Member Info for Tornadotony

Today a collapse on no news. Precious metals actually went up today.

38% FIB and also now support line is at 20p. 50% FIB line is at 21.5p.

Wednesday is a week.

Another million gone through.

Taking forever for the management to make up their minds. I wonder if they are waiting for the US Presidency result.

Should soon be on the 17 handle. As for in-filling drilling, I would assume if they are doing quite a lot of drilling and best to ask the company. I would not be surprised if they said 12-18 months. It takes ages to get through JORC as well especially for 750k-800k reserve ounces.

Armenia were defeated in Qubadli and had to pull back so a part of that district is now part of Azerbaijan = Southwest is recovered. Battle for Lachin on-going. If Lachin falls the main road supplying Karabakh is cut off. It would be pointless carrying on fighting if Lachin is under Azerbaijan control. Azerbaijan has offered Karabakh a ceasefire this morning and to have talks. Beginning of the end of the conflict I hope.

I have a lot of Shanta shares, the best I got was 16.59. I certainly backed up the truck. It will be interesting to see a production profile going forward 5 years. Not sure if they have already done one, but the placing changes it anyway. My guess is that 2-3 years from now Shanta gold production may hit 160,000 ounces plus a year. This would take the company valuation to say £300M which is around 30p a share. I think its best to put in a draw and forget about it.

Hope I do not regret it.

Azerbaijan armed forces are moving due north from the Iranian border into Qubadi district. Starting to cut off Karabakh from Armenia.

"They have a far greater right than the Russians to act as peacekeepers in Karabakh." Must have made Putin splutter his morning coffee.

I agree with your suspicions. predict a close of 21.25p which was a resistance line created yeaterday. News on Monday say lunchtime is quite possible. Its a case of Tullow clearing payment of $15M to Uganda Government. Then Tullow getting $500M plus $15M from Total. The $15M business is probably done. The payment of $500M might take a bit more time to clear and transfer across.

The new FIB retracement lines are 38% FIB is now up to 20p. 50% FIB line is down to 22p.

A close above 20p is good progress. 22p could prove difficult especially without news.

Mick,

The divi issue depends on yield. The company could do a small 1% divi and that still helps bring on Is like Legal and General.
At some point Shanta may have ambitions to be a FTSE 250 company. Could happen with a merger with AAZ. They would then have mines in Europe, Africa and over in Azerbaijan.

Could all back fire if the stimulus does not get passed State side. If it comes off happy days.

No, it can on go down further if gold price dropped. In the end I topped up at 16.97p its heading back up. I have done well on Shanta and I suspect the drilling results will compensate in the end.

It covers the dilution completely and then it can bounce to 17p-18p.

Not happy with chosen methodology. Fortunately I only have a modest position on Shanta and will wait and see if we hit 16.5p placing price or the dilution price on the close which is 20% extra shares which is 14.4p however the cost via a bank loan would have reduced the share price. Whatever the case existing holders may want 20% more shares as not to be diluted and may or may not get them at a discount.

The upside is that the company valuation does increase by $55M from converting $30 ounce resource into $100 ounce reserves in the ground pric assuming they convert 66% of the proposed resource ounces. There is also a chance by in-fill drilling that they find more reserves and more resource ounces in the mine plan model. Once the mine is built the company value increases by around $20M. So although this route hits investors for $40M the payback prospects are at least $75M longer term. Also it appears the company is offering a divi in future.

Fingers and toes crossed for the BFS and a good rise afterwards.

Feel like an idiot for not selling anything at 89p.