African Copper Share Discussion Threads

[ed 123] 16/4/2012 09:48

Well, only £100 or so of shares traded in the first hour and a half this morning. The company today rns'ed that there may be a material effect on the on the price of the company's securities.

So, are they seeing a risk of big upside or big downside?

Holders and potential buyers are not moving. Disinterested or uncertain?

I used to hold these pre-ZCI involvement.

Took a quick look this morning. The last interims showed operating costs exceeded revenue, and servicing the debt took even further into loss.

Wondering what the bull case is here?

[p1ncer] 16/4/2012 09:38

I must say that is a very odd RNS, not really sure what to make of it.

Could be some kind of warning (though I doubt it), or just a general statement, though why they should repeat what is said in a previous RNS, baffles me.

While this RNS is odd, it doesn't make it bad, just odd.

I continue to hold, and will try and do some further digging later today.

GLA

[sunningdalelad] 16/4/2012 09:27

Could it not imply caution if considering selling?

[outsourcer] 16/4/2012 08:43

this is a rather ominous statement in the latest RNS :

Accordingly, shareholders are advised to continue exercising caution when dealing in the Company's securities until a further announcement is made.

[p1ncer] 03/4/2012 10:20

I am not surprised at all.

In fact if the price had dropped 40% I wouldn't have been surprised, its the way the market is nowadays.

I have seen companies give out far better RNS's than ours and drop like a stone.

So I am pleased the price has held up, and hopefully can continue forward to a more realistic price.

[outsourcer] 03/4/2012 09:36

very disappointing according to the trades on LSE, not one buy this morning all sells, no matter what they do people don't seem to like ACU

[p1ncer] 03/4/2012 09:01

Hi Outsourcer,

Well the present value of ACU is now £26m, or say $35m, with debt of about $80m,

Call it $120m, so that would be a premium of $130m, or 4 times the current market cap, on top of the current sp, which would put us at about 15/16p a share.

I must say the price has held up well, I expected some sells this morning, as people who bought in lower took their profit.

Lets see how it does today.

GLA

[outsourcer] 03/4/2012 07:59

P1ncer are my calcs right that $250m values us at around $0.25 a share about 16p ?

[p1ncer] 02/4/2012 21:40

In the last six months ACU have generated over $29m in mined copper.

This includes the time before the mine improvements where implemented, and a poor Febuary.

These are good figures to show to potential buyers, especially as this now includes the record month of March.

[p1ncer] 02/4/2012 21:08

Well it is good news to hear it officialy, and it is good news to see production levels increasing, I am happy to take febuary as a blip, because the trend is going upwards continually.

I would expect the odd blip as we go forward though the trend is increasing, which is all we can ask.

ACU continues to progress towards the kind of asset I believe it to be, with the profits that go with it.

That is what I would have said, however what I say is this puts ZCI in an even stronger position regarding any sale.

Because thats the RNS we are really waiting for, waiting for someone to put a definative value on the company, and out stake in it.

Outsourcer, on everything I have seen, anything less than $250m would be an act of negligence of ZCI directors on behalf of it shareholders.

We do knoe they are over a month into the sale process, and news is due any day.

When it comes todays rise will been seen as just the warm up act.

[outsourcer] 02/4/2012 19:50

if they can maintain March levels, that puts them on target for 10,000 tonnes a year.

it is just a worry that February was so low, but it looks like the infrastructure investment might be paying off and maybe this press release is in line with news due about the sale

[outsourcer] 02/4/2012 19:42

odd time to release trading update

[outsourcer] 02/4/2012 16:55

$250M would be nice

[p1ncer] 02/4/2012 16:45

A good day on the march back upwards.

Hopefully to be continued tomorrow, either that or an RNS stating ZCI have sold their stake in ACU for $250m

[p1ncer] 02/4/2012 15:47

Good luck Outsourcer, hope it works out for you, and the rest of us long suffering ACU holders.

Production increasing and a for sale sign up, hopefully should lead to a good return.

I am not getting to excited regarding the share price until it is nearer the 6p level, even then it will be undervalued as far as I am concerned, lets hope the potential buyers agree with me.

[outsourcer] 02/4/2012 15:39

just bought my last lot 25K, now hold 1M of these at an average just under 5p, so hoping that this rise is the start of something very good, or at least gets to a break even point for me

[p1ncer] 02/4/2012 13:47

If my maths is correct thats $6.87m worth of copper mined last month, x that by 12 months is $82.44m p/a. Looks like the mine improvements are starting to bear fruit.

With further improvments to come, you would hope this ensures we go for a very good price.

[p1ncer] 02/4/2012 12:51

I don't know, it is clearly price senative as the price has gone up 20%.

Maybe he should blog more often!!

[outsourcer] 02/4/2012 12:36

P1ncer, is he allowed to disclose that on a blog, is that not considered price sensative information ?

[p1ncer] 02/4/2012 12:19

This info has come from the personal blog of David De'Ath acting Operations Manager.

Not exactly official, but no reason to believe he would lie.

An RNS would be nice.

[p1ncer] 02/4/2012 11:55

"African Copper Plc has a record in Copper Tonnage this month. 809 tonnes of Copper has been produced. This has succeeded the last record of 703 tonnes in August 2011"

Not offical, though if true would put us at 10k tonnes p/a.

Which considering a copper mine producing 1kk tonnes p/a recently sold for $267M for a mine producing, it should hopefully ensure we go for at least a similar sum.

ACU is also expecting production to increase up to 30k tonnes p/a.

Not including "three prospective world class mining assets"

[p1ncer] 02/4/2012 11:19

lets see if the share price can kick on from here

[p1ncer] 02/4/2012 11:06

Outsourcer,

Could be, news certainly can't be far off. certainly shows how fast the share price can move with a bit of buying, be good to see it break through 3p.

i will do some digging see if I can find out anything.

One thing for sure, we will be last to know.

[outsourcer] 02/4/2012 10:57

P1ncer, looks like something is afoot, only a couple more pence and I break even

[p1ncer] 02/4/2012 10:05

Looking perky this morning, has the sale news leaked?