Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
What ho, Buck. I hope your memory serves you well. At today's price, the market cap is quoted at £450M. Your suggestion would require a three fold increase in sp. That will do nicely!
Hardly "plunging", merely a downward fluctuation surely?
Con - If you thought I was being critical, I apologise for that was not my intention. I was simply attempting to understand the logic. I was concerned that I had misunderstood. I fully understand the expression "low ball". As to your comment, it all depends on the view point you take. If I were a fund manager say for Prudential, then I would be looking at anything up to 50 years for the capital to come back. After all, at the Pru they receive new funds to invest on a daily basis. If, on the other hand, I were a "chancer" investing for short term profit, perhaps 10 minutes in KMR may be too long. I was trying to understand where you stood. For myself, I am a long term investor in KMR and being based in UK, have to absorb the withholding tax. I therefore value retained profits and net capital growth over a longer term far more highly than yearly dividends. I appreciate that this will not suit all investors. I think the right suitor will come along and perhaps quite soon now that the wrinkles have been resolved and positive cash balances start to appear.
Con - I am not sure I understand why it would be in the beat interest of the "long running majority shareholders" for there to be an approach. I would have thought that SGRF would want to see many years of good profits rather than a return of their investment. Dividends at the current level with the potential for future increases are quite attractive returns on their investments. A "low ball" offer is unlikely to be attractive now the hard work has been done. Better by far would be for the BoD to signal increases in the level of future dividends, but that is unlikely until Mikey signals his retirement.
Tax planning for CGT in UK.
Thank you for your explanation and for your complimentary comment. Subsequent illuminating posts have clarified the situation vis a vis Buck. It is always good to hear from the Old Guard. Buck was an active commentator here through the "difficult times" when he was a shareholder and obviously deserves the rest he is enjoying now. They were very difficult times when a substantial amount of faith was required. Curious that he should look in now. Is this a sign of suits going in to the Dublin office, I wonder.
Con - By "higher capex" you must define the benchmark. Are you suggesting there has already been an estimate provided of current/future capital expenditure by management?
I would have thought that Q4 production results may be indicative, even taking account of the minimal period in which Singida was producing. The company must also deliver a profit rather than after tax losses, minimal as they were for 2021 and 2022.
The Paul Craig Roberts article is well worth a read. Thank you, Noel.
Basscadet - The loss is on page 53, £2.299K which is an improvement over the 2021 loss of £6,168K, but it is still a loss.
In a state like Kenya, dependent upon handouts from other countries, the World Bank and IMF, seizing and nationalising assets would not play well. Notwithstanding, I do not understand his rationale for the comment. The Kenya shilling is not the strongest of currencies and it used to be tied to the dollar. Perhaps it is still tied to the dollar. Nothing for SHG to worry about, I hope. I doubt he would want to upset the gold and oil producers and wreck the prospects for future development.
With an EPS of $2.12, should this be reflected in the share price? Taking an easy rate of 10:1, the market share price would be $21.2, equivalent to £17.667 per share. A bit of an uplift from £4.47. The KMR share price has never, in my experience, reflected its true value. But hey ho!
Noel - Do you have any details of when the first gold pour in the new mine is due to occur? I thought it was around now.
Would anybody know the reason for the reduction in SP from 22 February through to yesterday. Does it merely reflect the market trend?
RAX - I do not recall how, but I receive all announcements from KMR by email on the day they are issued.
A comment on the financials would have been helpful/reassuring, even if it were on the basis that the company continues to perform within/ahead of guidance. But, we are where we are.
What ho, Giraffe - I accept that you were not clear that you were comparing pots and pans rather than iliminite producers. If you just love African stocks, have a look at Shanta. DYOR and good luck! I hope you enjoy being a shareholder in KMR. For those of us who have been invested her for a number of years, it has certainly been a white knuckle ride on occasions. Positively tranquil today, by comparison.
No mention of products from Kanabo or its sudsids. Why is that?
Giraffe - something wrong with your conclusions. KMR supply 8% of the market, leaving the remainder to supply 92%. If there are 6 "other" producers, they must, on average, supply 15% each, almost twice the amount supplied by KMR. Consequently, some of the 6 must be larger?
Is there anybody there?