Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
HarChris - are you being deliberately obtuse?
The rising gold price in Q1 has yet to be reflected in Hummingbird's sales, mostly due to the company having to meet hedging arrangements with a reduced quarterly output. This left very little gold sold exposed to the prevailing gold price during the quarter. As the announcement makes clear the company have rearranged their hedging obligations so the price received will be improved on the last quarter. In an ideal world hedging wouldn't be a lender requirement nor taking on debts to build the mine in the first place but we are where we are...
Output is predicted to grow at both mines with the potential for Kouroussa to increase substantially once there is some form of resolution in place. In the meantime they are operating with third party contractors who may end up being more expensive in the short term but are going to get the company to where it needs to be. Nothing is certain of course and much depends on how quickly ETASI can achieve what Corica could not.
Interesting shake up here with Ariana dipping their toes in Zimbabwe. Caledonia Mining have been mining there for a decade or so and regularly pay dividends. As with most small caps in this part of the world valuations will be heavily discounted. With that said Ariana are effectively borrowing £19.4m interest free to gobble up a 1.2 million ounce gold project with two thirds proven reserves which equates to a mine life of more than 10 years using the previously announced PFS calculations. Given the PFS model uses an outdated base gold price of $1,650/oz it's immediately apparent the NPV of $72 million does not reflect the current gold price environment. A conservative jump to $1,950/oz base would probably increase the NPV to around $110 million overnight.
Not nearly as stupid as posting guff daily about a stock you don’t own..
Very much off the radar with the potential to revolutionise agricultural feed in our country and possibly abroad especially with feed prices highly inflated and likely to remain so.
Who are these jokers below trying to fool?
2019 FY results: Revenue $115m, EBITDA, $27m, Net Profit $10.4m
2023 FY results: Revenue $320m, EBITDA, $92m, Net Profit $38m
An almost three-fold increase in revenue, a three and half times increase in EBITDA and an almost four-fold increase in net profits does not indicate a "lack of growth in profits".
Silver price above $28/oz provides for £1 billion market value target.
Adriatic's world class, tier 1 asset Vares Project will produce silver, zinc, lead, copper, and antimony for 18+ years in the lowest cost quartile of silver producers globally, without the inherent risk of South American politics (FRES, HOC).
First production of silver-lead & zinc concentrates happened in February this year with first ore mined in July 2023 and offtake agreements in place with Boliden, Trafigura, Glencore and Transamine. The company's latest presentation highlights the shortfall in silver demand just around the corner and the protectionist stance the EU is taking with regards mines and company demand inside the bloc.
https://www.adriaticmetals.com/downloads/corporate-presentations/2024/20230325-adt-corporate-presentationv2.pdf
PAF hasn't performed terribly at this stage, certainly RSG and HOC are attracting more interest right now. Generally the more risk attached and the higher the AISC then the greater the volatility. PAF are keeping up with the likes of FRES, CEY, GFM, WPM, EDV, ADT1 but of course they pay a larger dividend than all of the above and should be well placed to increase it from here with gold trading $400 higher than the average gold price received during the prior 6 month period ($1,961/oz)
Both BRWM and GPM are set to benefit from the recent commodity boon, the former pays a dividend. I believe the latter is more exposed to precious metal producer price fluctuations and is therefore the more volatile of the two.
How do you all think RIO (49.75) and BHP (22.85) compare for value today?
They have forced it through no doubt by promising special favours and backhanders. The whole Board of Shanta hang your heads in shame!
Hummingbird should put out a statement to confirm if true as it is driving speculative buying.
Taking lower end production from 2024 guidance (345,000 - 365,000 oz) and higher end costs from expected AISC ($1,300 -1,400/oz) with a gold price of $2,200 going forward RSG are making $75m gross each quarter. Would not be surprised if they end the year with gold bullion / cash on the balance sheet equivalent to half their current market cap.
A full years worth of gold sales (105,000 ounces) from today at the current $2,200 gold price brings in roughly $230 million revenue and gross profits of $90 million.
The proposed 14.85p takeover price values the company's ongoing operations at $196m (£156m).
