Condor Gold Share Discussion Threads

[saturdaygirl] 19/2/2015 21:43

Great post

Why have the plebs on LSE not picked this up ....

[sir andrew ffoulkes] 18/2/2015 15:14

Just received this circularised email from Mark Child. This of course will be his personal view and not a corporate one but nevertheless it is worthy of discussion:

"All,

Timmins acquisition of Newstrike for C$140M is after a PEA, not a PFS. Newstrike does not have independently verified reserves and a dozen studies that come with a PFS. They will require a lot of infill drilling and a dozen studies to take Newstrike to PFS, cost US$10M to US$15M? One way to value an explorer is per production ounce. The PEA provides 957k oz gold production over LOM. US$1 = CAD 1.24. C$140M = US$112.9M or US$118 per production oz.

Condor has a 675k oz gold reserve at 3.0g/t gold and if feeder pits are added, production is 774k oz over LOM. Using the Timmins US$118 per production oz = US$91M

Condor has a PEA showing all open pit + underground production is 1.2M oz gold over LOM. Using Timmins US$118M per production oz = US$142M

Using a US$60 per resource oz gold in the ground. Condor’s 2.33M of gold on La India project = US$140M. Add in the silver and Rio Luna resource and Condor has 2.5M oz gold in Nicaragua = US$150M

Condor’s current market cap it US$42M

Just initial thoughts. Have not read Newstrike’s PEA.

Mark"

[sir andrew ffoulkes] 18/2/2015 10:24

J2 as ever things are more complex than just a low Gold price. With the price of other variables also falling (Oil for example), other direct and indirect costs of operation (and capex) will also fall. As these things are happening in tandem with a falling Gold price, for now at least things aren't all bad for producers. If on the other hand other prices start to rise to their previous heights and Gold falls then they may have a problem.

Another point worthy of note, the USD is very strong at the moment. Gold is sold in USD but costs are often in the weaker local currencies - so cheaper for producers to buy as USD rallies.

Caveat: We are not a producer.

[saturdaygirl] 17/2/2015 19:22

Same old holders posting on a newer thread with less info .. crazy

[saturdaygirl] 17/2/2015 19:21

jeansey

That's whats wrong with this header ..no gold charts , everyone is blind

Some of these should be in the header

[jeanesy2] 17/2/2015 18:24

With gold now heading sub 1200, drip drop lower still.. ! This should be the end for many producers as they will not be profitable .. If we ever get producing we will still be alright for now, but a low gold price will not really help our cause.

[jeanesy2] 17/2/2015 11:11

All is soooo quiet here. Soil sampling results due in March , hopefully good, may wake things up . Time to go back to sleep again !

[rhuvaal2] 13/2/2015 17:27

Am relaxed ~ thinking of some't else until the globe turns a few times more :)

[sir andrew ffoulkes] 12/2/2015 09:52

Often the problem is PI's obsess about specific individual shares and do not open their eyes and look at other well funded juniors with good assets and see how they are fairing. If they did they would realise this is not a company specific issue but a much broader problem of lack of appetite for risk assets of this nature.

It's always worth looking back to 2010 when CNR finished as the leader of ALL AIM stocks in terms of % growth. Now today we've come a long way from there. Much improved and declared resource base, fully funded for over the next 12 months and yet sold off to these levels. 2010 was probably irrationally exuberant but the sell off since is also irrational and is not solely accounted for by the PoG but by a lack of upbeat sentiment. Things of this nature are cyclical, it is just a matter of time.

[steeplejack] 12/2/2015 08:50

Very true Sir Andrew,so trying to rationalise what is(in the context of assets) irrational,is a fruitless exercise.The current share prices of a multitude of junior explorers are absurdly depressed but something is only worth what someone is prepared to pay.Recently,Herencia sold some assets to a private equity outfit for ten times book.Some of these minnows are worth more dead than alive!That's because the markets are fixated with who's going to pay the food bills.Cash flow considerations hold sway,strangling what may be regarded as sensible ratings.

[sir andrew ffoulkes] 12/2/2015 08:17

harebridge you are mistaken (but probably not about subtle arch ramper Jibbo), the assets here are worth far more than present market cap, most likley a multiple of 3-5 times. It's just in the present market with sentiment at ALL TIME lows everything gets sold off especially those that have no revenue stream.

[saturdaygirl] 12/2/2015 00:28

steeplejack

Could that figure reach $11 ..no decent news coming up

40p at a guess ?

[steeplejack] 12/2/2015 00:12

"Current market cap equals $15 per oz in the ground"

[harebridge] 11/2/2015 20:28

You guys should never have listened to that pump 'n dump merchant Jibbo!!Anything connected to jim Mellon was always doomed to fail.No interest here, so will be sold for a token amount. Will be very surprised if this pile of poo fetched more then $1 million.

[jeanesy2] 11/2/2015 19:29

Sorry to see it drop into the 50's so quickly !! Where next is the question. All support lines now seem to be broken .Pog is also heading below 1200. If i wasnt losing so much already i would be gutted !

[usmcgs] 11/2/2015 16:13

Moving down into the 50 Was hoping for an offer but if that is looking unlikely I am not sure what is going to change this positive in the near term

[john6185] 11/2/2015 12:42

It would be good to know just how many producing mines went into care and maintenance last year.I understand that based on average cost of production at $1200 per Oz, the "average" producer would have been break even at best.Lower output should have reduced mine supply. I'm not suggesting the PoG should have gone up ..... as paper naked short futures are just another firm of money printing.. But here they are tokens for physical goldBut how many operators stopped production?

[jeanesy2] 10/2/2015 19:22

looks like we are heading sub 60p again!!

[sir andrew ffoulkes] 09/2/2015 14:16

.....and of course j2 as has been said by those far more intelligent than I, the cure for low prices is of course low prices.

[jeanesy2] 06/2/2015 18:49

Price of gold now reaching critical levels for most miners. I am fed up of hearing all this nonsense of it reaching 1400+. Folks time to get real it is not going to happen any time soon !!

[aim_trader] 06/2/2015 12:57

Last night's Proactive Investors presentation by Mark Child:

[plasybryn] 06/2/2015 12:21

Did no one go last night?