Member Info for Moneymaker2015

Anders,

Ironically the current climate makes it perfect timing to gain funds in this sector. We tonnes of gold and Pd which have remained strong throughout the last 6 months, with huge margins.

I know when everyone’s doing valuations they seem to base it off 15m oz of Pd, but in reality Pd makes up more towards 2/3 of that. This is another bonus for us though because even though the value of the mine isn’t as high as people’s guestimations, it does significantly reduce of relying on one commodity. People never seem to talk about our copper and nickel, but companies would mine MT just based on these.

Whilst other sectors around the world will likely struggle to obtain funding, metal prices have remained strong throughout making mining in general one of the few reliable sources to fund. Ultimately, banks have to spend money to make money.

I do agree with your view though, I cant see many potential bidders raising more than $3b and it’s debatable whether their shareholders would want to be significantly diluted just to purchase us considering any potential bidders will likely already have assets worth significantly more than ours anyway.

Clueless, I wouldn’t disagree, there’s always signs, but when share prices rise so quick, they fluctuate by bigger margins so when it starts dropping you can never be too sure if you’ve just hit the top.

Take EUA as an example, nothing of any additional value has happened since we got the flanks application news. So the long term value of the company hasn’t changed from what know back in September, yet the share price remained at sub 0.5p. The share price didn’t move until Oct/Nov when news of a potential sale came through. Arguably, the long term value has significantly increased because it would be much more profitable to mine ourselves, yet the share price has gone up to near 20p. It’s a prime example of the difficulty in deciding when to get in. Everyone knew back in Sept the value of EUA’s assets but the volumes stayed low and the share price stayed at 0.45p.

The difficult bit is seeing the top before the drop. Take a look at BMN, it shot from 1p up to near 50p 2 years ago, now it’s down at 12p. It’s still dropping now and will likely continue dropping for a while . Many like me sold out prematurely at 20p thinking it was the top, some are still there now that thought it would keep rising above 50p and are looking at immense paper losses for holding on too long, they’re all thinking “why didn’t I sell at the top”. Investing can be a cruel game sometimes, even if you’ve made a profit and then the share price keeps rising, you’re left thinking ‘if only I hadn’t sold’.

You’ll see them flood through once an offer is made. Once Anglo American confirmed it had actually made an offer for SXX, they started flying in, almost every day.

Negativity I don’t mind because it stimulates discussion. I’m very critical of all the shares I own because I have a vested interest in it. Unfortunately, some people don’t like hearing anything negative about shares they hold. I intentionally avoid ramping a share because if it gets to a point where I’m trying to convince myself or others that it’s a good company, something obviously isn’t going right.

Yes, when someones intentionally de-ramping a share it’s more of an annoyance because as you say it kills off good discussion. That’s why the filter button is useful.

Ironically I only started using LSE in Dec because after years on ADVFN, nearly all the boards were becoming infested with people ramping / de-ramping all the time and there was rarely any discussion of worth going on.

They may no longer require the credit faculty that DS was providing. WK should finally after 3 mining seasons be in a profitable position. Now that we’re taking 100% of the profits, I’d be surprised if they still losing money.

The frustrating for me is that surely they know what’s going on with the funding by now. The agreement was legally binding, which makes you think that there is a contractual obligation to provide it. I don’t know whether or not it’s a case of them purely just waiting until the money is in their account before confirming it’s in place, but that’s a little unusual. Hopefully we’ll get an update within the next 2-3 weeks.

I’d like to think though that people invested in any company, not just BMN, have done their own research prior to investing. Boards are filled with people ramping or de-ramping shares, so you can’t trust what the majority are spurting out. You should have a look at the EUA board lately, since the suspension lifted last week and the share price has increased, people are coming out with all kinds of cr@p and ridiculous valuation of a sale price, just to try and get the share price higher.

Boards are a useful way of finding additional information / research that others may have found but never buy or sell based on someone’s comments, no matter how popular or unpopular they are on a board.

Atleast you’ve still got your original holding. I was the opposite, I sold out a little over 20p, thinking the rise was excessive, only to watch from the sidelines head to not far off 50p. I bought back in around Dec, ironically for the same price with a much smaller holding, but had a huge top-up when we dropped below 10p a few months back. I see this as opportunity number two. The sp is rock bottom now but give it another couple of years and this should be flying.

Aidan re-tweeted this a couple of days ago, it sums up what BMV are all about:

http://www.asiaminer.com/features/10288-the-birth-death-and-rebirth-of-a-mine.html#.Xw8p-yV4UlR

It wasn’t long ago that we had a share price below 0.5p and people would be talking about achieving 1p and maybe one day it may even get to 10p. Now, 9 months later the spread is 0.5p and 10p is a thing of the past.

I’m intrigued as to where this is going to finish up, it’s been an exciting few years watching EUA go from an explorer into a producer. One things for sure and that’s I’ll be hear until the end (well I’ll be bailing once an offers in but that purely just for tax reasons). Hopefully not too much more waiting now.

It’s just people taking profits, the reason why we’re all here.

Raj, well spotted, that will explain the sudden rise out of nowhere.

Yeh I presumed that would be a fund exchange based on the price. Would be a very unusual time to sell at these prices. As you say, the low sp is definitely down to the low trading volumes. I’m not keeping my hopes up for this rise to hold-up without any news coming in. I’ve said it before, this is just a share to keep locked in a draw for 5 years. Once the debt is paid off and we’re in a cash rich position, the share price will soon start rising.

Only small sums so it’s not someone expecting news. Attempt at a pump and dump I wonder?

Gecko, to your hand I say “Filtered! Goodbye”

ro0, not a naive question at all, very sensible to be fair. The last update said:

‘...the application had been approved by all federal bodies including FSB and Ministry of Defence and awaits a sign off by SevZapNedra’

As it’s already gone through the majority of the federal bodies, on the balance of probability it will go through as if there was going to be an issue, chances are it would have already been flagged-up. There is obviously chance that it wouldn’t go through and hence some risk, which I why I top sliced yesterday at the high prices to reduce the risk.

Chee, that is correct, don’t let anyone fool you into thinking it is 5 x £1.7b.

The AFC report has us valued at £237m/0.8p without the flanks and £1.71b/54p once we receive the flanks licence.

There’s a few things to keep in mind, eg the MT flanks have a 30% WACC as there’s no EPC contract to cover this area.

The 54p valuation (once we get the flanks) is the most accurate valuation I’ve seen thus far and considering EUA originally posted it on their website before it was taken off, they were obviously thinking it was a fair valuation too.

Wolster, so you’re actively trading these shares, yet tried to convince people that I’m a trader looking for a low entry because I have top sliced and banked my cash.

You are genuinely a creature and a vile little person.

Beast, wouldn’t it be a lot more risky for them paying say over $1billion upfront? $200m and and an additional $100m for the mine would be substantially lower risk.