Member Info for Tracylied

Tubbs so to check what you suggest. Kerim should stop exploring where the company gets paid three times exploration costs and they have a producing mine. They should start exploring where there is no near term production and where Ariana will pay for the exploration. Are you sure?? 12 years is nothing 90% remains unexplored most unsampled and some unwalked. There is very likely bonanza grades sat on that itch unrecognised. With plant nearby they would be negligent to stop exploring. Fortunately you are not running the show and I can continue to hold with confidence.

A second ball mill will only increase the capacity in the crushing and grinding part of the process. It will not increase the overall capacity beyond that of the winning circuits. The only way to do that is higher head grade. There are only 24 hours in a day and the slowest process can only work at full speed. That is why understanding the ore and exploring for high grades rather than more volume is the priority.

Tubbs you will get a better return if the mine produces twice the profit. It has nothing to do with mine life. There is plenty of mine life. It's about grade and access. The plant has a maximum throughput and once achieved the only way to increase margin is to process better grades. Now with more reserve to choose from they can be more selective and only run better grades. Simple maths. Also Ariana get paid for discovering these extra resources so there is little or no risk. Suggesting that a successful explorer stops exploration is just stupid. This is not about the value of your shares it's about long term performance and that's achieved by discovering better reserves.

Adding to the RR reserve is of prime importance. Obviously it would be good to fund that from the three times costs that they get paid by the JV company. It is not the amount discovered that is important it's the accessibility and the grade that counts. That is what drives costs down from the current very low levels to fantasy numbers. Also it drives up the volume of gold produced. Short term funding is irrelevant to the future as returns will be in multiples. Kerim should not be concerning himself with supporting the share price as it is almost completely out of his hands. Kerim should stick to the model and progress as quickly as he can sustainably. The project needs total flexibility and understanding of the ore bodies to mine and process efficiently. That is mining basics.

The benefit of today's announcement is two fold as not only are the fundamentals of RR strengthened but the 3 x exploration costs due from the JV vehicle will come in handy to fund further exploration. We know that both sides have loaned to the JV to come this far. Ariana have certainly invested time, money and professional resources to achieve today's results.

Every SP lies. Until that is understood the punter will merely look to the share price to determine if a company is in a good place or not. The skill (not luck) is to find the situation where the share price is disconnected from the company and the events surrounding the company. I believe that Ariana are substantially undervalued based upon near term value to be added as production stabilises to tag or above and importantly as the loan is repaid. Right now the debt whatever is left to pay offsets the value within RedRabbit. Soon that will not be the case. Ariana are winners but the share price does not reflect that yet. This is a great hold and will perform very well over the next few years in my opinion.

Ramp up production figures are irrelevant and should never be released. The ramp up forms part of the construction budget and will certainly not be commercial. Once full tag is reached they will start counting the beans. It looks very likely that design tag will be exceeded. Variables now will be grade and recovery. Much depends on their approach to debt in the short term. Clearly both sides are owed cash by the JV company. They will I suspect recoup that before overpayments are made elsewhere. Ariana are due 3 x exploration costs on new material into the JV. Clearly this will be a great source of revenue moving forward and could easily cover all the company costs if they get busy.

"proud" that's a strange choice of word. A great hold is a grew share to hold as opposed to a great share to trade. Building societies are a very poor hold. A great hold is one that's very likely to progress over time well ahead of the market. Turkey is a decent place to do business if you are Turkish, employing Turks and partnering Turkish companies with Turkish interests. Would you rather B in one of the Stans, Africa or South America. Given the very low projected costs and potential to scale from base case the gold price is not as sensitive as those producing at $1000 oz. I see no reason not to be happy or to wet your pants as the SP moves within the range.

Very strange point of view. Last July the share price had only just doubled so you could say it has consolidated well following a 100% rise. The share price is about right in my opinion. RedRabbit has much to prove yet; we need to see costs as low as projected and profit above the repayments. They will no doubt improve capacity and bring in better grades but the market will not respond until the facts are released. Mid term this is a great hold.

Production ramping up on schedule will not need an RNS and would be very welcome. I am interested in when the regular production releases will begin. The market needs to see profit per oz so available cash after loan pay down can be determined.

Tells us that the ramp up is on course as mining decent grades now provides that material for future weeks rather than months. Stockpiles will be modest on this tiny project probably no more than 3-4 weeks. The stockpile will be sample lab tested prior to running each batch. As tiny as the project is the economics look excellent and the variables are really limited on a technically simple process.

It's normal to start issuing quarterly production figures once steady state is reached. That will probably be in 2-8 weeks depending on how the gremlins have been presenting. I would expect an announcement to say that the plant is running at design capacity. Financial information will be the key to the share price as it will demonstrate how much excess there is beyond the repayment of the loan. The performance of the material the plant and potential for additional capacity will determine the short term. Tavsan, Salinbas and others will determine just how far the share price will run. I see 5p within a year as very achievable.

16 million since 2005. Do the maths. You don't get much exploration for that. However the discoveries that has produced are worth multiples. If there is a disparity in the share price currently then that is a reason to buy. A share price is merely a snapshot in time.

I don't think shareholders have had a rough ride. If they don't respond to global events and the market fluctuations then really why should they expect anything. Indeed shareholders responding to progress by buying shares is no more valid than selling against a falling gold price or poor liquidity in the market. There has to be a degree of responsibility and diligence. Blaming Ariana or Kerim for the share price is just mental. He doesn't control investors confidence, liquidity or bravery. I have trousered a profit on this share and this sector many times. The CEO had nothing to do with that, they are simply doing their job not holding your hand or wiping your tears. The function of Kerim and Ariana are to discover and mine gold. That they do very well on a shoestring budget.

I see no reason why RR JV would not have funds available. Clearly the financial curve will be tight now and both sides will have funds owed but now there will be income. That income is against a ramp up budget. Actual profit is now very close, certainly well before the demands on the Ariana budget.

16 million over how many years. The budget has been on an absolute shoestring. The exploration campaigns have been very modest and have produced super results. Often a whole summer season is with Ariana's own rig and a team of three. When contractors are used it's normally just a handful of holes. At Salinbas there has been exploration but who paid for that.

Tavsan is within the JV so the JV pays for the exploration. The spend is extremely low; Kerim has always been minimal when it comes to exploration and has achieved much on a shoestring. Obviously there are debts to pay on the construction of the production facilities but we don't know the extent of the profit. I suspect that there will be funds to distribute after payments. I don't see much scope for further fund raising in the short term. It certainly is not a given.

Yes and Ariana have loaned to the JV with exploration and resource definition. Further drilling and exploration is funded by the JV. The JV is neither party but a separate entity. Independent of either company. Repayment of the loan from the banks is of course the first priority as default would be unthinkable however the mine certainly will not have been cash profitable up to today so I would think payments made and due would be squeezing any cash. However as the plant ramps up profit will be forthcoming and the bills will be paid. 6-12 months is common for ramp up but being tiny this Will happen much quicker.

I think it must be recognised that most costs facing Ariana in the short to mid term will be related to RedRabbit and as such will be funded by the JV. There are admin costs but Kerim has always been extremely lean on costs. As for elsewhere that is a matter of strategy and choice.

The amount of drilling required will be dependent on how Tavsan is funded. If external then reserves are required if internal then they only need satisfy themselves. Turkey is not so slow on Permits. Try the UK as a comparison. I think 3 years to start building is achievable as an expectation. In the scheme of things mid-long term.