Caledonia Mining Share Discussion Threads

[sharesoc] 04/11/2018 15:22

Caledonia Mining present at our growth company seminar in London on the 14th November, may be of interest to current shareholders or potential investors: hTTps://www.sharesoc.org/events/sharesoc-growth-company-seminar-in-london-14-november-2018/

[sharesoc] 23/10/2018 12:00

Caledonia Mining present at our growth company seminar in London on the 14th November, may be of interest to current shareholders or potential investors: hTTps://www.sharesoc.org/events/sharesoc-growth-company-seminar-in-london-14-november-2018/

[stemis] 11/10/2018 08:22

Relatively mild profit warning (15-20%) due to slightly weaker gold price and production coming in at lower end of forecast. Now on a heady P/E of 4.1 - 4.4, with net cash and dividend and on track to increase production by 45-50% (and therefore profit by more). Dividend yield is 4.4%. Just going to sit here and wait.

[danieldanj] 20/9/2018 09:37

Caledonia Mining (CMCL) News Out Just Now http://crweworld.com/article/news-provided-by-globenewswire/808927/caledonia-mining-corporation-plc-resource-upgrade-at-the-blanket-mine-zimbabwe

[stemis] 20/9/2018 07:53

RNS:- "total Measured and Indicated gold ounces at Blanket mine have increased by 13 per cent from 714,000 ounces, in August 2017, to 805,000 ounces, as at July 2018." Caledonia just doing what they do; find more gold, increase production, generate cashflow, distribute it to shareholders.

[stemis] 31/8/2018 10:53

I've never been able to understand what drives the short term share price here, but as long as they keep banging out the profits and making progress towards their stated goal of 80,000 oz production I'm confident that, long term, the share price will end up much higher.

[joan of arc] 31/8/2018 10:11

Does anyone have an idea what is causing this price collapse?

[joan of arc] 24/8/2018 13:35

In that case it looks like a very very good deal.

[thechurch333] 24/8/2018 10:58

Looks a very good deal. Remember Caledonia had written off the loan on their balance sheet. Shares have fallen on minimal volume.

[joan of arc] 24/8/2018 10:44

To which the market shows no reaction!

[stemis] 24/8/2018 10:23

Caledonia acquire another 15% of Blanket Mine for $16.667m. Values mine at $111m (current market cap, including cash, is now $80m). Looks like a sensible move. Gives CMCL majority control of mine and most of consideration is cancellation of loan that was created when shares originally 'sold'.

[thecoyone] 20/8/2018 14:23

Might get back in here shortly.

[joan of arc] 20/8/2018 11:24

MM games or novices panicking? This will be back over 600p soon enough.

[stemis] 19/8/2018 20:44

The investment in new mine shaft has been known about for years and is fundamental to a step change in profitability here. It would be short terminism of the worst kind to use the cash for a few dividends.

[thecoyone] 19/8/2018 17:35

The new mine shaft is draining cash that could be used for both exploration and dividend increases. They decided to deepen the shaft more than was initially implied, whilst this will eventually benefit future earnings it is eating into cash, the drop in the gold price does not help. Then add into the mix the poor safety record at Blanket, is it 3 deaths now, I think so. The political situation in Zimbabwe is muddled to say the least, not so positive as initially expected. There is also a new kid on the block on AIM, a maiden dividend payer, namely Anglo Asian Mining (AAZ) that is quite literally throwing off cash. The prospective yield is closing in on 5%, earnings growth looks better over the next 24 months than CMCL. I wonder if some investors are switching, I have.

[joan of arc] 19/8/2018 16:59

I saw the summary in Money Week. You are right SteMIS. Typical half baked analysis from IC.

[stemis] 19/8/2018 14:43

Sell recommendation in IC. Poor analysis but it'll have some impact at the edge.

[joan of arc] 17/8/2018 15:21

Price whacked again! Ouch.

[stemis] 13/8/2018 10:21

A few director buys there...

[stemis] 09/8/2018 16:26

It's often hard to know what drives the share price in the short term. Cashflow was weak but that was due to working capital movements which hopefully should reverse. Production was known since July and the company reiterated its full year and 2021 forecasts.

[a2584728] 09/8/2018 14:30

Price whacked. Am I missing something

[3800] 20/7/2018 14:16

thanks for the clarification thechurch333

[thechurch333] 19/7/2018 22:33

3800 - Caledonia have confirmed a rights issue will NOT be happening. The proposed rights issue in question was in any case to be done by the Blanket gold mine and NOT by Caledonia. It was basically a way of Caledonia regaining over 50% control, but now the indigenisation rules have been relaxed Caledonia is trying to buy out some of the other shareholders in the Blanket mine instead and gain >50% control that way. I suspect we will be hearing more news on this in the near future. Hope this helps.

[3800] 19/7/2018 15:16

I have just got round to reading the brokers note posted by SteMis. This bit With the Zimbabwean government relaxing indigenisation requirements for gold miners, the Blanket gold mine is to undertake a US$4m rights issue underwritten by CMCL’s Zimbabwean subsidiary. Since this time we have seen CMCL announce that Blanket will receive an increased Export Credit Incentive (10% cf 3.5% previously). As a result we consider the rights issue may not be required. However, if this rights issue takes place it would likely leave CMCL again owning a controlling c 51% share of the Blanket mine. Doe's that mean the we may be seeing a possible rights issue or have I misunderstood it? 3800

[joan of arc] 12/7/2018 09:50

CMCL are getting careless