Ariana Resources Share Discussion Threads

[1candc] 31/8/2020 11:10

I remember this was posted previously, good 'near term' target price but way out on the buy between 4.3 - 5p, firmly rear view mirror on that price range :-)

[temujiin] 31/8/2020 10:33

A bit dated (early Aug) but not sure I've seen it posted.
Target 10p

Clear Capital Markets Limited
hxxps://ukinvestormagazine.co.uk/wp-content/uploads/2020/08/Junior-Gold-Miners.pdf

ARIANA RESOURCES (AAU)

Ariana Resources plc is engaged in the acquisition, exploration and development of gold and technologymetals primarily in Turkey and Australia. The Company is focused on the Red Rabbit Gold Project located in the western Turkey, comprising the Kiziltepe and Tavsan sectors. Its projects include Kizilcukur project, Ivrindi project, Demirci project and Salinbas project.

Fundamentals Ariana returned a profit before tax of just under £7mln for the year to December 31, 2019. The profit came as the company continued to enjoy revenues from its Kiziltepe gold mine in Turkey, where operations are now well established. Dr Kerim Sener, Managing Director of Ariana Resources, commented: “This new Resource Estimate represents a major increase in the resource, confirming the Project as having multimillion-ounce, multi-commodity potential and indicates further growth opportunities.”; Drill planning is underway for further testing, and if any of these tests produce positive results, then further upside in the price can be expected.

Market Capitalisation: £57.22 million
Sector: Mining
12 Month Price Range: 1.78 – 5.75p

Technical Analysis
Ariana Resources has enjoyed spectacular growth in recent month and continues to outperform the physical gold price. Any dips towards the tend line that began in mid-March are likely to attract new buying interest as the bull market in precious metals is showing no signs of slowing. Buying dips towards 4.3p is the preferred plan in the short term.

Verdict: BUY
Buy between 4.30 – 5p
Stop: 3.55p
Targets: 10p

[thanksamillion] 31/8/2020 08:36

Still following that earlier pattern of end April/Early May, even the Stocastic and RSI are very similar.

[bigglesbingham] 30/8/2020 19:42

Yep got to get wheat from Chaff

[pauliewonder] 30/8/2020 18:53

But I agree. Interesting and whilst they take an extreme view, I agree that the $ is in trouble, inflation will run and gold will go to $2200 by end of year and $3000 by end of next year although that could be a lot sooner if the hedge funds start buying. Anything above $1500 is $1000 profit per oz for AAU.

[pauliewonder] 30/8/2020 18:50

Yep. You can smell the conflict of interest lol

[bigglesbingham] 30/8/2020 12:28

Do like those podcast interviews . Biased as hell but logical beneath.

[renniks2016] 29/8/2020 10:27

Given we produce so much silver I think this is worth a listen to. (cut and paste)

[1candc] 29/8/2020 09:17

well worth a read

[crossfirecssf] 28/8/2020 16:57

"....12 years of it.... in Azkaban!!..."

[soulsauce] 28/8/2020 16:32

Fingers crossed Plasybryn, I think we have been waiting long enough now.

[plasybryn] 28/8/2020 16:24

Just for fun - "you wouldn't want to be out over the Bank Holiday". All to play for next week perhaps.

[paul280i] 28/8/2020 15:04

"Ariana Resources - cracking Q2 numbers from Kiziltepe says Nigel Somerville..."


AIM-listed Turkish gold-producer Ariana Resources (AAU) has released Q2 results from its first Turkish gold mine at Kiziltepe, and the numbers look excellent. Of course, the real news I am awaiting is progress on the proposed corporate action to bring in Ozaltin and sell off chunks of its Turkish assets for $30 million, but the latest news does no harm to the proposition.

