Member Info for Moneymaker2015

I particularly like this as my concern for a while has been our gold grades decreasing whilst we await Tavsan coming online. This however, allows current operational areas to carry on with decent grades in the meantime.

I’ve said it before and I’ll say it again. Over the years AAU has continually thrown out excellent news but the market rarely seems to take much notice. Completely baffles me.

It was definitely a nice little surprise to read this morning.

Not going to lie, I was a little gutted as on Friday I was going to have another £6k to put in here, so if the share price jumps considerably I’ll have to re-think.

It’s definitely nice to see the rubber stamp on the deal though.

I think for the near term the focus will be to continue to pay off the outstanding debt. Hopefully towards the end of next year this may be gone completely. That’s when we’ll start seeing a decent shift in the share price, especially if each year we’re generating an EPS of 3p per share of over.

I’ve been wondering for a while if AG will want to sell-up once the debt is paid off, more so now after the small purchase the other day. We’ll be a prime takeover target once the debt is gone as we’ve made consistent profits each year.

As with the majority (if not all) companies on the stock exchange, at their initial inception it isn’t declared the extent at which each party has paid out to form the company. Use OPG as an example as you’re a shareholder there. It was never declared how much AG paid to take circa 50% of the company. You could possibly find it out how much Monza Capital (AB’s company) paid-out by viewing their accounts if you’re that interested.

What’s more relevant though is the recent dealings of the BoD as it shows their own perception of the company. Last year for example, AB purchases 367,507 warrants between 2-3p and the BoD combined purchased over 4 million warrants between these prices. That was only last summer so they clearly believe themselves that it is valued over 3 pence.

Great news! I was wary about the acquisition originally as we didn’t have the money to fund exploration there. Whilst we are going to lose a decent percentage, at least we’re getting free-carried for most of the exploration. Things are definitely looking up for BOD.

If you were able to read you would have seen that I said didn’t have the funds. Hence why after that had offered these mines to ourselves the had to do a raise for AUD$10m to be able to continue their other exploration targets, never mind try to bring our two mines into production.

Ronald, it’s clear from your posting history that you’ve lost some money on DISH, as before Covid-19 struck you were writing things like this;

‘Report shows how undervalued BigDish currently is with a conservative valuation in the region of 7.6p
Personally I think we should be 5.5p so expect some decent risers over the next week or so’

Clearly, that didn’t work our for you, so you thought you would come over here to start trolling BMV holders as a way to make you feel better about your own losses. If you are going to try and troll us, atleast do some research into what you’re talking about first.

Ronald, your opinion that “SAU obviously don't think the so called asset is worth any form of further investment and are looking to offload ASAP” is a little off the mark. 4 years SAU farmed-out 50% of Gubong for two reasons, the first of which being that them being an explorer with no production experience, it didn’t fit their business model to bring it into production, the second reason being that they didn’t have the funds to bring such a vast resource into production. Then, last year BMV put forward a business proposal to SAU, to commence production in the near term. Once again, SAU didn’t have the funds to produce their 50% of the capital and declared the timing wasn’t right to commence production. The default of this being that they therefore offered their 50% of both mines for sale (our current position).

Obviously you know all the above though with your thorough research...

You are very rampy about OPG, even on their board since you appeared about two months ago you’re now their most prominent poster. Yet you seem to keep saying things like ‘re-rate soon’, 50p shortly’, ‘dividends due’. Not sure if you’re aware but the ‘dividend’ they’re referring to is the scrip dividend being reinstated, which from experience; yes in some ways it’s good as you get a marginally bigger holding, but it also adds fair chunk of share on to the market too. They’re a good company, but it’s going to take a lot for them to be hitting the 60p you’re ramping about.

Anyway, enough of OPG, this is a BMV board. As much as you say they’re a ‘life style company’, it was SAU that found our two assets and we’ve bought-in to earn 50%, so we know the assets are there. It isn’t as though BMV have just discovered the resource themselves on a greenfield site.

I’d never knock OPG as I have a decent size holding there but you can’t say it’s way undervalued just yet considering the size of debt they have and the couple of years it’s going to take to pay it off. As I say, the rise it’s had recently has just taking it back to pre-Covid levels. One of slowest stocks I’ve seen to go back to their original price in all honesty.

The only reason why I can assume you keep talking bad of BMV is that you want a few people to sell to get a low entry price, or you invested in DISH and made a loss so you’re bad mouthing other companies that AB has a holding in.

