Pan African Resources Share Discussion Threads

[chipperfrd] 18/11/2016 11:05

Thanks Mikkydhu!

[mikkydhu] 18/11/2016 11:03

At a time of a weak gold price, it makes sense to look again at the company's Uitkomst Colliery.

It was bought at a time when the price of gold was low. It was bought not so much as a hedge against possible rising energy costs, but in order to have a non-gold income stream to meet the company's running costs and protect the dividend in a low-gold environment. So, in a way this asset is a hedge against a falling gold price.

It is not that big...400,000 tpa, but Cobus Loots wants to more than double its output to 900,000 tpa.

Cobus Loots knows this colliery well because he was its manager under its previous owner and before he joined PAF. He is an accountant and I'm sure he knows its value to PAF.

I believe most of the Uitkomst coal is currently sold to Arcelormittal in SA, but exporting some of the coal is a future possibility. Just as a rough indication of South African coal prices, here are some figures for this year from the World Bank. I have obtained them from a website called indexmundi. These are export prices per metric ton in US dollars for this year:

April: 52.76
May:...53.96
June:..57.61
July:..62.45
August:65.97
Sept:..67.36
Oct:...83.51

The trend is clear.
The cost of PAF's coal production is US$45/ton.

[srpactive] 17/11/2016 11:28

Gold rising nicely, just over a week until the agm,
and major rns.

dyor

regards

active

[srpactive] 16/11/2016 14:44

dd

I like it when investors make money; well done pixi.

regards

active

[dilbert dogbreadth] 16/11/2016 13:50

And you on all the BBs of you previous shares trying (pathetically) to deramp. Sad individual

[pixi] 16/11/2016 12:32

dilbert

Guess who made a profit and is now sat in cash.

[srpactive] 15/11/2016 08:57

AGM next Friday 25th, we might have to wait for the game
changing rns.

dyor

regards

active

[coincall] 15/11/2016 08:34

Perhaps pixi should change name to Imp - at least the short position can be retained.

[dilbert dogbreadth] 15/11/2016 07:32

Guess who this was last week

This is holding up well in the circumstances. I have a core holding of 200,000 and will increase this again if we fall below 20p.

[dilbert dogbreadth] 15/11/2016 07:09

Come on pixi what research is that? Your research last time was hanging on abc123 every word. The same abc123 who said Hui was going to 40 just before it went to 300 from 90.

[kazz] 14/11/2016 19:09

9269.probably read it next Friday

[coxsmn] 14/11/2016 19:03

Pixi, post 9239 made me chortle

[pixi] 14/11/2016 17:21

dilbert

Spot on. I can see trouble coming a mile away. I do lots of research. I am not emotionally attached to shares, or bullion, and will sell at the first sign of trouble. I am not in the business of losing money which is why I am in cash. I have made a lot of money this year and I intend to keep it. On the other hand, when I see a trading opportunity I grab it. So now I sit and wait for the market to come to me. Meanwhile, I do more research so I am prepared when something comes along. I am in no hurry.

[dt1010] 14/11/2016 15:51

I will buy more when gold finds a bottom in this retrace.

Could be Jan at this rate.

[srpactive] 14/11/2016 14:31

It seems everyone has forgotten about the world mess,
which will support gold. The price has been pushed down
the the wise to buy low.
Also we are a waiting a game changing rns in NOVEMBER,
any day now.
Silly people selling, I continue to buy.

dyor

regards

active

[dilbert dogbreadth] 14/11/2016 12:16

You will find pixi will swear undying love for a share which she will never sell and then on the first retrace will sell everything. See her do it many times

[srpactive] 14/11/2016 09:19

Pixi

Are you short?

[pixi] 14/11/2016 09:13

Let the trend be your friend.

[azalea] 14/11/2016 08:57

I don't think we are going to get an accurate indication in the direction of the p.o.g. until next year, when we will see Trump's economic plans and the Feds response to those plans in terms of rate rises, take shape. Several pundits are expecting a rise in December and suggest more will follow in 2017.

[donald trumpton] 13/11/2016 15:21

No sign that Gold is bottoming. This week will give a clue I think.

[dilbert dogbreadth] 13/11/2016 13:34

what about when they raise rates???? Is that all you got.
Its real interest rates that count that is why gold tends to do well when interest rates are rising because they're nearly always behind the curve.

A drop always brings out the idiots with their phantom short positions.