Altyngold Share Discussion Threads

[homebrewruss] 31/10/2019 17:10

Wan, do we need another RNS for that?
In the funding RNS it said: "..After exploring a number of opportunities and an extensive due diligence period we are very pleased to update our shareholders on the funding received. This funding will, I am confident, provide a springboard for future growth. "

[wanobi] 31/10/2019 17:07

excellance, please accept my sincere apologies if this is another silly Wan question; but, I recall the RNS saying "Altyn plc (the Company) is pleased to announce that its application for a loan of US$17m (6.5bln Tenge) from Kazakh Bank JSC "Bank Center Credit" (BCC) has been approved by the bank's credit committee." on Sept 11th 2019,, but, I have not seen where it says they have actually received the funds,,, please can point me in the right direction on that, thanks... obviously, as you say, if they have actually got the cash, the picture is somewhat changed... many thanx Cheers Wan :-)

[mikro1] 31/10/2019 17:04

This share is my biggest holding now by some distance. The increase in gold prices since the end of H1 has coincided with the company changing gear.

[stonefold] 31/10/2019 17:02

An old story about a distressed Fund Manager, who must be nearly done.


04-03-2019

"...DWS has been hit by investor outflows and declining profit margins, problems that have dogged Germany’s largest fund house for years .."

"...Analysts believe a better option for Deutsche Bank may be to sell or close parts of DWS to try to improve profitability. ..."

"...Mr Wöhrmann, the Deutsche Bank loyalist who has the task of turning around DWS, has embarked on a cost-cutting drive, aiming to achieve €150m of savings by the end of the year. He has vowed to rationalise DWS’s products and workforce, particularly at senior level, and eliminate duplication. ..."

[excellance] 31/10/2019 16:56

it seems a bank or two have taken the huff and dumped a load of these shares, so there has been an overhang which has created todays silly low share price

i've taken full advantage buying 3m and the share price barely flickered.

we know thay the company has done due diligence with the local Kazakh bank, and had their application for a $17m loan approved and cash received, and this cash represents 150% of the mkt cap of the company, payable at just 6% pa interest rate over 7 years, and payable out of proceeds from increased production at the main site.

the market now awaits the next production figures which should nearly double production and improve revenues considerably. Time will tell, patience required!

[excellance] 31/10/2019 15:41

Lol
And immediately it corrects

[excellance] 31/10/2019 15:39

That chart has to be wrong again?

[roguetreader] 31/10/2019 15:17

If you are ever going to invest in ALTN and you are not currently invested, then I cannot see there ever being a better price to buy than now, but I'm not buying any more until I see the next update. I've got more than enough.

[excellance] 31/10/2019 15:06

If the price was 1.5p it would reflect the higher production numbers and profit which will soon be announced!

Surely now is the best time to buy?

[tightfist] 31/10/2019 14:53

Agreed. Stockopedia has some forecasts for 2019 & 2020 but revenue & net profit are so ludicrously high that the analyst must be asleep at the wheel. According to Stocko. there are 3 brokers covering; there are no consensus numbers.

[stevea171] 31/10/2019 14:51

Gold may have commenced its next leg up after a couple of months pull back from $1550.

$1512 and on track for a decent rise today.

The rate cut yesterday is likely helping.

[tightfist] 31/10/2019 14:36

Agreed JC, if the share price was at 1.5p indebtedness would look very different! .Share dealing analysis is certainly not where it's at - you could say it's relieving the boredom pending more meaningful company news, particularly THE PLAN. But it is helpful (at least to me) in taking a view on sensible risk/reward positioning..Sorry to bang on about it, but take a comparative look at overhung SRB 4 months ago. However there are several weaknesses in that analogy, especially the relative opaqueness of ALTN management.......I get-it that grade is critically important but they still managed (on the face of it) to make money in H1. Has anyone looked at AISC versus National/Local Wages versus Operating Profitability across the globe. I have seen that ALTN employ 422 personnel. .Cheers, tightfist

[stevea171] 31/10/2019 14:31

Maybe the company wants to see the production numbers and cash flow figure for October before they release a Q3 report? October gives first indication of whether they are on track for their own targets for Q4.

