Member Info for uinsionn

I don’t know why people even bother moaning, most of us knew the cash position and some even guessed there was a friends and family mates rates or industry placing coming at .5, funded now for newsflow on a couple of key objectives, all which have upside for the company, the placing was small and on good production or target update will be churned quickly if that’s the focus of those who bought or maybe they are looking for a bigger reward, but again I say with the current reputation and sentiment here anyone who took the placing must have done soon a sales pitch of positive newsflow, where we are now is cash in the bank, producing assets, minimised costs with options and a wildcard play, for me it’s a bottom position here, potential upside is still good from here, for those that were on the recent investor Q&A know that each well will be announced individually so we could get a flow of 4/5 news items in quick succession, I hold, I buy more here as it churns and I hold large amount of cash either to buy the dips around here or smack the pony on good newsflow, for me all the play for from here, I have plenty of experience with multibaggers and I believe this has potiential at current price to make a large move ob right combination of news IMO. AIM is about story at price and we still wait for the story but the price is cheap.

I personally think they wouldn’t have got this placing away without the possibility of a good newsflow for the placing guys to sell or see a good return on their cash, as someone who takes placings I know it’s key to placings is the sales pitch with regard to what’s coming. Echo has a poor reputation and to get half a million they would have to have disclosed what potential is coming to back the placing, it underpins the price, on a strong update it will be washed quickly, we are at the hands of the gods here, but 4m Mcap is crazy low for a producer, vat bill to be returned, works over and wildcard plays, it only takes one good Rns to change momentum, we have cash in the bank to move forward again, hopefully that cash is applied to getting some positive results and progress

The Company previously announced that the Eagle workover rig, owned by Echo and its partners in the Santa Cruz Sur assets, had been redeployed from Campo Limite to commence a standard programme of well interventions and maintenance and that the first well intervention being undertaken, in the Chorillos block, was assessing the production potential of bringing a historical well back online in a small field at Santa Cruz Sur. The Company confirmed that the expected new production potential of the currently non-producing well was estimated at 41 bopd when brought into production, following a swab test that produced a cumulative 280 bbls of oil over 48-hour period. This successful workover operation earlier this year provides confidence in pursuing further opportunities in the workover portfolio to increase production.

Echo is now pleased to confirm that in addition to the successful operation described above, an initial portfolio of sixteen workovers, focussed on seeking to bring PDNP & 2P reserves intervals into production, has now been matured. Of this portfolio of potential projects, four initial opportunities (consisting of 3 well workovers to bring associated PDNP 1P reserves into production and one project targeting 2P reserves) are estimated to be capable of adding expected combined additional production of up to 4.8 MMscf/d of gas and 84 bopd (total combined additional production potential of 884 boepd). These 4 initial opportunities offer a combined estimated value of approximately US $9 million in NPV10 uplift based on an aggregate gross cost of approximately US $1 million and fast payback periods of between two to six months. This uplift potential assumes a realised sales price of US $32/bbl and a gas price of US $3.5/mmbtu. The remaining twelve opportunities in the initial portfolio could each be capable of increasing gross production by up to 0.6 MMscf/d and 91 bbl/d. The Company continues efforts to identify and mature further production enhancement opportunities over and above the 16 already assessed to provide further growth and value to shareholders.

From 1 November 2019 to 31 December 2019 a total of 152,819 boe (consisting of 34,466 bbls of oil and 710.1 MMscf of gas) net to Echo was successfully produced from Santa Cruz Sur, at an average rate of a net 2,505 boepd. Production continued during Q1 2020 at an average net rate of 2,394 boepd.



The Company is pleased to confirm the identification of an initial portfolio of sixteen low cost workover and intervention operations at Santa Cruz Sur focussed on 1P proven developed non producing ("PDNP") and 2P reserve intervals - with the intention of bringing those volumes into production and, therefore, migrating the associated volumes to proven developed producing ("PDP") reserves. The cost of workover potentials identified is low, as compared to the cost of a new well, and given that the workovers sit in the developed part of the field, they are straight forward to bring online.

more opportunity here to increase my holding and reduce my average, sitting pretty good now on both fronts, keeping my long view on this one, think we should see an update in the next 7 days, hopefully a strong one with regard to progress FDA and Avion wise. seems a few bored waiting traders have moved their cash on the last couple of weeks, but i only see that as a positive as they would have sold into news anyway, the stronger the holders and the tighter the coil the higher we move, would be nice to move to the next trading range rather than be stuck in this 12-16p range on the right news we could be in the 20p plus bracket as a new range and could even see a nice spike to 30p before the slicers enter and rebuy the 20p line, hopefully progress is being made, got my money where my mouth is as always, having a major year this year and i hope it continues with this share moving in the right direction .

