Allied Gold Share Discussion Threads

[frizsand] 07/4/2011 13:01

Standard Chartered sees gold at $2,100/ounce in 2014

[dvsfm] 07/4/2011 07:59

you wish lol

[vivgav] 07/4/2011 07:58

My top up :-)

[dvsfm] 07/4/2011 07:57

whats that 23 million odd trade @38.5p, some of the placing shares?

[juju43] 07/4/2011 07:44

has to see £1 before the fun is over

[davidblack] 07/4/2011 07:42

I was very disapointed by the placing which looks like a sweet heart deal by any standards. Thankfully the market was kinder!

Oriel have a 56p target but I believe there is a "Widespread broker belief" that 75p would be enough to take this out on a bid.

Dirt cheap gold on a per ounce basis but with a management who continue to carry out big placings at knock down prices this has got to be a take out play?

[thehardestbutton] 07/4/2011 07:20

Some good trading on the Aus listing today - part catch up but also building on yesterdays movement and announcements

Looks like 0.69 - 0.70 which I believe should be 44-45p spread for the AIM listing.

Onwards and upwards

[juju43] 06/4/2011 20:39

you sould sell Matt.

[matt] 06/4/2011 19:45

The interesting part of the restart is that it doesn't say it was granted by the DEC. It says they went to court. "In the interests of major stakeholders and with the full support of Landowners and its national employees Allied Gold today successfully petitioned the PNG National Court of Justice to return to work." Suggests to me that not everyone is happy with the reopening. Got to be a risk to have enemies in high places.

[boadicea] 06/4/2011 19:42

Well, I've come across some strange methods of getting a low base share price to justify a low-ball issue price or buy-out offer, but arranging a poisonous leak to get production temporarily stopped is about the most devious yet .... or am I being paranoid?

One thing they of which they will find it difficult to convince me, however, is that the placees didn't have the restart news (or guaranteed date thereof) 48hrs before the rest of us.

[matt] 06/4/2011 17:50

Agreed arja. Lucky already rich investors.

[matt] 06/4/2011 17:50

Agreed arja. Lucky already rich investors.

[juju43] 06/4/2011 15:16

all good news as expected. the placing will leave a drag for some time but i can only see this going one way

[kenone] 06/4/2011 14:18

Thats two out of three of the predictions in my 2426 post - just wait now for the third to come good.

[kenone] 06/4/2011 14:06

Simberi production resumed !

[matt] 06/4/2011 13:08

TheHardestButton - 6 Apr'11 - 02:14 - 2442 of 2447

Sophisticated investors must have either a net worth of $2.5 million or have earned more than $250,000 in the past two years to qualify. This usually require certification to qualify. It means also that you give up certain rights and protections as an ordinary private investor.


I always knew I wasn't sophisticated and now I can prove it!

[rambutan2] 06/4/2011 12:27

Davidblack, I couldn't agree more.

[walrus5] 06/4/2011 12:11

I agree and if we are fast tracked onto the main market this share can only go up.

[juju43] 06/4/2011 12:04

not too bad a deal at 38.5p . i think the placing is a positive and we will see lots more gains . be patient , the buyers are on their way

[thehardestbutton] 06/4/2011 11:16

Nope - don't understand your gripe at all DBlack so not really sure Rebecca Greco will either?

Shareholder value has been preserved - you're now holding shares in an expanded company with significantly reduced debt. Did you notice the share price plummet the last time they raised cash in this way? Nope - me neither!

As the share price is up this morning and is likely to continue to progress in the coming months given the strategy of Mr Caruso and his board I wonder why you're not buying more.

'Expect a bid within 24 months at $90 an ounce? Why pay any more?'

Nope you've lost me there as well.....

[thehardestbutton] 06/4/2011 02:14

Matt - 5 Apr'11 - 20:06 - 2438 of 2441

The RNS says, "A$93.8 million / GBP60.1 million placement to institutional and sophisticated investors". Does this make the rest of us neither institutions nor sophisticated?
---------------------------------------
Probably!!

Institutional investors are entity, company, mutual fund, insurance corporation, brokerage, or other such group that has a large amount of money or assets to invest.

Sophisticated investors must have either a net worth of $2.5 million or have earned more than $250,000 in the past two years to qualify. This usually require certification to qualify. It means also that you give up certain rights and protections as an ordinary private investor.

[rambutan2] 06/4/2011 01:24

Oh well, just another 15% dilution. Yes, Mr Caruso is certainly from the Ben Bernanke school of mining.

Note the last para

Finance Activities, Liquidity and Capital Resources

Allied Gold's cash position as at December 31, 2010 consists of A$36,486 444 in available cash and cash equivalents.

During the three years ended December 31, 2008 through December 31 2010, the Company has principally funded its activities through equity raisings. The Company did not undertake any equity raisings during the Quarter. In the Previous Quarter the Company completed an equity raising for A$159,545,451.

The above mentioned equity raisings have been augmented by debt from external financiers. In the three months ended December 31, 2010 the Group drew down the first tranche of A$15 million under a facility provided to the Group by the Bank of the South Pacific Limited. The facility is secured by a fixed and floating charge over the assets of Simberi Gold Mining Limited and by a guarantee provided by Allied Gold Limited. The funds drawn down are to be utilised to meet the ongoing capital expenditure commitments of the Allied Group. A further A$20 million is available to the Allied Group under this facility and is expected to be utilized in the March 2011 quarter.

The Company's financial commitments and contingent liabilities are generally limited to controllable expenditures at the Simberi Project and the Gold Ridge Redevelopment Project. The Company's material financial commitments and contingent liabilities as of December 31, 2010 are as follows:

-- Leases for office premises, operating leases for various plant and machinery and payments for the charter of aircraft under non-cancellable operating leases expiring within 1 to 5 years, in the amount of A$2,129 368.

-- Commitments in relation to finance leases for the hire of mining equipment expiring within 1 to 5 years, in the amount of A$3,452,157. This amount includes the financing drawn down under the Bank of the South Pacific facility referred to above.

-- A required expenditure of A$900,900 during the next year in order to maintain current rights of tenure to EL 609. Financial commitments for subsequent periods are contingent upon future exploration results and cannot be estimated. These obligations are subject to renegotiation upon expiry of EL 609 or when application for a mining licence is made and have not been provided for in the accounts.

-- Capital expenditure commitments of A$35,283,622 for the Gold Ridge Project, A$695,286 for Simberi expansion and debottlenecking projects and A$231,367 for the Simberi Sulphide pre-feasibility study.

The above commitments are to be funded through existing cash resources as at December 31, 2010, operating cash flows generated from the Simberi Project and committed but undrawn finance facilities with the Bank of the South Pacific.



and from 15/09/10 Update...
Allied Gold Limited will incrementally increase gold production to approximately
100,000 ozpa by the December 2011 quarter at its 100%-owned Simberi gold mine in
Papua New Guinea through a fully-funded US$32 million expansion of the oxide
processing circuit from 2.0 million tonnes per annum (Mtpa) to a name plate 3.5
Mtpa.