Assuming every fund invested is out for themselves and not acting on behalf of the board, the bid has to fail and the share price rerate higher.
Bonker - You're choosing to respond and be defensive when your posting history reads like a schizophrenic patients diary, flipping between trades. No issue people trading but pouring out misleading statements is pretty low. If you were mistaken just take it on the chin rather than mention one of your crystal ball predictions from months past.
Bonker99 - the disingenuous fear mongering being spread is nothing new among the online boards, always happens when there are opportunities to capitalise on this uncertainty. There's more than enough volatility going round for traders like yourself without resorting to false and / or misleading statements.
Just to confirm gold IS coming out of the ground still and the likelihood of the current rate increasing in the year ahead is high given the initial statement indicated Hummingbird would exercise it's right to employ "alternative mining contractors and equipment suppliers to achieve full mining operations".
"Hummingbird is working to reach full mining capacity, while continuing to process both low-grade stockpiles and ore being mined separately by a supporting mining contractor which was appointed in H2-2023 to support Corica's mining activities. The supporting mining contractor has one fleet on site to support the contracted four fleets from Corica.
The processing plant is expected to continue to run in the near term, however until increased mining capacity is available, reaching commercial production will not be possible, with production and cash flows increasingly impacted.
Notice has been given to Corica to return to work by Tuesday 19 March 2024, failing which the Company will exercise its rights which could include, stepping in to resume mining, and working with alternative mining contractors and equipment suppliers to achieve full mining operations."
Huge profits following ramp up of production to 123,000 boed average in 2023.
Forecast 155,000 to 175,000 boed in 2024!
2023 revenues climbed 93% to $1.4bn. Underlying adjusted earnings jumped 121% to $931m. Operating profits surged 158% to $598m.
"Since the year end, the start-up of Karish North and the second gas export riser mean we are now able to utilise the FPSO’s (floating production storage and offloading) maximum gas capacity and our production guidance illustrates the next step towards our near-term target of 200 kboed."
There are posters here looking to force the price down for a better buy in or it appears posting out of spite.
Let's speculate then Hummingbird continue to have the support of Coris bank and given the nature of this problem being poor contractor performance and breach of contract, Coris may be willing to extend timelines and/or rearranging financing under new terms to get production back up in the short term, spreading repayments into 2027 and beyond.
Yanfolila is expected to produce 75 - 85koz at $1,500/oz generating net c.$25m at current margins.
Net cash /gold available at 31 Dec 23 was $13.9m while available funds net of fees following raise are approxc.$26m
And speculating on Kouroussa, reduced quarterly output of 15koz is a reasonable assumption with production already weighted towards the second half of the year. I'll assume it's weighting is even heavier now as Hummingbird would need to employ a secondary support mining contractor in addition to the current one and/or provide the means (likely capital) to improve efficiency. In such a scenario I don't think it's unreasonable to suggest Kouroussa covers it's mining costs (when spread over the year).
If Corica intend to come to a resolution and resume mining then the picture improves. If Coris extend the loan repayments or reduce the 2024 schedule specifically or provide additional financial support the picture improves.
Gold futures above $2,200+ this morning!
Shanta Gold must be worth at least 24p (£250 million) on forward earnings and Q1 results just around the corner. Will our institutional investor friends do that right thing and act in their best interest. Not in the interest of Bidco.
Could well be a disputed amount owing to Corica not meeting contract under terms of agreement.
Should have been the initial opening offer months ago but feels better seeing an a dividend inclusive 15p offer on the table. Would be silly to accept it of course. Good fun watching the board squirm and bow to shareholder pressure, long may that continue! Huuaaaa!
Bismarck - indeed there were no large sells, the MMs simply dropped the price moments after the RNS landed and it continued falling throughout the day. Not many buyers despite the ask at 8p as the company left too much unspoken in regards to financial position. Assuming Coris are sympathetic and supportive of extending repayment dates it will ease concerns over Hummingbird's debt requirements.
Money on the side-lines isn't coming back until those concerns are addressed first and foremost regardless of what happens to our contractor