Member Info for mrtibbles

Fair comments Cowichan,
But then inst this the case the world over with those that have so much out of touch with those whose best interests they are supposedly representing!
How many loaves of bread for poor Egyptians would that helicopter flight buy?
Possibly EMRA & Centamin would like to reckon up the cost of this unnecessary extravagance and whatever the cost donate the same amount to buy and distribute loaves of bread to the poor?

Hi Dasut, I was informed they have all that in the contract!
You know your subject !

Thank you Dasut for that really clear and informative explanation, in 2016 , I won't go over old ground again regarding 2015 on, but Kees seems to agree that although painful for 4 years Martin Horgans strategy is the best way to restore Sukari and to ensure future flexibility of operations and so ensure more reliable and consitant production.

Doropo Pre-Feasibility Study Update
https://tools.eurolandir.com/tools/Pressreleases/GetPressRelease/?ID=4210671&lang=en-GB&companycode=au-cey&v=

Analyst Observations

Without having access to a full explanation in a technical report it is impossible to comment from a position of knowledge.

A resource grade of 1.5 g/t Au using conceptual pit on the basis of a gold price is very attractive, but I do not know how the gold occurs. Is it in narrow, high grade lenses. or in a stockwork? What is the prospective strip ratio? Did they cut high grade outliers? Etc., etc.

What strikes me as very odd is the large difference in grade between Indicated and Inferred. What has confidence (i.e. the density of drilling) got to do with grade?

CENTAMIN forecast gold production for its 2023 financial year of between 450,000 to 480,000 ounces which, at the higher end of guidance, would represent a 9% advance on 2021, itself 6% higher than in 2020.
The UK-listed company operates the Sukari mine in Egypt, an asset that has underperformed in the past, but which Centamin CEO Martin Horgan intends to boost to 500,000 oz/year in output from 2024.
https://www.miningmx.com/trending/52844-centamin-targets-up-to-9-increase-in-sukaris-2023-gold-production/

Dasut, I was informed that Centamin may consider taking on some/all of the Capital plant at the end of the Sukari clear up to replace some older fleet and possibly to use on any other Egyptian mining operations.

Hi Dasut,
No doubt you know the business of running mining plant, a really expensive operation to cleat Sukari but I also take your point about deprecation and ongoing maintenance costs, also have to allow for the unexpected repairs.
Also you explained the importance of understanding the how to construct the right type or design of road system in order to optimise tucking efficiency and keep wear and to to a minimum.

Basically Centamin were "Up the creek without a paddle!" desperate to dig themselves out of a very deep pile of crap they had buried themselves in they really had nothing to negotiate and Capital had them over a barrel in every respect !
The other option was to try and obtain plant theme selves and then train the operators whilst the share price went down the lavatory and bearing in mind the mess they had already created so far who knows what further chaos would have developed at Sukari, so stuck between a pile of crap and a big crack what choice did they have but to go with the devil they knew and pass the tab onto the shareholders!
Its a mess no doubt and a very expensive one!

Agreed Rebess,I
It's all very well claiming on the company website that this is a "Reset", but whats really changed, still promises of good times coming if we are patient, albeit at twice the cost, with a share price that's halved and a dividend that's quartered!
How many of the BOD who presided over the past decade of high grading by knowingly condoling the mismanagement of Sukari along with the approval of wasting of many millions of dollars on drilling in West Africa for no return are still in post?

But then what's new!
Centamin's commercial viability is now dependent upon exceptional gold prices the profits from which are greedily gobbled up by Capitals waste clearance contract !
Just scraps and promises for us share holders!

HI Cowichan,
I agree with all the the points you raise are validity of your questions,,none of which have ever been even been answered fully, if they had then you wouldn't have to keep asking them!
Mr Horgan does have a good reputation as a CEO but if you recall on social media as one of his staff said "Martin could sell ice to Eskimo's !"
Not disputing that he built up Toro and sold at an excellent price, but then what happened when the new Resolute took over the mine under performed and costs increased, so why, was this down to the new owners mining ability or the fact that Toro had been hyped up to be better than it was?
Lets be honest although there is a new management team at Sukari a considerable number of the BOD who are responsible for the dire state of the Sukari mine and the company are still in post, chief finance officer being Ross Jerrard amongst them!
After all the money wasted of the previous West African projects will the funding of Doropo and other projects just be more money down the lavatory ?

