Member Info for Sjb777

Zak Mir takes a look at Kazera today, amongst other stocks.

Today’s charts are https://www.share-talk.com/traders-cafe-with-zak-mir-bulletin-board-heroes-weekend-edition-sunday-25th-august-2024/

https://x.com/Share_Talk/status/1827675625479680174

Sorry 2nd July Rns

On the RNS dated the 3rd July Dan Betts stated “As we rapidly approach the point of Kouroussa reaching nameplate production, and the favourable gold price environment, we are ideally positioned to deliver strong returns to all our stakeholders."

And as the definition of commercial production is

Commercial production is defined as the achievement of reaching a minimum of 30 consecutive days of operations during which the mill operated at an average of 60% of nameplate.

Plus the extended time of the quarter 2 announcements and if you ignore all the rhetoric of another banana skin. I am cautiously optimistic, even if it is a Friday RNs, that it will be positive.

From when they restarted operations on the 17th May to 27th June update they poured approximately 4000ozs, 41 days. As they have since been in the higher grade ore and have fully ramped up., should in my opinion do at least that amount during July. I would be happy with in excess of 5000ozs, as both mines would then produce a minimum of 140k oz in a year. Producing an Ebitda of approx $140m, at a gold price of $2400 and aisc of $1400.

The holding RNS box no 11 states

Default on loan to purchase shares by African Mineral Sands

The existence of this company depends on the deals they can do. The death spiral from Alpha is Will likely surpress the share price for months. The management need to deliver a major car supplier to counteract the funding needs.

Sold tantalum and lithium mine for $13m , received to date $ 4.85.m. So owed $8.15m plus interest. Last accounts for info.

Looks like the CLG selling are further to run. Volume approx in January 100 million shares and February approx 80 million. So if all the sales were CLG and market makers did not take on more stock. Maximum sales would be 180 million divided by 2 i.e 90 million. As some sales are not CLG most probable range of sales is between 80 to 85 million. So probably 70 million to go. All assumption based but built on some logic

Https://apanews.net/oil-tanker-docks-in-conakry-amid-shortage/

Key statement for me was

The resumption of diesel supplies to the country through our own facilities is a real breath of fresh air” he added.

That is what I was thinking. Certainly seemed to imply it.

The information, the July presentation is on the UFO website.

For clarity net assets (173.71- 91.52)/ 394 =0.21

Arps,

The site have removed the intangible assets to arrive at 0.21

The short term share price performance will be in my opinion be determined by the markets perception of the companies ability to earn or borrow the funds to complete the KOUROUSSA mine without equity dilution. Hence why I think the quarter 3 update is key, but as you say not long now.

I am hoping that the next quarter update in about 3 weeks time is the turning point. Yes the markets and macro environment is unstable, but that should help the gold price. If they stick to the forecast gold output they should do circa 25000 ounces. The average gold price for the quarter being $1700. If there asic is say $1500 dollars, should be $5 million cash flow.

I would hope this would provide a turning point for the share price.

Bonkers, I agree and it is a stressful situation with the share price constantly declining but at you have previously stated if you look a few years out the situation will be much different.

If we can get the second mine built then the company risk profile reduces considerably, the company have to perform and we just need to hope the gold price holds up

By the way congratulations on securing a holding in single figures.

They company to date have been in my opinion been good at not diluting shareholders. Why would they start now?

I can only assume the reason being the excavator issues. Answering my own question

But why ?

Why the company have been using the low grades for so long is almost beyond reason. They have put themselves under pressure and impacted shareholder value, causing a much weakened balance sheet. The next few months are going to be difficult with sentiment so low.

The management have to get their act together, they have used up all shareholder goodwill.