Cluff Gold Share Discussion Threads

[inside building] 04/9/2012 21:36

Cluff Gold would appear to be at the Denver Gold Forum from 11th September. So if Pete Gardner is true to his statement then they are hoping to announce something before then. However, based on everything i have read elsewhere i am not sure that this will happen. Why do it then if the Baomahun BFS is not yet ready?

IB

[mechanical trader] 04/9/2012 19:32

On the verge of the May breakout.

[mechanical trader] 04/9/2012 16:50

WOW that was one hell of a finish spike
up.

[mechanical trader] 04/9/2012 15:22

Gold spiking up to 1700 and above?.

[mechanical trader] 04/9/2012 15:10

Broken through the double top
formation and the resistance their
so a good chance of further gains
as we move forward.

[selkirk69] 04/9/2012 12:21

Bit of a break out on the chart here - maybe those broker notes have helped.

[mechanical trader] 04/9/2012 11:50

CLF

Broker views and Target SPs.

Date Company Name Broker Rec. Price Old target price New target price Notes

24 Aug Cluff Gold PLC Westhouse Securities Strong Buy 72.38 117.00 112.00 Retains
16 Aug Cluff Gold PLC WH Ireland Securities Buy 72.38 101.00 90.00 Reiterates
15 Aug Cluff Gold PLC Seymour Pierce Buy 72.38 136.00 136.00 Reiterates

[mechanical trader] 04/9/2012 09:10

100p will do me for a start.

[amargosa] 04/9/2012 09:08

From Minesite:

As iron ore prices plunged towards US$80 last week, Canaccord spoke of commodity markets "squealing", and several companies in the iron ore space touched new lows. Fairfax commented that the smaller producers could well be put out of business, and highlighted the prospect of imminent "fire sales".

Meanwhile, in the gold space, the pace of consolidation continues. Endeavour's move on Avion was only the latest in a string of deals in the space, and it won't be the last either. West Africa seems a prime geographical location for such a shake-out as so many companies have poured exploration dollars into the region in recent years, and are now chasing an ever-dwindling pool of development capital.

Cluff Gold's John McGloin recently made the confident assertion to Minesite (Cluff cheers the market with increased production, August 21st) that Cluff would consolidate rather than be consolidated. The truth of that assertion remains to be seen, although it is true that Endeavour took a swipe at Cluff last year, and was beaten back.

But Cluff is in an interesting position as it sits on both sides of the fence as far as the current market dynamic is concerned. On the one hand it's an established producer, securing it against the immediate vagaries of the capital and equity markets. On the other hand, it does required a substantial chunk of money to develop its flagship Baomahun project in Sierrea Leone - more than it can hope to generate from existing operations - and future funding uncertainty has been a major factor in undermining share prices lately.

Either way, Cluff would certainly be a prime candidate to appear on any list of West African companies participating in future consolidation, a list that would also include the aforementioned Endeavour, as well as Hummingbird, Aureus, Gryphon, Ampella, Avocet, Perseus, Pelangio, and many others.

No one doubts that there will be a shake-out in the gold space. One in iron ore appears imminent too, as the huge capital spending required by many of the projects in development can no longer be justified by the lower price. Already, the Chinese buyer of Sundance has forced Sundance shareholders to take a lower price, and other deals will no doubt be done at cheaper prices too.

What does the future hold for the likes of Afferro, Bellzone, London Mining, West African Minerals, Equatorial, and others? According several reports this week from the Africa Down Under conference in Perth, the Australians at least still see West Africa as the next frontier in iron ore. We'll be carrying our own roundup of ADU early next week, so Minesite readers will get a chance to make up their own minds.

One thing's for sure, though, the mining equities map is about to be re-drawn in a fairly big way. Mining companies who want to survive will need to keep their stories squarely and clearly in front of investors, and a simple and straightforward way of doing that is to present at one of our Minesite forums. Our next one is on 24th September, and is nearly booked out, but we might be able to squeeze another one or two presenters in at a push. All enquires to Emma Milton: [e-mail]

[mechanical trader] 03/9/2012 16:51

Cluff Gold has "packed" newsflow schedule, says Edison
3:30 pm by Giles Gwinnett

It also said it expected further improvements in grades and output from its producing asset - the Kalsaka mine in Burkina Faso
Investors can look forward to plenty of newsflow from West Africa focused Cluff Gold (LON:CLF, TSE:CFG) in the rest of the year, says research house Edison.

