Highland Gold Mining Ld Share Discussion Threads

[trt] 29/7/2020 08:38

We should be looking at £3.30 now and if that holds and gold price continues its upward trend £3.50 will be easily achieved.

[srpactive] 29/7/2020 08:27

qs99

Yes we should be far, far higher, the profits this year make for
a very lowly valued PE, nevermind when the production is 500000 oz
pa and gold $2000 poz. If we were Canadian we would be 1000p plus.

dyor

[qs99] 29/7/2020 08:23

that is mad, but so did a lot of golders.....even if equity markets tank again, will miners get hit the same way now gold price is c.$300-400 higher and all the hay they are making (or should be)? The dash for cash always sees downward movement initially, but the golders recoveries have been awesome as markets focused on printing of money and devalue of $ IMO>>>>>

DYOR and lots more to come here I sense....

[mister md] 29/7/2020 08:22

Amazing it hit 150p in March and today we are at 300p ;)

[srpactive] 29/7/2020 08:18

The chartists will be focusing on this chart and 330p.

dyor

[qs99] 29/7/2020 08:10

HGM looking good for more material rises IMO and the divi shout mentioned above is icing.....gold positive again first thing, will it hit $2,000 this week?

DYOR

[creme de menthe] 28/7/2020 18:43

When we see the gold for cash adverts appearing, its probably the time to think about selling.

[montyhedge] 28/7/2020 18:23

Gods currency the place to be, gold, silver etc.

[loganair] 28/7/2020 18:18

Jeff Kilburg KKM financial - start hoarding precious metals.

Gold going to $2,500 in the short term and $3,000 in the long term.

Silver going to $30. HGM mine c1.5mln oz of Silver.

[srpactive] 28/7/2020 15:58

f

Yes as I said last night we were at 275p at $1700,
so above 300p at $1940 is not much of a move really.

We should be 350p minimum.

dyor

[fizzypop] 28/7/2020 15:41

Wow 300p and rising

[loganair] 28/7/2020 14:29

“What is really significant is how quickly it went through that $1,923, which was the previous high. The other thing which was … very, very important was the fact that it went through $1,800, and with similar ease,” said Barry Dawes, executive chairman at Martin Place Securities. “That’s basically saying to me that this is a very, very strong market.”

“I’m looking for $3,500 within two years,” Dawes continued, adding that some consolidation is “probable,R21; but the underlying strength of the rally is “very significant.”

According to the executive, a lot of gold has been absorbed by Asia and the Middle East, which has left the West “at the margin, underweight.”

“The West has to rebuild its position and the only way they’re going to do that is really by pushing the price higher,” he said.

Dawes added that there are many issues that drive price moves in the precious metal, including currencies and coronavirus stimulus packages. “At the end of the day, it’s just going to be a very tight market, and particularly with the central banks having bought more gold over the past few years.”

[kennyp52] 28/7/2020 00:00

$3000 seems quite ridiculous IMHO but what do I know . HGM is printing $ at the moment ... that I do know . Fat dividend . I read someone on here said they couldn’t find another gold miner that pays such a generous dividend ... well CEY is on a par if not better and provides a perfect hedge for anything going wrong at HGM in the short term imo . 2 mature gold companies with resources to go at and the cash to do it .

[srpactive] 27/7/2020 18:21

Thank you, but it has been mentioned that the second half production
could continue at the higher rate to make 320000 oz next year so
happy to hold for higher production and sky rocketing gold price.

The point we must all remember is although the price is higher now,
we should not have fallen from 275p earlier this year when gold
price was around $1700, so with gold now $1930 we should easily be 350p
imho.

dyor as you obviously do.

active

[itsyou] 27/7/2020 18:05

srpactive

"Yes the figures this September will be great, but next March
should be eye wateringly good."

Half right IMO. The extra stripping costs and lower production numbers are going to increase AISC substantially in H1, which will dent the PoG gains in H1.

2H will see the opposite, as higher grades are processed and waste stripping reduced, apart from Novo where the lower grades are here to stay, but the plant expansion to 1.3mtpa will keep production as it was, although obviously at higher costs.

