Anglo Asian Mining Share Discussion Threads

[jeanesy] 17/7/2018 13:27

Sure did Jaspoland :) Some people never learn here, each to their own but I am still holding and adding here ( actually made 3 small top ups last week ) If we get some good news on exploration then who knows where we will end up, despite the current weakness in the POG ?!

[bmcb5] 17/7/2018 13:25

This is one of the best threads on advfn

Agree with that. sometimes the moderation is over zealous for my liking. I've seen some comments prior to moderation, and they didn't seem worthy of blocking. I welcome a bear view. That said, I don't envy the role of board moderation, and i think you do a good job Mattjos. Credit to you, and i'm very happy to reside here in the background.

[terropol] 17/7/2018 13:25

Base metals:

Copper US$ 6,200/t vs US$6,198/t yesterday

Copper continues to advance as supply concerns swell with the world’s biggest miners struggling to secure assets and BHP Billiton’s wage negotiations fail to meet a compromise.
BHP’s first formal wage offer to workers at the world’s largest copper mine has been rejected by the Sindicato No. 1 de Trabajadores Minera Escondida, according to a statement on the labour union’s website. The Union confirms that it rejected the proposal, but a new round of talks will begin today. The workers are asking BHP to avoid making ultimatums, as the Union rejected the offer which proposed a bonus 47% lower than expectations.
The hunt for global copper is growing as the largest miners all have bullish bets on the metal and looking for growth in the metal to track strong forecasts as cities expand and the electric economy gains traction. The industry is willing to bet big on securing output, with Rio Tinto Group having ended the year raising $8.5bn from asset sales and rivals like BHP Billiton Ltd. And Glencore Plc are churning out significant profits.
The issue surrounds a lack of sellers. Even when Glencore and Anglo American Plc were crippled by debt during the 2015 commodity slump, neither was willing to entertain an offer from Rio for their holdings in the giant Collahuasi deposit in Chile.
Rio Tino are best-positioned to capitalise on deal opportunities, following agreeing to the sale of its interest in the Grasberg copper and gold mine for $3.5bn last week, within almost no debt. With pending sales of coal and aluminium also set to close this year, the company will have significant cash to propose purchase options. Chief Executive Office Jean-Sebastien Jacques has said the company is keeping a “watching brief” on potential M&A and would like to add more copper.
Meanwhile BHP Billiton have announced that its asset portfolio will be close to ideal once the US oil and gas assets have been sold, and Glencore are currently facing a probe from US authorities which may dampen its ability to pursue big deals.
Anglo’s response to the lack of opportunities has been to build its own new copper mine, with the company’s board set to approve a new $6 billion project in Peru. Mark Cutifani, Anglo chief executive, has been searching for a partner to help de-risk and finance Quellaveco, which analysts say will cost $5.5bn-$6bn to develop over four years. Mitsubishi already owns 18.1% of Quellaveco and Thursday’s deal will see its interest rise to 40%. Anglo will retain 60% and operate the mine.

FROM SPANGEL morning note.

[mattjos] 17/7/2018 13:21

it was Kaghani Bashirov .. a 'freelance' wheeler-dealer financier type based in Luxembourg, London & Baku.

He bought in many years ago in big way after he became aware of just how big the resources were in the area.
However, his way of doing business was not exactly legal & he got caught and ended up in court & I think jail .. in the run up to the court process he was a desperate seller of his 14% of the stock and that is what drove the price down to sub 4p and to fill the 2008 gap on the chart.

his demise was our opportunity

[celeritas] 17/7/2018 13:21

I agree, its hard to distinguish and weed out good investment especially on advfn.
This is one of the best threads on advfn.

[celeritas] 17/7/2018 13:19

Yeah, you are on about Bashirov, he needed money in a hurry I gather.

[lefrene] 17/7/2018 13:19

Celeritas these boards have an interesting and anonymous population of siren tongues :¬)

[lefrene] 17/7/2018 13:17

Terropol, I don't have the detail right now, it was a couple of years ago, but a large holder (whom I thought to be a director?) needed money to rescue himself from some predicament or other and began selling down his stake, and the share price followed down. I'm sure Matjos will have the details to mind.

[celeritas] 17/7/2018 13:14

lef, I did try and get you interested, took you a while to listen.
Terropol, he's probably on about Bashirov.

[mattjos] 17/7/2018 13:11

what is becoming clear to everyone is that the company is now starting to build a cash pile, a war chest if you like.

Reza is not a man to sit and do nothing with that. Cash is to be used in business.
The US$ liquidity problems in Emerging Markets and higher debt service costs means, quite outwith the results of our own exploration & expansion plans, opportunities are going to increase to pick up explorers/miners with resources but, no cash & no easy access to cash.
Folk will be knocking on our door end this year and through next year, with offers .. nice situation to be in.

[terropol] 17/7/2018 13:09

lefrene, re post above. "where did you see a director selling down a huge stake?
Having looked at all the trades form the last 13 years I do not remember that.
(unless it was when very first listed)

[mattjos] 17/7/2018 13:03

Not sure there is a better exchange for AAZ to be honest. They would fail the HK rules as too small.
Canada likes junior miners and often values more highly but, I don't see Reza going there.