Scheduled is a resource update for the fomer producing Yaoure project in the Ivory Coast in the fourth quarter and a preliminary economic assessment for the Sega project, which neighbours the Kalsaka project, analyst Charles Gibson points out.

Meanwhile, in Sierra Leone, a resource update is scheduled for Cluff's flagship Baomahun project in October this year.

At Yaoure, Cluff is assessing a "potentially very large" sulphide resource, which is believed to sit beneath the previous open pit mine.

It comes after, last month, the company revealed a 21 per cent increase in production in Q2 this year compared to the first quarter.

It also said it expected further improvements in grades and output from its producing asset - the Kalsaka mine in Burkina Faso.

Gibson said that for the remainder of the year at Kalsaka, the higher grade is expected at least to be maintained, the stripping ratio to remain below 6.7 and a degree of the gold locked-up in inventory to be released.

Consequently, output from the project is still expected to be in the range of 60,000 to 70,000 ounces at a cash cost for production of US$986 per ounce, he said.

Edison puts a valuation of the company at over £1.

"Assuming the efficient evolution of operations from Kalsaka to Sega and the successful execution of the Baomahun mine plan, which is on track to produce first gold in FY15, Edison estimates a current value to investors from future potential dividends of US$1.62 (£1.02) per share after exploration expenditure (at a long-term gold price of US$1,350/oz and a discount rate of 10 per cent to reflect general equity risk), says Gibson.

This afternoon, Cluff shares were up 1.44 per cent, changing hands at 70.25 pence.

[mechanical trader] 03/9/2012 16:48

Interesting Broker comment....

Cluff Gold has "packed" newsflow schedule, says Edison ...

[pineapple1] 03/9/2012 07:41

i believe RRS have stated they are only interested in growing organically rather than acquisition.Not that's a garantee of course,but at least if someone runs a slide rule over this, and we hold at this level we may get a quid or so.Mcquarie bank bought a load in a placing at £1.16 or so ,and they may want a small return on their investment....imho

[sithuk] 03/9/2012 07:33

The question is when will Rand Gold open their wallet and how much will the first offer be before the bidding war commences.

[amargosa] 02/9/2012 22:02

Big week ahead for Cluff if the CFO is to be believed.

[jdk14] 31/8/2012 16:27

Hopefully we'll soon be seeing the back of the 60's!

I wonder if the Fed has now made it easier for us to raise money for SL.

[inside building] 30/8/2012 14:47

Or Golden Star might come back in.
Or the many other mid tier or majors who can see that Cluff could offer them 250-300k ozs per annum in 3 seperate countries for 10 years plus with an investment of circa $250m plus buying Cluff. So for about $600m you could get a 10 year return of $3bn.

If Cluff can do this without being acquired and with limited additional liquidation then they themselves could become the predators and the investors here will aLl be very happy!!!

IB

[jdk14] 30/8/2012 13:39

or maybe Gold one?

[jdk14] 30/8/2012 12:10

I wonder if Resolute would be interested in us?

[amargosa] 29/8/2012 16:08

The figures for next year look very healthy - higher grades and 90% attributable production (of 100k ozs) from Sega.

[inside building] 29/8/2012 13:47

If Cluff can get Sega operational resultant cash flow could potentially get Yaoure in to production ahead of Baomahun. Then Yaoure cash flow could potentially sort out Baomahun costs.

All the commentary on Yaoure is suggesting that they could add the infrastructure to existing quite cheaply and quickly. However, they would need to convert an inferred resource to an indicated resource in order to gain financing.

Interesting times ahead for all in Cluff.

IB

[capt bligh] 29/8/2012 11:24

Currently 4.6 m oz odd how many after adjusted Bao DFS and Yaoure see above... 7.6?

[fitton] 29/8/2012 07:54

Chinese into VGM

[amargosa] 28/8/2012 17:09

Old news I'm afraid, despite the recent publication date.