Ariana Resources Share Discussion Threads

[highly geared] 14/2/2020 08:35

Looks like early April for a formal announcement one way or the other. Just need to remember this is an MOU only at the moment. The RNS suggests everything positive but it’s not done until it’s done.

[mcmather] 14/2/2020 08:22

Good point dixi re Salinbas.

Underground mine at Kiziltepe; "We need to think bigger"??

[dixi] 14/2/2020 08:05

Well it certainly adds additional validity to Salinbas, so that looks like a huge new project on the near horizon. I guess those that don't like the idea of a funded JV will be inclined to sell?

[plasybryn] 14/2/2020 07:57

Surely the purchase price must go up now as we will have more cash in the bank and lower debt (Capex cleared in April) plus those recent upgraded Tavsan results and whatever else might be released in the interim. I'm liking it.

[shortarm] 14/2/2020 07:53

An extra month of gold profits straight into AAU and Procceas pockets!Excellent all round!

[bernymadoff] 14/2/2020 07:38

Drafting legal documentation does suggest they may well complete well before the end of March

[soulsauce] 14/2/2020 07:28

Agree dixi. Obviously happy with the Salinbas drills and getting on with the paperwork. Can't see there would be anything at kiziltepe that would scupper the deal.

[dixi] 14/2/2020 07:25

Certainly does sound like a positive outcome to the JV entity is on the cards.

[temujiin] 14/2/2020 07:07

JV still on, but we might have to wait a month longer for the details.

DUE DILIGENCE UPDATE

Ariana Resources plc ("Ariana" or "the Company"), the AIM-listed exploration and development company operating in Europe, is pleased to announce the receipt of due diligence drilling results by Proccea Construction Co. ("Proccea") and the Proposed Partner on the Salinbas Gold Project in Turkey. A detailed independent review of the Kiziltepe, Tavsan and Salinbas projects by international consultants of the Proposed Partner remains underway following completion of the Memorandum of Understanding ("MoU"), announced on 25 November 2019.

Highlights:

-- 600m of Reverse Circulation ("RC") drilling was undertaken to twin four holes previously drilled by Ariana: ARD019, 20, 22 and 23.

-- Assay results from the independent laboratory, ALS Global in Izmir, have been received and good correlations are confirmed between Ariana's drilling results and the due diligence drilling results.

-- The Proposed Partner, Proccea and Ariana have completed an extension agreement to enable the conclusion of the due diligence work up to 31 March 2020.

Dr. Kerim Sener, Managing Director, commented:

"We are pleased to confirm that the due diligence confirmatory drilling programme at Salinbas has been concluded and can now be factored into the independent review. The efforts of the independent due diligence team are currently focusing on the Kiziltepe mining operations and, in order to provide sufficient time for the completion of this work, the proposed JV parties have extended the exclusivity period to the end of March. Meanwhile, the necessary definitive legal documentation is being prepared for review by the proposed JV parties from the second half of February.

"We look forward to working closely with the proposed JV parties in order to conclude the proposed agreement and advancing our project development plans for Salinbas in particular."

[bigglesbingham] 14/2/2020 05:58

I heard word of mouth

[mcmather] 13/2/2020 23:26

Biggles / anyone else, do you have a link to that latest update re target price 4.57? Haven't been able to locate so far, ta.

[soulsauce] 13/2/2020 23:10

Got you Moneymaker no problem.

[moneymaker2015] 13/2/2020 22:44

Soul, slight misunderstand when I said ‘small divi’. I meant purely based upon our revenue last year, nothing to do with any revenue we may get from the newly proposed JV. It’s only going to be “small” as a chunk of the revenue will have been used to pay-off our debt and then more on further exploration. If we enter into the JV however, that will either provide a special divi on its own or increase the divi we’re likely to receive in June.

[bigglesbingham] 13/2/2020 14:54

Latest one is out in the cloud so to speak 4.57 without MOU taken into account I only deal through broker as I'm old fashioned that way. If you look at old note they quote 5p at gold $1500.

[mcmather] 13/2/2020 10:57

Think that was the figure previously posted up on here, but that latest note is not on the company's website so was just looking at what they'd previously said.

[bigglesbingham] 13/2/2020 10:52

Latest broker note targeted 4.57p didn't it?

[mcmather] 13/2/2020 10:44

Re broker notes; the note from PG 12 June 2019 (TP 3.18p) – ie well before the proposed new JV – included:

Firstly, processing capacity is an area we believe that can significantly improve returns for shareholders. The company has indicated its intention to increase production beyond the original mine plan and we believe that with some relatively low-cost modular improvements, such as an additional ball mill, output could increase between 50-100% from current rates.

We have not made any material changes to our forecasts and continue to assume a FY2019 average price of $1,275/oz, not materially different to the average $1,295/oz for the year to date.

Assuming no significant exploration success in the short term.

[soulsauce] 13/2/2020 10:25

Be careful of clicking on that link all.

[soulsauce] 13/2/2020 10:22

Moneymaker great post, just one thing I slightly disagree with when you say 'small divi'.

I am hoping they take the opportunity to pay a decent divi, as much as they can.
With the gold & silver prices being strong, Zenit has been coining it in and even after the loan is fully paid there should be quite a lot in there to share out with Proccea. The coffers should have been swelled by £5m on Q4 alone.

Add to that the money from the JV and funds for Salinbas.

They also still owe shareholders a bonus to match that given to themselves not so long ago.

Don't click on the link below. See posting history.

[moneymaker2015] 13/2/2020 10:10

You can’t help but think they’ll be a lot of disappointed people of news drops in a couple of weeks that a JV has been agreed and a small divi to be paid out. This will almost certainly nudge the share price upwards slightly.

We have a lot to look forward to this year. Obviously the JV in the next few week and whether we go it alone or with another partner, Loan being repaid in April, financials in June with potentially our first revenue driven divi and obviously further updates on each of our projects.

Of every share in my portfolio, this is possibly the only one I can guarantee I won’t be selling in the next 12 months.

[bigglesbingham] 13/2/2020 10:09

Think that's because we all know it was ridiculously undervalued before ! Plenty of scope for making money at this price. But it is one of the better boards because if an idiot appears they are soon dispatched. !!

[thanksamillion] 13/2/2020 09:56

Sentiment wise I particularly like the way the AAU BB's are keeping relatively calm despite the considerable rise in recent weeks. It shows that when/if the news becomes better and better there is still a lot of upward space to fill on the chart.