Goldplat Share Discussion Threads

[shareholder7] 22/2/2017 17:22

Kimboy you certainly know a lot wonder how you come across this Was it in a press release on GDP's web site?

[kimboy2] 22/2/2017 17:10

I notice that GDP have secured another blue chip client, with operations over Africa, with a large contract.

[shareholder7] 22/2/2017 16:41

DD Rand have loads of product for processing and this deal was meant to bring the two companies together If they would have pulled this off, more processing would have happened and I would not have been a seller Now RR and GDP don't have a great relationship and egos are at play RR will want to partner with someone else or do it themselves (wait for the reply from Elmboy asking for proof) Do GDP have completion, yes they do So this dispute has effected GDP share price and could push RR to find alternative providers If GDP have to write off £650k that will pull back the gains but as they say they are sure of a favourable outcome but win the deal, lose the relationship We both see this as does Gerard Lets see what happens with the share price in the coming months But as I say good luck to the people that bought in at the bottom but try selling 4m shares in this market Luckily there is one person that is building a stake to take them at the moment Thanks for your support DD

[discodave4] 22/2/2017 16:20

Yep agree shareholder but no point saying so on these boards.Does make you think about why are they seeking customers from another continent - do RR have more influence on potential / existing customers than people think or are they just trying to free themselves from RR's shackles (they appear to have the upper hand with GDP) and expand customer base, time will tell.Will give it another week and see if it starts to drift downwards.All the best. Thanks for your support - the only one, well apart from the entire GDP management (in terms of RR holding back the SP).DD

[kimboy2] 22/2/2017 13:56

Isn't it clear from the fact that they are getting more material to process than ever before that the jury have reached a decision.

[shareholder7] 22/2/2017 13:52

Yes DD and the jury is still out on the RR effect but well done to all that held on

[russman] 22/2/2017 13:39

RR have changed their terms.Are RR playing hardball.Is GDP shipping to Aurubis again.The cashflow is going to suffer.

[discodave4] 22/2/2017 13:35

JonnygruntRamper....hopefully your a man of your word, bye bye.Do accept Kili as you say and agree. Never mentioned Kili.DD

[discodave4] 22/2/2017 13:32

JonnygruntPlease can you post up where I have ever said "I think this so accept it".Always supported my views, which were/are the views of others but will never be accepted on this biased board, and will never be accepted by the resident bully boy KB2.DD

[jonnygunit] 22/2/2017 12:24

No, your posts were countered by someone who's analysis suggested to them that the RR dispute wasn't a huge issue, and who couldn't agree with you that the share price action alone was evidence of anything. You then chose to start the tantrums.

In terms of my view... I take the current rising share price as evidence that we have struck oil at Kilimapesa. Don't call me a ramper or explain why you think that's unlikely, just accept it. If not I fear I may have to dramatically announce the end of my participation on this board (to simply stop posting would do a disservice to the loyal fan base in my head).

Remind you of anyone?

[kimboy2] 22/2/2017 12:04

Perhaps this is best on the other thread.

[discodave4] 22/2/2017 12:02

JonnygruntPlease can you post up where I have ever said "I think this so accept it".Always supported my views, which were/are the views of others but will never be accepted on this biased board, and will never be accepted by the resident bully boy KB2.DD

[discodave4] 22/2/2017 11:39

Jonnygrunt"We as a management team have no doubt that that's been capping our progress in terms of our share price performance".Still allowed an opinion and will post what I like. I did support my views with facts (the share price action as per look at the chart). Just another ramper that can't accept anything negative.DD

[kimboy2] 22/2/2017 11:21

Yes they just have to manage the cash flow. Next year they will produce something like £2.5m to £3m of cash flow. They have Ghana elution ($2m), stock dam (£0.5m?), Kili stage 3 (£0.5m?), working capital build up due to increased revenue and sustaining capex of about £0.5m.

On top of that they are hoping to get some sort of mine somewhere.

If they could get some sort of loans then that would bring them forward. The finances shouldn't be a problem as they have very quick payback periods.

[sea7] 22/2/2017 11:13

The more elution capacity goldplat can get on stream the better in my view.

After the Ghana column goes in, there is still the third one at benoni, awaiting installation as well. This is meant to complete the elution column expansion program.

If they get a capital or debt raising away and restructure the balance sheet as they want to, then we may get to see the third column installed in South Africa sooner than the 2019 timescale we are currently looking at.

[kimboy2] 22/2/2017 11:08

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



Q1: Goldplat had a difficult 2016, do you think it’s put its issues behind it now?

