Chaarat Gold Share Discussion Threads

[juju44] 10/7/2016 09:26

SP suggests the market doesnt really believe him Years and tears and years and all that he has produced is just hot air

[richgit] 10/7/2016 01:50

6th July


"Chaarat Gold Holdings Ltd’s (LON:CGH) chief executive Dekel Golan tells Proactive Investors that the twin-track plan for the Chaarat project in the Kyrgyz Republic can produce cheap gold and is easy to implement."


"The main thing we have demonstrated to the market is that not only we have a profitable project but we can start with a low cost."

[casual47] 07/7/2016 16:07

The asset is good. I'm here for the JV/Sale. There is such a thing as speculative buys you know.

What's the problem with providing an opinion? Should we all be happy clappy?

Even where I hold I will call out the duds where I see them. Small scale operation = dud option.

[highly geared] 07/7/2016 15:51

Casual; not much point in being here if you think the company is so bad. Perhaps sell up if you have shares here and find another investment if, as you imply, it's a lost cause?

[onlyahobo] 07/7/2016 12:46

An initial HL operation to get this project going is logical.

But it would be completely asinine and stupid for this management team to try to implement it because they themselves do not have the expertise and have proven that they are utterly unable to hire it in.

And it would further destroy the company's capital structure because any small operation will need considerably more cash than current market cap.

If there is a requirement to keep the lights on they should cut Golan's salary and do a small placing to fund expenses. No more. Then focus exclusively on optimising the project and getting a deal done.

If one's investment case here rests on the price of gold that is fine, but that stance absolutely does not require a small operation to justify it.

But by far the best option is a new CEO (and no, Golan cannot be Chairman as that would make it even worse). Even if only to spare shareholders the pain of having to listen to his interviews.

[casual47] 07/7/2016 12:24

Small scale production will be DISASTER for this share.

1. The BOD has NO experience of bringing mines to production

2. Dekel has track record of NOT DELIVERING

3. Even for small scale they need many millions of USD -- such a placing will keep us below 10pence for years to come

4. Who would be so crazy as to fund small scale production? Any serious player with an ounce of sense would either want to takeover completely or demand a 51% holding, thus severely diluting current shareholders.

[onedayrodders] 07/7/2016 12:18

Indeed ..small scale production in this positive sentiment could get the share price to 25-30p alone which should put a minimum take out price near £1 than 50p.

[richgit] 07/7/2016 09:20

onlyahobo

You are incorrect.

They were quite capable of starting small scale production at that time.

However..
the Fraudsters ie JP Morgan entrenched in controlling the Comex Paper Gold Frauds and their (questionably illegal )ability to print endless short contracts
along with the BIS dumping huge amounts of Paper into the futures Market -launched their "devastating arranged smash into Paper Gold"- driving Gold down to its lows.

With all the Anti Gold cabal calling for $800 Gold(lol)it was hardly a good time
for CGH to roll out small scale production.... was it !!!!

Now look at Gold- doing what Gold should do-and should have been doing in 2013.



Lol- Just spring a rumour,and no doubt CGH would soon be at 15p.

Risk/reward of very few 5Million ounce resources + going for an absolute song !!!!


There are others with decent situations also looking at small scale production
just to get things rolling,yet in the months to come such situations will no doubt have the Money men clamouring for them to go to Full production.

There may be no Gold going spare anywhere on the planet in 18 months,considering
some Sovereigns have been taking all World production coming to Market.

I daresay more production is going to go straight into the Central Bank of the
producing Country as has already been taking place.

The Kyrgs may be one of the few around that currently are so broke they cannot take Gold into their central Bank reserves- which is actually tempting for the Chinese who would like to send all Gold production to China.

At this point I do not want the Chinese looking again as they will screw CGH
with unfavourable terms and that`s the game of Chess Mr Golan is playing.

CGH wont get screwed by anyone if they can get small scale production flowing
by themselves.


IMHO.

[onedayrodders] 06/7/2016 21:13

So good he said it twice

[highly geared] 06/7/2016 12:45

Golan / directors hold 17% of the shares, so they have plenty of skin in the game and their interests are aligned with ours.
Negative comments understandable but plentyb of other miners have struggled to move projects along the curve.
Perhaps if they are now able to JV / finance mining and commence priduction in 2018 with POG at $1500+ , this will be better than what might have been had they managed to progress at lower gold prices.
Agree though that its time for this to meaningfully progress but I think with gold now where its at, we'll see increasing interest.....

