Adam Davidson, CEO of Trident Royalties, discusses offtake milestones and catalysts to boost FY24. Watch the video here.
Astonished that Rockrose is at 900p/£130m cap. Assume it is a case of investors taking profit here to sub falling prices elsewhere. I certainly didn’t catch the bottom here, but have been adding what I can at this level.
Short term capitulation across all sectors. Oil price will recover and Rockrose well set up for this type of situation, hence name. Balance sheet makes this attractive. Corona will affect supply chains and demand in oil, but for how long. Will central bankers add support? I expect so. Opportunity here in the medium term I think.
Anything could happen, but for me risk v reward at 1500 is a clear buy. A safehaven. O&G prices go down and they can pick up cheap assets. They go up and revenue goes up. Hedging now looks like a very wise decision. Biggest position for me now - by a margin.
£200m market cap, $320m unrestricted cash. Hedging in play re O&G. Low risk.
what a bargain!! Bought loads more this morning.
Bargains aplenty. USD 370m Cash position and CEO circa 30% interest makes this compelling in troubled times. Add the fact that circa 40% of O&G hedged at $65 ish for Brent ? Gas and that takes the sting off today’s drop in Brent. Added a lot today.
Totally agree that a delay will benefit AAU. Precious metals could go a lot higher still as monetary policy and quantitative easing devalues currency. Silver due a bounce and gold further to go. If there is another material jump over the next month or so, will only strengthen the position.
Only recently discovered this. The MOU - if signed and agreed - will lead to US$30M additional cash position for AAU - and deliver Salinbas much faster than would otherwise happen given the investement set to made by Partner and reduced cost. That is a major derisking element, when the market cap is £30m ish - and debt free by April. 27,000 oz gold (plus the silver) produced in 2019 (more than expected) at these prices with operating cash costs at $300-600/oz is compelling.
Results today on Tavsan are excellent - and the copper project looks well set.
Gold/ Silver prices will leap to another level in my view this year. On the face of it,this is a compelling investment. What am i missing? Turkisk environment .. welcome views.
Norton Rose were advisors on the deal. There will be a professional indemnity claim or settlement to make do, given reputations issues. Lack of funding disappointing, but CEOs credibility has been boosted by this news - and of course the assets are still there (which are enormous).
No reason for the drop. Cash = market cap. Business is in addition. Investors should be buying. Suspect they need clarity on business plan.
I talked to the company earlier. They made clear that the ash position is £150m, no debt. Comment as follows: “
Taking the average net debt of c.£250m, adding back the £300m cash and the £100m private placement which was transferred to Bovis would give c.£150m net cash position pro forma on a go forward basis.
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So cash is more or less equivalent to current market cap - cheap! I’ve bought some ...
Likely to have 12.5p returned to shareholders in early Q1 2020. 30% special Divi. That’s takes much risk off the table. This really is a bargain. I would add, but I have a lot already!
Think precious metals are on the cusp of a jump. JPY reversed against the dollar late last week. Stocks at highs. I see a reversal and FRES well placed to capitalise (if of course the bad news is out of the way. Market cap down to £4.4Bn ish, 10 year lows. Could work very well for next few months.
I think that the price here is front running a drop to gold/silver in the next couple of days. I’ve picked some up at 570. Looking for a large bounce in precious metals after this final drop. I am of course hoping that their operational issues are behind them and that they can maximise their enormous reserves. Silver price historically gains much more than gold in a PM rally. No reason why this can’t double over the next year.
No-one knows. Question is whether you see this as good value? If you can justify market cap of more than £115m, others will too - and valuation will win through. I can easily, Henderson why I continue to buy. Crystal Amber can too. Woodford/Link has managed to sell most if not all his holding. Last RNS suggested Link with 2% left. Hawkeye sale realises significant funds, which are put forward to cancel shares. Less shares means we all have a bigger interest - and more demand. It’s a large position for me. Federated Wireless and Spin Memory make it a compelling one.