The lack of news has been great for me really, it’s allowed me to build a very nice position in here and given me a great average too, looks like this are is support area, newsflow should commence soon and volumes build from there happy days

Prime we are listed on NEX too, they like to put trades on there, your trade appears on nex, if you type imm on the search bar at the top of the page on here and go to the second imm option you will see your trade

Sean i think the current 5m MCAP and share price does not reflect the asset in play here, i have a personal price target of 5/6p here for some form of asset vale, i think MCAP should be in the region of 15m, i think the financing deal should see us move very much north of current price and find some true value in the assets. With gold expectation to run higher and remain strong over the coming years i think a good range of gold stocks in the PF is a good idea, there are certainly some negatives here but once you do the DD you will see that the current upside far outweighs any downside potential.

likewise, the ROI was calculated using a very conservative gold price of just $1500/oz. With gold now breaking record prices, this figure is free to rise exponentially.

“The context of the numbers is critical to consider,” explains Coetzee. “Our approach was not to see what is the best-case scenario, it was to say “If we pick this apart, and if we strip it down to the bare bones, does it still present us with a decent opportunity?" The answer is a clear yes, and this scoping study has demonstrated Blyvoor’s true integrity as a project."

Alongside the attractive economics of its contained resource, there are several other areas of potential financial upside to consider at Blyvoor.

For example, although novice investors often overlook the impact of currency on overseas operations, the exchange rate is essential for Katoro. See, the firm is paid in US dollars but incurs costs in South African rand. In the last 12 months, the rand exchange rate has surged against the US dollar- there is now 18.46 rand to the dollar, compared to just 14 a year ago. This means there’s no better time to undertake work in the country.

Meanwhile, another pivotal point is the fact that previous work completed at Blyvoor has been significant enough to allow Katoro to proceed straight to the definitive feasibility study (“DFS”) stage from its scoping study. In doing so, it skips the time burden and costs associated with the pre-feasibility stage.

Is this particularly common in mining?

“No,” says Coetzee. “It’s not common for projects like this at all, especially in the mining side. The historic work that was done on Blyvoor was more than enough in terms of quality and quantity that we can progress and proceed immediately with a DFS. This saves us both time and money.”

Finally, one of the most exciting things about Blyvoor is Katoro's belief that the project will reach first production within just 18-24 months. For shareholders, this is a very short timeline to revenue – especially when Katoro’s market cap currently sits at just £5.2 million.

So, where will news come from next? More importantly, will it be able to extend the strong run Katoro’s share price has enjoyed since March?

Coetzee believes so, pointing to the numerous potential funding partners now circling Blyvoor:

“From the time we first announced this transaction we started engaging with potential funders. There's quite a number of them. There's quite a few that have shown quite a keen interest, and this has only increased since we made the scoping study results available,” he says.

All in all, Katoro looks to have a brilliant opportunity ahead of it at Blyvoor. New investors should watch closely – the firm’s current 2.3p share price could soon look very cheap.

Author: Daniel *****

The Author does not hold any position in the stock(s) and/or financial instrument(s) mentioned in the piece.

MiningMaven Ltd, the owner of MiningMaven.com, does not own a position in the stock(

Record gold prices beckon huge profits for Katoro at Blyvoor (KAT)
With gold prices soaring, junior miners with strong projects are in ultra-high demand.

The yellow metal pushed past eight-year highs against the US dollar on Monday 18 May to reach $1,762 per ounce (“/oz”). The same trading session saw the precious commodity smash all-time records against most of the world’s other major currencies. Strength has continued throughout the week.

In a market like this, one company, in particular, has a prime opportunity to make its investors a lot of money.

We sat down with Louis Coetzee, chief executive of Katoro Gold (LSE:KAT), to get the inside track on what’s next for Blyvoor – the firm’s exciting precious metals project in South Africa.
Carltonville is a busy mining town west of South Africa’s capital Johannesburg. When gold was first discovered there in 1886, it transformed the country from a farming-led economy into the most industrialised nation on the continent. It also helped to create some of the world’s most profitable mining companies, like Anglo American (LSE:AAL).

