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DRD ceo Niel pretorious is a superb ceo and he would not entertain goldplats TSF if he didn't think it was a winner...
his comments from years ago, tell you what sort of CEO he is...
https://www.miningmx.com/news/gold/32689-drdgold-ceo-niel-pretorius-puts-money-mouth/
On March 28 Pretorius told Miningmx that, “instead of making a huge crap-load of money, we’re just going to make a crap-load of money.” That was in reply to a question on the impact of the lower rand gold price on the deal.
Pretorius stands out as CEO of a quoted SA gold company in that he has been prepared to publicly state his opinions on his company’s share price and “put his money where his mouth is” as he has just done again.
The last accounts showed about a third of the current mcap in cash, with over 1.5 times the mcap in precious metals in process.
that tailings facility with over 82k oz gold etc is an off balance sheet asset - isn't even recognised anywhere at present
So, the skeletons in the cupboard continue to come back to haunt Jadestone, AKA Montara and Stag where, however hard the management tries to diminish their drag on the rest of the company, they remain key albeit slowing assets and the only way to lessen their effect is to grow the rest of the business. But that is what is happening, at long last.
But as they say in this statement ‘life of field costs at Montara and Stag will be higher than expected due to increases in repair and maintenance costs to maintain both facilities in an appropriate condition’. This is therefore going to lead to a likely non-cash impairment when the 2023 year end numbers are cranked and that was all that was needed for the market to send the shares down some 15%.
But there are plenty of pluses in the statement, even taking Stag out of the RBL redetermination will leave plenty of headroom going forward. Guidance one way or another was exceeded last year and the target for this year is 20-23 boe/d which could and should be a bit conservative but nothing wrong with that after what the company has been through. It is worth remembering that Montara which once stood for 80% of company production will be 20% by the end of this year.
Akatara is being completed and will start on time and the CWLH-2 is going to be a huge contributor and that’s on target as well for 1Q ’24. As Paul Blakely says Jadestone will be newer, higher margin and higher reliability assets in the future, I really believe that the company is on the verge of that change, indeed we are in that quarter now, let’s hope so, after the last couple of years this is no time to lose confidence…
Https://www.youtube.com/watch?v=1l1ebtBVt_A
GTA CONSTRUCTION AKATARA GAS PROCESSING FACILITY PROJECT
Dated today
https://www.londonstockexchange.com/news-article/KAP/kap-expects-adjustments-to-its-2024-production/16286256
While actively pursuing alternative sulphuric acid supplies, current projections indicate that the Company's intention to achieve 90% production volume as per Subsoil Use Agreements in 2024 may be challenging.
When you think that companies like egdon resources which had just over 250 boepd was sold to petrichor for £26.6m in may of this year and europa oil and gas, which currently has production of 265 bopd, has a mcap of £11m and are both onshore Uk Producers, it just goes to show how undervalued STAR is
after all, STAR has eight times the production levels of the above two companies and yet has a mcap at the same level as europa and at the same level egdon was before it was sold - egdon surged 85% on news of the takeover.
45p is not an undemanding level for star to move back to.