[juju44] 06/7/2016 11:57

I will second that

[onedayrodders] 06/7/2016 11:56

I nominate casual and juju to the board with immediate effect

;o)

[juju44] 06/7/2016 11:48

I agree , he has advertised financial distress and the vultures can just sit back until he starves to near death , at which time he will accept anything. His inability to get things up and running after years says he hasnt got what it takes

[casual47] 06/7/2016 10:19

Dekel needs to stand down from being CEO. He just hasn't got what it takes. I'll be happy enough for him to be Chairman but he needs to go.

It's time for the major shareholder to step up and make this happen.

[casual47] 06/7/2016 10:11

"The Board has reviewed the Group's cash flow forecast for the period to 30 June 2017. It is satisfied that there are sufficient funds to maintain the Group as a going concern until the end of 2016. After that date, and in order to maintain the Group as a going concern for a period of over twelve months from the date of signing the annual report and accounts, it will be necessary to secure additional funds. These could be made available from existing and new shareholders, selling equipment and other assets of the Group, cutting discretionary expenditure, reducing headcount, reviewing the timing of other expenditure and pursuing other fund raising options. The Board has a reasonable expectation that additional funds will be made available from these sources. "

existing and new shareholders ==> placing

selling equipment and other assets of the Group ==> much can't be left, they've already been flogging stuff last two years

cutting discretionary expenditure ==> what expenditure is there left to cut? Nothing is happening here.

reducing headcount ==> It's already a tiny team. One person's salary won't stretch it (unless it is Dekel's).

reviewing the timing of other expenditure ==> What expenditure? Salaries? Won't help much.

pursuing other fund raising options ==> not very optimistic to have it as last listed option but this is what we're all waiting for and will be the real proof that BOD has any clue what they are doing

[onlyahobo] 06/7/2016 10:07

Trying to finance and start a small operation with current management would be a disaster. They already tried once and failed.

What has to be done here is cut costs (start with that idiotic salary) to a bone, hunker down, optimise planning, let gold market follow its course and do a deal that involves no operational role for this management team.

Fortunately for CGH the market is starting to lift all the flotsam regardless of warts.

[casual47] 06/7/2016 10:00

HG, broadly agreed.....BUT.....CGH needs money ASAP just to keep the lights on and keep paying Dekel's salary. They can't wait for the perfect storm to hit -- they must plan a source of funds next couple of weeks.

Also, which lender will provide them with debt for an asset based in Kyrgyzstan? At what cost?

[highly geared] 06/7/2016 09:54

Casual: that will be a possible route but we all have to reshape our mindset from how we thought in a 5 year bear market to how things might now develop with a perfect storm for rising gold prices.
It's not out of the question that debt funding may be possible, after all, what else are banks going to lend against if property is goosed?
The point is, that if we see gold above $1500 on a long term basis , the returns here will be astronomical and a resource if this size will either attract debt funding/ JV ot take over and it will happen in the next 12 months.
Whilst I think a price of £100 million will be accepted by stale shareholders and give a decent return for many, circumstances are changing.As an investment case here and now CGH offers great opportunity to get in at the bottom and ride the coming gold wave....

[casual47] 04/7/2016 13:15

No need to wait until 2019 to get clarity on this share. They have no money left to keep the business going for the next 12 months.

Options:
1. Dilute a little, just to pay wages etc
2. Dilute a lot, to start small scale operation
3. JV/sale.

That's it. There are no other valid options to keep business going. (I highly doubt they will get a loan)

[richgit] 04/7/2016 11:43

Obviously Gold cannot rise every day,and there will be some inevitable forms of correction to come in the long journey.

The question will be whether the Comex eventually prints a significantly lower price than some are paying for Physical,yet no doubt some traders will panic.

We can assume that nobody would be able to arbitrage the Comex Paper difference
in size, in such circumstance.(not without being offered flying lessons from a window of great height if anyone tried to).

Maybe at least Investors will start to comprehend that CGH can do very nicely
at $1200 and the dreams of what CGH could achieve in the years of far beyond
$1200.

[onedayrodders] 04/7/2016 11:30

Like I said pathetic mm games with the bid early on now clear what they were trying.