Ronald, I’m curious as to what your motives are here considering you’re not a shareholder. It’s a lot of negativity from someone that knows little about the company.

On another note, I seriously question your judgment. I saw what you put on OPG’s board the other day ‘60p this year plus great dividend’, neither of those are going to happen this year over there. OPG has only just got back to it’s pre-Covid levels after being rock bottom for 10 months. There’s no way there’ll be releasing a dividend either as they’ve always planned to repay their debt first, which is going to take another couple of years yet. Another stock you know little about from the sounds of it.

The key with Align Research and the like is to use their research in conjunction with other research. First thing I tend do is cross check their projected revenues against my own calcs. They’re all very biased, but you can still use them to reaffirm information you have collected elsewhere.

I’m just slightly annoyed I’d averaged up from sub 2p originally, to now having an average of about 3.4p. Had I known the deal was going to pan out like this I would’ve definitely held off for a while and then topped-up now instead.

I’m still hopeful that no matter what happens with SAU, production should be commencing in circa 12 months either way. The big question is will BMV be holding 100% of the mines of just retaining 50%...

It’s good to see they’re finally ‘cleaning-up the books’ and getting rid of the retained losses. It had been well overdue to be fair.

A sale / purchase is always a tough time for shareholders due to the lack of communication. I went through 12 months of it with EUA last, but also got to see the share price go from 0.45p up to the point I sold out at 42p. That sale is still going on with a lot of shareholders unhappy at the lack of news.

Unfortunately, we’re not going to hear much news until a decision has been made. We or SAU wont declare what offer has been made as it can cause unrest between shareholders from either side. The likely outcome will either be declaration of acceptance of the detail, further negotiations taking place or an announcement of an unsatisfactory offer being provided but with little further detail as to what was on offer.

One things that is almost certain is the share price will continue to drift the longer negotiations continue. What I would say though is have a good think before solidifying any losses. We’re in a better position than we were 12 months ago as we have finance sorted to commence production, have a development proposal sorted and have been engaging with contractors to do the work on site.

Worst case scenario, SAU decline our offer and decide to sell to someone else. Short term; yes the share price will likely plummet and we may have to do a small placing to cover running costs over the next 12 months. We’ll still be aiming for 100k oz Au per annum at 5 years. 50% of this equates to $61m per annum after costs at today’s gold price. That’s well about our mcap. Just something to keep in mind before hastily hitting the sell button and solidifying any losses.

*...take notice of us.

The share price just seems to be drifting downwards of late and for no reason, it’s not even like there’s been a lack of news flow or anything detrimental happened. Gold has had a slight dip in price of late but surely it can’t all be down to that.

You’ve got to wonder what it’s actually going to take for the market to

As depressing as it’s been seeing the share price at rock bottom over the last 12 months, it was inevitable that a change was on the cards at some point with gold prices so high.

The future is starting to look brighter here and as you say, if we can consistently achieve somewhere around 57k oz / annum, our mcap should keep on rising.

Seeing the share price dropping recently I was curious this morning as to how the new JV is going to affect our value in Salinbas:

Mo - $107m @ $25/kg
Cu - $861m @ $7827/tonne
Ag - $222m @ $28.05/oz
Au - $2.84b @ $1,849/oz

Total insitu value - $4.03b

AAU future 23.5% - $947m / £692m

That’s just for one of our assets, which on the balance of probability will increase further with more in depth exploration. I know the above is based on insitu values, but the current mcap of £52m is rather laughable when you consider our other assets also.

There’s a mix of two things mentioned that occur. Usually (although not a technically a necessity) shareholder approval would be sought to enable them to issue the increased share volume, then secondly a prospectus sent to the FCA for approval. As dyresearch says it can take a couple of months as the document is a few hundred pages long. Not that we’d have to wait months for a deal to be struck, we would just write a contract offering the shares with a proviso that FCA approval is granted.

I think it’s fair to say with the deadline surpassed and that we’ve now got the second tranche of funding that a public placing isn’t on the cards to buy SAU out. I’m intrigued to know what we offered them earlier this week though. Fingers crossed it gets us a quick solution to this deal.

Things have just slowed down a little whilst we’re awaiting closure on this jv. It hasn’t helped with the price of gold slowly drifting downwards either as it’s taking it’s toll on the share price.