Ariana Resources Share Discussion Threads

[bigglesbingham] 24/7/2019 14:20

With tarsvan it would be half of 50k

[bigglesbingham] 24/7/2019 14:19

Dividend to show future intent

[charles clore] 24/7/2019 14:01

JD - are you actually saying half of $25m is sad?

[jaynesdad] 24/7/2019 13:40

Sadly we only have a half share of the 25k!

[thanksamillion] 24/7/2019 13:37

JaynesDad, I dont see it as fooling anyone, merely presenting a well balanced company profile. My suggested £100k would give a yield of 0.5%, and I see the funding of it as simply the unexpected bonus the company is getting from a much improved pog these last 6 months. Certainly dont want or expect it to result in any slowdown in drilling, mining or indeed jv's. That said a 6p bid would currently be at the low end of acceptable to me, I am pragmatic on the whole.

[jaynesdad] 24/7/2019 13:37

Soul you cant predict the capital requirements for exploration because the timing of the licences cant be predicted. The best the company can hope to say is that there is adequate cashflow for say 12 months. A worse scenario is starting a dividend stream that subsequently needs to be cut or cancelled because of other demands.

[charles clore] 24/7/2019 13:12

I bask in the thought that by Easter 2020 when the loan is repaid the company will be debt free and chucking off cash. What will they do with it all? It is not beyond the realms of possibility they will throw some of it in the direction of shareholders. Meanwhile it looks as if the share price is heading towards a retest of 2p. Seems crazy doesn't it? One of the world's lowest cost producers with almost no debt, PMs rising and annual production of 25k oz set to increase. Thankfully we have not yet attracted any big fish to inflate the share price. It's like one of mining and exploration's best kept secrets. But that is to our advantage my friends.

[soulsauce] 24/7/2019 13:08

JaynesDad it does not slow exploration. The company has already said it is unlikely to have permits to drill any further on salinbas until next year.
Tasvan is still some way off needing more capex so there should be no big calls on income this year apart from the loan, already planned explo and anything left field.

That said I would prefer money spent elsewhere.

[jaynesdad] 24/7/2019 13:04

Still not convinced by the dividend if it slows exploration, it already stretches out to the distant future. Would a small dividend really fool investors? Apart from possibly strangling exploration, by definition it reduces net assets and hence possibly share price - look at the drop every share suffers when marked xd.
As for a bid, suspend belief for a minute and suppose that an offer came in tomorrow for 6p say. Would people here really turn that down? This is a share, not a lifelong partner! Don't forget that a booming POG is a possibility, not a certainty as is HM2.

[soulsauce] 24/7/2019 12:36

I am not sure it's as simple as paying a divi although it would reward long term holders, however it would not resolve the PI centric issue and being at the mercy of second rate penny tipsters.

The company needs to deliver on it's diversification that it has talked about so long and work hard with PG to attract institutions.

[8rad] 24/7/2019 12:13

Thanksamillion...now your talking but I was thinking more like half of your handle!

[thanksamillion] 24/7/2019 12:02

Thinking of how well drilling etc has been going vs mediocre share price rise I cant help but think a £100,000 divi might bring in enough support to avoid a rediculously low bid....which is currently my worst fear here.

[soulsauce] 24/7/2019 11:35

Like I said it's the Ariana way and why I have been arguing for the management to find different ways of attracting investment instead of being at the mercy of PI’S.
And may be who knows, Panmure might actually get us some institutional investment.

[jc2706] 24/7/2019 11:30

backmarker,

Exactly! As I said, the chart certainly does not look bad but it has now drifted down to the longer term uptrend.

[thanksamillion] 24/7/2019 11:14

It is disheartening I know but true long termers should focus on 2/3 years hence and buy on the dips if funds available.

[jaynesdad] 24/7/2019 09:31

Well backmarker, you are certainly less of an old misery than me this morning!

[backmarker] 24/7/2019 09:25

it looks as though the share price is returning to the bottom of the uptrend channel. it now needs to bounce off.

the current top of channel is around 2.6p, and will probably be around 2.8p by the time any new rise gets back up to it.

2.8p looks a good target, to be achieved in 2-3 months.

[julianc35] 24/7/2019 09:16

Regarding discussion of AAU paying dividends - interesting research on Bloomberg

European companies’ equity buybacks have surged to a record $100 billion over the past 12 months, with the strategy of betting on those firms beating returns from U.S. counterparts over the past five years, according to Morgan Stanley. The strategy is also rewarding company stocks more than the payment of high dividends, according to the bank.
“This is the first time we have seen strong buyback performance outside of bear markets or recessions,” strategists led by Graham Secker wrote in a note Tuesday. “More striking, our net buyback factor has shown much greater efficacy in Europe than the U.S. over all time frames.”
One of the reasons European stock repurchasers are faring better is that the practice is less common in the region than among American firms, said the strategists. Buying back equity can provide a much-needed boost to the world’s most-shorted equities, which have been seeing almost non-stop outflows for more than a year amid sluggish economic growth and political uncertainty. Doing so should boost earnings growth, trading liquidity and demand for shares, Morgan Stanley wrote.

[jaynesdad] 24/7/2019 09:14

This is all a bit off topic! Don't let me stop you, its a free country.
Concerned with the continual drip down in the share price, maybe inevitable because of the lack of impact of the last 2 operational RNS'? Without input from a resurgence of the POG increases I can see us down to 0.020 unless we get some definite update from Tavsan or the promised follow up to the Salinbas drilling

[sleveen] 24/7/2019 08:24

Not for the souls returned in body bags.

[carcosa] 24/7/2019 05:09

Not sure why that post should be on this board (too macro for me) but I would presume a war or a threat of war would be very positive for gold price and associated share holders. Lots of money has been made from conflict.

[swallowsflysouth] 23/7/2019 23:10

This first "joint air patrol" involving Russian and Chinese long-range aircraft in the Asia Pacific region, sends a powerful signal of the developing military relationship between Moscow and Beijing. This still falls short of a formal alliance but their joint exercises are larger and more sophisticated. I really do not like this, to many nasty potentially pre-war maneouvers going on.

[bigglesbingham] 23/7/2019 17:56

The way it's always been with AAU as soul says we are dominated by personal investors and the mm's always react to small buys or sells. I've made reference to it many times ie £30000 sells knocks £1m off market cap. It's ridiculous which is why I've always tried to view the market cap in relation to fundamentals not too dissimilar to panmure Gordon but imho they are way too conservative. Viewing the share this way tends not get you too bothered about the volatility. If I was in for a quick buck I may get a little more peed off but I'm not.