cheers, Ash

Just gone through $1870. Would be great to get the quarterly update RNS tomorrow.
Cheers, Ash

Saw this tipped a little while back, but only bought a modest 20k shares a few weeks ago. It’s a bit early stage for me, but now thinking of increasing my holding.
Seems to me there are a number of things to like.
1) multi-resource, including gold and silver
2) fund raises at a premium to current sp
3) unexplored potential
4) environmentally- friendly processing reducing time to potential production
5) mine-friendly jurisdiction
Hopefully, I haven’t missed too much...
Anyway, a good day today. Looking forward to drilling and resource updates.
Cheers, Ash

If gold is comfortably above $1900 over the last quarter, I’ll happily stick another 15p on my target of 60p.
No idea what the market will do, but the numbers make sense to me.
Cheers, Ash

It’s a very positive article and accessible, either by registering with ADVFN or God forbid, forking out a small amount each month to read some interesting articles that sense check some of the more over-hyped companies on AIM, in my view.
On the subject of the Nigel Somerville article, I noted that he refers to a gold equivalent of 20k oz pa going forwards and recent reported cash costs. I believe that double counts the value of silver production, as I’ve highlighted previously, so bear that in mind.
Nice to see AAU finally react today to the nice rise in gold and silver prices. Lots of investors looking for a bigger exposure to silver and at roughly 13-14 x gold ounce production at Kiziltepe, AAU is an ideal choice rather than a silver-only play.
Cheers, Ash