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Doubtful, there are reports around which detail Russian Investment Banks buying gold for sale abroad. We simply produced less gold as a result of grades. Gold production was forecast to be lower in the first half and is expected to pick up markedly in the second. I'm not sure why silver sales were stopped but previously it only made up about 2-3% of revenue. The important thing is staying on track to meet gold production guidance which means a jump next quarter to about 8-9koz gold refined.

Q1 Highlights
· Average realised gold price for the period rose by 22% YoY to $1,599 (Q1 2019: $1,312)
· Average gold grade of 5.2 g/t (Q1 2019: 8.8 g/t)
· Total revenues of $9.3million (Q1 2019: $16.2million)
· Annual gold production guidance for 2020 of between 38,000 and 42,000 ounces maintained
· Dividend base case of approximately $3 million per annum maintained
· Delineation of +1Moz JORC Mineral Resource Estimate for the Rodnikova Gold Deposit
· Significant progress at Vein 25 of the East Zone of Asacha, with expectation of bringing this higher grade ore-body into production shortly

So production guidance and dividend maintained. No material impact to TSG's production from the COVID-19 virus. The majority of the Group's operational costs are rouble-denominated and have fallen due to foreign exchange movements.

An upbeat outlook
Shareholders can expect the Company to provide progress updates on the following activities in due course:

· Drilling results from Main and East Zones of the Asacha Gold Mine
· Financial Results for the Financial Year ended 31 December 2019
· Scoping Study for the Rodnikova Gold Deposit by the end of Q2 2020
· Commencement of mining at the East Zone of the Asacha Gold Mine which contains significantly higher grade ore.

Lol what a dumb assessment. Gold stocks will do just fine.

-$2.60 / barrel

https://www.marketwatch.com/investing/future/clk20

In 08 people lost their homes due to the sub-prime mortgage crisis. This time around governments are providing guarantees to banks and mortgage holidays to owners. The knock-on effect being people still have that equity and confidence to go out and spend (in theory) once measures are relaxed paving the way for a sharp bounce in Q3 and Q4. Inflationary pressures will be good for gold. Fears over nations being unable to service their ballooning debts will be around for a while to come and that should also be good for gold.

S&U: Sound liquidity, positive near-term cash flow

"The scenario of higher unemployment and pressure on average incomes that threatens S&U’s motor finance customers has become reality with remarkable speed. Nevertheless, we believe government actions should provide mitigation and even allowing for an increase in arrears the company is likely to generate cash as collections outpace much reduced lending demand, augmenting the liquidity headroom it already has. This together with maintenance of relations with customers, brokers and introducers should mean the business is positioned to progress strongly once conditions normalise."

No mention of major recession and job losses to come.

Will be above 30p in a couple of days time. Simply wait for the news to filter out.

Third interim dividend declared, confidence here will only continue to grow.

Stellar quarterly results!

It is worth pointing out AAZ had cash of $26m at 31 March 2020. This is an increase of $4.8m and only includes sales for the months of January and February. The company go on to say an"estimated 90 per cent. of the Company's share of the contained gold bullion from 5 to 31 March 2020 was sold on 6 April 2020"

These delayed sales actually worked in the company's favour as the gold price continued rising throughout March and April netting $5.9 million in additional sales.

Next quarter results will not only benefit from a higher gold price but also the reporting of our March gold sales.

2008 global recession followed by huge stimulus and a European debt crisis in 2011 saw silver prices bounce from $9 to a peak of $47 in 32 months. I wonder how if we might see a peak of $75-90 in the next 3-4 years.