Probably wanting to see steady progress rather than a few good months then slipping back.

No forecasts from the company so investors are in the dark. They can't be accused of failing promises if they give no guidance ... !!

[jc2706] 31/10/2019 13:35

Agreed with all of that roguetreader. It wouldn't be a turnaround story if there wasn't something to turnaround.

Just to input in some of the discussion recently:

SOLG 20 times the grade as here? I would love to see where this resource is as it is certainly not one I am familiar with at SOLG which is noted for bulk low grade resource. Can somebody point me to this resource? And please, not a rock chip sample!

The management at AAZ are perceived to be great now but when the share price was 5 or 6p the comments on the bulletin boards were very much not in agreement with this. It is amazing what a difference a share price increase causes.

As for the statement that ALTN is "up to the neck" in debt I think that you might want to look around at some other miners. $17m is very little and if the production reports start indicating that the money is being effectively utilised then the market capitalisation will increase greatly at which point I suspect that people will be saying how low the debt is!

It is amazing what a difference an increase in the share price can make to the perception of a company!

[tightfist] 31/10/2019 12:34

IMO there are too many well-connected folk involved to allow the latter..... its a long while since I had a complete wipe-out!!

[tightfist] 31/10/2019 12:32

Hmmm, but I noted in post #1151 that the "new" holding in one fund is probably marked-to-market, which is likely a transfer between funds of an illiquid share - any sign of Mr Woodford, he's the expert!

[run12] 31/10/2019 12:28

Great caveat "Either that or they go bust" :)

[tightfist] 31/10/2019 12:27

Interesting to see a TA take on ALTN. I am a fan of TA but not sure it can provide much guidance in this situation (overhang, news-driven, questionable liquidity, etc). Each to their own!

[excellance] 31/10/2019 12:26

I'm puzzled by the mkt cap.

Altn applied for and received a $17m loan after due diligence, so now debt is way bigger than mkt cap, as is cash in the bank!

My opinion is that funds sold because there is no possibility of discounted placings, warrants and options for them to exploit.

Once the glut of fund shares is cleated and perhaps with a catalyst of a decent production report, we should see a mkt cap of nearer £25m in a few weeks.

Either that or they go bust!

[loganair] 31/10/2019 12:23

The Share price fell by 50% due to political problems in Ecuador which have now all but been resolved and nothing really to do with the company itself. Ecuador is the last country in South American to really be explored when it comes to mining.

The first mine they are getting into production has reserves of 27mln oz of gold and 11mln tons of copper.

When in full production this one mine will be producing each year 430,000oz gold, 1.4mln oz silver & 200,000 Tons of Copper.

They have licenses for 12 other possible mines.

[vish65] 31/10/2019 12:19

The technicals for this share show since May its been overbought. Despite good fundamentals for gold there has to be a technical rebalance at some point . 21_day RSI is now down at or around 30 giving technical buyers the nod that now is the time to buy in . It may fall even more but I'd expect if it does the overhang will be cleared and we may see some large buys

[excellance] 31/10/2019 12:09

Not sure about SOLG mind...tho the share price collapse makes it better value.

They have loads of gold but very deep and costs will be enormous.

[homebrewruss] 31/10/2019 11:54

excellance, the debt situation is not so dissimilar to how AAZ was 2-3 years ago.

They had around $50m of debt and market cap went down to around £6M at the low (partly due to a forced seller).


CEO gave them a $4m loan rather than dilute his large holding and they turned the whole thing around with increased production and ever lower costs of extraction.

look at AAZ now..
However AAZ were producing more gold than ALTN are now at the time and management there have been exceptional.

Fingers crossed a similar story will unfold here. Presumably the directors think they can get production and profits up and don't want to dilute themselves in the process hence no placing as you say.

[loganair] 31/10/2019 11:53

After looking at several gold miners I have gone for Solgold (solg). One of the mines they are exploring has 20 times the grade in gold then Altyn, plus other positives compared to Altyn.

As the saying goes "Grade is King."