Ariana Resources Share Discussion Threads

[swallowsflysouth] 13/3/2019 09:27

Gold production guidance for 2019 from Kiziltepe is c. 25,000 oz Au*, c. 21% above feasibility plan for the third year of operations.

-- The mine plan forecasts average monthly production of ore of approximately 13,000 tonnes, peaking during Q4 2019.

-- Ore throughput to the mill during 2019 is expected at c. 195,000 tonnes, which represents a 30% increase over the feasibility plan.

-- Average grade of gold expected to be mined during the year is expected at c. 5 g/t Au and gold recovery is expected to exceed 90%.

The above taken from their guidance update. However i calculate based on the above figures that they will be producing over 28k au ozs + silver credits. If they use the ore body from Kizilcukur then thats a lot of silver. There is also the spare capacity to increase the amount of ore being processed by at least 3000 tons per year.

If the drilling results are exceptional from Kizilcukur then i would expect the focus to be there rather than Tavsan at this moment in time. The Zeki pit contains over 3.5 million tons, how much of that is ore body remains to be seen. The grades presumeably will be in the 5g au range. No mention of size of other pits other than smaller than Zeki and that there is another 2.3km that has not been tested. Plenty of room to be much bigger than Tavsan.

[mcmather] 13/3/2019 00:17

I suspect Zak might have been on about the wider Red Rabbit?

This from 3 May 2017 "Increase in global Mineral Resource estimate to a total of c. 257,500 oz Au and 4.87Moz Ag contained metal on four main veins and several subsidiary veins" re Kiziltepe;


Tavsan was 168,900au & 571,700ag but the rns 9 April 2018 was targeting circa an additional 400,000au;


Kizilcukur's previous target is 50,000au, Kepez 24,000au, etc, so I reckon Zak was on about the wider Red Rabbit and which might - given his reference to Kiziltepe and the operating plant & sector - possibly point towards the ore being trucked from Tavsan to Kiziltepe??

[jaynesdad] 12/3/2019 23:29

Just looking for a bit more news to support the Share Price (though an upwards movement in Gold would do the same trick). We are about a month from Q1 figures, maybe get something from Zacks Kizilcukur drilling, possibly news on expanding capacity at the existing plant? Without news we drift in my experience. Lets see what tomorrow brings.

[bigglesbingham] 12/3/2019 23:01

Let hope it's a mute point post drilling at salinbas ! A bit tongue in cheek but fingers crossed

[jaynesdad] 12/3/2019 22:49

'.... Kiziltepe and Tavsan gold projects which form the Red Rabbit Gold Project...' form the aame source. My conclusion is that the 1m ounces includes Tavsan which according to last Novembers presentation had a management resource target of 300,000 oz. Kind of makes sense else at long term 20k oz production at Kiziltepe the mine life wouldn't be 7 extending to potentially 11 but more like 50!

[bigglesbingham] 12/3/2019 20:04

The Kiziltepe Sector of the Red Rabbit Project is fully-permitted and is currently in production. The total resource inventory at the Red Rabbit Project and wider project area stands at c. 605,000 ounces of gold equivalent (as at end-2017). So a million ozs as zach stayed based on what they've found recently isn't too much of a leap! The above was taken from latest RNS

[plasybryn] 12/3/2019 14:10

Have you seen Michael de Villiers tweet regarding Alamos this morning?
"The Turkish Dept. of Energy & Natural Resources has awarded TSX and NYSE lasted Alamos Gold an operating permit for Kirazli, allowing for the start of earthworks on the open pit area"
"The CO expects to spend $75m in 2019 on completing work on the water reservoir and ramping up major construction activities and earthworks"
"Kirazli will produce more than 100,000 ozs of gold during its first year of production....all in sustaining costs of less than $400/oz".
"Expected too bring consolidated production to more than 600,000 oz/y while significantly lowering the company's cost profile".

So is Michael tweeting this as a hint that we can & we will get the permits we need for Salinbas Phase 2 drilling? I reckon so.
Interesting also that Alamos Gold has costs to challenge ours!

[swallowsflysouth] 12/3/2019 13:07

JD, i'm happy to sit here and see where we go. I think this board is normal in that lots of strong believers in company, but more unusual in that there are a several pi's with larger than usual holdings in a small explorer/miner which i rather like.
Many small explorers/miners are undervalued but not so commonly when they are making such a high margin of profit.

