Goldplat Share Discussion Threads

[lowtrawler] 18/9/2023 14:35

On a related note. What percent of attributable profit do you believe would be fair to return to shareholders over a cycle?

If GDP are neither growing nor declining, I would expect 100%.
If GDP is declining, I would expect more than 100%.
If GDP are growing, I would expect less than 100%.

Essentially, over the life of a company, all attributable profits should end up being returned to shareholders. As they have £9.5m of retained attributable income at the end of 2022, that is £9.5m shareholders have already invested for future growth. IMV, GDP is a mature business and should now be aiming to return 100% of future attributable profits.

[lowtrawler] 18/9/2023 11:07

ACT / MF, I would be less concerned at their lack of share buybacks / dividends at the moment because they are making a lot of current year investments. I still think it is a published policy that is needed. If shareholders know that x% of attributable profit will be returned over a cycle, it will have a similar impact.

[dangersimpson2] 18/9/2023 09:25

They would be in a close period if pre-covid reporting timelines are returned to. Let's hope the new auditors PKF Littlejohn are better staffed than BDO appeared to be.

End of September results may be a bit of a stretch with a new auditor but as long as we don't get suspended again I will be happy.

[michaelfenton] 18/9/2023 08:58

Good question ACT.

[arlington chetwynd talbott] 18/9/2023 08:21

In the meantime, why on Earth are they not cracking on with more buy backs?

[michaelfenton] 17/9/2023 10:08

OK Lowtrawler but he must have an exit plan or a takeover?

[lowtrawler] 17/9/2023 09:04

MF, I believe Martin will still be in paper profit at current prices. His holding was built in H2 2020 and he probably paid less than 6p on average. Not that this means much. He wouldn't be able to sell without crashing the price.In 3 years, his visible achievement is getting GDP to return the proceeds of Kili via buybacks (and even those were not returned in full).

[michaelfenton] 16/9/2023 12:15

Well it appears that Martin Oii is playing a long game? Without looking into things further I assume he is underwater with GDP. What his plans are I have NO idea. Just praying that he is going to provide shareholder value.

[kimboy2] 16/9/2023 11:53

That rather assumes that Martin Ooi has the firepower to buy the whole company, or wants to. He runs some sort of medical company in Australia IIRC.

DRD would get 70% of the shares without Martin. They could buy him out in a year or two. It seems such a good fit, and cheap. There must be a reason why it isn't happening.

I suspect that Martin ooi has raised the issue at board level. It has to be one of the strategic options. Werner didn't like the idea in the last webcast.

Whatever the arguments it would be a good time for some buy backs, assuming we are allowed and have the cash.

[shill10] 15/9/2023 12:32

and DRG will know there is a chance Martin could outbid them

[shill10] 15/9/2023 12:07

the best answer is that Martin wants more, Kimboy. And rightly so imo, 15p minimum is my guess as to his target.Plus your TSF estimates are super conservative imo esp $800/oz.

[kimboy2] 15/9/2023 11:37

If we assume that GDP will make a profit of $800/oz on the TSF and that there is 50% recoverability, which is admittedly guesswork, then the profit to GDP will be £17m after tax and minorities.

That is 10p a share.

If DRD offered 10p a share I suspect that they would end up with a good slice of the company, particularly if they declared 50% was unconditional and gave notice that they intended to delist.

What is to stop them doing that and why haven't they?

[lowtrawler] 12/9/2023 17:01

dinky00, I sold out at what I thought would be close to the bottom and have been surprised at the current price weakness. This is going to be a bad year but they are still likely to post around 1.5p of attributable profit. With Ghana trading normally and the power generators offsetting power outages, they are likely to improve attributable profit to 2p. If GDP wanted, they could announce a dividend policy tomorrow and the price could easily double.

The lack of shareholder recognition continues to weigh on the price. I am starting to consider whether to reinvest at these price levels but will need it to go a little lower or for GDP to make the changes previously discussed.

[dinky00] 12/9/2023 16:01

A pal of mine used to be a mkt maker and he said he would keep calling these down until the buying interest was found ...and I can't really disagree with him

[dinky00] 12/9/2023 15:43

It's so easy for the mkt makers to get this one down at the moment. Bidding below the bid price for 200k and whacking the price lower then to get rid of them. No buyers to stand in the way. Just a 108% rally needed now to get back to the 12 month high!Really didnt see this coming

[kimboy2] 12/9/2023 09:26

I presume your wife is a connected person!

That requires a notification as a significant shareholder. If you contact the broker I am sure they will sort it out for you.

I am sure Martin Ooi will feel less lonely on the significant shareholder register.

[unprecedented] 12/9/2023 08:39

Half of that is in my wife’s name

[kimboy2] 11/9/2023 20:00

If you have 5.5m you should have declared your shareholding.

[unprecedented] 11/9/2023 19:42

Alm, count me in as well - I have 5.5M shares

[swiss paul] 08/9/2023 21:48

during the latest webcast I raised the issue of coal as I thought our main focus was on metals and why we should keep that focus. I was not content with the reply I received. Unfortunately questions had to be typed in, so it was not open to a counter discussion.

I also thought they had underestimated the ongoing costs for the gennys in SA. Diesel pilferage is as bad as the brown outs. Why did they not pay someone to supply and run the genny's and pay on a price per kwh with penalty clauses for downtime. Give the knitting to those who can knit. Next thing they will have a maint team and a manager for them. All added costs.

[arlington chetwynd talbott] 08/9/2023 19:39

If they would pick one meaningful topic to update us on in each month that did not contain a regular update, we would quickly feel much better informed and much more appreciated.alm2 - I am still coming to terms with the move into coal - not sure how they can justify golf. A machine for recovering lost golf balls?

[ih_692232] 08/9/2023 19:08

Lows last two posts exactly sum what I feel about goldplat and what I would like to see happen

All shareholders would benefit if this were put into effect
I am not against buybacks I would prefer dividends but either would represent some return to shareholder value
I think the share value would increase dramatically if dividend policy were introduced
African golf investments are risky enough- but with no prospect of dividends why take a risk
The more the the greater should be the return
Alm

[kimboy2] 08/9/2023 12:54

On the coal thing I do not know anything as I have not been told. However IIRC when I had a look at it I think that what they are being asked to do is invest in a machine that will recover coal from spoil heaps. Much the same as the gold recovery.

I suspect coal spoil heaps can be bought pretty cheaply.

It is a while since I looked at it but I thnk the machine was going to cost about £1-1.5m. Maybe they would buy the rights to the machine/process or maybe it would be a profit share.

ISTM that if;
1. The price of the gizmo is known and fixed
2. The raw material can be guranteed
3. The amount of coal produced from the process is known
4. The price of coal is relatively stable
5. There is a good demand for the coal in South Africa.

then that may be a good deal. The only question is what ROI is acceptable.

[lowtrawler] 08/9/2023 12:29

shareholder7, GDP is making sufficient attributable profits to already be worth double the current share price The price has been falling because GDP show no sign of returning profits to shareholders or even considering shareholders in their decision process. There can be no confidence the exceptional profits made from the TSF will ever be returned to shareholders.

Everyone has been expecting Martin to ensure this changes but there has been little sign of progress and hence the share price fall.

[spagboll] 08/9/2023 12:21

I have been in this a while as well, I also got a dividend in the past - the mark of a long termer! I don't totally agree with all that is said on here, but appreciate all views of what tends to be constructive conversation. I would support us getting more information on things. That coal project is a concern for me, I invested in this company as a gold play and have no wish to get in to coal - unless of course the business case is compelling.
My holding is not huge at 465k but if it gets me entry to get more info count me in.