Goldplat Share Discussion Threads

[kimboy2] 23/10/2017 16:43

I think we will get an update tomorrow. They clearly think that there will be a major financial turnaround at Kili and that is what the bumph is saying.

Perhaps we may find out tomorrow.

[michaelfenton] 23/10/2017 16:19

True Kimboy but this is just repeating the Preliminary results published in September. So if you are correct we could still get an update tomorrow?

[1rodson] 23/10/2017 16:14

will it go down further tomorrow as its odd not to announce at the same time as the AGM

[kimboy2] 23/10/2017 14:46

The bit of blurb at the end of the AGM statement is a bit of a trading update in itself.

The Company produced 42,857 ounces of gold during FY 2017, with 40,285 gold equivalent ounces sold and transferred, resulting in an operating profit from continuing operations of £2.9m for the year. This result does not benefit from the increased processing capacity that was achieved at the Kilimapesa Gold Mine towards the end of FY 2017, with operational profitability achieved during last two months of FY 2017. Accordingly, the Company believes it is well placed to build upon production and profitability during FY 2018

[kimboy2] 23/10/2017 14:39

I reckon communications are pretty good and they have clearly made an effort, particularly with the Q&A and CC.

It did seem odd that the operations update is tomorrow and the AGM today.

IMV the most likely explanation is purely logistics. Gerard, I would imagine, is probably on his own coming over and getting the AGM done and a round of interviews on the op update is too much to do it properly in one day.

We shall see. Update tomorrow.

[russman] 23/10/2017 12:10

Communication is still a problem.Why did gdp not roll a q3 update into the agm statement.

[kimboy2] 23/10/2017 07:49

I beilieve the update will be tomorrow. Just the AGM today.

[kimboy2] 22/10/2017 15:13

Lol.

The bottom line here is that there are of course risks but they have essentially been mispriced by the market.

As I said earlier an historic p/e of 7 implies a return of 15% and the market is not expecting much growth, the opposite in fact.

IMV the far greater probability is that income will grow substantially this year, and there is the possibility is of strong growth beyond that.

That makes it mispriced, but perhaps we will learn more tomorrow.

[michaelfenton] 22/10/2017 14:50

I would vote for Kimboy too.

[shareholder7] 22/10/2017 14:37

Kimboy this is an import buy as Gerard obviously reads these posts and the penny has dropped that you can't go around expecting new shareholders to buy, if you don't have any skin in the game.Gerard has no risk here, you do, we do.A salary of £185k ,share options and probably has a good contact if he is terminated If it all goes wrong, what has he lost?If it all goes wrong for us, a lot of people will lose, some their pensions He needs GDP and wants to keep this going for as long as possible, but there is no down side if it screws up.He can blame RR, the economic situation, price of gold etc etc We need to attract new shareholders or more importantly past shareholders to buy back in, other wise this share will not move.So why is the share price as low as it was when I sold out and I have just bought back in at the same price, well over two years ago?Trust Trust that we will win the RR case Trust that we can manage contracts Trust that we can work with other refiners profitably and quicklyTrust that the gold is not being stolen Trust that the accounts team know what they are doing Do you know what ERP system they are running, you probably don't.Trust that we will get the vat money from Kenya one day Trust that we will get material from South America as the material is drying up from South AfricanTrust that we have no skeletons in the cupboard in Kenya or elsewhere And I could go on and onSo Gerard has now got £10k at risk, it's a start but peanuts to number of shares some investors have who post here, but it's a start and encouraging Kimboy what the shareholders could do with is non exec board member that comes from the investors community I would vote for you

[kimboy2] 22/10/2017 08:58

I think that the buy is important because it is self evident that punters see it as validation of the company, and are more inclined to buy.

My point is that Gerard had more of an eye on that than maximising his personal wealth. If he had shoved £100k into it then that would be a different matter.

If he had bought £100k in his wife's name on shares then that is the jewel of director buys and you can shove your mortgage on it.

[michaelfenton] 22/10/2017 05:30

Agreed Kimboy however I also agree with shareholders point about directors holding shares. Gerard has a huge number of options at a very low price but if he thinks we are heading for 10p and then 20p in the next year then it is satisfying to see him buy shares in the market. I hope Hansie does too.

[kimboy2] 21/10/2017 23:13

I just don't think that it is a very relevant buy, more to do with an upcoming AGM than a serious investment.

