China Nonferrous Gold Share Discussion Threads

[danmart2] 12/2/2021 20:51

Radio silence on debt restructuring and debt reduction

Fantastic asset, so little comms

[danmart2] 07/2/2021 00:22

Until the debt issue is addressed (even a debt pay off plan would suffice) the share price won’t move up.

[jailbird] 04/2/2021 16:37

Agree I much prefer debt over dilution As long as there is sufficient cash flow so service the debt I do not see a problem .If Gold prices tanked ( highly unlikely ), then CNIM would just take the mine .I guess ignore the shares in issue and look at the market caps . But there is A the problem of holders from fund raising that sell into good news and hold the price back for long periods

[mattjos] 04/2/2021 16:25

I know folk don't like the debt here, it's all most seem to want to talk about.

I guess I'm a bit more glass half-full about the company and just what they have achieved to date at Pakrut, despite a seeming never ending series of challenges but, that's mining for you and the road from Mine Plan to mine completion virtually never goes to plan.
CNG are very fortunate to have CNIM backing them .. they've got financial firepower, purchasing scale & they are the sort of entity that can & does see the bigger, longer-term picture.
If it were not for CNIM we too would have 2Bn+ shares in issue here & probably still not even be in production.

[jailbird] 04/2/2021 16:09

Think I will also keep my eye on this one as well

[jailbird] 04/2/2021 16:08

Over the longer term

[jailbird] 04/2/2021 16:07

Agree with your 4p target to be honest . Still 2.5 times the current price .I was trying to compare the market caps as the same but MTL's balance sheet is much stronger than CNG's Wondering if it was better value You you see this as a better value and appreciation play

[mattjos] 04/2/2021 16:03

not my bag thanks jailbird. 2Bn shares in issue & I'm not keen on the Nomad.
Can't see it going much above 4p for a long time

[jailbird] 04/2/2021 15:57

I am following oil and commodities now , in particular nickel and copper

[jailbird] 04/2/2021 15:54

Been talking to my brother hari about this one So I thought I mention it hear Wondering what your thoughts are Sorry off topic slightly everyone I do not hold CNG or MTL Hari is invested here

[jailbird] 04/2/2021 15:52

MattjosHave you looked at the MTL , it was a basket case early last year but have turned it around .$15.6m cash $132m debt 6years LOM but further areas to expand I read Debt paid of in 2.5 years Q4 2020 of 20,295 ounces,.. $13.6m free cash flow .Same market cap as CNG worth comparing valuations and which one is cheaper

[dvwrd] 04/2/2021 14:51

Likewise, took a few more a couple of days ago when it ducked under 9p.

[mattjos] 04/2/2021 10:05

few more for me this morning at 9p

[mattjos] 28/1/2021 16:14

irritated from Derbyshire …. just as I pressed the button to take 50k at 8.95 earlier, platform reported price no longer available.
L2 shows the Buyer took the full 21,507 indicated at the 8.95p Offer and then a further 50k at 9p for good measure.
This is so clearly being accumulated by a buyer and they are mixing up the methodology for how they are acquiring them all

[eke] 27/1/2021 04:19

Well said Matt.The rewards are here for those who are patient enough to wait for them.

[mattjos] 26/1/2021 21:19

and again today .. the buyer seems to have changed tactics for now and is buying up all the little sales in small parcels & flurries. I am curious to see at what point (if at all) as we approach the February update, will the volumes begin to increase. I'm sure much too boring for any of the usual AIM herd to have an interest in but, i remain persuaded that we are gradually seeing a very significant mining company emerge.
CNMIM is an ambitious and successful corporate entity. They are not here just to support Pakrut ad infinitum. I don't doubt the mine will become self-financing once Phase II is successfully implemented & that CNG will expand & grow beyond just Pakrut

[mattjos] 22/1/2021 12:54

I'm sure it's just co-incidental .. todays figures and the Phase II CAPEX figures.

[hari] 22/1/2021 09:32

The way this Co reports really does not help with understanding the balance sheet.

Look how long it took to figure out the total debt.

Have no idea if the Co has sufficient working capital or can service the debt.

It cannot even at the GOLD prices.

Bring on phase II.

Need to forget about reporting penny movements and what is being bough or sold , all irrelevant in the short term.

I think the same holders are buying and selling.

[fozzie] 22/1/2021 09:05

I was expecting news on the broader refinancing that was mentioned in the interims last September. Paying down debt or a full refinancing package has to be priority one.

[mattjos] 22/1/2021 09:00

whatever it takes to bring Phase II into effect is fine with me.
It does not make sense to defer Phase II as the additional costs are a fraction of those for Phase I but, the end result is very significantly greater production & associated economies of scale.
The plan is to achieve Phase II and so they are sticking to the plan.

It would be worrying if the mine was not actually running per the mine plan with regards processing capacity / grade / recovery rates but, it is so, crack on with Phase II per the plan

[hari] 22/1/2021 08:51

Mattjos,

I certainly was not expecting more debt to be taken on, were you?

[mattjos] 22/1/2021 08:22

I assume by the response here that folk would prefer the normal equity placing instead?
Phase II implementation is clearly moving ahead

[diablo26261] 22/1/2021 08:13

Unfortunately yet another last minute kick the can down the road for a year with a short term solution.

The debt is a lingering issue and a longer term financing agreement will be necessary to lift that black cloud (a little) plus some positive financial performance and news flow.