Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
DEC is profitable and sitting today on a PE ratio of 1, versus an oil-gas sector average of 7. The multibagger potential is colossal.
Warren Buffett, the world's best investor, recently said he invested in Occidental because he "particularly like[s] its vast oil and gas holdings in the United States".
DEC has vast gas holdings in the United States (around ~70k wells), is co-listed in the United States, and is about to join the prestigious Russell 2000 index in the United States.
Looks like a big US pullback has started. S&P500 bounced right off the 5260 Fibo resistance line today, then a US Fed ratesetter said it might not cut rates, then Iran threatened to strike Israel, then oil spiked, Taiwan is getting earthquaked (chip factories), and then gold leapt to a record high. A perfect storm. Could get choppy in the next few weeks. Wouldn't be a surprise to see the S&P drop under 5000 if the US employment data tomorrow is even slightly bad.
The biggest barrier to a £1 SP here is the overhang from the car-loan DCA scandal. The FCA is due to report its punishment in Sep 2024. Provisions for the DCA scandal for LLOY (Black Horse financing) may have to rise 5-10 times higher during the coming quarters, into the billions. That threat, until it's sorted, is going to hang over the shareprice like a Sword of Damocles.
Yet another strong intraday reversal. High US volumes today. A smooth 45-degree upslope in the chart. Strong finish to the day. Busting thru the technical resistance layer of £10. Prestigious Russell 2000 listing, tracker buyins, and rising investor visibility coming soon. Multiple bullish signs being repeated and reconfirmed here day after day 👍
The evidence is clear. The tax on UK pension dividends -- started in 1997 (and beyond) -- has destroyed the London stockmarket. London plunged from the world's 3rd largest market in 1997 to an insignificant 11th in 2024. Global investors are highly tax-sensitive, highly finance-savvy, and highly mobile. They can go anywhere. The money has flown to New York. Anyone who thinks dividend or CGT are "just a little tax" are what is known in the trade as a "useful idiot".
Wouldn't be surprised to see UK state debt at £4-5b by the end of the decade. And the tax burden up at the 40-45% level. We've clearly moved into a new era of unstoppable tax and spend. Was watching a lady on the TV earlier, who'd had 2 kids in 2 years, openly saying she knew she couldn't afford the 2nd child... and then demanding aggressively that the state give her free money (thousands) to pay for her 2nd round of childcare.
Some independent inflation trackers placed UK general inflation as high as 20-25% in 2023. That was 2-3 times higher than the official govt inflation stats of 5-15% at the time.
Broadly speaking, the daily cost of everyday living has shot up about +100% in the past 3-5 years. It's been a phenomenal period of price adjustment.
Like a brave little salmon trying to leap over a big waterfall, DEC made a push to get over the £10 level this morning. Some auto-selling kicked in and pushed the price down a touch. Let's see if DEC can make another push for the £10 line this afternoon 👍
CGNR has been in the exploring phase for decades...
Another 1-2 years for phase 2, another 1-10 years to deal with Nimby planning objections, a Northern Ireland state in total political chaos that could take years or decades to approve a new mine, many more shareholder placings likely to keep the show on the road, a ~90yo CEO, and it could be the 2030s or 2040s before any sellable gold is dug up. It could be half a century from start to commercial sale!