If the share price gets to 20p, which I believe it will, then he will make £16k from this investment, whereas he will make £1.3m from his options.

IMV a more relevant piece of timing was when he got 8m options 2 years ago. The share price was 1.8p then.

[shareholder7] 21/10/2017 19:18

Posted on 8th October on the other board --------------------------------------------------My feeling about stock is that is can be any figure the directors what it to beYes there are auditors but how do you value a pile of wasteWe have to trust the directors I think the biggest indication for this company is a total lack of buying by the directorsIf Gerard thinks this is such a good company why has he not bought at today's priceThe new now Exc bought a token amount Directors buying is the best indication of confidence but neither Hansie non Gerard want to go anywhere near itIf Gerard is on 175k what's he spending his money on?If they do buy I will match any purchase they make

[kimboy2] 21/10/2017 13:25

Yes IMV in a steady state at least. The old plant produces about 2,300ozs which leaves about 4,500ozs from the new plant. They intend to use their own junk for the new plant.

[russman] 21/10/2017 12:39

Kili may be at a cash cost of 1050 stage 2 including the artisan junk.

[shareholder7] 21/10/2017 10:36

Have to say I think it was my post and saying I would match anything Gerard bought, which I did.You can't go around selling GDP to people, earning 185k a year and not buy any shares in your own company I don't think there is anywhere near enough directors share purchases for the positive statements that come from the board Let's see if Hansie has any confidence in GDP and buys a few

[1rodson] 21/10/2017 00:40

I WOULD...... PRESSURE FROM VARIOUS SOURCES. I DONT THINK THAT WITH THE OPTIONS GREEN'S HAS, ALL AT SHAREHOLDERS'EXPENSE I WOULD ADD. THIS RECENT BUY WAS VOLUNTARY.


michaelfenton20 Oct '17 - 20:27 - 4638 of 4638 0 0
Having some skin in the game can only be good. It is only a small holding and his options will probably pay off big time. I would not care to speculate as to why he purchased shares at this time.

[michaelfenton] 20/10/2017 20:27

Having some skin in the game can only be good. It is only a small holding and his options will probably pay off big time. I would not care to speculate as to why he purchased shares at this time.

[kimboy2] 20/10/2017 20:05

The purchase was of the nominal variety. No one can ask him why he hasn't bought any shares at the AGM.

Although some will no doubt object to his 8m share options at 3.2p it will at least keep him focussed on share price rather than empire building. I suspect he is going to make more from his options than he will from hs salary.

[camerongd53] 20/10/2017 17:54

I am not expecting anything either exceptionally good or bad out on the next update.
I am glad to see the GKG has bought shares but it is not a big holding - mine is twice the size of his. He may in time increase his exposure to GDP.
I do not expect anything bad in the latest update - if there were GKG would not have bought or deferred his purchase till after the trading update and the bad news is out.
If the figures are outside expectations on the good side, GKG would have left himself open to insider dealing or its 1st cousin. The trading update I anticipate will be at the top end of expectations - if not why did GKG buy shares? If I am right this should be positive for the share price. GKG may also have got early good vibes about a new investment and/or Rand dispute details of which may/will not be announced for a few months.

Question - why did GKG buy this week @ 6.25 pence when a couple of weeks ago he could have bought below 6p? Anybody got thoughts

[kimboy2] 20/10/2017 14:12

What Gerard said was that once stage 3 was completed then the cash cost of Kili would be about $8-900/oz and AISC would be $1050-1100/oz.

That would imply costs of about $2m pa to sustaining capex. That looks a bit steep to me seeing the new plant cost $2m. It may well include all the historic costs as well.

That would imply a cash flow of around £2.5m. I suspect that stage 3 may cost around £0.5m.

Stage 2 was completed earlier in the year and Kili was marginally profitable initially and Gerard said it would be optimised to become 'significantly profitable' during this half year.

The suggestion is that Kili will mostly, if not completely, pay off the loan during this financial year. The loan was £1.1m at the end of last year.

At a production level of 6,800ozs (stage 2 ) and a gold price of $1300 this would imply a cash cost of around $1050/oz. An AISC would be around the $1200/oz level for the FY 2018.

Presumably if they got off to a slow start the cash production at the end of the period would be better than this.

[kimboy2] 20/10/2017 12:10

Capex is part of the AISC and is depreciated over the life of the mine.

[russman] 20/10/2017 12:00

Capex is a sunk cost.How much would Stage 3 cost.