Avocet Mining Share Discussion Threads

[wdurham] 21/11/2005 11:42

Perhaps no-one can understand it? 8-)

[sidneyslacker] 21/11/2005 11:41

Looking over the last few days it seems there was some anticipatory reaction late Friday?

[pezza2] 21/11/2005 11:39

Why hasn't the price reacted in a more positive way if the drilling report is good - any opinions ?

[saucepan] 21/11/2005 10:30

Chip: thanks on my part for the helpful guide: much appreciated.

[pecker1] 21/11/2005 10:12

chip,

no criticism intended - far from it! The grammetre is a useful guide to non geos like me.

[pecker1] 21/11/2005 09:59

chip,

What we seem to have at Idenburg are multiple gold occurrences, oxides at surface/near surface plus ore at depth (maybe even a tad of copper), spread over a considerable area. Mafi, Bermol and Sua are approx 13km apart. So plenty of potential for a "regional" prospect and plenty of newsflow as exploration progresses during 2006 and infill drilling establishes resources.

[biswell] 21/11/2005 09:56

Twin Peak chart nearly formed now

B

[pezza2] 21/11/2005 09:54

Thanks Chipper, thats a really helpful post which I can use on other stocks too, Cheers mate

[chipperfrd] 21/11/2005 09:47

One way to get a 'rule-of-thumb' regarding drill assays is to use the grams x metre metric.

A g x m of 10 can be considered MARGINAL for economic mining.
A g x m of 50 can be considered as GOOD
A g x m of 100 - 200 is VERY GOOD
A g x m of 200+ is EXCEPTIONAL

Picking the most significant results from today's table we can get the following g x m figures:

KSD 001 ... 13 x 2.86 ... = 37.18
KSD 002 ... 6.2 x 18.5 .. = 114.7
KSD 005 ... 9 x 4 ....... = 36
KSD 008 ... 3 x 35 ...... = 105
KSD 010 ... 16 x 2.2 .... = 35.2
and ...... 4 x 4.41 .... = 17.64
and ...... 3 x 17.7 .... = 53.1

Of course there are many other factors to consider but using this rule-of-thumb these results look GOOD imho.

[brad1] 21/11/2005 08:10

they are good.

[goml] 21/11/2005 07:36

I'm no geologist either but I can tell you those grades are bonanza grades. However, its nothing without the infill drilling to outline the resource. Still it WILL push us to a new high today or I'll eat my hat.

[sidneyslacker] 21/11/2005 07:35

I am no geologist: they look good to me having looked at a lot of similar results is all I can say - but the lack of hype, I think that could indicate they do the talking for themselves? We shall get the impressions of the market soon enough ;-)

[saucepan] 21/11/2005 07:21

Drilling results today :-)

Looks like someone knew something on Friday, then?

No hype; just technical facts. I look forward to an interpretation from the geologists on this board.

[bestbuddy] 20/11/2005 22:41

Saucepan,
Thanks for the explanation, I now fully understand your initial comments. I have tried spreadbetting but whilst reading the long term trend correctly, was continually caught out by short term fluctuations. Very frustrating. Stick to shares only now. Also found i could not balance the job and trading so i am now quite comfortable to concentrate on my work and forget about the shares for a few days. Regarding gold i think the bulls will have it their way up to Christmas and into the new year. Energy stocks, i think recent highs will seem like the golden days of cheap energy in the not so distant a future as we might think.
Regards
BB

[saucepan] 20/11/2005 18:25

BestBuddy

Thanks for the reply. JKX Oil and Gas is my second largest holding - so even more in common! It is always good to know that investors away from "the herd" (and I don't believe we have the herd on the AVM thread) take a somewhat similar view of the market.

I know the post that started our conversation was meant light-heartedly, but I'll elaborate a little further in a (semi-)serious vein on my own initial response.

You mentioned AVM's own long-term uptrend and investment decisions not being rocket science: i.e. there are some good basic principles to follow. I agree.

What made me worry, to some extent, earlier in the week, is that the long term uptrend has been underpinned by a story of more-or-less equal length: of rising profits.

