Condor Gold Share Discussion Threads

[hellisreal] 27/9/2012 19:30

Thx deadcert
£3-£3.25 is then fair value. With us now at £1.75 we are at Half price it seems.

[deadcert] 27/9/2012 19:13

hellisreal. seepost from jibbo lse bb.

1. An excellent management team of Mark Child, Jim Mellon and Roger Davey. Mark Child's negotiation skills have contributed significantly to the resource in Nicaragua growing from 41,000 oz to the current 2.49 million oz at an average cost of just $4 an ounce. The industry average is $20 an oz.

2. The high grade of gold. The 2,497,000 million ounces in Nicaragua is at 4.6 g/t

3. Nicaragua is a mining friendly country with several established gold mines and the World Bank has recognized that Nicaragua is now the top location in Central America for investor protection. The exploration and mining licences held by CNR were awarded for a 25 year period. Despite the presence of B2Gold in the country with two operating mines and over 100k oz pa production, it is CNR that has by far the biggest resource in Nicaragua.

4. The recent RNS has confirmed a maiden open pit resource of 954,000 oz at a very high grade (for open pit) of 3.6 g/t. B2Gold, which operates a 100k oz pa open pit nearby, has an average open pit grade of 1.8g/t and operational costs of $500 an oz. CNR should be able to produce at nearer to $325 an oz, given the higher grade, and La India District will host one of the lowest cost mines in the world. By combining high grade narrow vein mining with open pit, a mill producing at least 150k oz pa should be feasible (based on the resource to date, which will continue to grow rapidly) and that will hopefully be confirmed in the forthcoming PEA in October.

5. The aim is to prove up a large commercial reserve at La India District. The NI 43-101 total in the District is now 2,410,000 ounces. CNR's recent drilling has been highly successful, not only returning some bonanza grades, but also in terms of the ounces returned per metre drilled. The industry average is 250,000 oz per 5000m drilled or 354,000 oz per the 7090m drilled by CNR. The rate of return at La India has been 525,387 oz per 5000m - more than double the industry average.The last 7090m drilling campaign cost around $1.1 million and resulted in 750,000 new ounces (of which 500k were Indicated). That works out at around $1.4 per ounce. Soviet exploration estimated 2.4 million oz in the District but CNR has been exceeding the Soviet figures by more than 50%. CNR has since made several new and important discoveries and it is no wonder that Mark Child is now talking about the likelihood of 3.6 million oz in La India District.

6. Good local infrastructure with a main road, water, cheap labour and power lines nearby.

7. Ocean Equities have previously suggested 220p per share based on 1.5 million ounces – CNR now has 2.49 million oz in Nicaragua. Independent broker Optiva has valued CNR at 296p prior to the recent addition of 750k oz and 500k of Indicated ounces. B2Gold's recent purchase of two concessions in Nicaragua (which contain an unclassified 350k oz of gold) equates, pro rata, to 500p per share. Edison value CNR's revised resource at £3.25 a share.

[judijudi] 27/9/2012 18:08

Lets hope so Helli

[hellisreal] 27/9/2012 17:42

What is fair value?

[hellisreal] 27/9/2012 17:38

LOL
Yep up and through the £2 is just a matter of time now.

[judijudi] 27/9/2012 17:33

Better day. Lets hope we can now push on up to and through £2

sweirdo

How's that?

[scientologyweirdo] 27/9/2012 13:11

Latest presentation:

[scientologyweirdo] 27/9/2012 12:55

A.M. Kitco Metals Roundup: Gold Modestly Higher as Outside Markets Mildly Bullish

Thursday September 27, 2012 8:07 AM

[sunjammer] 27/9/2012 12:47

Latest presentation:

[scientologyweirdo] 27/9/2012 12:45

judijudi so quiet today

[rfv] 27/9/2012 10:43

Yea well done deadcert. Puts back some confidence. I always thought the support was 160p but with the share price continually dropping you start to doubt yourself.

[psolomons] 27/9/2012 09:39

Brilliant post deadcert. Now that's what I call a piece of useful information. The CEO putting in writing that the market hasn't spotted why the shares WIlL be re rated.
I know its a repost but still very worth while seeing.

[warmsun] 27/9/2012 09:39

Timely = lucky.... :)

[sunjammer] 27/9/2012 09:37

Timely indeed.

[warmsun] 27/9/2012 09:16

Timely top-up purchase for me this morning... :)

[scientologyweirdo] 26/9/2012 16:05

That sort of cool-headed analysis will go over the heads of AIM punters.

