Anglo Asian Mining Share Discussion Threads

[bo doodak] 21/4/2020 09:42

Just have to wait for a spark of some sort to set it all off

[mattjos] 21/4/2020 09:35

i see that petrol & diesel still well over £1/litre at the pump in the uk. Robbing gits. Should surely be more like 85p/litre

[pogue] 21/4/2020 09:33

Cushing storage numbers chart above.
As I said before when US storage starts filling the squeals will start and it has, but look at last week's filling rate of about 5mbpw there is 7 weeks till full, we are not past previous highs yet. Now assuming there will be a cut in production, which is logical, and an increase in demand, as Trump is backing anyone wanting to open up business again, we might never reach full. Perhaps the bottom is for WTI is close, without numbers for the decrease in production and increase in consumption its all hypothetical but 7 weeks is a long time. Off course as the 7th week approaches there will pandemonium mind you on US crude prices but will we get that far?
Place your bets, I am buying pharma lol

[mattjos] 21/4/2020 09:33

Probably now a growing number of people, after yesterday's events in May contract for WTI, are going to start asking themselves; "What is going to happen to the price of Gold when the opposite happens in the Gold futures market and instead of rolling over contracts, people start to demand delivery of the metal?"

No one ever imagined oil could have a negative price but, that is exactly what happened yesterday when there was a concentrated rush to get out of May WTI contracts or, to try and roll them over during a period of Zero demand and no space to store the stuff.

I think entirely reasonable to imagine the exact reverse situation developing in the Gold futures market as some participants conclude its better to take delivery of the physical metal rather than keep holding/rolling a highly questionable paper contract. Far better to own the actual metal as insurance for the future than a piece of paper which may or may not result in you actually getting your hands on the metal at some point in the future.

Certainly requires a lot less space to keep a meaningful quantity of gold than does oil

[lefrene] 21/4/2020 09:28

Bo Doodak, that's very timely as it would seem that CME have an embarrassing absence of yellow metal that was supposedly in their vaults. I guess the Russians having relied heavily on oil for foreign income now need another source of income. The cheap oil must be helping China to get going again.

[mad foetus] 21/4/2020 09:28

I think it is because GGP have a plan: prove up resources and get taken out. The AAZ plan isn't clear: there are government talks but their status is unknown; we were in discussions with other countries but heard nothing more; plan to become a mid tier producer but stuck at c80k production; lots of new prospects but LOM still a perceived problemSo we have drifted in perception from being a dynamic business with the prospect of significant growth along the lines suggested in the DB report, to a steady state dividend payer. But on AIM people are looking for the next multibagger. And a 7% dividend isn't that attractive when the spread is about thatThose are my musings. I continue to hold but it is very frustrating

[lefrene] 21/4/2020 09:24

m-f, frustrating as it is we know there is real value here, they're doing a first class job keeping the mine protected and running, getting metals out of the ground and getting those metals to market. When news about mine life shows up I believe it will be in the usual first class category that the AAZ board does for everything.

[bo doodak] 21/4/2020 09:24

The negative WTI situation is intriguing. Similarly, but in reverse, it might be highly significant that the Russian miners are now being granted general licences to export gold at this particular point in time.

[dvwrd] 21/4/2020 09:24

I watched the full hidden money series after reading about it on here and I found it very interesting and informative. I have moved most of the money I have invested into pm stocks and gold physical eft over the last year. After watching this series I am considering buying pm’s that I hold in my own hands. Does anyone have any experience or advice on buying physical gold/silver in the uk?

Also be interested in views of what would happen to gold stocks in the hyperinflation scenario as Mike Maloney makes it sound like physical gold is the only safe option but then he is promoting his own company at the end of the day. Couldn’t decide how much of it was his sales pitch.

[lefrene] 21/4/2020 09:20

The value here compared to the likes of ggp is bizarre. An Oz based but 2006 AiM listed explorer that has never made any money and appears to not have any jorc'ed sites, and yet is valued at £285 million, double the current AAZ value!!

[riggerbeautz] 21/4/2020 09:01

Brasso I’m nodding my head in agreement with you.

[mad foetus] 21/4/2020 08:58

Volume really dropping off here. If the company could only release some news...can't believe that there aren't some nuggets to reveal.

[brasso3] 21/4/2020 08:57

Wan

You will learn a lot more in 5 hours watching that than spending weeks/ months on these BBs!

[mad foetus] 21/4/2020 08:52

Added to POG and EML today using the proceeds of AVCT. EML had a positive RNS yesterday, it should be about the last piece in the puzzle before the full feasibility report lands in the next month or so.

[wanobi] 21/4/2020 08:45

many thanx Brasso, will do, when I get the time :-) :-) Cheers Wan :-)

[brasso3] 21/4/2020 08:32

Wan

Spend 5 hours watching Mike Mahony's Hidden Secrets of Money on Youtube. There is no better education about the current situation (2008 - 2020) than that.

