China Nonferrous Gold Share Discussion Threads

[hari] 30/9/2022 10:49

Cash and cash equivalents at the end of the period amounted to US$11,791,206 (30 June 2021: US$2,140,259). As at 30 June 2022, the Group had net liabilities of $31,304,559 (30 June 2021: net liabilities $21,518,316).

Outlook


The Company remains confident in its ability to achieve the internal production target of 700,000 tons of ore set at the beginning of this year. This is considered an achievable target.

H2 should be better production numbers, but this will be offset by lower Gold prices and challenges mentioned here

The Company continues to seek to improve its production capacity through technological innovation. Whilst improving production, the Company is also focusing on perfecting and improving the smelting process by reducing production costs, increasing recovery rates and improving competitiveness.

Whilst the Company has taken big strides in the production and operation of the Pakrut gold mine and achieved much, there are still challenges to overcome and targets to meet, such as: further high ore grade, improvement of internal controls and improved warehouse management. And due to the insufficient capacity of the flotation tailings pond, compared with the same period in 2021, the progress of production tasks lags behind to a certain extent. In the second half of the year, the production and engineering construction organization are under great pressure and the task is heavy, all of which we will look to address in the coming months.

Debt reduction not much to say there, not much progress due to above.

Need to Gold to reach much higher to make this a buy again

[wanobi] 30/9/2022 10:28

numbers out Mj, what do you think? Cheers Wan :-)

[mattjos] 16/8/2022 09:42

the sector as a whole rather out of favour all year. we'll have to wait and see how far and how high the FED can get rates before they are forced to reverse course .. I am guessing Sept/Oct this year will probably prove to be the pivot as underlying data in USA is souring but, never clear during the summer

[hari] 16/8/2022 07:08

share performance, lack of regular updates, no news on expansion which would change the fortunes here

[beeks of arabia] 16/8/2022 07:00

Hari - what do you see as a basketcase? The share price? The company in general?

[hari] 16/8/2022 06:36

Lost patient with this one after June update

[hari] 16/8/2022 06:35

Mattjos,

Not ruled out a Gold move up eventually this year.

What Gold producers would you recommend if that happens.

Been looking at CEY and AAZ for that time

[mattjos] 15/8/2022 19:01

Yes, Mkt Cap now down to US$19m

[hari] 15/8/2022 09:57

glad I sold in June.

This has become a basket case

may a double bottom trade at 3p

[hari] 15/8/2022 09:56

glad I sold in June.

This has become a basket case

[leopoldalcox] 15/8/2022 09:16

Anyone brave enough to top up at this level?

[mattjos] 10/8/2022 22:03

September some time, i believe

[leopoldalcox] 10/8/2022 20:53

Anyknow know when we expect the next news here?

[leopoldalcox] 04/8/2022 14:28

This looks like it may test all time lows given a few more months

[mattjos] 30/6/2022 20:50

Agree with you both.
Stripping out, what I hope is a one-off Tax charge (for whatever reasons) & the CV19 costs, the company would have declared a maiden FY profit as I had anticipated & that (together with what we now hope is the end of Covid) should have been sufficient for the management to press ahead with the next expansion phase of the mine.

I'm not minded to sell any of the shares i own as i believe the management will continue to display the resolve and resilience demonstrated to date and master the challenges.
Whilst I'd much rather the management salaries were going up in line with profits, the fact that the BOD have voted down their own remuneration shows their intent to get on top of this.

I have written to the company offices in London asking for a way that shareholders may raise questions to the Board and that these get answered in full.
The AGM location denies UK shareholders the opportunity to attend in person but, there should be a way for shareholder questions & Board responses to be aired as part of the AGM statement.

If I do not get a satisfactory reply from Maryna in the London Office, I will revert to the email address given for the Beijing office on the company website.

Final course of action will be to write to Katie Mitchell at WH Ireland (Nomad)

Given that a single shareholder rarely gets response these days, I would suggest others (Politely please) attempt same, if they are so minded.

Contact details may be found here:



I have Katie Mitchell's email address but, will not post it on the Boards at this stage.

Suggest those that do attempt contact, share their experiences here and maybe, if we end up having to contact the Nomad, we do so collectively in the one email.

[joey wilson] 30/6/2022 20:25

The problem now is more questions that could do with being answered by the company. However they do not answer our questions. I agree with above. Dead for another 12 months. Expect this to slide short term, if anyone else tries to sell in volume.JW

[elpirata] 30/6/2022 20:03

Only had a chance to glance through the rns up to now & thats a fair summary thanks Mattjos, I'd take those results barring the curveball tax charge

The Tax Committee does not recognise some of the expenses that the Company considered deductible which lead to an additional tax charge

If the tax inspection went retrospective behind y/e 21 then surely the prior years plc accounts would have to be restated - there is no mention of this so do we assume it relates to 21 in isolation? Is it a one-off exceptional tax charge?

Whatever, the investment rationale is in question here & for what is a highly illiquid share.

I'll just park this one up until 'this time next year Rodney', doubt if I'd be able to sell in volume anyway.

[mattjos] 30/6/2022 19:09

'Above the line' the mine itself is performing well and the operational metrics continue to incrementally improve.

Gross Profits ($34.7m) were highest yet reported & so too was Gross Profit Margin.

Finance costs have reduced by $5.1m YonY (to $10.8m) & are now 50% of those reported in FY2019.

'Below the line' things are frustrating.
We just have to suck up the transitory additional costs related to Covid 19 - these now seem to be ending according to relaxation commencing 1st July.

The Income Tax is the bombshell that the company must surely now get sorted with specialist advisory consultant or such like.
It appears they have had a site visit by the tax authorities and been clobbered as a consequence.
Whether this is a one-off event provoked by the Tajikistan finances being in such a parlous state as a result of the pandemic cratering the economy and/or some sort of complete balls up by the company FD & Dept is simply not clear & merits much further explanation by management.

Management Remuneration has certainly been dramatically cut this year and looks to me like a clear message from the company that significant improvement is now being called for if Pay & Rations are to rise again - certainly not what you usually see in many other AIM companies who would normally keep salaries the same and just do another equity raise.

There is a sound underlying business here .. now valued at just under $24m - 33% of FY Revs / 70% of FY Gross Profits.

[beeks of arabia] 30/6/2022 17:19

Spending his 5.1m presumably :)

[wanobi] 30/6/2022 16:41

Hmm $824,000 to $6,012,000,,, tax inspection,,, what's the accountant been doing!?

Cheers
Wan!

[hari] 30/6/2022 14:59

Good luck all with your investments

Dire period for markets coming