[jaynesdad] 12/3/2019 12:18

Thanks SFS
I keep an eye on Twitter (in fact AAU is the reason I signed up to it on Plasbryns recommendation), but may have missed that. We just have to all learn to relax here and let the story unwind... and maybe be prepared for the odd piece of not so positive news which I hope wont clobber the share price too badly. Certain fact is I have no plans whatsoever to sell.

[xow98] 12/3/2019 11:29

Today's FT


China’s push to boost its gold holdings could see the country challenge Russia as the most aggressive buyer of the precious metal this year.

The country’s central bank, the People’s Bank of China, has bought about 32 tonnes of gold in the past three months. If it keeps purchasing at that rate, China would surpass Russia and Kazakhstan, leading buyers in 2018 which have tapered their acquisitions recently.

China is the world’s biggest gold producer but its gold reserves, at just under $80bn, make up a fraction of its total foreign exchange reserves of more than $3tn, meaning China is underweight the yellow metal, compared with peers. That 3 per cent share, for example, compares to 19 per cent for Russia.

[catsick] 12/3/2019 11:00

Main nugget of info is the average grade they are going to put through the plant is 5g , that is nice and will keep the average cost right down too, if they can put 200k ton thru the plant which is the rate they have been maintaining then the will produce over 30k oz at very low cost ..... any bad weather or plant problems and they could be down closer to the 25k target

[swallowsflysouth] 12/3/2019 10:48

Jaynesdad, it was a very natural spontaneous twitter showing the real Kerim incredibly happy at what they had found,saying 'what a gamechanger it was' or words to that affect, i guess it was'nt a very professional twitter, which may be why it was removed. They have left another natural one up there which reminds of a fisherman bragging how big the fish he caught was. They were around beginning of Jan '18 regarding Arzu South, all very positive.

[crossfirecssf] 12/3/2019 10:22

From techinicaltraders.com, FWIW. I'm in agreement with the $1500 short/mid-term target.

“…We had been advising our members that Gold would likely retrace below $1300 possibly beeper by and mid-April....This is what you need to know about the next 4+ weeks in Gold.

First, this downside price move is not over yet. It will likely continue through early April...Our opinion is that $1260 is currently the ultimate low price objective....Be prepared for a low price near or below $1265 at some point in the near future.

Second, this downside price move in Gold will likely create opportunities for skilled traders over the next 3~6+ months. Our longer-term predictive modeling systems suggest that Gold will rally towards $1500 or higher near May/June of 2019.  Thus, this downside move in an opportunity for skilled traders…”;

[gaddy88] 12/3/2019 09:59

Biggles - Massively true when management oversee targets and you can't set your own. I have seen many simply walk away from targets plucked straight from la la land.

[soulsauce] 12/3/2019 09:57

JaynesDad you are right. Been pounced on enough myself on here in the past so should know better. I think carcosa is wrong but respect his opinion.

[goldenshare888] 12/3/2019 09:45

Me too, for my target range of 5p -10p this year.

It could all happen very quickly and you have to be in to win!

My guess is we see a decent move in Gold & Silver PM stocks very soon.

:-))

[crossfirecssf] 12/3/2019 09:26

Man,... why does everyone have more shares than me.?

Fantastic RNS, all looking very, very positive.

Lining up for the perfect storm with gold setting up for the move to $1500, a conservative 25k oz estimate (Kerim would not have okay'd that estimate unless he was 110% sure that production will be significantly higher), and all the rest as stated above by various posters.

Very happy and holding.

[8rad] 12/3/2019 09:23

Once again our usual flat response to good news... I will say it again,only the D word will get this to move significantly and this need only be smallscale and futuristic.

[bigglesbingham] 12/3/2019 09:12

Subtle difference I said if sales guys set their own target as aau have. In sales what you say is true of management setting targets and in my view it's wrong and results in loss of top people .

[soulsauce] 12/3/2019 09:07

Cheers Gaddy.

[gaddy88] 12/3/2019 09:05

No that's true I get that but I was pointing out that's what they do in sales so it wasn't a great reference in my eyes. I'm happy with what was forecast and looking forward to what's ahead.

[soulsauce] 12/3/2019 09:03

Yeah gaddy but we are not making or selling widgets.

[gaddy88] 12/3/2019 09:01

I'm sorry biggles but having spent many years in sales that's exactly what they do. Regardless of the year before, exceptional circumstances etc, the target the year after is 9 times out of 10 higher than the year before.