Central Asia Metals Share Discussion Threads

[arphillips] 27/6/2013 19:32

New minesite article:



All sounds very positive with half year production update next week.

[arphillips] 27/6/2013 17:44

Update received then on acquisition of remaining 40% of Kounrad as promised.

Its obviously slightly disappointing that the cost of acquiring the remaining 40% has increased substantially. However, the terms of the original deal were on the face of it just too good to be true so a change of terms comes as no major surprise.

The good news is that the company is increasing its size by 66.6% on acquisition of remaining 40% at the cost of increasing its share capital by just 25% plus a cash payment of £904,120. That is still a cracking deal.

Just looking at the numbers in detail its costing 21,211,751 shares at a current price of £1.12 that's £23,757,161 plus £904,120 giving a total cost of £24,661,281. Last year the profit before tax attributable to the 40% interest was $14.4m (approx. £9.4m) with gross assets of $30.1m. With a tax rate of 30% that's a profit after tax of £6.6m resulting in an historic PE acquisition rate of 3.75.

Also, once this transaction is concluded the company can make a decision on whether to build a second plant or alternatively seriously consider other possibilities with their cash pile.

[danieldruff2] 27/6/2013 11:19

SP Angel comment on the deal on the proactive site (can't post the link for some reason)

[joan of arc] 27/6/2013 11:04

All these delays in finalising the contract smelled of something like this. So CAML blinked first. Originally the deal was for 8.6m shares, now it's 21.2m and £0.9m cash. The latter seems to suggest that the SUC portion is going to take up to 2 yrs more to hand over. Why?
Now that the price of copper has dropped 10% in the last couple of months and is probably still on its way down this whole deal probably leaves the share price pretty close to fair value.
I wonder what the next Edison report will have to say now that 'cream' on this deal has been skimmed off.

[nhb] 27/6/2013 09:33

Morph7, why the "hmmmm"?

Is that number of shares different from your expectations?

[morph7] 27/6/2013 08:14

Dan, I think the CEO had meetings in Africa regarding opportunities for CAML hence the statement you quoted. No opportunities were identified. 21 million shares issued........... Hmmmmmm

[danieldruff2] 27/6/2013 08:07

There's a subtle change from the Finals, where they said:

"Whilst the Company started out with a focus on a geographical region in Central Asia, the strategy moving forward will not be constrained by such considerations and may well consider opportunities in other jurisdictions around the World."

ie - goodbye to Asia

Today they say:

"the new agreement entered into with Kenges, brings with it a strong local partner who is prepared to support and represent the Company's interests, deliver the deal in a timely fashion and to identify new potential opportunities for the Company across the region"

ie - hello to Asia

[fangorn2] 27/6/2013 08:00

Completing acquisition of 40% Kourad not currently owqned by Q3 2013

"On Completion, CAML will issue 21,211,751 ordinary shares in the capital of the Company ("Ordinary Shares") to Mr Rakishev (representing 20 per cent. of the post-Acquisition enlarged share capital) (the "CAML Shares") as well as a cash payment of up to £904,120 in lieu of any dividends"

[arphillips] 24/6/2013 08:59

As per the minesite article dated the 9th April we are due an update on the acquisition of remaining 40% of Kounrad in the second quarter so hopefully we will get some news before the month end.

The year end results revealed that they were waiting for the interest in the JOA (Joint Operating Agreement) and the SUC (Subsoil Use Conditions) to be transferred from SEC Sary Arka to SAT Group. Once this is completed the transfer to CAML can begin.

[danieldruff2] 23/5/2013 18:39

Interview with the CEO - minesite requires free registration

[nhb] 22/5/2013 10:33

If this keeps on I'll have to buy some more! It would be rude not to.

[nashwan123] 21/5/2013 23:06

Your right I bought 8551 at 110.75 which shows as a sell. Doah!

Expect these to rise back to at least £1.20 in next few days. This company is exceeding production levels, paying 20% divi and only 84M shares in issue.

[garywigley] 21/5/2013 15:38

Looks like a few buys shown as sells today as usual, my top up included. I'll keep topping up at these sorts of levels when cash allows.

[morph7] 21/5/2013 11:43

Yes, good RNS this morning. All on schedule to smash 10,000 this year, happy days.
This share needs more love.

[king suarez] 21/5/2013 11:22

V good news. Would like to top-up here but no spare funds! >.

[danieldruff2] 21/5/2013 08:29

It's because it has such a boring name. I keep thinking it is called Central Asia Minerals, very easy to get confused. Added some more this morning.

[nhb] 21/5/2013 08:24

More good news. No wait, more great news from CAML and yet little response in the share price. This company is a money machine and yet it's unloved. Very strange.

[morph7] 20/5/2013 17:56

Good article on copper prices for 2013

[morph7] 19/5/2013 12:14

Is anyone going to the AGM on the 22nd? I'm oversea's so cant make it.
If anyone is there can someone please ask if there is a share buy back imminent because at these prices it would be foolish to pass the opportunity up.
Thanks in advance.

[fangorn2] 09/5/2013 17:43

More a case of Copper prices remaining where they are/rising Morph7 in conjunction with your list of non occurrences. But yes, I share your sentiments.

Buy on weakness, tuck away.Hopefully prove to be a nice little earner in 20 years.

[morph7] 09/5/2013 16:35

Good time for a top up I think. Unless world war 3 starts in Kazakhstan, or corporation tax rises to 99% I think we have a nice dividend payer for many years.
Thin volumes are crippling the share price at present. I think CEO should buy a few hundred thousand as he already has the permission.
2nd or 3rd quarter should see an update on the 2nd plant. Or more to the point, probably the ongoing saga of dealing with the Kazak Government. Lets hope its resolved.

[fangorn2] 09/5/2013 12:29

Guess the mess over at ENRC viz corporate governance,SFO enquiry,and now the latest aren't helping sentiment towards Kazakhstan miners...



Load of tosh imv - the corporate governance angle that is.And thus, the ridiculous waste of time the SFO investigation will be.

[nhb] 09/5/2013 10:28

I guess it's top up time soon but very frustrating how this is being ignored. Patience the name of the game (again!).