Goldplat Share Discussion Threads

[kimboy2] 25/7/2024 12:29

Martin Ooi will be interested in the price he bought at and the price he will sell at.

He will be less interested in the price between these two points, at which others may well be wanting to buy and sell.

[lowtrawler] 25/7/2024 11:56

alm, I divested from GDP for a period and have returned this year as I have seen an improved focus on shareholder interests. I also believe they are making progress on the TSF.

So long as the TSF is delivered, we are pretty much guaranteed a return on our investment. Even if they didn't have the TSF, once the current investment programme completes, they can easily afford a dividend of 1p which would likely support a share price over 10p. The current pricing fails to price in any of the developments I have seen this year. Once these become more visible, our days of a single figure share price should be behind us.

[ih_692232] 25/7/2024 11:38

Low
Logic dictates one of four things as to Martin either
-he is very poor at making investments (possible)or
-he is invested because he believes the company will be bought out (possible)or
- he wants to buy whole company (very doubtful)or
-he expects to make significant dividend returns (possible)
Whichever way like me he has been waiting a very very long time
And there is no sign of immediate movement on any of these things
You say 2 years -I hope you are right
I said that several years ago
Alm

[lowtrawler] 25/7/2024 11:07

alm, you are assuming Martin's priority has been dividends. The reality is, we don't know. The little anecdotal evidence we have suggests he was instrumental in us divesting Kili and the limited share buybacks that have taken place. He may also be pushing on the DRD contract and the move into South America - we don't know.

The generators are an insurance policy against continuing power outages. They should have made the purchase earlier.

In a small company like GDP, we are not going to have world class management but they have strengthened the team. The tone of shareholder engagement has changed this year and they do appear to be heading towards a shareholder focus.

IMV, there is limited downside risk and substantial upside opportunity.

[ih_692232] 25/7/2024 10:44

Martin has been either or unwilling to champion the interests of shareholders in the sense of focus on dividends as a company policy
Banana skins galore
Just spent 750 k on loan for generators for Sa - loss making presently and only lost 6 per cent of work by being able to rejig schedules -so why buy generators!!!
They react too quickly and too slowly !!
Alm

[lowtrawler] 24/7/2024 22:45

alm, it's difficult to reconcile your statement with a position where a shareholder owning almost 30% of the shares sits on the Board. Admittedly, Martin has been more patient than I might have expected but GDP will not be able to ignore shareholders much longer. IMV, GDP will transition to dividend paying within the next 2 years and most, if not all, of the TSF proceeds will be distributed as special dividends.

Unless there is another banana skin, I can't see the bid price falling below 5.7p and it is just as likely to bounce back to 8p. Once the TSF has better visibility, we should easily move into double figures.

[ih_692232] 24/7/2024 17:56

Low
In short this company is run very badly for the benefit of the directors and employees
I am not surprised the share has hit 6
It will go down to 5 and maybe below
They could not give a hoot for shareholders
Alm

[lowtrawler] 24/7/2024 11:22

Although I said we were heading to the low 6's, it's still not nice getting there. At 6p, we have a market capitalisation of just £10m.

This will be a poor year and yet we are still likely to make £3m attributable profits. Even setting aside the TSF, that is an atrocious valuation of less than 3.5x PER. I guess the market does not trust GDP to avoid further banana skins or to return profits to shareholders.

None of us are able to predict what banana skins may lie ahead and it seems unlikely we will have any profits returned to shareholders over the next few quarters. As such, I can understand why the market is keeping the price down.

GDP should be attempting to counter these views by: publishing a dividend / buyback policy; publishing a TSF financial forecast; improving governance so banana skins are less likely. These are all simple fixes and cost little.

[farrugia] 24/7/2024 11:11

i keep adding slowly to this.

[avsome1968] 18/7/2024 07:10

Thank you for that Trawler.

[lowtrawler] 17/7/2024 23:01

avsome, at the Ghana investment announcement a few weeks ago, a trading update was promised around the end of this month. That would be a couple of weeks earlier than in prior years. Hence, I won't be surprised if the announcement is not until mid August.