We already knew that Kiziltepe had produced 4,679 oz of gold, and the average sale price of $1717 per oz was no surprise. But the operating cash costs, which include royalities, came in at just $492 per ounce – a storming effort, given the disruption caused by the coronavirus. And better still was the news that 30,000 oz of silver which had been previously stockpiled when prices hit rock bottom were sold during June at better prices, to bring average revenue per ounce of gold produced and sold up to $2,116. So the maths from Kiziltepe works out that costs came in at $2.3 million and gross income was $9.9 million: a very useful $7.6 million in the kitty. Against that, there is a working capital bank loan which stood at $8.5 million in the Q1 report and now stands at $7 million, which means that $1.5 million went to the banksters. Even so, $6.1 million left over is certainly not to be sneezed at.

Indeed, it implies $12.2 million to Ariana on an annualised basis, or around £9.2 million, which is just over six times’ Ariana’s market cap. In another year and a month, the bank will have gone and Ariana’s earnings from Kiziltepe will increase further, but for the proposed corporate action. Even on Kiziltepe alone, Ariana hardly looks massively over-priced – especially if drilling eventually brings the mine life up to 10 years and beyond. Of course, the big news I am waiting for regards the proposed corporate action, in which Ariana will drop its ownership of Red Rabbit (including Kiziltepe) and Salinbas to 23.5% in return for $30 million, plus whatever deal is done with existing partner Proccea for it to buy into Salinbas, which is currently wholly-owned by Ariana. It would be nice to see progress on that – especially the special dividend which is pencilled in alongside the deal, but in the meantime shareholders can comfort themselves with the thought that Kiziltepe is throwing off a good deal of cash.
Gold and gold stocks may continue to wobble in this corrective phase, but Ariana’s share price has put on 7% on the news, leaving the shares at 5.45p – a price at which I am holding tightly. If the stock drops below 5p I will be unable to resist temptation to buy a few extra (despite my still overly-large holding). At above 6p I will offload a small parcel (around 10%), as harsh experience has taught me that you can have too much of a good thing on the AIM Casino. But if all goes to plan and the gold price resumes its run northwards, I reckon we could easily see 10p per share in the months ahead, so my advice is to hold strongly to the bulk of your shares for a good while yet.

[charles clore] 28/8/2020 14:10

I'd be extremely bloody disappointed if they don't give us at least an update on the jv very soon!

[actonovator] 28/8/2020 14:02

or even a second rns with Cyprus news

[actonovator] 28/8/2020 13:58

On the basis that Biggles seems to have the best record of estimating when news will drop, then a short delay (because of holidays) seems most likely. I dont think the share price will dip as long as the extension is no longer than a month and a further nugget of detail is provided - maybe Proccea's contribution.

[1candc] 28/8/2020 13:58

Hi Biggles, I guess wait until confirmed, interesting to see what they are saying

[pauliewonder] 28/8/2020 13:31

Agree. Possible risk is JV being delayed. That means more short term profit for AAU from Kiziltepe. Either way the share price should be a lot higher. I will still be a buyer until around 20.....unless the story changes, which I can't see given previous track record.

[shortarm] 28/8/2020 13:19

I can't see why anyone would be selling right now!!

[bigglesbingham] 28/8/2020 13:18

Only verbal unsubstantiated could relay that if you like ? Mentioning 7m in cash not a clue where that figure come from.

[zedder] 28/8/2020 13:07

"This transaction will crystallise significant value for the Company and substantially de-risks the deliverability of the Salinbas Project, at an important time in its development. Accordingly, we fully expect shareholders to support the transaction, definitive agreements for which are expected to be concluded by the end of August 2020."

So an RNS on Tuesday then?

Do Turkey have Bank Holidays? It really does not look very professional taking right up to previously quoted deadlines. I can see why some might be selling into today's strength just in case there is going to be further pontification.

[uknighted] 28/8/2020 13:03

That’s normal for an AGM. Don’t know what else was expected but news cannot be released at an AGM without it having been previously announced.

[thanksamillion] 28/8/2020 13:03

Its finished, 12:30, shortest possible announcement, probably saving mental energy for final negotiations.

[1candc] 28/8/2020 12:57

Ariana Resources plc ("Ariana" or "the Company"), the AIM-listed exploration and development company operating in Europe, is pleased to announce that at the Company's Annual General Meeting, held earlier today, all resolutions were duly passed.

Is that it?