Stimulus funding pledged
- $2tn US fiscal package approved by Congress. US may add $0.6t state aid for mortgage markets and travel industries
- $2tn US – Trump looking at $2tn infrastructure fund
- $700bn – US + Fed rate cut to 0-0.25% last night. The $700bn QE to buy Treasuries and mortgage-backed securities.
- $963bn (€750bn) ECB scraps limits on sovereign bond purchases. ECB PEPP buying running at around €250bn
- $825bn (€756bn) Germany – Bundestag approved €156bn in extra borrowing and ~€600bn in emergency funds
- $344bn - China stimulus + $127.2bn. China stimulus was $586bn in 2009
- $544bn (¥60tn) – Japan fiscal stimulus package equiv. ~10% of GDP $17.4bn Japan + Y300bn of inflation-linked bonds,
- $400bn (£330bn) UK + $242bn (£200bn) UK QE from BoE & no business rates plus £25,000 cash grants for hospitality sector
- $387bn (€304bn), France, $200bn (€200bn), Spain, $214bn (A$320bn) Australia, $78bn (C$107bn) Canada, $32bn Saudi Arabia, US$43.7bn Singapore, $22.6bn India, $15.4bn HK, $13.7bn South Korea, $10bn Switzerland, $8.4bn Italy, $7bn NZ, $3.5bn Ireland, $2bn Taiwan, $0.75bn Indonesia,
- $1,000bn - IMF available + $12bn World Bank,

Separately we are beginning to see why a strong dollar cannot be maintained long term. Emerging economies cannot compete nor are they able to meet their dollar debt obligations. Argentina has now ruled out paying $10bn of it's dollar debt and is seeking to restructure a further $70bn.

Sit on your hands and watch this golden egg grow.

Rising tide today! All my gold producers are up, even TSG!

RB - that was a very shrewd move. I was only able to release free cash from elsewhere recently but content with recent buys. Gold and silver producers are still heavily discounted to where their profitability is headed. Wider macro picture has never been stronger for gold bugs with US propping up their currency status with trillions of stimulus (likely to continue for some months).

Reminder to all

Released on 20 March when gold futures were trading at $1490/oz (now trading above $1700/oz)

"Current events have resulted in material changes to commodity prices and foreign exchange rates, which are expected to impact positively on the overall profitability of the Group. The Company's dollar-denominated revenue from gold sales remains strong in a supportive gold price environment. The recent oil price decline is expected to considerably reduce the Group's energy costs, and the connected devaluation of the Russian rouble is equally anticipated to contribute to overall cost improvement, as the majority of the Group's operational costs are rouble-denominated."

Guidance issued in January of 38k - 42koz unchanged. Total cash costs of $780 - 860/oz are expected to be lower end as are sustaining costs of $900-1000/oz.

Market cap of $53m today should be multiples! At the last set of Interims the average gold price received in the six months was $1312/oz. First quarter results are coming this month and I suspect there will be a bumper divided when they announce the Final Results in June.

$1692 breakout happening

Gold futures up to $1674/oz today.

Recommend reading this analysis by Arlington Group
https://mcusercontent.com/bcf952a3fa8185f9a112ba741/files/837ce41f-89ef-474e-9614-ff851e25fb65/FedGoesToTokyoFINAL04042020.pdf

Support at $1608, markets expecting jobless claims Thursday to be much higher. Should put a bit of pressure on the dollar.

Gold looks to be recovering as the dollar comes under pressure. Markets are bracing themselves for next lot of Jobless Claims due Thursday which could be much higher than the record 3.3 million last week

I recently read the 1980s peak price of c$850/oz when adjusted for inflation comes out at around $2,300/oz. There are certain fear factors then such as high oil price inflation and geopolitical risks which pale into significance when compared to the Corona Virus pandemic that has caused over 35,000 deaths worldwide with other 750,000 confirmed cases.

A quick check online suggests only 20 confirmed cases but as with most African states it's difficult to get an accurate picture of what is happening on the ground. I'm optimistic mortality rates will be lower as others have said, the average age and condition of the population seems to be an important factor. What concerns me is the actual reported cases and how quickly the virus is spreading. Might the scenes we are seeing in Italy and Spain be played out across Africa in April?

https://www.atlanticcouncil.org/blogs/africasource/tanzanias-mild-response-to-covid-19-and-its-implications-for-the-2020-elections/

https://uk.reuters.com/article/uk-global-oil-crude-prices/in-oil-markets-its-back-to-1998-crisis-pricing-idUKKBN21D2OO