"The loss is driven primarily by the Sedibelo unrealised non-cash write-down and the withdrawn higher-quality emerald auction, the production of which will be offered for sale in 2024, and is not a reflection on the overall strength of the Gemfields business," it said.
Gemfields said a review of its 6.5% shareholding in Sedibelo, the South African platinum group metals mining company, has resulted in a fair value write-down of between USD4.0 million and USD28.0 million. |
WTF? Now making a loss? |
25th March final figures and dividend news and also results of commercial emerald auction. Also analysts/investors meeting. |
Thanks Saracen. Not invested here but in URAH so very interested in the emerald market |
By end of March before the final figures |
When is the next emerald auction ? |
3 auctions in the next 14 weeks plus figures and hopefully a dividend however modest.
Evidence suggests that coloured stone demand will remain strong as the growth of lab grown diamonds is undermining confidence in white stones.
So irritating that this company continues to be happy to sit below the radar.
Very little downside here and S African seller seems to have gone. |
The emeralds from the cancelled auction will be held on the books at cost not expected value.
Capex spend has sharply increased at both mines. Montepuez we knew about but it's not obvious at Kagem.
One other problem going forward is that with the merger of Panmure and Liberum there will only be one broker covering the stock.
With regard to the dividend, it's really down to what Assore wants. My guess is that they will prioritise the longer term value by means of capex but will return anything that is genuinely spare. |
But 2024 could see best ever revenues with the unsold premium emeralds to add in. |
Holding but not impressed. Board will probably skip the dividend again now.
Mistake to spend so much in such a risky part of the world. Should have returned cash to shareholders. |
CRAZY CHEAP |
Cash is actually $50m, proceeds of last auction not banked till after books closed by year end. |
$50m capex spent on work to recover grades and to prepare infrastructure for new
ruby washplant. |
Why is the net cash so low? |
It appears that emerald production is back on track though they don't exactly highlight this. Montepuez slipping away, as expected. The new washplant is needed ASAP. |
Grades recovering, auctions restarting |
Operations update out |
Update next week. |
Large trades reported. Delayed sales? |
1.7m traded in SA so far today. Hoping seller finished. Production report due.
Chinese stimulus package expected. Crazy cheap. |
Some big trades today. Unclear whether buys or sales. |
on 18 October Assore purchased approximately 12.2m shares, taking its total stake to 340.4m shares of roughly 28.27% of Gemfields's shares for a 29.19% stake in those shares with voting rights. |
There are multiple reports of rising attacks in Cabo Delgado, why the stock has sold off IMO.
Assore holding 28% though so a low ball offer like Shanta is possible. |
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