Doropo not enough information released on the viability-see part of question sent to Centamin IR which has never really been answered!

Without having access to a full explanation in a technical report it is impossible to comment from a position of knowledge.

A resource grade of 1.5 g/t Au using conceptual pit on the basis of a gold price is very attractive, but I do not know how the gold occurs. Is it in narrow, high grade lenses. or in a stock work? What is the prospective strip ratio?
Did they cut high grade outliers? Etc., etc.

What seems very odd is the large difference in grade between Indicated and Inferred. What has confidence (i.e. the density of drilling) got to do with grade?

Spoonington, why not write to Martin Horgan and raise your points, some of which are reasonable to ask?

Good points raised Paul,
I think it's a case of being once bitten,or thrice bitten or more in our case, twice shy!
The company should be more proactive in updating the shareholders and the market on the Sukari rectification work!
I think we all need to be on our guard this time because since the crack and the change of CEO we haven't really felt any benefit, only pain!

Hi Razor's,
Possibly the court case had rumbled on for so many years only then to then be stuck in "Limbo" that the brokers had completely forgotten, or chose to forget that some like Westhouse Securities had applied a 20% discount until some resolution was achieved.
By now of course the results of the forced disclosure of half a decade or more or less than credible mining practice at Sukari and the bill of $560 million plus for clearing the pile crap has rather taken the "gloss" off Centamin as a reliable investment!

If you have a technical report on reserves, a discussion of exploration results is part of it. However, the report would also include the overall geological model, the outline of the deposit, the resources and their level of confidence, how it would be mined, the conversion factors (mining recovery and dilution), processing, production schedule both for mining and processing, cost structure and a cash flow model, preferably on an annual basis.
Observations from another shareholder Dasut and former mining professional who supplied heavy plant to Sukari from the early days
With a strip ratio over 10 to 1 their costs are currently much too high and this is where I would like to understand in more detail the cost per ounce of Capital's waste removal.
This will then hopefully provide us with something to look forward to at the end of the contract, a more realistic strip ratio and reduced cost per tonne/ounce. Or will it and is this high strip ratio more realistic given the age of the open pit?

Dear Mr Horgan,
I do hope that you will take these observations and suggestions in the spirit in which they are offered and after due consideration that you are able to reply to me with your thoughts and some reassurance that this time things really are different and we shareholders aren’t going to let down as on numerous occasions in the past prior to your arrival.
The above part of a letter 26/07/2022 below which remains unanswered!

July 2022 update-
From the 2022 analysis It appears in the absence of any information to the contrary at present as far as the open pit operation is concerned in isolation it hardly seems to be worthwhile, or a commercially viable project, despite the huge cost of a three years clear up and unless the open pit situation changes then the Sukari operation should mainly concentrate on the underground reserves which I appreciate you identified early on as a priority to change over to inhouse operation.
I understand that due to lesser obligations of openness that London and Australian listed companies are not required to give detailed substantiation of their claims to those reviewing them, possibly this is why some companies prefer to list on these exchanges?
However in contrast on the Canadian S & P Gold Miner Index when reserves are defined they usually give the “Life of mine production schedule”.
So in the interests of openness with shareholders & the market Centamin should publish technical reports when they estimate their first resources or reserves, or when there is a material change in resources/reserves
Doing so would be most or useful because when reserves are defined they usually give the life of mine production schedule.
This would better enable mining analysts to evaluate true merit of the reserves and so independently so produce more accurate valuations.
Legally Centamin need have no concern about strategic information as no other company can benefit from the information because Centamin's tenure protects it.
Re the Centamin July Q2 report Some recommendations from a mining professional to make it more informative and meaningful
Reporting such as “cash cost” and AISC per ounce is pretty meaningless as these can be manipulated and are to a large extent out of control of management with grade having a major role as has book entries to re-allocate cost to capex.
What is far more meaningful is unit cost for:
- Underground Mining
- Open Pit Mining, preferably distinguishing between ore and waste, and before any reallocation to capex as “deferred stripping"
- Rehandling Cost
- Processing Cost
- G&A - annually
Technical reports on reserves usually give such costs, but financial and/or MDA reporting does not.
Centamin anyway has relatively very low open pit mining cost compared to their peers and they should be proud reporting these!
Strange, when previously attempting to get info on Centamin via Sedar I was unsuccessful, but now see they do post.
However, no Technical Report on Sukari since January 2017?
One would have expected their new strategic plan is supported by a formal study?
Cont

