Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
Seingred why is it more sensible listening to predictions of sub 10p opposed to 50p?
We all know the SP is artificially low and we all know the reasons why. Just because we are in the 10s now does not mean we cannot reach 50p in an instant. This share has always had the capacity to double in a day which is even more likely now given our lowly position. There will come a time when will not retrace to these levels and even 50p will be a distant memory.
Seingred why is it more sensible listening to predictions of dub 10p opposed to 50p?
We all know the SP is artificially low and we all know the reasons why. Just because we are in the 10s now does not mean we cannot reach 50p in an instant. This share has always had the capacity to double in a day which is even more likely now given our lovely position. There will come a time when will not retrace to these levels and even 50p will be a distant memory.
Wolfy why you would gloat at the dwindling share price is beyond me. We are in unprecedented times and our SP is currently subjected to the current state of depressed world markets rather than being a reflection of our current healthy position in the junior sector. Let's be honest here, It's the current state of the economy responsible for our decline and nothing else. So you had a lucky guess wow.
Most positive posters were not so concerned of your predictions of a fall but the fact you were failing to recognise that the SP could not break out towards the end of the year which cannot be ruled out. It's easy to predict gloom in gloomy times and always remember even a stopped clock is right twice a day.
Seingred, it was Brad who suggested we were about 2 years behind GGP but that was in the days of Covid which with that and a few other delays washed timescales off the map. Brad is not renowned for over egging a situation and after all he is a geologist and well qualified to make comparisons in his specialist field of knowledge, certainly more than most posters on these boards. When Brad uses words such as transformational and once in a lifetime find then he must think that we have something special here and by the looks of our latest grades and phase 2 confirmation, I see nothing to suggest otherwise. There are plus points and minus points of being in a JV and being fully funded and a typical example of this is the GGP share price suffering because they have to stump up everytime their partners Newcrest want a push to their drilling campaign causing GGP to do a raise which directly affects the share price. I'm confident we will see our own SP moving north soon so strap yourself in and enjoy the ride.
Seingred, I have been reading some of your posts with interest. I can see you are on the cautious side in most posts and there is nothing wrong with that as it all adds to the balance of the debate. My own personal view is that I do think we are capable of doing a GGP and that's why I continue to hold and have not sold a single share. We are not guaranteed to do a GGP granted but I cannot think of many juniors who have the same potential. Everything is currently in our favour, the low mcap, mining in a proven postcode, cash in the bank, 2 majors who are fully committed, a balanced portfolio and other JVs with low cash burn. We may also get a leg up when the price of Gold recovers and we might be in the right place at the right time when that happens. I also think that anything under 50p is cheap and I would quantify that by the fact that when we last hit the forties it was built on a lot of hype and we were no where near in the stable balanced position we find ourselves in now so we should have the potential to push past previous levels. What I do see is a lot of frustration here because we are not currently flying but we must remember that GGP did not rocket overnight and in fact started to rise in December 2019 and took almost a year to reach its peak.
PS,, the fact I last posted in July is irrelevant. You state that the tax bill is bigger than our market cap but only as it stands and could be appealed and downgraded or disappear altogether. My theory here (right or wrong) is that the higher up the appeal system it goes then the bigger the headlines it will attract and it's not something the Moroccan government would want to promote given that they are trying desperately to attract companies to develop the gas infrastructure. Saying that, if the bill is due then it's due and beyond everyone's control but I am comforted somewhat in the knowledge that someone as prudent as Graham is currently dealing with the situation.
This tax issue is a blow however it's not cast in stone yet. There is still an appeals process where it may be reduced or go away but worse case is it will have to be paid. Will the company have to do a raise? possibly, or can the money be raised by a farm out then possibly or can any amounts owed be paid over a longer period then again all possible.
We should not direct anger here at Graham as he has done a very good job and we must remember that he did inherit the problem from the previous board. Whatever happens I'm glad that Graham is here to steer us past this and hopefully on to better things.
28jaczar01 Thanks for the information.
No worries Wolfy. I can see you are more of a deramper preferring to look on the downside but each to their own. I'm sure the fish will chip in shortly to complete the misery.
Christ Wolfy I see the melancholy mood hasn't improved today either.
28jaczar also remember that when GGP started to really take off around Dec 2019 it took another 12 months of the SP heading north for their price to peak.
Realising our full potential will now take much less time. Phase 2 will be completed in 2 years and then our partners will have to make a call on phase 3. I'm predicting we will be showing good value by then so I'm hanging on till we reach that position. The only thing that can get in the way would be an early buyout but I don't think that will happen but even if it does then it's all good for the SP.
The fickle newbies are rather quiet this morning.
Very fishy indeed Dr. He only joined late August yet is an OMI expert. Expert in deramping more like.
Rob I have criticized Brad plenty of times and conveyed my frustration by writing to him regularly however he has been criticized many times for not getting news from our partners and now he has demanded that the partners hand over all the information and data before signing the JV, he is now being criticized for not signing the JV. In this case I think Brad is right here. If this asset turns out to be a huge deposit then I would hate to think he has hurried to sign just to meet a deadline when he can wait a little longer to be in full possession of the facts. Getting this wrong has huge implications for the future of OMI so it's important he gets it right. Brad has more or less stated without saying it that the JV is a done deal and has given all the indicators that the partners are going nowhere. My advice would be don't react to the retraces (which there will be more to come) and concentrate on the good news when it arrives. I think most of us are comfortable where we currently sit but we are obviously not moving at a fast enough pace to satisfy some of the more impatient investors on this board.
Christ Rob talk about doom and gloom. I can totally get that you are frustrated but posting that all is lost all day long is just a reflection of your spiralling melancholy mood. It's good to know that some on here can see the light at the end of the tunnel and have the confidence to hold without whining every time there's a retrace.
Rob where on earth you are getting that we can only get to 40p with a buyout ?
This is complete bull**** and without foundation. Not so long ago we were in the forties based on speculation only. We are now in a far superior position with almost certainty of a JV to be announced and a commitment to fast drill phase 2 in in half the projected timeframe and 2 million payment in the bank. We also now have a balanced portfolio and options to develop in Brazil and Argentina. There is a possibility of further outstanding assays being released with further fast track drilling exposing future substantial results. We are one of the best prospects in the junior market and are now on the radar of institutions yet you don't think we can attain 40p, really ! . I'm afraid you are another doomsayer who needs his bumps felt and sadly you are not alone.
Portfolio power don't forget that phase 2 will be drilled in half the time so plenty of updates should come thick and fast.
Having seen the amount of negativity being posted here I would just say that I have watched the webinar again and I'm now more comfortable with the JV not yet being signed. Firstly we have all criticized Brad (including myself) for allowing the partners to dictate news flow and keep information back and he is clearly trying to address this by asking they release information he thinks they are keeping from him. This is a prudent move as it shows them he is not prepared for the drip feeding of news to continue. I also have the feeling the partners may be holding back information that might contain good news about the asset in order to get better terms out of the continuation of the JV.
If this does turn out to be massive then surely we want to negotiate the best terms possible and if that takes a few days / weeks longer then I'm fine with that. Although frustrating that it's not all signed off yet, we should be confident they are not walking away and we all know why. The fact they have been in talks with Brad regarding halving the time it takes to prove up phase 2 tells you all you really need to know.
Wolfy if you think this won't hit 20p this year you need your bumps felt. We all know how quickly this can rise on good news and there will be more good news to come in the next few weeks. If you genuinely believe that this cannot get to 20p and will go the other way then sell up and move on but those who are better informed are prepared to hold on and reap the rewards.