Highland Gold Mining Ld Share Discussion Threads

[fizzypop] 05/6/2020 08:19

Div pay today

[thatsmart1] 05/6/2020 07:00

I always reinvest.

[return_of_the_apeman] 04/6/2020 15:46

Wonder how much of the divis on Friday will get re-invested :-)

[return_of_the_apeman] 03/6/2020 14:44

Bought 16,000 of these today, gold looks to be bouncing off of the bottom trend line

Fingers crossed

[k mon] 03/6/2020 12:14

Hi logan .. let me help you out..

- Capitalise a letter in the https - otherwise the ADVFN - link police system
.. won't let the link work...



hopefully this should work.

[loganair] 03/6/2020 12:07

These seven charts show exactly why you must own gold today:

Covid-19 is accelerating many trends that were already in existence. The rising gold price is one such trend. These seven charts, says Dominic Frisby, reveal why gold could soon “go bananas”.

moneyweek.com/investments/commodities/gold/601444/these-seven-charts-show-exactly-why-you-must-own-gold-today

[casual47] 03/6/2020 12:00

If they used it to pay off older debt at much higher rates they would instantly free up billions.

[loganair] 03/6/2020 11:56

Borrow for infrastructure maybe but not for day to day running of the country as this debt will almost certainly never be paid off, just continually rolled over.

At some point in the future interest rates will rise and therefore interest at 3%,4% or 5% will need to be paid on this debt which no country, including the UK will be able to afford.

[casual47] 03/6/2020 11:50

Would be crazy to not borrow.

[return_of_the_apeman] 03/6/2020 11:46

Money printer goes brrrr

[loganair] 03/6/2020 11:44

45% of the total market value of UK bonds now trade with negative yields.

All UK gilts out to 4 years now have negative yields while those with a 6 year maturity are trading without any yield.


56% of all Euro Zone bonds by market value are also trading with negative yields.

[casual47] 03/6/2020 11:26

UK laughing all the way to the bank:

UK govt sells another chunk of bonds at negative interest rates. There was 2.46 times more demand for it than available bonds.

£3.25 billion raised with £7.9 billion worth of bids received.

Getting paid to borrow with a queue of investors desperate to pay it.

[casual47] 03/6/2020 10:12

The vast majority of the cheques will be spent in the economy.

The people with investment accounts probably didn't need the cheques anyway and are a minority.

It is arguable that helicopter money, which the cheques are, is far more efficient than anything else the US government could have done. There is a cost to trying to target money so in certain cases the scatter gun is the most appropriate.

And again you are missing the point by being blinkered on the US: as long as the rest of the world will be comparatively worse off (which it is and will be) there will be an endless supply of money flowing into the US.

The US can afford this and just like they did after the 1930s depression they will rebound spectacularly. I expect US Venture Capital companies will have more opportunities than they can shake a stick at re. buying up cheap assets all over the world.

[loganair] 03/6/2020 10:00

The United States Federal budget Office has said in 2030 the US GDP is going to be $8 trillion lower then it would have been if there had not been the coronavirus while Federal Debt will be $10 trillion higher because of the effects of the coronavirus on the US economy.

In the first 5 months of 2020 the US Federal Debt has risen by a whopping $2.6 trillion giving an overall debt of 123% of GDP while the Euro zone countries are not much better off.


In the US, Robinhood has said that 40% of their clients have put the entirety of their furlough cheques in to their Robinhood accounts and bought various investments with them therefore this money is not going to be spent on the Demand side of things rather just pushing up asset prices further which will not be good for the US economy.

[casual47] 02/6/2020 21:46

In 2011 HUI broke through 600.

Today it is 270 so a major catch up play awaits for gold miners imo

[loganair] 02/6/2020 20:02

The coronavirus pandemic has driven the gold price towards all-time highs, but some investors are arguing the best is still to come for companies which mine the precious metal.

Evy Hambro manager of theBlackRock Gold and General fund said while gold had benefited from a flight to safety amid the coronavirus pandemic, longer term trends were behind the momentum for the precious metal.

‘It hasn’t just been the last year. It’s been on pretty much an upwards trend now for several years,’ he said.