I suspect the announcement will simply confirm continued good trading at Ghana and disappointing performance in SA. I am hoping we get news on progress with the TSF but I think that will be subject to its own announcement when progress actually happens. I would like to see progress on reducing working capital and the associated interest bill.


I don't think the trading update will have a material impact on the share price Until we get positive news on the TSF, we will just drift between 6p - 8p. The investment currently required essentially rules out an early dividend or share buybacks although they may try to placate with a limited number of buybacks.


From the Q&A earlier this year, GDP are hoping to formally announce the terms of the DRD deal this year. They will likely want to do that alongside an update on the water licenses. They have promised a new JORC but that will not be until 2025 at the earliest, there is no timeline.


To maximise the share price impact of the TSF, as early as possible, they need to publish a full financial plan. This would make it clear the benefits to arise and negate the need for analysts to join the dots. My fear is they may make a series of individual announcements and not bring everything together for the world to see.

[avsome1968] 17/7/2024 18:07

Not been here for a while but took 100k to start with, nice to see Kimboy,Trawler still here, looked through your posts last night to get back up to speed with Goldplat, update date cant be too far off.

[kimboy2] 17/7/2024 14:13

POG at all time high, wealth on the rise,
Ghana performing well, a pleasant surprise,
Agreed processing of the TSF in play,
What's next? Guess the answer today.

[lowtrawler] 17/7/2024 10:15

There is a song in there somewhere.

Lots of reasons to be cheerful....

1. POG at all time high
2. Ghana performing well
3. There is an agreed approach for processing the TSF and we will likely get positive news on this front over the coming months

[ertugrul] 17/7/2024 09:42

YES Gold is at all time high and we hopefully be able to breakout

[wigwammer] 17/7/2024 08:33

Well put kb. Probability and profitability of any deal is obviously enhanced as pog rises, and pog is now at all time highs..

[michaelfenton] 17/7/2024 08:27

That is only true Kimboy if they complete a deal?

[kimboy2] 17/7/2024 07:38

In 2016, when the JORC was done, the price of gold was about 18,000 rand. It is now 44,500 rand, an increase of 147% in 8 yars.

Since 2016 the average prices have risen by 50%.

The delays, although frustrating, have worked in our favour.

[wigwammer] 17/7/2024 06:42

Ok lowtrawler, but we are no longer in the environment of 3 years ago or 10 years ago. Check the pog chart. The gold inside the TSF is now vastly more valuable than it was - that seems a good reason to believe it will become a bigger priority for a broader range of interested parties... ATB

[ertugrul] 16/7/2024 19:39

Our time will come. No pain no gain

[swiss paul] 16/7/2024 17:22

Years to mature, thnk decades based on previous performnce. The share has and is on a longtime downward trend.
I have held for over a decade bought in at 6.45 and we have come nowhere near that over that period otherwise I would have been out.

[lowtrawler] 16/7/2024 17:04

wigwammer, I am a strong believer in the investment opportunity here and am now holding up to my risk limit due to the buying opportunities that have arisen. However, I am realistic, the opportunity might take several years to mature. I can sense the frustration from many of the LTH's and genuinely feel for them. I know from experience how annoying it can be to see value in a share over 10 years and for it not to be reflected in the price. It is heading towards 3 years since GDP said they had the pipeline solution and thought it would be in place within a year.

We will get a trading update later this month and I am hoping to see progress on the TSF. GDP need to start communicating better and delivering on their self-imposed timelines.

[wigwammer] 16/7/2024 16:02

I can see that kb. At the same time, a rising gold price will make projects of all shape and size economic for production. They won't all be projects where maximising efficiency at the margin is going to be profitable or realistic. Goldplat is exactly about extracting some value for operators from their by products where the alternative is extracting none at all... With regard to DRD - it may be the case they are the only economic option, or it may be the case that they are the only economic option when gold is trading at $2000. Pog has now risen materially and if it continues to rise then alternatives may become attractive... At the end of the day, there is 50000+ ounces lying in the TSF regardless of what DRD decide.If a handful of punters on a stock picking website can understand the value of that, I'm pretty sure the wider market will eventually take notice.. ATB

[michaelfenton] 16/7/2024 15:45

What if Gold reaches say $3000? Will that alter the scenario? If so in what way?