Goldplat Share Discussion Threads

[kimboy2] 08/2/2017 19:06

I think his estimates are hopelessly conservative, but I suppose that is the price we pay to ensure GDP can say it has beaten expectations.

[sea7] 08/2/2017 16:52

tks for the transcript.

[kimboy2] 08/2/2017 16:43

VSA Capital Mining Analyst Oliver O’Donnell caught up with DirectorsTalk for an exclusive interview to discuss Goldplat plc (LON:GDP)



Q1: Now, Goldplat plc announced today the successful commissioning of the first stage of the new processing plant at Kilimapesa, can you talk us through the highlights of today’s news?

A1: Yes, sure. So, the mining at Kilimapesa is slightly different to Goldplat’s other operations which are recovery operations and Kilimapesa is Goldplat’s only traditional mining operation, it has been running at a loss for the past few years but by spending about $2 million Goldplat are now hoping to turn it round. Today’s announcement shows that they’re well on track to do that, the first stage which has now been completed will run at 60 tonnes a day and will enable them to produce around 4,600 ounces in 2017, we’d previously estimated that they’d produce about 4,500 ounces so that’s marginally better than that. The second stage that they’ve now started work on is to include a crushing circuit and three additional leach tanks which will take them to 120 tonnes a day and the final stage is to add a second mill and three further leach tanks which will take them up to the designed capacity of 200 tonnes a day, that means that the mine will ultimately produce about 6,800 ounces a day. The 4,600 ounce rate will allow them to produce a modest profit and reverse those losses they’ve experienced in recent years so that’s obviously a key positive for the company.



Q2: With these changes in effect, what’s the impact on the wider group?

A2: Well, obviously, the wider group’s been performing strongly over the last 18 months and the losses at Kilimapesa have really been holding them back and whilst there isn’t necessarily a link operationally between the assets, the fact that the other operations in Ghana and South Africa turned their operating profits up £2.5 million last year whilst Kilimapesa lost £600,000 means that it’s really been holding the stock back. So, even just breaking-even would really allow quite a significant amount of value to be unlocked and that fact that Goldplat are now guiding to a small profit for this year, I think that’s really positive for Kilimapesa and for the wider group. It also allows management now to focus on other areas within the group once Kilimapesa is back running at a profitable run rate.



Q3: Now you talk about other projects, when can we expect to hear news on these?

A3: So, at the end of last year, at the Ghanaian operations, Goldplat plc announced that they’d completed a shotblast facility. Now, we expect that to mean that in Ghana the production’s going to go up quite significantly from about 7,000 ounces in 2016 up to 11,000 ounces in 2017, they produced around 3,000 ounces in the first quarter so they look like they’re well on track for that, even perhaps our estimate is slightly conservative. Whilst the Kilimapesa update is ongoing, they’ve now held back the addition of an extra elution column in Ghana and so longer term that’s going to add around 3,000 ounces of additional capacity in Ghana and we expect that to be constructed in 2018 so that benefit should be felt by 2019. So, there’s now sort of long-term trend to expanding group production to above 40,000 ounces which is a pretty good level for a small gold producer and South Africa, as well, now that’s running at a stable level, that should be about 23,000 ounces each year.



Q4: So, all in all, quite a bit of positive news from Goldplat plc?

A4: Yes, absolutely, and it still looks very cheap. I think on the current earnings, our forecasts for about £3 million worth of EBITDA for 2017 and so that implies that the stock is trading on a multiple of 2.7 times EV/EBITDA which is about half of its long-term average. So, with all this positive news coming out, that combined with such a low valuation I think makes the stock look really attractive.

[danielmiller1] 07/2/2017 21:48

I trust the punters can see through all the junk that the Botboy and his runner Stupid 7 post up here. The have filled these BBs with speculative technical junk that in fact means nothing as it's difficult to substantiate.

The only fact here that remains constant is DAN's call to 2p which happen right on the button. Dan sold around 11p both the Botboy and Stupid7 called DAN EVERYTHING FOr SELLING AND EVEN MORE FOR CALLING IT DOWN TO 2p

[sea7] 07/2/2017 18:39

Thanks KB - just listened to that.

[kimboy2] 07/2/2017 17:23

Another interview on proactive.

[sea7] 07/2/2017 16:44

try telling that to him, he has been pouring vinegar from his innards for some years on this board, ever since his losses mounted up, across this and other stocks.

He just simply cannot let it go and continues to berate everyone else, especially the company for his errors of judgement.

[mrmoneybags123] 07/2/2017 16:34

Big losses can certainly sting but sour grapes won't help him.

[sea7] 07/2/2017 15:58

Yep dan is all heart. So much so that he even finds time to look out for other investors, in between crying over the losses he made after buying at 16.5p and 15.65p

[mrmoneybags123] 07/2/2017 15:01

Thanks for looking out for us all Daniel. I can tell from your posts that you have any future investor's best interest at heart.

[danielmiller1] 07/2/2017 14:35

stupid 7 says

sea77 Feb '17 - 13:48 - 3568 of 3569 0 0
vsa state that the elution column will provide an additional 3k oz capacity in ghana and they should be looking at 11k oz for 2017 anyway, which they feel is conservative.

He is hoping that the can announce something to do with South America in a month or so.

Dan says that Green was saying something similar last summer over South America!

[kimboy2] 07/2/2017 13:59

Yes I noticed that exta 3kozs. I think that they will have the Ghana elution column up in calendar 2017.

On the Boys from Brazil Gerard seemed to be hoping for news of a contract in the interims, which will be at the end of Feb. A good reason to get on with the elution column IMV.

[sea7] 07/2/2017 13:48

vsa state that the elution column will provide an additional 3k oz capacity in ghana and they should be looking at 11k oz for 2017 anyway, which they feel is conservative.

He is hoping that the can announce something to do with South America in a month or so.

[russman] 07/2/2017 11:42

What are GDPs prevailing capital market conditions.

[russman] 07/2/2017 11:40

Prevailing capital market conditions.Cash is tied up in containers sitting in containers, shuffling to Aurubis or Brazil, unpaid RR invoices.

[kimboy2] 07/2/2017 10:41

Our leader speaks on Directorstalk. ADVFN doesn't like the link thoug.

Says he expects an announcement on the stock dam pit in the short term, so it looks as though they have reached an agreement.

Interims last week of Feb.

[kimboy2] 07/2/2017 10:11

Why is it poor management?

[baronet] 07/2/2017 10:10

decent assets + poor management = Takeover Bid in my book !!!
What could one assume to be a take out price ?

[kimboy2] 07/2/2017 09:42

Interview with VSA:



"Forecasts of £3m EBITDA for 2017 and that implies the stock is trading on 2.7 X 2017 EBITDA which is about half its long term average. So with all this positive news coming out combined with a low valuation makes the stock look really attractive."

[danielmiller1] 07/2/2017 08:01

The only drag has been Shjt poor management.

I see the only reasoning that STUPID 7 can put forward is nursing losses despite him being told I sold at a small gain.

Stupid 7 is so thick. I stated this would go to 4 p having done so why would I want to hold..........just to watch them fall was predicted.

The amount of sells yesterday just about sums it all up.

But the Botboy and his STUPID mate will no doubt keep on ramping

[kimboy2] 07/2/2017 07:50

Stage 3 will be relatively cheap to complete as they already have the mill to be assembled and the crusher. It really only depends on if they have sufficient material to supply it. Perhaps they do have a full time bloke sourcing in Kenya.

Once they have done stage 3 they will have a milling capacity of 400tpd. They will be limited by constraints in other areas. They can then have a series of marginal improvements to increase output.