Helped by an increased PoG in H2, which by my calculations will be enough to cover all capex spend($205-$210) for this year with an avg Pog of $1800 for H2, wll also allow for an increase in dividend, if they meet their numbers and Kayen sale closes(+$15m).

VTB issued this note on July 9th, which may help explain further
"2Q20 production of 61koz of gold equivalent was some 8% below our expectations, mainly due to lower grades and recovery.

The strongest underperformance was at Novo and Belaya Gora (18% and 24%,respectively, beneath our expectations). Whereas at Belaya Gora the company continued to struggle with recoveries while waiting for the CIP circuit to get up and running in 2H20(recoveries fell from 77% in 1Q20 to 75% in 2Q20), Novo saw a dip in grades and recoveries as the mine went deeper.

Weaker production was partly offset by a one­ off release of work­in progress at Valunisty.Without it, output would have fallen to 59koz (12% below our expectations).

Although management reiterated its production guidance of 290­ 300koz for 2020, we see growing risks of not reaching the lower bound of this. This is our base case already: we expect 2020 production at 286koz, but the 2Q20 figures pose some 3% downside to our estimates.

A positive gold price environment (the actual gold price in 2Q20 exceeded our estimates by 6%) suggests no downside risk to our 1H20 earnings estimates, despite lower production and higher costs. Indeed, we expect 1H20 revenues to be up 11% YoY, as a 26% YoY rise in the gold price is partly offset by a 12% decline in sales. Despite a 7% YoY weaker RUB USD in 1H20, we expect total cash costs to rise 20% YoY to USD 657/oz on 8% lower grades and higher MET (linked to gold price), with additional one ­off pressure coming from increased stripping in 1H20. Nevertheless, we forecast EBITDA to rise 18% YoY to USD 103mn – although there might be a single ­digit downside to this dueto one ­off COVID­19 related costs. As the company ramps ­up capex for Kekura (USD 205­-210mn total capex guided, up from USD 89mn in 2019), we expect FCFE of negative USD 14mn. As our forecast is for net debt/EBITDA to rise only marginally YoY to 1.3x, the company might announce a dividend payout ratio in excess of the minimum 20%of OCF. Assuming a 35% ratio, it would, on our numbers, announce USD 29mn of 1H20 dividends (DPS of USd 7.8/share, 2.7% semi­annual yield). The company is scheduled to announce its 1H20 results at the end of August"

[casual47] 27/7/2020 15:00

There is already a deflationary effect but I expect deflation to hit more seriously before long.

There's also talk of wild spread stagflation, especially in the developing world.

Gold exposure is good but cash is king, imo.

[casual47] 27/7/2020 14:52

New US rescue package (yet to be agreed) and the Fed meeting result this Wednesday could provide a steer of where things are headed next

[loganair] 27/7/2020 14:27

c47 - I have not said this is the way I'm thinking, all I'm posting is information for other posters to ponder on.

I often post information that I disagree with as well as information I agree with for others to consider and to engender discussion.

[casual47] 27/7/2020 14:22

Hm, everyone you come across thinks the same as you?

I'm sure there's a word for that

[loganair] 27/7/2020 14:18

Another analyst, the 5th today I've heard saying the price of gold is going to $3,000.

[loganair] 27/7/2020 13:52

According to Jeffrey Halley, a senior market analyst at OANDA, gold’s record run may gain further momentum on technical buying and as stop losses are taken out. “The move to $2,000 an ounce will happen much more quickly than the move from $1,800-$1,920,”; he said.

[srpactive] 27/7/2020 13:46

L

Yes the figures this September will be great, but next March
should be eye wateringly good.

dyor

active

[loganair] 27/7/2020 13:33

Mike McGlone...chartist - The price of gold may consolidate around $2,000 before breaking out to $3,000.

[loganair] 27/7/2020 12:12

Being reported the price of gold will go much higher due to currency debasing and that this debasing has just begun.