Repost
I appreciate the pool of adequately experienced and skilled mining specialist support services drilling contractors may be somewhat limited and possibly then the reasoning why Centamin would have a preference for working with an existing established and trusted drilling contractor “Capital”.
The contract for the waste removal of waste from the Sukari site as far as tendering goes might well be regarded as work of a different category requiring somewhat different specialist expertise and experience, so there may have been alternative contactors that could have carried out the work more efficiently at less cost, that said though sometimes extra cost can be justified if an overriding factor such as in this case of the said waste removal contactor being immediately available to commence the work.
Some may or may not be aware but these concerns has been raised by an Australian Centamin shareholder and some other UK retail shareholders
As the documentation is from some years ago I appreciate that Josef & Youssef E Raghy may no longer hold their “Capital Drilling” shares , but after all that has taken place over the past years partly as a result family nepotism in senior appointments at Sukari then it is understandable why some shareholders should be somewhat suspicious of anything now.
“There would be room for significant and worrying conflicts of interest in this arrangement as you suggest. I hope El-Raghy is not a shareholder in Capital drilling but, there seems to be some link up suggested in the ICIJ offshore leaks link below, and in fact through Josef, and Centamin (separately) who have shareholdings in Capital Drilling? I hope my reading is incorrect, but this is a matter that should also be looked at
https://offshoreleaks.icij.org/nodes/82006106
Also.
https://www.proactiveinvestors.co.uk/companies/news/207814/capital-drilling-lands-contract-renewal-for-centamins-sukari-mine-207814.html
“So if it appears the major shareholders on the management board of Centamin are also major shareholders in a Sukari drilling contractor who may have not carried out its duties as efficiently or as well as it should have done considering the ongoing production cuts in production guidance.
From the most recent report on 25th Feb 2019 the Cleopatra incline and the open pit are still not producing the higher grades or the improved output within the timescale share as promised to shareholders by Andrew Pardey on behalf of the Centamin board.
This arrangement of Centamin and Capital Drilling being so closely intertwined by way of possible pervious or ongoing share ownership and the same senior management having served on both company boards and being represented to shareholders by the same PR representative may be perfectly legal, but is it wise, ethical or in the best interests of whom?

As far as I am aware there isn't any requirement to be a shareholder in order to take part in this forum debate on Centamin, surely the forum should be a place for anyone who wants to find out about the company or wishes to take part in the ongoing debate by contributing information or asking questions.
Possibly when considering the value and the advantages to Capital in the terms of the contract with such little risk but great profit making potential it males sense to get some of our money back by holding Capital shares instead of, or as well as in Centamin, at least it would be a way to enjoy some benefit from the appalling mess of the Centamin BOD making!

What is the Federal Reserve System?
The answer may surprise you!
It is not federal and there are no reserves!
Furthermore, the Federal Reserve Banks are not even banks!
The key to this riddle is to be found, not at the beginning of the story, but in the middle. Since this is not a textbook, we are not confined to a chronological structure.
The subject matter is not a curriculum to be mastered but a mystery to be solved.
"The creature from Jekyll Island"
For anyone who would like to read two links below-
https://archive.org/details/pdfy--Pori1NL6fKm2SnY/page/n7/mode/2up
https://archive.org/stream/pdfy--Pori1NL6fKm2SnY/The%20Creature%20From%20Jekyll%20Island_djvu.txt

Capital getting rich out of a nice little earner cf clearing a decade of waste fro the Centamin Sukari open pit!
Centamin shareholders were stuffed by Andrew Pardey years of high grading in the Sukari open pit with no waste clear up which caused a crack in the pit wall!
All the risk and expense of this contact is bourne by Centamin shareholders, great for Capital though!
https://www.lse.co.uk/ShareChat.asp?ShareTicker=CAPD&share=Capital