The advent of a dividend will very clearly separate us from 95% of the AIM dross & the investor base will change as that is introduced & grown

A move to the London Main Market and a switch to SETS may be achievable next year but, unless Reza wants a raising, I don't see the point & equally don't see why he would wish to incur the costs of so doing.
AIM has served us well enough to date and should continue to do so for years to come. One advantage of staying put is that we will, shortly, stand out like a sore thumb with a dividend flow.

Still believe we will start a satellite operation at Ordubad next year .. in time, could grow to larger than Gedabek :-)

[lefrene] 17/7/2018 12:56

Mattjos I first noticed AAZ in the mid 20's, but simply thought it too good to be true, I thought I must be missing something, after all it's in a 'dodgy' part of the world. Strange goings on with director selling down a huge stake and another one 'seeming' to put in a large sum of his own money, and it's traded on that well known paragon of virtue the AiM market! So I held off for ages, such that my stake has cost me an average of 39p. So I understand why AAZ is looked at askance, it appears too good to be true, quite ironic when the excellent management have worked so expertly and diligently to get this company to where it is.

It would be a shame to see it get taken out on the cheap by a predator. A bit ironic that finding larger and equally rich resource might be the trigger for a pounce by another outfit?

[bozzy_s] 17/7/2018 12:51

Thanks for the share price Angel note Mattjos. So they're forecasting net cash $44.2m in 2020. And they seem to have been conservative in their past forecasts. With today's figures I'm now hoping for a maiden divi above 2p per share. It's great having management with a significant, but not dictatorial, shareholding.

In terms of getting AAZ properly valued by the market, it'll happen in time. It's had a great run over the past 12-18 months. Currently up around 300% from low point in 2017. Seriously, no-one can complain about that. The market is fully aware of AAZ and is in the process of getting to a fair valuation. Profit taking will clearly happen and who can blame them?

I wouldn't jump on M.R.F for suggesting a move to a different exchange might help things. It's a perfectly valid argument. It's not like anything we say on here will affect that decision.

Please forgive this slightly off-topic. My personal experience, one of my previous potentially life-changing shares OCZ announced their intention to quit London and move to Nasdaq. Their shares were priced at 5p on AIM. I bought a few, and sold the next week for around 10p, just before delisting in 2009. I didn't want to hold unlisted stock.

I should've read the announcement more carefully. Yes they were delisting, hence the initial plunge in share price. But the clue was seeking a US listing.

Within a year they were on Nasdaq and opened at $4 a share (around 250p). Some initial profit-taking down to $2, then a rally up to and beyond $10. In 2 years they were a 150 bagger. My original £1500, which became £3000 in a week, could've become nearly £1/4 million in 2 years if I'd had patience, I'd read the announcement more carefully, and was willing to take a bigger risk by holding unlisted stock.

So if AAZ ever announce an intention to list elsewhere to improve market valuation, I'll be strongly in favour and will be buying stock while others sell. I put AAZ in the 'potentially life-changing' category. Buying at 50p now and hoping for 5p+ dividend pa from 2020 for 10%+ pa returns. Plus capital gain. And hopefully that's a modest target.

[mattjos] 17/7/2018 12:51

yes, received an email advising it was there this moring and voted all mine.

Terropol, I think there is a 'Preferences' setting you need to set in order to receive advisories and vote online

[terropol] 17/7/2018 12:47

Mattjos, I did not get the General Meeting vote on my II account...had to call them and vote on the phone. Did yours come on line? (on the platform)

[mattjos] 17/7/2018 12:43

lefrene .. you get it & I get it & a few others get it. Back at 4.5p I said this would at least 25 bag. gradually the belief is growing and spreading

[macmuck] 17/7/2018 12:32

Thank you all for informative articles (most over my head) but I can now say that the small amount of shares I bought in January have finally moved into profit. Wish I had more to invest TBH.

[lefrene] 17/7/2018 12:27

At 120p this would still be very good value given the strength of the balance sheet, the assets, the local goodwill, and the high earnings. The strong probabilities of finding more extensive resource would still be in for free. Perhaps it will take the maiden dividend to get it noticed?

[doctoromeo] 17/7/2018 12:26

this still has explorer market cap
ridiculous!
should be double now

[cobra786] 17/7/2018 12:22

ready to move up now

[mattjos] 17/7/2018 11:53

SP Angel starting to ratchet up their target price now ... I am quietly confident they will be doing so now for at least the next 6-9 months and won't be long before they give a £1+ target.
Personally, I have fair value over 80p already

[lefrene] 17/7/2018 11:41

jbravo2, "what will they do with it all?" Lets hope hubris doesn't set in and it gets blown on speculations. They could of course just make very generous divi payments :¬)

[ilostthelot] 17/7/2018 11:31

😊 easy money. Very little risk here. Prove up 3 or 4 hundred thousand ozs and we will add. What £1.50 to the share price

They have loads of land to search so that's very conservative. Hold tight!!