Member Info for Monkshood

I will rise to the bait - I am still holding FK, RTO have, for many years, been one of my key holdings, I did sell most in early Feb and then took the opportunity to load up again around low 300s. No plans on selling anytime soon, but hoping to clean up here as they develop and extend their disinfecting service...

I ordered some up to try the service out. There on line system works well, (you can use Amazon pay to make it easier) delivery is free for orders over £15 and 1.95 if under. Order came through as described in a reasonable time. Even with postage they must have a much better profit margin on their online than when supplying supermarkets so it seems a very positive step.

Further oxide finds around existing sites in Mali to extend the oxide production flow. Not massive amounts but it will keep the oxide pipeline flowing for longer and thus taking advantage of the high POG whilst they (hopefully) steadily improve the sulphide workflow.
Again, talk of underground at Taborkoroni hard to see this not happening - but what will the cost be?

They may have tighter limits on numbers, but not to the extent of a passenger every other seat (certainly cannot see that working on a school bus). There is bound to be a reduced usage, they will need to spend lots more on sanitising the buses and protecting the staff.
The sp is about half of what it would otherwise have been so you could argue that this is priced in. If it goes back up to 500ish over three years that is about 30% p.a (without divis) - I would be quite happy with that......

Quite positive under the circumstances, this is a long term hold for me so not worried about divi, it would be wrong to be paying out whist getting monies from governments to support the busines.

This should start around 52p, a good step up.

As always a prompt and comprehensive reply from the CEO when I raised this issue. Essentially, as expected, the devaluation of the A$ and the lower share price from the placing necessitated the increased share offer to Toro. It was pointed out that with the higher price of gold the royalty has already been worth US$2.5 to rsg.
Re - oxide grades, they are expected to be similar to those processed in in the first quarter for the rest of the year.

It explains the large trades and the placing(s) over the past couple of days.

Whilst it is probably good that Toro have taken shares rather than cash for the royalty the dilution is greater than was proposed at the anouncment of the EGM in Jan (28th) and voted on in Feb (27th)

Today - 'Resolute has completed the acquisition of the Mako Royalty through the issue 23,000,000 shares at a price of A$0.845 per share.'

From - Jan 28th 'Resolute has now negotiated the opportunity to acquire the Royalty from the Royalty Holders for the agreed termination sum of US$12 million to be paid to Taurus Mining Finance Fund L.P. or its nominee/s (TMFF). The Royalty Holders may elect to have the purchase price paid either in cash, or subject to Shareholder approval of Resolution 7, by the issue of 15,750,000 Shares to TMFF at an issue price of $1.10 per Share, being the same Issue Price as the Company's Equity Raising the subject of Resolutions 1-6.'

Compared to many companies and given the circumstances, a fairly positive trading update. There is a good chance it could make it into the FTSE100 next rebalance which will also help lift the share price.

They have now started selling sanitiser on their web site. In addition to the revenues for this product (Pure Touch) it should also encourage use of the portal for additional purchases of their other products.

The update was as expected, most were expecting 20 k oz at Ravenswood this quarter (but this was already flagged as 10k when the sale announcement was made last week). Recoveries at Syama shulphide are low at 75% (they had reached the expected 85% previously). My concern is the quality of the stockpiled mined ore -sulphides are OK @2.5 but the oxides (1.3) at Syama and Mako are significant lower than the ore processed for this quarter.

You will not get a short squeeze on this, shorts often account for 10-25% of the daily trades on the asx and control the price. I having been trying to work out if it is entirely about the company/POG or if they are taking advantage of the dual listing as well.
If POG stays high(ish) and rsg hit the next questers production with no issues then we may finally see the back of them, it may be earlier if they sell Bibiani to reduce the debt further.

Debt circa $250m as of 31st March - not clear if this includes the initial proceeds from the Ravenswood sale (A$ 50m). Quarterly financial is due later this month which should clarify things. It is still not clear what is happening with Bibiani, which if sold, would reduce debt further.

Ewq - Whilst I agree with the sentiment - you could have purchased some at under 14 p a couple of weeks ago …..

IMO They will try and preserve cash and not pay the divi. It is a shame that they did not say this in the last RNS, it would have made little difference at the time. Yes, the governments will support transport, but at the same time it will not be viewed well if they are taking money from the gov and then paying it out in divis.

Basically all going very well with no impact from Covid .
And to keep things in perspective-
'The company has poured gold continuously for more than a decade during which time our team has faced various supply chain and security challenges including the 2012 coup d'État and the 2014-2015 Ebola epidemic'

Reasons to invest - well run and has been a great growth stock up to this point.
Rats, mice, termites, wasps and mossies will have not gone away because of Covid. In fact I think that vermin may become more of an issue with semi deserted buildings at a time of year when the populations start to increase. As mentioned in the rns, hygiene, will be something that will feature more going forward. What they are currently losing by not servicing buildings, they may , in part make up with disinfection services.

FallingKnife , I feel we must be invested in several of the same companies - tempted to follow your investments for the enjoyment of reading your posts.... They always make me smile.

I took the opening fall as an opportunity to top up - mid- term pest control will still be needed.
short term -'We are training our staff to help support this increased demand and by the end of March we expect to have at least an additional 2,500 technicians trained around the world to undertake disinfection services. ' will help the cash flow