Chaarat Gold Share Discussion Threads

[bo doodak] 30/9/2020 17:11

Looking like the area could turn into the next geopolitcal plaything for the main powers that be, regardless of the interests of Armenia & Azerbaijan citizens.

[2pablo] 30/9/2020 14:51

Umm, that's a bit of a problem, never was the most stable of regions we're invested in

[casual47] 30/9/2020 13:14

Mr A's average is below 15p, I believe, so I think he will be fine.


My only concern re. the current fighting at the borders of the Armenian enclave within Azerbaijan is to do with the refinancing and any additional funding Chaarat need near term.

While I expect the willy-waving between Azerbaijan/Turkey and Armenia to continue for some time yet I can't imagine either side would be stupid enough to really turn it up to 11 as that would drag in Russia, the wider region and maybe even NATO.

The main issue for me is, will the current issues put off lenders.

I think there will be a plan B if needs be (e.g. further extending the loan with the investor) but that won't be the cheapest option and I was really looking forward to Chaarat being able to get proper commercial loan options based on the Kapan performance.

[juju44] 30/9/2020 08:38

Soon be .. no return

[casual47] 28/9/2020 08:17

Looks like the border scuffles have intensified this weekend:

"Armenia declaring martial law and general mobilization"



Armenia is in a NATO-like agreement with Russia so I doubt this will get too hot and should probably be mostly confined to the border of the breakaway state

The conflict is about territory within Azerbaijan where the majority Armenian ethnic population have declared themselves independent.

[casual47] 24/9/2020 15:12

What's ahead:

Q3 operational results (mid to end of October)

Tulkubash BFS update

News about the investor loan (refinance/extension)

Tulkubash project finance (wouldn't hold my breath for this to be this side of Christmas, maybe more likely to complete in March 2021). My guesstimate is that they can afford to push it back to about mid-late Q2 and still keep their H2 2022 first gold pour date.

News on Kyzyltash drilling results (January 2021?)

News on East Flank exploration (any time q4 this year to maybe January next year?)

[jc2706] 24/9/2020 12:43

Thus proving that there are two sides to every argument!

[casual47] 23/9/2020 16:56

Locals demanding that the Amulsar mine is resumed



Residents of Armenia communities near Amulsar gold mine project area demonstrate outside parliament
13:04, 23.09.2020

YEREVAN. – A group of residents of the communities around the area of the Amulsar gold mine project have staged a picket at the main entrance of the National Assembly of Armenia.

They noted that they had come to ask the MPs to defend the restoration of law and order and the interests of their communities.

"We would ask our opposition MPs not to hinder us, not to fund the protesters, as if the environmentalists," said one demonstrator.

And asked whether they have facts that these protesters were being funded, the resident responded: "I have not worked in the mine for two years, I already owe 3 million drams, whereas they are able to take care for their family without working."

[casual47] 23/9/2020 16:01

Tulkubash debt payback on $80m, assuming a very conservative total cost per oz of $1200/oz (AISC of $800/oz plus other costs), 95k pa average and a gold price of:

$1900/oz, payback is 1.2 years

$1500/oz, payback is 2.8 years

Worst case, a payback dragged out for the full length of current LOM of 5 years could be done at a gold price of $1368/oz with the above assumptions.

I believe that in the first few years the annual output is higher than 95k oz, more like 110k oz pa

[casual47] 22/9/2020 21:07

It's the same presentation apart from one or two slides but notably different in terms of what they highlight, presumably because of the different audience.

[casual47] 22/9/2020 21:06

It's available on replay:

Go to


Click on "Explorer & Developer Forum 2020" and "Day 3". If you click on "live session" besides the Chaarat entry you should get the replay.

[casual47] 22/9/2020 20:59

Listened to Chaarat's Denver Gold forum conference this evening.

Things I noted:

Norges investment bank sits at 2.95%

Tulku project finance "to be in place before the snow melts" (Casual: presumably to meet the H2 2022 production timeline)

Tulku should "easily be a half a billion dollar asset". Kyzyltash multi-billion.

[casual47] 22/9/2020 11:44

Wonder if we will finally hear from the new senior VP for Exploration, Mr. Vladimir Shvetsov, whenever the updated BFS gets published.

Would be interesting to see how he differs from Dusty and whether they will continue from where he left off or instead completely go on another model.

[casual47] 21/9/2020 15:09

The generosity of PIs knows no bounds: again more than 100k shares sold cheaply and going directly from PI to Chairman.

[casual47] 20/9/2020 19:36

Another "like" with even a comment of "Great. Good luck" from the chairman of the Central Asia version of the Institute of Directors (among other things)



(If you click to the list of "likers" you'll also see these frequent likers: EBRD senior banker and the partner of Verny Capital which owns RG Gold in Kazakhstan)

[casual47] 19/9/2020 12:17

If we assume Tulkubash will produce 95k oz pa then a 2.5% net smelter agreement over the current LOM of 5 years and using a gold price of $1500/oz will already deliver ~$18m.

So it's not that crazy an idea.

[casual47] 19/9/2020 12:09

They have already a (non-binding) commitment for $31.5m of the $110m needed for Tulkubash.

Don't know how feasible this is but rather than wait for the "big bang" it would be good if they could get a second (non-binding) agreement for e.g. $25m of the remaining $78.5m, e.g. via a royalty or streaming agreement.

If the development banks then need a few weeks longer then so be it, at least there will be some renewed momentum.

[casual47] 19/9/2020 10:33

Chaarat has the advantage of being a multibag exploration play (potential well above 1 billion USD) but with the quirk of already having positive EBITDA, positive cash flow and being derisked on the downside by virtue of having a producing mine which should support the shareprice well into the 20s.

[malcontent] 19/9/2020 09:09

interesting also that in the current "bubble of babble" that has developed around precious metals stocks, I have not seen CGH touted or even mentioned once on the other boards
So we appear to be under the radar at least as far as most PI's go

[2pablo] 19/9/2020 08:30

Nice one 'lsa', going to be an excellent few years

[isaisa1] 19/9/2020 01:10

I attended the presentation today and thought the management did an excellent job . I have a few things to research nowLots of upside here I think and the ceo and cfo spoke with real passion

[casual47] 18/9/2020 12:56

Would be nice if Mr Labro really pushed things into mid or high 40s, just to see what happens.

If he were to time it with e.g. the q3 operational results then the net result might be that a new set of retail investors might become aware of Chaarat.

[casual47] 18/9/2020 10:55

Looks like Polymetal sold Lichkvaz last year. Can't find who the buyer is.

[casual47] 18/9/2020 10:44

Interesting that the 3rd party ore comes from Lichkvaz.