Ariana Resources Share Discussion Threads

[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?

[jaynesdad] 27/8/2019 08:28

JC
'I am always interested in understanding why posters refer themselves as 'we'. Who are 'we' in the case of 2tyke?'

Give him/her a break, maybe they are Royal?

[jc2706] 27/8/2019 07:52

Interesting discussion over the last few days.

I read a number of technical analysts using various techniques (traditional, EW, etc.). Generally speaking they are all bullish on a medium to long term 12+ months but the short term is variable. Most are flagging a short term pull back whilst one I watch is predicting a swift, large pull back before a rapid ascent. None believe that we are still in a bear market.

The commentary seemed to centre more on the COT report which can often be a useful indicator of direction but can sometimes be misleading.

I am always interested in understanding why posters refer themselves as 'we'. Who are 'we' in the case of 2tyke?

[2tyke] 27/8/2019 06:44

Yesterday gold bettered the previous high of $1534 to run upto $1554.
It is currently undergoing a minimum 50% re-trace back into the $1520 range, prior to another run higher.
Gold now has over 91% bulls.
Large speculators (mug money), is currently record long on gold contracts.
Commercial hedgers (smart money), have taken the opposite trades of the large specs and are now net short gold.

[drh3] 26/8/2019 21:34

Share buy back is my hope....

[tailgunner] 26/8/2019 21:20

I'd go for no divi ......plough back into company.......

[soulsauce] 26/8/2019 20:03

Rj there should be more than enough for both once the loan is paid off.

Yes Eld spent circa $8m but over a lengthy period as we know.
Permitting will only allow so much work to be carried out each year so the exploration won't be exhaustive.
One would hope that now they have said they are eager for a JV then that won't be too far down the road.

I would sooner Ariana make good on their diversification plan but in the absence of that they should reward shareholders as they did themselves.

[rjwoodrjwood] 26/8/2019 19:49

Only half of the revenue is to Ariana......Are you aware of how much has been spent on Salinbas by ELD already? and how much of the prospective area was covered by it? Drilling to date has only covered a tiny bit of the area. Why give away the cash when it could be used for value enhancement / new projects.

[rjwoodrjwood] 26/8/2019 18:55

I don't believe that the company should start along the regular (yearly) dividend route, i just believe that they are going to need their cash for project development, with the added comment that IF Salinbas is sold, or a major JV partner brought in there should probably be enough free cash found/allocated for a 'special' dividend.