Ariana Resources Share Discussion Threads

[2tyke] 27/8/2019 12:13

Goldenshare

There is absolutely nothing unusual or wrong in AAU falling as gold rises. Looking at the chart, it's exactly what i'd expect. Although I would expect AAU to bounce back towards 2.2 before long, before continuing downwards.

Jc

Interesting that you've been studying technical viewpoints.
The thing to remember is that most of them will also be caught out at a major turning point.

So they should be expecting a short-term fall followed by a long-term rise....just the opposite to what's happening.

[jc2706] 27/8/2019 11:09

dixi,

Yes, understood. And I wish I could give you a reason why investors do what they do that result in shares like CNG shooting up whilst shares like AAU languish. I certainly don't buy into the 'there must be something wrong' view as I have seen that so many times from people disgruntled about share prices that I have lost count. Sentiment controls share prices in the short term, fundamentals in the long term. At some point the two align!

[dixi] 27/8/2019 11:01

JC2706 - granted - but it is a gold stock and it is advancing - it therefore bears some comparison to AAU as to what could be / should be, irrespective of the associated risk profile.

[dixi] 27/8/2019 10:59

A divi would be quite welcome - I can understand the commentary suggesting that this would mean less funding for exploration. But recent exploration has not benefited shareholders especially.

[jc2706] 27/8/2019 10:58

CNG is a real punt. It could still go bust if it cannot refinance its loans and its EV is now well over $200m. I honestly am not convinced that people buying into it understand the risks involved.

[8rad] 27/8/2019 10:48

Nice to see the divi dimension gaining ground. As this is a PI driven Co then it is up to us to lead.

[dixi] 27/8/2019 10:40

I mean check out CNG - it's on a real march - AAU should have been doing likewise as far as I was concerned. I am now nothing more than concerned.

[jc2706] 27/8/2019 10:36

JaynesDad,

I would have accepted it 6 months ago as well. I have become pragmatic about these things and my goals are a little different to most. 4p on the table now is worth more than 6p in 3 years if you are re-investing in a similar operation.

[jaynesdad] 27/8/2019 10:28

Thanks for your thoughts JC. Kind of proves my feelings about the morale (for want of a better word) of investors here at the moment. If a suggestion had been made about a 4p per share buyout 6 months ago I think it would have been met with universal derision. Now, I'm not so sure. Yes, imo AAU is worth more than 4p, probably much more - but how much longer am I prepared to wait any longer for that to happen?

[dixi] 27/8/2019 10:28

Is there a gold producer anywhere on the LSE that is performing for shareholders as woefully as AAU - all the ones I track have increased handsomely? Shame I no longer have holdings in them!

Yet strangely enough there is still an investment case here on merit of the actual mining operations.

I think this should be 4p now, not as a bonus offer for the company. But that optimism is obviously my failing.

[jc2706] 27/8/2019 10:14

Personally the primary reason I invested in AAU was that the production side (a small scale operation) could fund the exploration side (potentially a much larger operation) so splitting the two would be fundamentally undermining the reason I invested. Hence, I would oppose this currently. Should this be revisited once the Salinbas project was more fully understood then that would be more attractive as an operation as, if the potential is realised, this would then be looking for funding at a higher valuation.

I would accept 4p a share if offered currently. Why not? It would effectively bring a future price forward and that could be used to invest in other companies at today's price.

[paul280i] 27/8/2019 09:42

I would think that the company will, in 2021, easily afford to pay a small dividend and continue exploration at Salinbas and the other projects. A dividend of 0.2p would only cost £2.12 million, that would leave about £7 or £8 million for development work.I think it is time for a return on our investment in this company even if it slows exploration a little.

[goldenshare888] 27/8/2019 09:38

GOLD UP - AAU DOWN AGAIN!

This share has some issues for sure.

Shareholders getting bored I feel, I know I did, and glad I took advantage of recent spike to offload majority.

Still retain a small number of free shares, but that is all I am willing to risk on this co, due to slow progress on Salinbas (I think 3 - 10 years) and political risk.

[jaynesdad] 27/8/2019 09:37

Thanksamillion
Pleased you used the word stakeholders rather than shareholders. I doff my cap to you. I am no leftie but the company has an obligation to, amongst others, the country within which it operates, the ecology of the regions where the pits are, the local populations and employees as well as shareholders

[thanksamillion] 27/8/2019 09:30

soulsauce says in post 16235

"they should reward shareholders as they did themselves"

Which I 100% agree with, not in any negative way towards the Directors, but simply to make the point that Ariana is there to make money for all stakeholders. It is absolutely appropriate to realize some return on capital employed - when circumstances allow.

And down we go again, strange days, but totally expected by this poster.

[jaynesdad] 27/8/2019 09:29

Changing the subject, at around 8.30 I did a mock buy and sell and the Bid/Offer spread was 0. 1.975 for each. I was alarmed we had fallen sub 2, and naturally took advantage. Whether it will ever be reported is another matter as it hasn't yet. Afterwards bid increased to 2.025. All a bit odd really

[jc2706] 27/8/2019 09:05

I wouldn't hold your breath on graphene displacing existing battery technologies any time soon although it has the potential to enhance them. That said, I agree that AAU should stick to PMs.

[the deacon] 27/8/2019 08:56

Yeah apologies, it was the Chairman's statement within the recent results I refer to. I'm quite keen on some diversification into that space, though certainly not a cash guzzling early stage project.

[soulsauce] 27/8/2019 08:51

dixi I don't think the company give a hoot.

[charles clore] 27/8/2019 08:51

dixi - if this started to rocket I would be very suspicious and sell all my holding!

[dixi] 27/8/2019 08:49

I am sure the company must be chuffed to bits that it is not doing any of that awful going up in value lark like all those other gold companies seem to. No, no, that kind of rubbish is not for AAU, it is way to good for that sort of unpleasant behaviour!

It's hopeless!

[charles clore] 27/8/2019 08:49

Hopefully Kerim will stick to precious metals. There's a whole new battery technology emerging using graphene as a dielectric for super capacitors which, if successful, will capture the market. Copper, of course, will still be required as a winding conductor for the electric vehicle motors.

[soulsauce] 27/8/2019 08:44

How do you mean recently, he has been mentioning it for a good while but still nothing. I am expecting it to be mentioned again in the interims next month but about time he did something with it or let it drop.

Would hope if there is anything that it is not Lithium this time but may be copper or cobalt.

[the deacon] 27/8/2019 08:29

Anyone any thoughts/predictions regarding the battery metals/EV diversification that KS alluded to recently? Lithium again?