Ariana Resources Share Discussion Threads

[1candc] 09/11/2020 14:37

From NS today, albeit before POG drop!

I offered my view 10 days ago on AIM-listed Gold producer in Turkey Ariana Resources (AAU) as the shares drifted in the wake of the correction in Gold and gold stocks, and anticipated news on its proposed corporate action saw another delay. The stock was then 5.2p and I reckoned it was a buy once again, at up to 5.5p.

We had also learnt that the deal is progressing, albeit at a sedate pace in the light of Covid restrictions and since then the price of the yellow metal has picked up, as have gold stocks in general, in response to Joe Biden’s win in the US Presidential election.

This morning the stock has again rallied and now trades at 5.6p in the middle. As such, I now downgrade my stance once again to very strong hold as we await further developments on that corporate action which should result in a special dividend perhaps of around 0.75p per share and a major investment of capital into Ariana’s currently wholly-owned Salinbas project.

With further news regarding mine construction at Tavsan, more drilling news across Ariana’s portfolio and the latest quarterly numbers from Kiziltepe there is plenty to power the shares higher in due course, and although the wait for the corporate action is an irritation it is mollified by the additional cashflow from the producing Kiziltepe mine running into Ariana’s coffers.

At 5.6p the stance is very strong hold, with an initial target of 7.5p and if the gold bull-run gets back into full swing we should see 10p before too long.

[1candc] 09/11/2020 13:38

Wait for the snap back in the Gold price when the penny drops that it is QE to eternity and the destruction of Fiat currency that drives the POG

A complete Lemming reaction to the drop in the POG here, it's only dropped back to the level of a couple of weeks back plus it is worth repeating that anything over $1,200 is cream for AAU, what a load of frightened bunnies all herding through the exit door

[soulsauce] 09/11/2020 13:09

Well one goes along with the other but you are right cyberhub the damage is already done and countries will need continue to stimulate their economies long after Covid is less of a worry.

[cyberbub] 09/11/2020 13:06

So basically Mr Market is saying that a large part of the rise in POG was due to worries about Covid. Personally I would say it was due to massive money printing (which is still ongoing and will continue for a long time!).

[soulsauce] 09/11/2020 13:01

Pfizer have a vaccine but it's not without its problems.

[cyberbub] 09/11/2020 12:45

What vaccine news?

[soulsauce] 09/11/2020 12:05

Vaccine news sending PMs in to a tail spin. Wait and buy the dips as the damage to economies is already done.

[kirbs4] 09/11/2020 10:11

Thanks Biggles, yes that's what I meant, appreciate your input all makes sense. Here's hoping!

[run12] 09/11/2020 10:03

trashing or is that thrashing :)

[bigglesbingham] 09/11/2020 10:02

When you say meaty transactions I assume your referring to the work left by the government? To me this shouldn't prevent the terms of the deal being put to shareholders. KS said that they were trashing final terms out with all parties week last Friday. If those hadn't gone according to plan sure we'd have heard by now. So assuming they did go to plan then I cant see any problem getting the circular/contract finalised in both languages then send to shareholders SUBJECT to the government boxes being ticked. So I reckon circular should be out when lawyers/translators finish. How long that will be ? I'd hope end nov latest but we will see.

[pauliewonder] 09/11/2020 09:27

Buy and sell. Wouldn't be surprised to see another director RNS re flipping holdings

[pauliewonder] 09/11/2020 09:00

I think now is still a good time to buy. I still maintain the view that we could treble and still be good value. Clearly the deal is taking longer than expected but that is outside KS' gift. He may be shouldn't have indicated it having happened by now but he is doing everything right in my view. Hopefully see 3k gold by end of next year and then our current price will be a distant memory

[kirbs4] 09/11/2020 08:58

Good solid start to the week, dare I open the conversation again around when people expect the final announcement re: deal and divi? Sounded like some meaty actions outstanding so may push into January now? Divi paid some time in Q1?

[bigglesbingham] 09/11/2020 08:26

Perhaps they did over weekend

[cyberbub] 09/11/2020 08:19

A 15%+ divi in the coming weeks is a decent incentive to buy... The rising gold price won't harm either.

[lottsgold] 09/11/2020 08:11

Looking like a good start John:)

[johncasey] 09/11/2020 00:01

i bought into this share on the dip...think its going to do very well this week

[bigglesbingham] 06/11/2020 16:36

Powers of positive suggestion didn't work ha ha

[bigglesbingham] 06/11/2020 16:14

Sorry meant 5:4p close

[bigglesbingham] 06/11/2020 16:14

5.30 mid close

[thanksamillion] 06/11/2020 12:46

Ukn
You are absolutley right, today I am having difficulty differentiating 05 and 06, but then today is not unique, old age has its disadvantages.

[charles clore] 06/11/2020 11:56

Something is wrong, the price is RISING!

[bigglesbingham] 06/11/2020 11:17

As I said. Cheesed off now I didn't load back up earlier in week - but had to keep discipline!!!