A1: Yes, I think these results really show that they’ve really turned it around. Obviously, at the start of calendar 2016 there were issues that impacted the financial results last year and now you can see production up 22% year on year to 21,300 ounces with production up both in South Africa and Ghana. Revenues are up very strongly and EBITDA up to £1.4 million, up 161% year on year and so they are well on track for our full year estimate of £3 million which is a 60% increase year on year. Net income as well, they reversed the losses that they experienced in the first half of 2016, earning 742,000 in this period, it was slightly down because of some FX losses but I think that’s to be expected given the moves that have happened in the currency last year. I think what’s important to note is that as well as turning the company around, Goldplat took the chance to really improve the efficiency in the way that they’re running the business and I think that’s showing through in these earnings as well.



Q2: You touched on FX, how have the currency moves impacted Goldplat’s interim results?

A2: Well, obviously, it’s a company operating in Ghana and South Africa but they’re reporting in sterling and there have been some big moves in currency over the past 6 months with Brexit in June. So, you’ve seen sterling depreciate heavily against the dollar which has meant as well as gold prices rising in dollar terms, this has been enhanced and sterling gold prices have risen even more significantly. However, the rand has appreciated versus the pound as a result of Brexit as well and so that’s had a negative impact on Goldplat’s costs but overall that impact of higher gold prices seems to have won over and so revenue up 35% year on year to £14.4 million, a bigger part of that is the higher sterling gold price. That is even with the fact that Goldplat withheld 5,000 ounces or so from Ghana which explains the discrepancy between production and sales in this period, they have announced that that gold has now been sold and was shipped in January so that impact should work itself through in the second half so, we do expect ounces produced and sold to be fairly similar by the end of the year.



Q3: The Kilimapesa development appears to be on track, how important will this be for Goldplat plc?

A3: So, we’ve talked about this recently and, obviously, the impact hasn’t started to show through on the interim earnings as the plant was only commissioned earlier this calendar year. It is now running at 60 tonnes per day with stages 2 and 3 due to be completed in the next few months which will bring it to 200 tonnes a day and an annual production of around 6,000 ounces from next year onwards will really change the asset in terms of value for Goldplat. The mine lost £600,000 at the operating profit level last year and so at a breakeven level and then returning to profit that’s really going to unlock a significant amount of value for the group and as an asset standing alone. So, this is really one to watch as the key catalyst to allow Goldplat to rerate from where it’s currently trading.



Q4: You upgraded your outlook for the full year production, how significant will this be?

A4: Obviously, the rand impact on costs has been negative and so this is quite important that they’ve had a strong first half in South Africa so now we are expecting 28,000 ounces of production in the full year, they’ve produced just over 12,000 in the first half. I think one of the key things, one of the proactive ideas that have been enacted in this period, has been having dedicated personnel who are going out looking for material and new contracts for Goldplat’s to process and they’ve now got such a strong stockpile of inventory ready to process that now annual production at the South African operations is likely to be high year on year. I think that project is exactly the kind of proactive approach which I think shows the company has recovered operationally and it’s now able to ride out issues like a sudden move in FX and make this level or earnings far more sustainable. At the moment, £3 million suggests it’s trading on less than 3 times EV/EBITDA which is about half of where its historical average has been so I think this is a really key time for Goldplat and with that key catalyst of Kilimapesa coming through, it looks like a very interesting time for the company.

[kimboy2] 22/2/2017 10:26

i think that the market is just taking on board the financial implications of the Kili investment.

[wigwammer] 22/2/2017 10:24

With the shares at a 3 year high I suspect a few people have been blinkered about the positives.Perhaps that's just the way some people are.Happy days!

[kimboy2] 22/2/2017 10:22

Remarkable rise today given the RR dispute.

On saving face RR have already lost face. Gerard has clearly laid it at their door and said the whole process was unecessary. They, in effect, accused GDP of skimming, and were in fact found to be incompetent in so far as they didn't know how much metal was in the ore they had bought.

Might explain where their two tonnes of gold went.

On another front it looks as though they may be considering financing the Ghana elution on debt. It would give them another £1.5m to spend elsewhere and could be repaid in a year.

On the costs of dealing with others the answer to this is obviously to do as much elution themselves as possible. I am hoping they get going on the next elution column in South Africa soon.

I think the main problem with Aurubis is the delay rather than them being more expensive. RR certainly aren't cheap.

[danielmiller1] 22/2/2017 10:12

7.50 from 7.75 looks like down to me........just as DAN has said it would be going.

They let the price run up to trap a few and wham slap it down.......MMs have made their money out of the suckers who always fall for it

Lolololololololololol

[discodave4] 22/2/2017 09:57

CEO also stating what was posted here for over 7 months and got slagged for it by those that refuse to listen to any negatives:"We as a management team have no doubt that that's been capping our progress in terms of our share price performance".In the meantime....pmsl.DD

[discodave4] 22/2/2017 09:54

Well done shareholder, at least those in the know.....know and aren't blinkered:"We as a management team have no doubt that that's been capping our progress in terms of our share price performance".DD