Allied Gold Share Discussion Threads

[boadicea] 03/3/2011 22:27

One would not be surprised to see a matching trade appear soon. If they've come from pi's, which is unlikely imho, the mm's must have been a fair time working the order.
However, it does rather suggest the price at which institutional deals can currently be arranged so one would hope the market will receive it as a relevant message.

Added to that, we should be in T+20 range of first gold pour at Gold Ridge. Virtually promised for Q1 and everything recently confirmed as "on budget and on time".

[ddav] 03/3/2011 20:06

Nice !! --- 550,000 bought at 7-45am today, hidden from us!!!
Should warm things a tad!!

[jswjsw] 03/3/2011 08:10

Davidblack - AGLD proven, probable + inferred = 11.7m oz. So USD Cap / oz = 65. PAF is cheaper still (AND it pays a dividend!) - but of course has a lower level resource. (How AVM can be valued at over $100 is ridiculous, btw - I have NEVER owned that stock!) THe majors command va;luations between about $110 and $280 (YAU).

So we basically agree, that AGLD ought to be AT LEAST 50% higher than here.

[vivgav] 02/3/2011 20:00

Should continue it's rise tomorrow imo. Gold flying now.

[davidblack] 02/3/2011 19:45

Surprising lack of interest in this cheap gold play.

Most odd given the POG at all time highs?

[divinausa1] 02/3/2011 07:43

POG $1428

very nice for Allied :)

[davidblack] 01/3/2011 17:47

Wyle this seems to be being valued as a "Store of value play."

Medusa is $482 an oz with $200 costs and upside on the drill bit.

Allied is in at less than $85 with $650 costs and upside too with the drill.

To me the discount for the Solomons location looks very aggressive and likely to ease over time.

Ambrian had in their annual gold producers including Allied on an average value of $146.

Over time will Allied get to $146? Who knows, but that is a very big upside from here I think?

The discount on Reserves is even greater with a 100% upside on that metric?

We will see I guess.

[divinausa1] 01/3/2011 12:51

POG just spiked up above $1420...

[wylecoyote] 01/3/2011 07:01

Davidblack,

thanks, very useful. I will take this on board. I recognise it is based on future earnings, rising gold prices etc. From what I can see in the reports their efficiencies are increasing, so there is good potential to profit.

[juju43] 01/3/2011 06:45

was that catching up with UK or have we now to catch them

[divinausa1] 01/3/2011 06:25

UP anotheR 9% Down Under

[davidblack] 28/2/2011 21:52

Not valued on an EPS basis.

Try 8.3m oz in the ground which equates to $85 ish an oz which is cheap for a producer.

In my view $150 an oz would not be inappropriate? With more oz to get with the drill.

Oriel said it was worth 56p ahead of the new gold pour.

PNG and the Solomans are not Australia though and occasionally are difficult places to work, so that is the risk?

But the real story here is this stock has had almost no PR in the last year and a half. Highly leveraged to the gold price.

£1.20 is my target.

[wylecoyote] 28/2/2011 20:53

Hello,

obviously I picked up on this through shares magazine. It looks an interesting proposition and there is clear demand for the stock at the moment. I am new to minerals and oil but want to explore further, so can someone assist with the following questions that I have?

The company is located in Australia and naturally reports are in AUD$, how significant will the currency fluctuations effect the stock listing in Sterling?

I have roughly calculated future earning on 200,000 onces to be roughly 280m AUD(assuming a gold collection of 1400 USD) and NP margins of 42 AUD at 15%. The stock appears a touch expensive at 19 times its earning potential. Am I getting something wrong? I have converted the market cap to AUD. Maybe I am being to conservative?

There are many positives, such as the reserves, commisioning of Gold Ridge, thery are hitting production targets, and the potential main market listing etc.

Anyway, as I understand more, the more confident I will feel in taking the plunge.

Cheers

Wyle

[ollyb10] 28/2/2011 11:47

Two great RNS to start the week.... should really kick on now off the back of these.

[divinausa1] 28/2/2011 11:11

"With continued money printing via quantitative easing in the US, many are losing faith with global currencies."

"China has started buying (gold) because its massive holdings of dollar-denominated debt have given the country substantial currency risk in its reserves. Latest figures from the US Treasury show that China held almost $892bn of US bonds.
"China's gold reserves of 1,054 tonnes at end 2010 accounted for just 1.7pc of total forex reserves," Mr Major said. It would be surprising if the Chinese did not wish to diversify their reserves further."

"There are many ways to play the gold price – from holding the physical metal to exchange traded funds to equities. The price is likely to remain volatile but high, so equities are a good way to play the commodity. You should invest in gold companies that have production but also the potential to increase their output or reserves."

[juju43] 28/2/2011 10:41

gold pour always means price climb. keep 'er lit

[dvsfm] 28/2/2011 10:18

not mine, been here for a while and topping up when able, 10k last thursday at 38p was a bargain

[spangle93] 28/2/2011 10:00

Commissioning Starts



(doesn't seem to open in Firefox but is OK in Explorer)


RNS not yet released about this in UK

Comparisons with other companies in the presentation look attractive. I'm not sure why this company is still flying under the PI radar

[vivgav] 28/2/2011 09:57

RNS just out

[davidblack] 28/2/2011 09:45

Yep and £2 in 2013?

Plenty more gold to drill for at Gold Ridge.

[kenone] 28/2/2011 09:02

Is £1.00 possible this year ?

[juju43] 28/2/2011 09:01

big leg up - more to come