Capital Share Discussion Threads

[rivaldo] 25/3/2021 23:16

Great to see a 29k buy at 65p at the close. Perhaps a good sign for tomorrow.

[currencytrader1] 25/3/2021 12:29

Most of the buys today are shown as sells, i know this is true as 2 are mine!

[yasx] 25/3/2021 12:03

Question is, if the prospects are so good and the outlook so favourable, why are sellers persistently offloading at these levels?

[horndean eagle] 25/3/2021 10:17

looks like a whole host of sellers waiting for todays investormeet. started unloading as soon as it started. looking pretty grim short term. sellers unrelenting and none of the instos in on placing seem to have appetite to buy more

[shanklin] 25/3/2021 10:13

Sounds like MSALABS is by far the highest quality/margin part of the business and very well placed with CAPD well embedded at so many mines. I missed exactly what was said about growth aspirations beyond 2021... ...but think they are targetting strong ongoing growth.

[qs99] 25/3/2021 10:01

thanks for the updates on the investor meet gig, sorry can't be on it

[valhamos] 25/3/2021 10:00

Impressed with the presentation; good to hear that the waste mining contract is set to achieve similar margins to drilling and that MSALABS will double revenue in 2021.

[shanklin] 25/3/2021 09:37

Very comfortable with 66% 2021 rig utilisation assumed in broker coverage. Has mentioned 80% and making it sound like 66% (vs 59% in 2020) is nailed on and reality probably much higher.

[hpcg] 25/3/2021 08:57

Quoted price is at the top end of the spread, I have limit orders in lower. This is genuinely one of the very few obvious buys when both reflation and recovery stocks are fully priced, and growth tech is taking a hammering.

[shanklin] 25/3/2021 08:53

LG





You'll need to register at IMC. Its all free to access and a recording will typically be made available in a day or two's time.

Tamzin/PIWorld is excellent, but the repositary of all past interviews organised by company at IMC is very helpful.

[sphere25] 25/3/2021 08:38

Had to double check the opening price to make sure the eyes weren't deceiving, but CAPD has actually been marked down on that decent sized director buy!

I wonder how many shares we see on a morning that actually get marked down on a director buy like that. It is yet another bullish piece of news that the market refuses to give CAPD any credit for.

I guess we have to try to be abit bullish on news like that with CAPD. Another big clearout needed here judging by the way the shares are being fed into the market. Perhaps Aberforth will take another big chunk?

All imo
DYOR

[lord gnome] 25/3/2021 08:20

Do you have a link for that, please Shanklin?

[dubai123] 25/3/2021 08:13

Is anyone joining the investor meet company meeting today at9am ?

[thepopeofchillitown] 25/3/2021 07:49

Down 10% today then!

[catsick] 25/3/2021 07:36

Yes he knows these are cheap ...

[rivaldo] 25/3/2021 07:35

Yep, great to see the Chairman putting his money on the line at 65p - £146k is a meaningful sum.

[bigbigdave] 25/3/2021 07:12

Chunky Director buy, £146k worth

[someuwin] 24/3/2021 08:39

Cheers - that's good.

[dangersimpson2] 24/3/2021 08:38

As far as I know, Capital only do delineation & underground grade control for Resolute at the Syama mine in Mali. I am not aware of any current drilling campaigns in Ghana.

Clearly, if this is the start of a trend across West Africa this could be bad news for Capital. However, we are a long way from a single incident in a country that Capital doesn't appear to operate in, to a scenario where they are negatively affected. And Capital are in a much better place than the miners themselves since their assets are mobile!

[shanklin] 24/3/2021 08:27

CAPD don't support RSG in Ghana, as per

[someuwin] 24/3/2021 08:18

Bad news at RSG. Don't know if it affects CAPD.

Resolute Mining Limited (Resolute or the Company) advises that it has today received a letter dated 23 March 2021 from the Ghanaian Minerals Commission advising that, on the instructions of the Ghanaian Honourable Minister of Lands and Natural Resources (the Minister), the Mining Lease for the Bibiani Gold Mine stands terminated. The Company has been advised to cease all activities and operations at the mine site.

[rivaldo] 23/3/2021 14:38

The move into mining services (including earth moving) has a theme which has been noted a number of times. For example:



"Although load and haul contracts tend to be lower margin than drilling, the longer-term nature of these deals means that the revenue is much more stable and less prone to the big swings in utilisation that come with running a fleet of drilling rigs."

And CAPD themselves said this, echoing the same themes, when winning the big Allied Gold mining services contract:

"Load and haul operations are a natural extension to our existing world-class drilling and maintenance capabilities. It means we can now offer clients a completely integrated mining service from initial exploration drilling right through to extraction and delivery of ore to the mill. We will draw on the extensive experience of our team to successfully incorporate and deliver this new service. It is also pleasing to add another long-term contract to our existing portfolio of long term, mine-site based projects.

Further to this, our strategic investment into Allied represents a transformational opportunity for Capital Drilling. It expands our revenue sources into less cyclical mine-site based activities, while being aligned to our growth strategy of building a superior portfolio of long-term contracts. Allied's pipeline also presents substantial growth opportunities and we look forward to working closely with the company to deliver incremental operational and productivity improvements at the Bonikro site. We anticipate this strategic investment, together with the addition of load and haul services, will provide further long-term growth opportunities with projects in the production phase and greater revenue and earnings sustainability in the future."

[currencytrader1] 23/3/2021 14:37

They would be involved in earth moving as that's what the client would request during contract negotiations.
Its called turn key,you can't always just pick the cream from a deal..
Come on, it's the basics

[shanklin] 23/3/2021 14:23

SteMIS

Certainly a good question to ask on Thursday's IMC presentation

[stemis] 23/3/2021 13:37

If CAPD's core market is so great, why are they getting involved in earth moving (or 'muck shifting' as it's known in the trade in the UK)? Certainly in the UK it's a low valued added/low margin business. Certainly Centamin don't think it's worth investing their own capital in it. Perhaps what you are seeing is the market being sceptical about how much margin there is the Sukari contract and whether raising funds at 58p delivers much overall value...?