Griffin Mining Share Discussion Threads

[up just a little bit] 05/1/2018 23:10

It will be noted how the management use this opportunity to either line their pockets and those of their wife's as they have done for many years or reward the shareholders who have had zero return for a whole decade. Eh phillis!!!!

[up just a little bit] 05/1/2018 19:06

Just a few supercilious types

[phillis] 05/1/2018 17:56

Not too many moaners around these days!

[phillis] 05/1/2018 16:21

they arent dealing across borders
the issue ( if there is one ) is translational not transactional

from hereon local cash surplus will eventually need to be changed into $
unlikely they will hedge

[gbh2] 05/1/2018 15:16

Most decent companies hedge their currency when dealing across boarders.

[ukgeorge] 05/1/2018 15:04

For all commodities producers a weak currency is good. Because a portion of cost eg wages will be in the local currency. The commodity whatever it is is priced in US$.

But with zinc prices where they are we are splitting hairs.

This mine is a cash cow at the moment. Roll on £2

[acuere] 05/1/2018 14:41

But a fall in Renminbi against dollar reduces revenue income. Last year, 2016, they blamed weakness of Renminbi for $500k+ exchange losses.

[ukgeorge] 05/1/2018 14:13

A stronger Renminbi would push costs up so is likely a negative over all.

[acuere] 05/1/2018 13:59

Indeed. I also note that the Chinese Renminbi has been a lot stronger against the dollar these last few months which is a further boost to revenues.

[nicebut] 05/1/2018 13:57

In backwardation, sort of, with 500 on the bid at the same price as the offer- Don`t see that often.

Nice gentle rise here is all thats needed.

[keya5000] 05/1/2018 12:50

Zinc $1.55 attack.

The profits these guys are making must be immense at these levels.

Think it is cheap up to £2.50.

[gary1966] 05/1/2018 12:28

Yes and maybe those late reported trades explain the holding pattern we have experienced over the last couple of days. Offer price moved up shortly afterwards.

[phillis] 05/1/2018 11:43

some persistent nibbling this morning I think

[gary1966] 05/1/2018 07:49

Mustn’t forget 9m shares that were held in treasury were cancelled after the half year figures were reported. Rounding shares in issue up slightly to 170m would mean that eps at the interim stage would have been 9.32c as opposed to the 8.85c reported.

[polaris] 04/1/2018 16:42

The Glencore assets will take time to ramp back up and, as Phillis points out, i do not expect to see that signal a top in the Zn market until 2020. That leaves lots of time for GFM to make hay while the sun shines.

[up just a little bit] 04/1/2018 16:39

"overall production will drop slightly in 2018" Glencore

[ukgeorge] 04/1/2018 16:18

Glencore are already bringing production back online

[up just a little bit] 04/1/2018 16:17

100000 at £1.22 very nice

[polaris] 04/1/2018 16:01

Just picked up another 2500 here. The continuing strength in the price of Zn, the debt repayment and any possibility of award of the mining license for zone II mean that GFM, while overbought in the short term, is fundamentally undervalued. I would hope to see something closer to 200p at some point during 2018. I will, however, be keeping an eye on other larger producers restarting Zn mines, as this will coincide with a likely top in the Zn price.

[acuere] 04/1/2018 14:15

Phillis.

Haha, you may well be right. As it happens my top range estimate was for earnings of 31 cents.
I just prefer to post my more conservative thoughts.

[gary1966] 04/1/2018 13:33

roman180389,

Company website says October 2037. Link is below. I would recommend taking a look at the site as it provides a lot of detail about the company in general and their specific projects.



Gary

[phillis] 04/1/2018 12:43

acuere

I think you are way off

returning to my pre XMAS theme consider the cash flow
Take the actual first half cash flow and substitute the bank loan repayment number with the total repayment number of $35m
Then work back up

this suggests a net cash flow from operating activities of say $40-45m depending if there were any tax payments (and December profits are in for free!)
so second half eps looks to be around 20c (say 30c for '17 and if prices hold and all other things being equal 40c for '18)
Fantastically cheap!
We can agree on that

[roman180389] 04/1/2018 12:35

Have been following this share with interest. Investment case is obviously compelling. Do we know what the current life of mine is without Mine 2 license extension?

[dreamtwister] 04/1/2018 12:10

i believe glencore are not bringing their zinc assets back to the market until zinc is in the circular of 6$ so acuere is on the money ! plus the pog will be of substance.