The area is now home to Katoro’s Blyvoor project, a 50-50 joint venture with Blyvoor Gold Operations. At Blyvoor, Katoro and its partner will focus on processing “tailings” from previous gold mining schemes in the local area.

This is a lucrative niche.

Tailings are mineral loads that were once considered to be waste products. However, thanks to novel extraction techniques developed only in the last ten years, previously-overlooked gold in this discarded rock can now be extracted economically.

This approach has worked wonders for De Beers in South Africa. Thanks to advances in separating, sorting and crushing equipment, the world’s largest diamond miner famously managed to extract 815,036 carats of diamonds from several million tons of tailings in 2013 and operations will continue beyond 2030.

Outstanding scoping study

Earlier this month, Katoro took a huge step forward at Blyvoor when it released the results of its scoping study for the project.

The work assumes the asset will operate for 25 years, during which production capacity will build up to 500,000 tons of tailings ore per month and 35,000 ounces of gold production per year.

These rates translate into a net present value of US$131 million, a 25% internal rate of return, and a return on investment (“ROI”) of 260%. Meanwhile, revenues over the life of mine are expected to reach US$992 million against total capital costs of US$110 million. All-in sustaining costs are forecast to sit at just US$727 per ounce of gold.

These are already very impressive figures. However, they become even more impressive when you consider the extremely conservative measurements Katoro used to reach them.

One such example is the company’s assessment of Blyvoor’s recovery rate. Although test work showed this to be as high as 62%, Katoro used an average recovery of 52% - 10% lower.

#KAT “To have received 14 expressions of interest to date, despite the challenging business conditions that COVID19 has caused, is further validation that the Blyvoor Project is indeed robust and attractive Wonder if the Chinese might buy us out.#KAT The workings are based on $1500 the price of #GOLD is already above $1750 and over the next 12-18 months has huge upside can defo see $2000 by year end and from there who knows some predicting $3000, either way its going to be a lot higher than here
https://www.youinvest.co.uk/articles/stockmarketwire/200079/katoro-gold-jv-gets-significant-funding-interest-blyvoor-project

#KAT Although test work showed this to be as high as 62%, Katoro used an average recovery of 52% - 10% lower.Likewise, the ROI was calculated using a very conservative gold price of just $1500/oz, more value based on marked down numbers for the calculation

#KAT NPV of US$131 million, a 25% IRR, and a ROI of 260%. Meanwhile, revenues over the life of mine are expected to reach US$992 million against total capital costs of US$110 million. All-in sustaining costs are forecast to sit at just US$727 per ounce of gold. #GOLD rising too

Someone is in a hurry to get in

Another 2.5m shares locked away for the newsflow, 3.5m buys today

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Scored depends on their targets with regard to price, hopefully a lot higher than here, have started researching them and their strategy, if they see a strong end game here they will hold for higher rewards, hopefully the wont have a slice strategy like lanstead.

So currently we have 25m funding from Avion to progress Lupuzor which means its fully funded to end, we probably had about 1m in the bank and now have another 6.6m coming in so overall we currently have coming or committed cash of 32.6m, our Mcap is 29m, he said newsflow will be strong, still happy to hold added a few more if i can jig a few things around may increase the size of the holding here as i still think the next 6-12 months are where some value creation will happen within the company. Mention of other commercial agreements on Lupuzor and UREKA becoming a commercial entity in its own right, could be a good run if tim gets the newsflow right.

So currently sells are 5.2m shares and buys 2.2m shares, they managed to drop it by 22% not currently 13% down, they were just chancing their arm, they expected to get much more, market wise today is going as expected, but expect next week to be more bullish again as things open up.

I always buy shares for the future or the forward momentum of what the company is doing, this is the past, heavily marked down in a general poor market day and they haven’t even picked up that many shares, I am currently a buyer and will continue to be a buyer at these levels, like I say I buy for what’s coming not the past. Won’t take much to get lift off here again just freeing up some cash to take more, won’t really effect my average as it’s .80 as I have bought at many levels here, all could be different on the next news item, it’s just the way small caps go. Happy to hold here as looks like most are, dropped on air and they haven’t gathered that much by the looks of it