The latter run was broken this week, with a headline fall in profits. The chart has had several attempts at breaking 100p. It looked, on the pullback immediately after results, that a serious failure on this important psychological barrier had occurred yet again. What had appeared as a very promising chart pattern [to me being a classic cup and handle - not to say a saucepan :- )], by the end of results day, was looking more like a double top!

None of this convninced me to sell (I liked what else was contained in the results), but it did get me worried. Approximately two thirds of my exposure is in shares safely tucked away. But I do have some long AVM, controlled risk, spreadbets - which I just roll over when they expire: a chance to obtain more margined exposure. Rather greedly, I recently raised my stops to 90p (to raise more deposit to buy even more AVM). This was when AVM went through 100p in October and I judged that sub 90p prices were gone forever.

There looked a chance by Thursday of this week that old resistance support in the 70s and 80s could be re-tested after all. For reasons explained, this would have caused some problems with my spread bets!

With a mini-uptend, within a long-term uptrend, now being re-established with Friday's rise, and with the price through 100p once more, things are looking much better again.

It seems, after all, that a lot of investors, (more than I thought, but I put myself in that number) are looking forward with AVM and like what they see.

Hopefully the next few company announcments will be very exciting, and perhaps they won't be long in coming.

Incidentally, I am still not entirely comfortable with 90p stops: I still feel I raised them too high - but I hope I have got away with it after all. I also think that, once more, the chart reads like a very promising cup and handle formation, and no longer a potential double top. Furthermore, it might just be resolving itself in textbook style, with exciting gains to come from here!

Cheers

Saucepan

[bestbuddy] 19/11/2005 20:47

Saucepan,
We have that in common then, AVM is my largest holding followed by Oil stocks CNE and BP.
I gave up trading shares a year or two ago and now limit myself to a few stocks picked on clear market/global trends and fundamentally sound businesses. I found this works best for me. I try to ignore the chatter of daily up and down movements but like yesterday when it offers an opportunity on a plate i take it and so far AVM has never disappointed me. Unlike some other stocks i would not care to mention.
Hope i do not sound arrogant, i am just very comfortable with my stock decisions at the moment.

[goml] 19/11/2005 15:10

Just a positive news story for the weekend from the kitco front page......


Gold continues to glitter in Vietnam


Vietnamese gold prices continued to track relentlessly rising international prices, reaching a 20-year high of over VND9 million (US$..) per tael Friday.
Saigon Jewelry Holding Co. (SJC) raised its selling price by VND50,000-60,000 ($3.2-3.8) per tael Friday to VND 9.02-9.04 mil (over $570).

Global prices rose Friday by $4.85 an ounce to $488.1, an 18-year high. In the last couple of days, they have gained $15.35 an ounce.

"News about the Russian Central Bank expanding its gold reserve is just a temporary cause," Huynh Trung Khanh, director of consultancy V.G.C and former chief representative of the World Gold Council (WGC) in Vietnam, said. The real cause was the imbalance between supply and demand, he explained.

The WGC said global demand in the third quarter this year was 838 tons, up 7 percent over last year's same period. The demand is expected to be even higher in the last quarter.

Vietnam is expected to consume some 70 tons this year, up around five tons over last year.

The current Vietnamese prices were, however, still some VND400,000 ($25.3) per tael lower than global prices, Khanh added.

He predicted that on the international market, the price would go past $500 an ounce by next week, pushing the domestic price to VND 9.6 mil ($608).

Vietnam uses the "tael" as a weight measurement for gold, with 0.75 tael being equivalent to one ounce. One US dollar Friday was worth almost VND16,000.

[bestbuddy] 18/11/2005 18:35

Saucepan,
Stick to the fundamentals, share prices always do the right thing eventually. This is not the sort of share to sit watching all day but when an opportunity presents itself with gold hitting 15 year highs and AVM price at the bottom of a rising channel - you buy - it aint rocket science is it.

[stemis] 18/11/2005 17:18

Yes I thought so too

[holdontight] 18/11/2005 17:04

Weak holders shaken out....results were fine!