Diamondcorp Share Discussion Threads

[ged5] 27/4/2016 12:01

Just love your positive attitude JAF.

The hint of a placing comes from looking at the share price movement. The question I asked was why? I can't see why there should be one but do you know for sure there won't be one.

There is a chart that has been circulated many times on ADVFN which shows the pattern of the share price of an exploration company that becomes a producer. Historically the share price drops just before production starts and then rises in proportion to the value of production. Maybe that's what is happening here.

Personally I don't mind if it drops lower. Time to top up if it does.

I've just noticed a few buys the last one 150K

Ignore the ticks they're meaningless.

[jaf1948] 27/4/2016 11:37

To the person who automatically votes my posts down, grow up and get a life.

[jaf1948] 27/4/2016 09:32

Unfortunately, we are now into a self-fulfilling prophesy (AGAIN !). People are selling because people are selling.

There is NO hint of a placing - the April 5th RNS specifically stated that the trucks were 'from existing cash resources' to stop that kind of speculation but alas, some people don't believe what is written in RNSs. There has been a succession of good news but many people still treat DCP as if it were a minor start-up AIM company instead of a highly profitable diamond mine less than 3 months from full production.

It is depressing seeing the current share price but IMO today's share price had no relevance to any investor who has bought with the longer term in mind.

[ged5] 27/4/2016 09:26

You could be right about that trading range, Darcon, although it does look as if it's going to the last placing price.

iiCB, you mentioned another placing. It is looking that way but why unless there's something else they need to tell us?

[darcon] 26/4/2016 18:34

Looks like we have merely moved to the Aug 14 - Feb 15 trading range. If so, then the price ought to correct itself once we get more news. Hopefully good as I would prefer the price to correct to the upside.

Clearly any potential buyers are approaching this investment with caution and are reluctant to bid up the price in anticipation of good news.

The truck purchase may be a reasonable step but it begs the question of what other unanticipated capex is required to bring this mine to planned production. In view of recent experience it's unsurprising that the purchase may have spooked some.

[jaf1948] 26/4/2016 18:23

Thank you for that - most appreciated. I know we don't agree about many things but you are always polite.

[iicb] 26/4/2016 18:19

None taken Jaf

[jaf1948] 26/4/2016 16:47

tiger,

'Jaf, take a second and reflect'. OK, you've got me. I reflected in my post last night but obviously I am too thick to see all the problems with DCP. Please help me to see what I am clearly missing.

Yes, there have been delays and cash calls over the past year or so, but that is the past. What I see now is a mine very close to full production, a company that sold $1m of diamonds in the past month and was able to buy some good value second hand trucks out of cash without having a placing. I also see a stable political environment and a strike-free work force. Where am I going wrong in my evaluation of DiamondCorp ?

Edit: Ignoring the slightly sarcastic tone, I am quite serious in wanting to know what I have missed about DCP. Of the 4 analysts who cover DCP, three say BUY and one says OUTPERFORM. A chap on another board who understands mining visited Lace recently and came back happy with what he saw. The last 3 RNSs have been positive. What should I be reflecting on ?

[jaf1948] 26/4/2016 07:14

No disrespect, but really not your business. All I will say is 'handsome'.

[iicb] 25/4/2016 23:08

I didn't say I didn't like management - or did I? I am disappointed with managemnent and their cash calls, but not with what they are achieving.

Jaf - what do you call handsome profit - a few hundred, a few thousand or tens of thousands?

[jaf1948] 25/4/2016 19:01

Reflect on what ? The diamonds have disappeared ? More dilution ? Workforce on strike ? Cave-in at the mine ? None of those have occurred (thankfully).

We had a RNS just 6 days ago with good news. We had another RNS 2 weeks before that with good news. We had a upgraded resource statement a month before that with good news.

I have held for 5 years and have had plenty of time to reflect whether or not this is a good investment. Do you really think I should get panicked by a few sells today ?

You and iiCB don't like the management. Fair enough. You sold - the correct decision for you. If I lose faith in the management, I too will sell. But for the moment, I am very happy with where we are today with full production scheduled in less than three months.

[tiger60] 25/4/2016 18:51

Jaf, take a second and reflect (but i dont think for a second you will).

[jaf1948] 25/4/2016 16:07

iiCB,

'or another cash call is round the corner from the machinery.'

That post encapsulates why I cannot take your posts seriously. You claim to be a long term holder but find fault with everything the management does. You make generalizations about 'DCP is becoming a tad disappointing as an investment' when many of us are showing handsome profits and looking forward to much more in the near future.

The RNS of April 5th specifically says 'The purchase of these trucks and loaders from existing cash resources...'. If you question what the BoD write in an RNS, why do you hold these shares ?

[ged5] 25/4/2016 15:19

Glad I didn't keep those I bought just after it came to market. 70 something pence! Took a hit but saved a fortune!

Oh yes loorush! A MASSIVE lilac and a BIG pink!

[iicb] 25/4/2016 15:18

or another cash call is round the corner from the machinery.

[loobrush] 25/4/2016 15:07

Those who sell in impatience may miss a BIG Diamond find that could occur at any time-or even a MONSTER Diamond- that would be nice.

[jaf1948] 25/4/2016 14:46

First purchase on May 31st 2011 at 14.27p but have averaged down considerably, for example 3.38p on June 26th 2013.

[ged5] 25/4/2016 14:42

I hope it was late 2011 JAF!

Just looking at the shareholders I note there are 3 directors with no shares. I think they have a very good opportunity to change that.

7.34p to buy now.

[jaf1948] 25/4/2016 13:31

'DCP is becoming a tad disappointing as an investment'

That of course depends on when you bought them. I have been buying since 2011 and although it is down on last year, I am still showing a very acceptable percentage increase on DCP, considerably more than I could have earned in a bank or building society over the same period.

[darcon] 25/4/2016 13:25

Perhaps some punters have been caught out on the drop in liquidity with T20 purchases made in anticipation of new demand lifting the stock.

[jaf1948] 25/4/2016 13:24

'Why are people selling sub 8p I wonder ?'

1. They need the money now
2. They do not have the patience to wait a few months
3. They don't trust the management
4. They are idiots

Pick any one or any combination or add your own.

Personally, I don't care what other people do. The is a good company run by a first class management team with a superb asset in Lace Mine. If people want or need to sell, that's up to them. But when the price drops 6.5% and the total sells is less than one quarter of one percent of the total shares, I really have no concerns.

[iicb] 25/4/2016 13:10

Like I said Jaf, the price is dropping. DCP is becoming a tad disappointing as an investment. Why are people selling sub 8p I wonder.

[ged5] 25/4/2016 12:17

I've been out this morning but it looks like a few larger sells which have had an adverse effect on the share price Highest volume for 3 months.

The charts have been suggesting a drop. Any thought about whether there is support at this price or a further drop to the last placing price.

Not quite oversold but getting there.

I suppose the problem with companies with just one project is that it can be perceived that no news will be forthcoming in the very near future. It doesn't really help that they don't answer emails.

I think that as they progress towards the Upper K4 a large pink or lilac could be found at any time and if its big enough there will be an announcement accompanied by a sharp rise.

7.35p to buy at the moment. Getting tempted!

[wisecat2] 25/4/2016 09:21

cheap stock for someone

[jaf1948] 25/4/2016 09:07

Yes, a 475,000 sell at 08:06.