[wanobi] 21/4/2020 08:28

AAZ - Hyperinflation - learning note for Wan, just so I can refer back to this in the future,,,, Cheers Wan :-)

Question - Can anyone one tell me where inflation is going to come from with mass unemployment, low commodity prices, low demand.....

Answer - Egon von Greyerz: Most people don’t understand the cause of hyperinflation. Many argue that we can’t get hyperinflation since most asset prices are now under pressure and there is no demand led inflation as most people currently have very little money.

What few people understand is that hyperinflation is a currency driven event. It doesn’t arise as a result of prices going up. Instead hyperinflation comes from the value of the currency imploding. In every case of hyperinflation in history, it is the collapse of the currency that is the cause.

So what leads to the currency collapsing?

Well, exactly what is happening now around the world, namely unlimited money printing and credit creation. Led by the Fed and the ECB, the whole world is now extending trillions in loans, subsidies and guarantees to companies and individuals. Government deficits are now surging as tax revenues collapse and expenditures increase rapidly. So governments will also need to print money to finance their galloping deficits. The inevitable outcome will be bankruptcy although few nations will admit it.

[stevea171] 21/4/2020 08:23

Podgyted.
>>>"Can anyone one tell me where inflation is going to come from with mass unemployment, low commodity prices, low demand ....."

Yes, here is your reply:

Egon von Greyerz: Most people don’t understand the cause of hyperinflation. Many argue that we can’t get hyperinflation since most asset prices are now under pressure and there is no demand led inflation as most people currently have very little money.

What few people understand is that hyperinflation is a currency driven event. It doesn’t arise as a result of prices going up. Instead hyperinflation comes from the value of the currency imploding. In every case of hyperinflation in history, it is the collapse of the currency that is the cause.

So what leads to the currency collapsing?

Well, exactly what is happening now around the world, namely unlimited money printing and credit creation. Led by the Fed and the ECB, the whole world is now extending trillions in loans, subsidies and guarantees to companies and individuals. Government deficits are now surging as tax revenues collapse and expenditures increase rapidly. So governments will also need to print money to finance their galloping deficits. The inevitable outcome will be bankruptcy although few nations will admit it.

[wanobi] 21/4/2020 07:45

PTAL RNS - all to be expected I guess,,, oh well,,, oh what a game this is Wan :-) LOL,,, GLA Cheers Wan :-)

[wanobi] 21/4/2020 07:21

Good morning all, Good luck & Good health today :-) Cheers Wan :-)

[2sporrans] 21/4/2020 01:37

Agreed pt in that the biggest single cause of over-supply shock is down to MbSalman and cadre's brazen-crazy brinkmanship, culminating in flooding the market.....just ahead of this demand implosion caused by counter measures v CV-19.

As for the US and 'meaningful help' well Trump did at least bring the Saudis and Russkies to the table. The USA hasn't needed to impose a Guvmint restriction upon US supply [tricky with a 'free' market] as market forces are now doing that most forcibly.
Thing is, that the 'Majors' apart, most of the shale oilers have been set up over indebted/leveraged and not a few were technically insolvent at $40/b.
EG Whiting which went bankrupt a week or 2 ago was the lead oiler for the Dakota fields, the premier ones prior to emergence of the Permian; was capitalised at ~$2.5-bn in 2019. Even the 2nd tier majors, generally lacking ample mid or downstream assets, look wobbly, especially Occidental following it's awfully timed recent buyout of Anadarko.
As for drillers and rig Cos.......

In short, it's going to be a massacre.

Although i too struggle to see inflation in 2021, let alone 2020, don't rule out a dearth of supply in some commodities. Food looks vulnerable on several fronts.
An implosion in oil-gas investment will very likely lead to supply shortages, maybe 3 or 4 years hence, when demand is back on the rails. $100+/b crude once again?

The fears of hyperinflation are associated with the extreme monetary largesse of late.
It won't be possible to unwind it suddenly as economies recover.
But i'll leave it to others to cheerlead .

[podgyted] 21/4/2020 00:37

Oil is a special situation caused by the lunacy of the Saudi's and Russians + not helped by the US coming to the table with some meaningful help.

Can anyone one tell me where inflation is going to come from with mass unemployment, low commodity prices, low demand ..................

Surely stagflation is more likely.

[brasso3] 20/4/2020 22:10

I can see WTI hiting $10/ barrel in the next month. Is this the deflation that comes before crazy inflation that all of the gold experts talk about? Hard to see gold spending much time below $1900/ oz now.

[2sporrans] 20/4/2020 21:04

Will this repeat for the June Contract near expiry Brasso?
Not so extreme probably; longs get rolled over earlier?

To think that when the contract was new, might have been nearly $50/b.

As storage hits absolute saturation, it's feasible some spot prices may hit zero.
Producers will be reluctant to shut down wells and demob. key workers; cost of remob. will be disproportionate.

What does this imply about the state of the US economy, both now and months to come?

[bumpa33] 20/4/2020 20:43

🤔, is VIX starting to break out...?