Serabi Gold Share Discussion Threads

[rajaster] 13/5/2016 11:09

Well spotted looks like a mistake by their finance team.

[nehpets81] 13/5/2016 10:13

Ah yep, that's it - I guess the tax charge should be $153,639.
Not an issue but a little bit sloppy imo

[cotton4] 13/5/2016 09:58

Slight transposition error

[nehpets81] 13/5/2016 09:55

OK, I realise this is very pedantic but $1,501,304 pre-tax profit minus $153,369 in tax does not equal $1,347,665 profit for the period surely?

[cotton4] 13/5/2016 09:01

At todays prices we would have had approx another $800k on the bottom line. With production increasing and costs expected to fall, looking good for this quarter.

[rajaster] 13/5/2016 08:55

Average gold price of US$1,165 received on gold sales in the first quarter of 2016.

[rajaster] 13/5/2016 08:51

we have clarity - unaudited results.. profits up:

profit after tax of $1.347 million

net assets $52.5 million and $4.4 million cash on hand in the 3 months to march 2016.. that was before we saw the big moves in gold going higher.

Total AISC $858

[rajaster] 11/5/2016 18:25

you could be correct, the market does require clarity.. i dont think fratelli would hold things back.. we just need some market direction.. questions answered and this will move with the general market. i dont think the real would be helping here.. it may be time to connect with the directors again and see what they think?

[tightfist] 11/5/2016 17:47

rajaster,

It seems to me that a ball-and-chain is holding SRB back whilst most Goldies forge ahead.

Is it the majority holdings of Fratelli et al, the prospect of an acquisition, or even a placing as suggested by Sleveen (though I had not envisaged a placing, unless Sleveen does not foresee an all-paper acquisition) - or what?

I am still curious about the wording of the announcement on 14th April. It seems to have NOT been written for shareholders but for a different audience?

Cheers, tightfist

[rajaster] 11/5/2016 15:35

AAZ has had a lovely rise as have the likes of cey, sgh.. i fully expect this to rise soon.

[cotton4] 10/5/2016 09:08

Happy birthday SRB.

[sleveen] 06/5/2016 13:28

SHG just had a placing, SRB probably next IMHO.

[tightfist] 03/5/2016 12:56

Hi rajaster,

Yes a fresh NPV would be useful, but I am too busy on other Goldies to spend time on a personal SRB NPV estimate right now.

Given the current rush of interest into Gold, the apathy/disinterest surrounding SRB is notable. I don't doubt Fratelli are in for the long-haul, but that is probably what is holding us back!

Frankly, if I was offered 6p by Fratelli/the SRB Board I would immediately sell in the market to take it pronto, and move-on into something more interesting. Maybe that is not such an unlikely scenario with Gold surging higher and talk of economic gloom?


Cheers, tightfist

[rajaster] 29/4/2016 16:04

hi tightfist, i was being a bit optimistic saying divi, i dont expect any dividends also.
Frattelli signed a waiver to stop them buying out the company when they took their holding to 50%, i think their in this for the long term also for the eventual sale of the business or assets. they could still take srb private but it would need shareholder approval.
If they did decide to take over, I'd really hope it would be north of 12p or valuing the company above 100 million. we could do with a fresh look at the NPVs here.

[tightfist] 29/4/2016 14:15

Hi Rajaster,

With management's apparent enthusiasm for acquisitions I don't anticipate seeing a dividend any time soon.

In fact I was going to remind myself on the shareholding structure. I think Fratelli currently have 52%, with more debt conversions possible? And if I remember correctly some of other holdings are by associates?

I am wondering about the SRB/Hodgson relationship with Fratelli and whether at today's valuation they will make a opportunistic bid to take it private? The cost would be small change - I think they are a family of Chilean billionaires?


Comments? Cheers, tightfist

[rajaster] 29/4/2016 12:35

golds nows 1280.. so things are looking much much better. get that sprott loan payed for faster and leave free cash to pay us a divi.

[boffster] 21/4/2016 18:04

A placing would be a weak move unless there's an unmissable acquisition to be had

[bsg] 21/4/2016 10:21

My gut feeling is there's a placing on its way.

[tightfist] 20/4/2016 11:10

Hi Rajaster,

"Could" is the key word, and change to what? It mostly comes down to price and funding - and synergy opportunities - and operational management.

When the Sprott debt is retired this year SRB will be generating considerable free cash - they don't seem to be short of scope to invest that in existing properties with less risk? And a small dividend.....

Maybe I would react differently if it was Fratelli providing the financing - not sure what ceiling there is on that? If SRB are looking to double capacity at a similar AISC (and with reasonable LoM visibility) then it's unlikely to be cheap relative to current market cap, unless current owners really want out.


Cheers, tightfist

[rajaster] 20/4/2016 09:47

Hi tightfist..more dilution is my worry also..especially as lost lot they issued to frattelli were at 4.75p. However if they aqcuire a producing mine it could be a game changer.

[sleveen] 20/4/2016 09:35

If Q1 produced nearly 10k oz Q2 should produce maybe 12k oz with the new equipment?

[tightfist] 20/4/2016 09:21

bsg,Yes, not a lot if interest yet. I don't think you could ask for anything more in the Q1 results, but I guess the market was expecting SRB to deliver, that is becoming their track record.Looking to the future, the brrmedia interview on 30 March is particularly useful and confident (not sure today's adds a lot?); I hadn't noted before the aspirational 100,000 Oz.In 2017, the surplus capacity of the 3rd Ball Mill combined with the extension drilling campaigns seems to give plenty of organic upside potential.I am not sure what to make of the 14th April potential acquisition RNS. Was it to handle rumours that were circulating? Or cool some negotiations? I hope there is sound reason to believe that SRB could extract more value than the other parties. I suppose they could take on some more debt; however, issuing shares at this price or a paper deal (with a renewed overhang!) doesn't appeal to me, given the strength of the current business.Cheers, tightfist

[rame4] 20/4/2016 09:17

hxxp://brrmedia.co.uk/event/141788?popup=true

All as previously promised.


The acquistion is the game changer.

[bsg] 20/4/2016 08:41

Very little interest?