Anglo Asian Mining Share Discussion Threads

[bleepy] 14/1/2016 22:11

Mattjos

, Silver.....Q/4 2015.....6,589 ounces from SART processing and 9,263 ounces from flotation, 485 ounces from heap leaching operations,. (Q3 2015: total 4,439 ounces)

Huge silver improvement from Sart and even more impressive silver recovery from floatation. Will be a bonus if these levels are maintained or bettered even.

[mattjos] 14/1/2016 21:55

is it just me or, did everyone else expect such a large increase in the silver production?

Brasso, please let me know when you have the next graph done & I'll update the header. Thnx

[ilostthelot] 14/1/2016 20:50

Do you hold zhockey?

[zhockey] 14/1/2016 20:46

Jeansey,

The update was as expected so why would we expect a significant rise. Not expecting much action here until they announce some unexpected good news or Gold and Copper take off.

Only the brave are buying gold/copper shares right now.

[on target] 14/1/2016 20:26

3 x 50k sells on ISDX today.

[jeanesy] 14/1/2016 19:43

Great update.. very poor reaction from the market. Really dont understand it. Why is there no update about the manat devaluation ? I can only think that there is still a seller out there and the price is being held down until they are out. Does not seem that they offloaded any today. All buys and yet we have barely moved but last 3 days small sales and yet a bigger move down. It is time that Cantor sold out their shares which i believe they still hold. The market is a strange beast. Still some im sure some managed to buy some cheap shares today. Onwards and upwards from here surely.. please!!

[on target] 14/1/2016 19:34

No mention of the Manat devaluation?

[bleepy] 14/1/2016 17:21

Not forgetting, exploration has been ongoing at Ordubad contract with results due early spring as I recall.

[zhockey] 14/1/2016 16:04

I believe they had said similar every year:

jbe81 14 Jan'16 - 12:09 - 1066 of 1071 0 0

Like you Matt it is this line from the RNS that interests me

I look forward to reporting on our developments during the course of 2016 as we continue our momentum of establishing Anglo Asian as a leading mid-tier gold and copper producer in Caucasia.

Just a question of when we get the first update, hopefully soon

[drdre] 14/1/2016 13:00

Thanks On Target

[on target] 14/1/2016 12:57

Debt itself is down $1.1m since the interims. The small increase in net debt is due to less cash on hand.

[drdre] 14/1/2016 12:44

Having checked back to the interims it would appear net debt is actually up $0.5m since then:

Net debt, being interest-bearing loans and borrowings less cash and cash equivalents, totaled $49.2 million at 31 December 2015 ($52.4 million at 31 December 2014)

The figure was $48.7m at the half year point with $1.4m unused credit.

Is this due to capital cost on the new plant?

[bsg] 14/1/2016 12:36

Still the debt weighing on some minds. Debt in these markets is not good.

[on target] 14/1/2016 12:22

Should get an update on the effect of the Manat devaluation as well (from 21/12 RNS):

The Company is currently evaluating the effect of the Azerbaijan New Manat moving to a floating exchange rate regime and the effective devaluation on its budget and plans and will update its shareholders as appropriate.

[jbe81] 14/1/2016 12:09

Like you Matt it is this line from the RNS that interests me

I look forward to reporting on our developments during the course of 2016 as we continue our momentum of establishing Anglo Asian as a leading mid-tier gold and copper producer in Caucasia.

Just a question of when we get the first update, hopefully soon

[mattjos] 14/1/2016 12:03

That will feature in the next RNS (I'm sure) & from there the broker coverage will have to be amended upwards accordingly.

[jbe81] 14/1/2016 12:00

The company should spell it out to the market, Matt. They have a good story to tell, why not tell it.

[mattjos] 14/1/2016 11:38

The forward calculations regarding the company profitability and financial performance through FY16 and onwards are based on USDAZN 1.05

We're not at 1.57 and still rising

That is 50% devaluation of the Manat since mid-December and will have a significant impact on the business model as all their revenues are in US$ whilst the localised input costs are in AZN.

There is no way the Azerbaijan central bank can afford to get involved any longer in trying to hold up their currency by selling their foreign currency reserves and buying the Manat .. last years efforts wiped out 50% of their currency reserves.
At some point the local interest rates will have to be increased to try and halt inflation - which is absolutely going to take off (unfortunately for the country). That means the company's Manat deposit account will start to see higher interest paid to it.
The company's debt is predominantly fixed rate with some small element linked to LIBOR

The market is STILL not factoring this in at all to the valuation .. .seemingly waiting for the company to spell it out for them but, it does not take a rocket scientist to see the significant benefits to them going forward.

[mattjos] 14/1/2016 11:01

USDAZN now at 1.57 and continuing to creep up
Both EUR & USD (the main constituents of the currency basket they have floated the Manat at) remain well bid in the markets.

[cordwainer] 14/1/2016 10:34

jbe81 is taking advantage

[jbe81] 14/1/2016 10:04

Looks like somebody is taking advantage

[jbe81] 14/1/2016 09:32

Cheap shares available this morning

[bleepy] 14/1/2016 09:26

Devaluation of manat by 48%, pay down of debt including vaziri in June, benefits of new investments coming on stream (no capex) signals a possible dividend payment and rerate.