Member Info for pj70

See they decreased debt again in Q1 £14m and obviously a key strategy of £50-£60m a year from free cashflow towards debt reduction with the remaining £40-50m at some stage to be used for share buy back or dividend route. All the same very positive quarterly and amazed it has a market cap of under £200m.

Thanks Seatank for explanation on taxes - maybe they will look at share buy back over the next 2-3 years to push SP.

Id like to understand why the high levels of tax that Seplat has to pay or are they the nigerian corporation tax rates?? $184m tax on PBT of $207m does not add up and i cant unravel it in the notes to the accounts either! If someone can explain be appreciated...

Thanks Seatank for your input. I am a recent buyer (2 months ago) looking for good potential growth stocks with the potential for dividend increases and thought that the next 3-4 years that Seplat could deliver on that. I must admit after reading the quarterly this morning i was pleasantly surprised that growth in dividend has already commenced and potentially a re-rating depending on whether some funds top up stakes or enter the register. Either way great announcement for shareholders and potential shareholders.

Hi Jenny - valid point on why not the positive response upon specific date given. I do think the ASX market which i have traded alot is highly geared towards mining as the UK market is towards financial services. The consolidation of the shares to 20:1 plus the unknown of "up to 2.5%" equity dilution and the fact that the next news is 6-8 weeks away has probably scared the traders out. However it does feel like a large holder has dumped in the last 2 days which has not helped the SP considering gold is still holding around the 3300 mark. I do think these are a longer term hold but i dont believe they are a multi bagger from here - more like on current share issue a 25p-35p market value with gold staying above 2800USD, production at 350k oz and ASIC of below 1300USD. The real opportunity is whether that 350k per year output can become 500k oz + and any other mines leases in the surrounding areas become available that are worth drilling for.

I am a LT holder and have watched as the ducks lined up with GGP to see they could produce and successfully as there are hundreds if not thousands of mining startups in Oz (majority in WA, SA and Qld) both listed and private that fail for a variety of reasons BUT they have proved the resource in the ground. Getting it to production is the difficult bit but GGP have done this tremendously well from handover and the quarterly results for me have proven they can now do it on their own.

I am trying to understand why the movement today other than someone is selling down there position. The up to 2.5% possible increase in share capital is only if the ASX requires the 1% to show liquidity in that stock on the ASX. So the drop when gold is above 3300USD, minimal and potentially no dilution on the announcement today does not make sense to me unless something has happened at the mine and will be announced tomorrow but would have thought a RNS would be immediate if that was the case!