Member Info for mbingo

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.

Thanks for this Ash.

I also like the diversification strategy re the Cyprus Copper/gold asset. Sensible risk management approach.

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.
“

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.

And this was on November 10th when Fres was 660p, 15% more than current price. It’s a great entry price in my view. Gold and Silver due next leg up over the next month or so.

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.

Looks like a £1m buy at 12.32... at 131.4

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.

Built a little position here. £27m market cap seems v small given their assets, board with skin in the game, proximity to China/India, with a copper deficit on the horizon and a trade deal in the cards. Funding to be done, but that’s why Bruce Cheng on board .. and Asipic. Am I missing something?

Thanks!

Ok, in which case there will be less shares available, hence if the company shares in demand, price will have to go up - and vice versa.

Share buy back will be large - correction.

The share back will not be large - and clearly the market cap does not correlate to the value of the portfolio assets and cash. Interesting that the share buy back was overwhelming decision. These should be tightly held going forward. When you have a portfolio with the likes of Federated and Spin Memory included, it’s exciting! Let’s see if we can have a board that’s fully aligned with shareholders - and move forward. I picked up a few more in the 40s today. Cheap opportunity here!

Nice to come back from lunch to see this rise. Still vvv cheap! Back to 300p quick time me thinks..

I share your view here. Will be v interesting to see any T1 that pops up. Market mechanics with less shares in circulation will drive this much higher. Need to see evidence of those US funds buying ... GBP still cheap vs the USD, but historically much higher, which adds to the appeal for US funds.