Hochschild Mining Share Discussion Threads

[rhuvaal2] 23/8/2018 11:43

I added at these prices but have powder dry for any lurch beneath 160p but trust /hope we'll not see that again "this time around"...

[crosseyed] 22/8/2018 14:51

Same from me, Steve, a lot to look forward to.
c

[rrr] 22/8/2018 13:19

Thanks Steve, good post.

[stevea171] 22/8/2018 10:45

Gold looks as though it is starting a reversal process. First target would be to get through $1200 and hold above. Expect silver will follow eventually though still very weak ....

[dt1010] 22/8/2018 09:21

True. Don’t you love the smell of corruption in the morning.

[stevea171] 21/8/2018 12:31

X-eyed. Keep posting!
Rhu. Hope you do well.

Another Autumn looming large. Another chance for the US and global house of cards financial system to unravel big time. Michael Snyder thinks so:
Tesla
The Stock market
Deutsche Bank
Italy
Trade war

[dt1010] 21/8/2018 08:31

Gold is on a recovery path now having capitulated and delivered a wick on its chart down to $1184.

Up we go from here. This will rally now.

I, cough, hope...this surely has to be a great buy now...I am continuing to buy in my children’s ISAs, they will thank me hopefully in 15 years. Here’s to golden’s target.

[rhuvaal2] 20/8/2018 16:44

Thank you stevea, all interesting stuff.
Also I added a little more to MML @ 39.5 in the hope there'll be a turnaround once the two issues are resolved: sorry for O/T

[stevea171] 20/8/2018 15:47

HOC is in transition from the years of going into debt to buy out the 40% minority shareholdings in Inmaculada and Pallancata from IMZ and the $450 million plus capital outlay for development of the mine and processing facility at Inmaculada.

HOC has been belt tightening for the past 5 years or so now to reduce costs and maximise repayments of this debt. This is well advanced and the company should be net cash balance positive in the first half of next year (net debt currently $67 million).

HOC paid off its $295 million outstanding company bonds in January and partly replaced them with mt and st bank loans of $100 million and $50 million plus the balance of the st loan o/s of $57 million but has incurred a charge of $11 million for paying off the bonds early.

Inmaculada, Pallancata and San Jose are performing well but Arcata has fallen into loss making last year and this. Production has been reducing by about half to approx 4 million Ag equiv oz this year which has had the effect of increasing AISC of the mine and sending it into losses. This is expected to continue in H2/18 and the earliest there can be a turn around would be some time next year unless the company changes tack. It has been investing in recent exploration with some success and is looking to bring some newly discovered narrow veins into production maybe by year end which could improve production and AISC for next year. The company is addressing this issue but we will have to wait and see with what success.

Current PM prices, if they persist for any length of time will squeeze profits in H2/18. Inmaculada (50% of total production) is a very low cost mine and is well able to support other operations.

[ifthecapfits] 20/8/2018 12:56

Yes DT just maybe.

[dt1010] 20/8/2018 12:54

Great counter indicator, everyone pile
On in....;)

[davidspringbank] 20/8/2018 10:52

I don't think the bottom will be in for a while yet.

[dt1010] 20/8/2018 09:47

Hahaha well at least next year on 15 times forward earnings this will be cheap...and it will grow in price ahead of that rating...so up we go, cough ;)

[goldenshare888] 20/8/2018 08:18

We should have all bought pharma shares as a hedge against depression in pm sector!!!

LOL

:-))

NB. It will no doubt get better.................

[dt1010] 19/8/2018 20:34

They’re antidepressants and mood stabilisers ;) I think I’ll be fine. Bit of a toke now and again lol

[onedayrodders] 19/8/2018 14:33

I think you need different tablets

;o)

[crosseyed] 19/8/2018 09:26

Thanks steve,
I noticed that article in the Times during the week. Commodities and currencies are being weighed down by the dollar hegemony. May I recommend a couple of incisive articles (that I have also posted on Chip's thread):

Currency Woes by Alasdair Macleod [Goldmoney Insights August 16, 2018]



PLA Strategist: The U.S. Uses Its Dollar to Dominate the World



The second (also referenced in Macleod's article) presents an alternative viewpoint though well worth reading.

c

[stevea171] 18/8/2018 23:16

Hochschild Mining loses shine despite new treasure
Emily Gosden August 16 2018, 12:01am, The Times

Hochschild Mining has increased its estimate of gold and silver resources at its principal mine in Peru by almost 50 per cent after fresh drilling.

The precious metals group said that it had found estimated resources of 59.2 million ounces of silver at the Inmaculada mine, in the Andes, adding to existing estimates of 126 million ounces.

The miner disclosed the new estimate as it reported a surge in profits for the first half of the year, aided by lower-than-expected costs and higher production.

However, it said this was likely to be offset by higher costs and lower output in the second half and left its full-year guidance unchanged.

[stevea171] 18/8/2018 23:06

Presentation: 15/8/2018. HOC 2018 Interim Results:

[dt1010] 18/8/2018 21:56

Ditto juju, only kidding. I’m so cynical about it all now. I just have to think about where on miners might be in 10-15 years. HOC will trade on 15 times forward earning next year, which st least will mean they’ll be trading higher than they are now. Hopefully. Anyway, I actually bought more this week. And yes, I’ll Keep taking the tablets.

[juju44] 18/8/2018 20:52

DT , have frequently stated that I dont have a clue where PMs are going . We are in the hands of the mafia and pms will go where they want them