‘The things that have been correlating with the strong performance of gold have mostly been related to the decline in interest rates, principally in the US, and the vast amounts of “money printing”.

‘The thing that has always been the enemy of gold has been the opportunity cost, with gold not paying you any interest.’

Citing the Bank of England’s recent issue of negative-yielding bonds for the first time, Hambro argued that with real interest rates negative in much of the world and ‘dramatically bigger’ rounds of financial easing now taking place than previously, gold had become more attractive.

‘It’s an environment that makes gold unbelievably competitive. It’s an opportunity carry rather than an opportunity cost,’ he said.

Miners better placed to benefit:

George Cheveley manager of the Ninety One Global Gold fund, agreed the ‘amount of money being printed’ meant the argument for gold as a store of value and hedge against inflation remained as sound as it had ever been.

But more important, he argued, that miners were in a better position to capitalise than when gold previously hit highs.

‘I think it’s unlikely it’s going to fall in the next year or two and on that basis I’m happy to own the equities because I think they can generate very good profits and increasingly pay high dividends, which I think will attract a broader investor base,’ he said.

‘I don’t need gold to go any higher from today’s price. In fact, even if it fell back by $100 from here, these companies are still very, very profitable.’

In April, Newmont , the world’s biggest gold miner, increased its quarterly dividend by 79%, illustrating the potential for higher income in the sector.

The manager said the sector was in the best shape for 20 years, in contrast to 2011, the last peak for gold, when companies made some ‘crazy’ decisions in terms of acquisitions.

‘We sit here today with these companies with low debt levels, the highest margins we’ve seen in years and increasing returns to shareholders. Particularly this year, you compare that to any other sector and that’s pretty remarkable,’ he said.

‘We’ve got strong management teams. Costs have been brought under control,’ he added.

Additionally, less than a tenth of annual production around the world was hedged, Cheveley estimated, meaning increases in gold’s price go ‘straight to the bottom line’ of miners. The low oil price, reducing fuel costs, is another positive.

Hambro also emphasised the improved profitability of gold miners in contrast to their position in 2011, when ‘ you saw rapidly rising gold prices but at the same time you saw gold shares underperforming̵7;.

‘That is because costs in the sector were rising as fast if not faster than the price of gold was rising. In today’s environment what we’re seeing is a completely different situation.’

[loganair] 02/6/2020 09:04

It seems that HGM didn't wish to spend any more capital on exploring the Kayen mine or bringing it into operation, hopefully because they think that this capital can be better deployed else where.

The royalty part of the deal is many years away I believe at least 8 to 10 years and most probably more. If at the time the price of gold is $2,000 per oz, 2% royalty = $40 per oz which will most probably come to no more than a little over $1mln per year.

[catsick] 02/6/2020 08:14

Sounds like 15m usd of free money plus a royalty...

[casual47] 01/6/2020 16:32

Yes, all those poor rioting people sharing clips of the riots on Twitter with their iPhones.

[loganair] 01/6/2020 16:29

Goldman Sachs - likely more Fed Stimulus to come = more money for the people with money (the rich get richer) while less money for the people who already do not have any money (the poorest 40% get poorer) = more riots and looting in the streets of the US. Doesn't the Fed ever learn??? All they're doing is making the situation in the US worse by their actions as all the Fed is doing is making the gap between the rich and the poor wider and wider.

[return_of_the_apeman] 01/6/2020 15:44

loganair, stockmarkets rose after the magic money printing machine was turned on last time for the banking crisis - why would you not expect the same this time? - can take a very long time to get the fat lady to sing, but once she starts things change very quickly

[casual47] 01/6/2020 14:13

You seem to have US fried onto the brain. If you think the US is falling apart then maybe have a look at some other regions...

[loganair] 01/6/2020 14:01

The stock markets should really be collapsing and not near all time highs.

1. Economies closed down for 2 months.

2. China taking away more freedoms from Hong Kong.

3. China saying they are stopping buying Soybeans and other agricultural food stuff from the USA therefore breaking their Phase 1 trade agreement with the USA.

4. Riots in at least 30 US cities.

5. 18 US States have mobilized their National guards.

6. The United States is falling apart.

And still stock markets continue to rise???