Gem Diamonds Share Discussion Threads

[boonkoh] 06/2/2017 07:29

Regardless of what happens to the Ghagoo mine, I see am exceptional write down charge coming. As for Letseng, the company is praying that the paucity of large stones is a statistical blip, and things will return to normal at some point.... Not a very strong investment case here.

[superg1] 06/2/2017 07:12

News eaxactly as forecast many times here. Without big stones as it's a low grade mine $ per carat tumbles.

[alan@bj] 02/2/2017 14:42

Oh well, trading update next Monday, so decisions to be made then.

[superg1] 02/2/2017 13:23

Nothing

I'm not sure $9 mill will do it, but they plan to do the surface tailings first then work from there.

The main issue for Lucara was that the tech they used was missing the high quality big stones as type IIa stones don't fluoresce hence technology doesn't pick them up.

In tailings 3rd party tests they found some decent stones confirming failure.

Then along came Tomra too late for them with tech that picks them up. I believe it's that tech that Lucara use in Botswana hence the stonking finds they made.

Part of it will be all about backing which the new owners seem to have.

Why GemD hasn't grabbed Mothae is a mystery to me. Letseng is going backwards and Botswana for them is junk.

GemD need a plan B imo or they need to start finding those big stones again. I thought Mothae would be a good plan B and potentially lucrative. Mothae however would be low grade too and they have one of those in Letseng so that may be the reason. IE if you don't hit big stones you are screwed.

[alan@bj] 01/2/2017 23:17

Only $9m? What's wrong with it?

[superg1] 01/2/2017 21:28

Michael

I'm not sure if you have spotted it but GemD either didn't go for Mothae or didn't get it.

[haywards26] 22/1/2017 20:21

Tipped in the Mail (again)

hxxp://www.dailymail.co.uk/money/investing/article-4143608/MIDAS-UPDATE-Gem-Diamonds-prepares-add-polish.html

[alan@bj] 12/1/2017 16:43

I was just thinking the same myself. Wish I knew.

[jimmywilson612] 12/1/2017 16:26

Had a nice kick up recently with no news - any ideas what's going on?

[superg1] 01/12/2016 14:33

Re the hold up on Mothae a PI had comms over on PRG about things going slow/on hold.

I note mid November news show things going wrong in Lesotho with ministers sacked and resigned etc so there is unlikely to be ongoing talks about Mothae at this time and explains the long wait.

[tanelorn] 28/11/2016 16:15

Superg1 > That is a splendid analytical post..

[superg1] 16/11/2016 10:16

Michael

Not sure if you are still here but the forecast suggested re lack of big stones is proving correct and more of a dive to go yet imo.

As I said before some sales will include stones found prior to the doldrums they are in now. EG those 12 stones over £1 mill have no reference to them being found in the period just sold.

So there is further drop to come yet re $ per carat. They need big stones or that figure will continue to tumble. $ per carat is no good as a guide it has to be considered along with CPHT which I think is about 1.7.

EG if you have $1750 per carat at 1.7 cpht then the ore value is $29.75 per tonne. So then you work out costs per tonne all in.

If you have a diamond mine chucking out the normal diamonds mine doing 30 CPHT then the price per carat needed to equal the $1750 rate is $58.33.

$1750 looks exciting but $58.33 is a far safer bet as it relies on 'bread and butter diamonds' that come out the ground all the time.

I haven't looked up GEMDs costs but a geologist will say ignore $ per carat and just look at ore value per tonne v ore cost per tonne.

Letseng is only viable if they keep finding big stones and they needed 10 or more of those Q3/4 to meet previous year levels.

No news of any big diamond so far suggests they haven't found any and no time left to find 10+ in 2016 imo.

As older finds cycle through the accounts unless they hit big stones that $ per carat will keep heading south short term.

That's why the share price keeps dropping and I'm surprised why some don't understand that and the maths behind it.

[p_dharmendra] 10/11/2016 07:07

Good Q3 update ?

[ukgeorge] 10/10/2016 13:16

should get q3 results in a months time. hopefully that will give the share price a kick in the right direction.

PDL had a great breakout last week.

[imranawan] 07/10/2016 20:27

I was wondering the same thing boonkh

[boonkoh] 07/10/2016 15:42

Why is GEMD down when other foreign miners are up due to weakening sterling?

[superg1] 23/9/2016 12:21

Google alert playing up them must have been an archive

[ukgeorge] 23/9/2016 11:16

Petra looks to have broken out, hopefully these are next

[michaelfenton] 23/9/2016 10:47

So nothing new or of real consequence for Lesotho business?

[ukgeorge] 23/9/2016 10:29

this all i found


hxxp://www.dailymaverick.co.za/article/2016-09-15-amabhungane-end-in-sight-for-lesothos-troublemaker-in-chief/#.V-T1jfkrJhE

[alan@bj] 23/9/2016 10:23

That was published 2 years ago - 10th September 2014.

[michaelfenton] 23/9/2016 09:58

superg1 - where did you hear/read about latest coup attempt. I can find nothing?