[deadcert] 26/9/2012 15:55

An excellent post from Anna on the LSE bb. This is a reply from Mark the CEO this afternoon.


Today 15:03
I did wonder why MC did not follow that comment re the date of the PEA up with an explanation of the delay.

I have contacted Alastair Ford at Minesite for clarification and awaiting a response. Meanwhile, this is Mark's response.

" Minesite article, which i have not seen, is incorrect. The technical 43-101 report for the resource is due by mid October and the PEA is due mid November and possibly sooner if i can get it completed. The PEA is important as it is will be the first document that details the economics of the project. I expect a re-rating of the shares once the PEA is published for the following reasons:

1) the grade on the open pit is very high with 977,000 oz gold at 3.7g/t with 550,000 oz gold in the indicated category with a cut off of 1g/t. B2Gold's open pit at La Libertad produce circa 25k oz gold at 1.667g/t in the last quarter for $503 per oz. La India open pit should have very low cash op costs

2) The resource upgrade doubles the theoretical recoverable metal to 1.46m oz gold. I don't think the market has worked this out. The previous 1.6m oz resource was deemed underground and had contained metal of circa 980,000 oz gold, assuming 80% recovery from underground and 90% recovery from processing the "recovered metal" is 705,000 oz gold. The 2.4m oz resource has 970,000 oz open pit, which all goes through the mill, assume 90% recovery the "recovered metal" from the open pit is 873,000 oz gold. The underground resource is 1,430,000 oz gold. Assuming the same conversion ratio of resource to theoretical contained metal of 57% used in the mining concept study, 80% recovered from underground, 90% recovered after processing; the recovered metal from underground is 586,000 oz gold. Total recovered metal from open pit and underground is 1.46m oz vs 705,000 oz gold from the December resource. The PEA should produce a substantial increase in NPV.

Mark

Yes...and a follow up email from Mark saying he has emailed Alastair to correct the article



ps...Illhave and Jibbo...A busy CEO is never too busy to put right an error

[deadcert] 26/9/2012 15:52

An excellent post from Anna on the LSE chat bb who had a reply from CEO Mark

Today 15:03
I did wonder why MC did not follow that comment re the date of the PEA up with an explanation of the delay.

I have contacted Alastair Ford at Minesite for clarification and awaiting a response. Meanwhile, this is Mark's response.

" Minesite article, which i have not seen, is incorrect. The technical 43-101 report for the resource is due by mid October and the PEA is due mid November and possibly sooner if i can get it completed. The PEA is important as it is will be the first document that details the economics of the project. I expect a re-rating of the shares once the PEA is published for the following reasons:

1) the grade on the open pit is very high with 977,000 oz gold at 3.7g/t with 550,000 oz gold in the indicated category with a cut off of 1g/t. B2Gold's open pit at La Libertad produce circa 25k oz gold at 1.667g/t in the last quarter for $503 per oz. La India open pit should have very low cash op costs

2) The resource upgrade doubles the theoretical recoverable metal to 1.46m oz gold. I don't think the market has worked this out. The previous 1.6m oz resource was deemed underground and had contained metal of circa 980,000 oz gold, assuming 80% recovery from underground and 90% recovery from processing the "recovered metal" is 705,000 oz gold. The 2.4m oz resource has 970,000 oz open pit, which all goes through the mill, assume 90% recovery the "recovered metal" from the open pit is 873,000 oz gold. The underground resource is 1,430,000 oz gold. Assuming the same conversion ratio of resource to theoretical contained metal of 57% used in the mining concept study, 80% recovered from underground, 90% recovered after processing; the recovered metal from underground is 586,000 oz gold. Total recovered metal from open pit and underground is 1.46m oz vs 705,000 oz gold from the December resource. The PEA should produce a substantial increase in NPV.

Mark

Yes...and a follow up email from Mark saying he has emailed Alastair to correct the article



ps...Illhave and Jibbo...A busy CEO is never too busy to put right an error

[yangou] 26/9/2012 13:32

Saying it will go down to 150p is a very reasonable assumption as that looks like a support level.

[judijudi] 26/9/2012 13:22

helli,
I'm not a yes man. If I think a share will go up I say so. If I think it will go down I say so
I'm not here to fib or to make you feel better about your investment!
The bb's are for debate (and honest debate at that) just coz I feel a share that I hold will drop does not warrant your having a go (or the Muppet)

Shares go up as well as down (or hadnt you noticed?)

End of!

[hellisreal] 26/9/2012 13:13

Judi
Why would you talk down OR put a negative spin on these if you hold 10k. Makes no sense.

[warmsun] 26/9/2012 12:55

The market is over 1% down!!!!