Hummingbird Resources Share Discussion Threads

[casual47] 01/5/2018 13:16

For the maiden YR1 results I think it is fair enough what they are doing, given the risks at this stage and not having any precedent data to base their ambition on + they deserve a reward for getting us this far with all milestones so far met with flying colours.

Now, if for YR2 they base the bonus on just repeating what they did in YR1 that would be another matter.....

[zeberdie] 01/5/2018 13:00

I never used the word easy.. if the company put out guidance it should be doable without having to double a mans wages. Anyway i like the company and the team. This is a side issue for me that i have with all Gaffers dishing out what happens to be my money as an OWNER. i dont like the term share holder as it belittles the fact that you actually do own the company.

[casual47] 01/5/2018 12:55

Zeb, if it really is as easy as "they just need to do their job" why is the share price not at 60p+?

[zeberdie] 01/5/2018 12:53

Casual, im a straight up bloke but things need to be fair. Its not about fuss. Its about Dan getting a £400k bunce for simply doing as he said he would. Im a bull all day long but theres bull,,,, and theres BULL. Can you justify it please ?

[casual47] 01/5/2018 12:53

At the stage HUM is at many miners still fail to live up to expectations. So the targets they have set are ambitious and hitting these targets shouldn't be regarded as "just doing their job".

I think PIs are perhaps taking things a little for granted.

The share price is where it's at for a good reason: while the risk has reduced for HUM it is still risky enough.

If it really was a case of "just do your job" we'd be at 60+p already...

[casual47] 01/5/2018 12:45

Really don't understand what the fuss is about re. HIPPO options. At current share price the total monetary value of those options is about £2m, very cheap in terms of company wide bonus.

The conditions set are ambitious and are designed to encourage top performance. If the company achieves those ambitions the company will be doing very well and we as shareholders will be rewarded also: better balance sheet with hopefully matching share price increase.

[zeberdie] 01/5/2018 12:35

I always wonder how these kind of share options work. Surely a bonus should be paid in the event of over achieving and not simply managing to deliver the production you said you would in the first place. Ive yet to see an aim gaffer pay half of his wages back in the event of numbers being missed. No wonder they call us MUG punters.
Now if there had been a clause in there stating that the share price would also need to be at a minimum of say 45p i would have been a happier man as it would have rewarded everyone with skin in the company and not simply the workforce. (who still get their salaries regardless). Fairs fare.

[qs99] 01/5/2018 12:33

Need next quarterly update IMO to kick this on.... value will out!!

[ukgeorge] 01/5/2018 11:49

No, if you just want positive views go to the LSE board.

The last RNS reduced the risk, specifically 9koz in 24 days.

The share options still annoy me.

[zeberdie] 01/5/2018 11:36

UK George does that mean we can stop listening to your negative bias every 5 minutes ?

[ukgeorge] 01/5/2018 10:35

I've just added a few at 33.4p. Roll on Q2 results of 30koz and reasonable costs.

[charles clore] 01/5/2018 10:32

Maybe we have seen the end of Pageant selling. Looking quite positive today.

[zeberdie] 01/5/2018 10:31

Maybe the new guys phoning round their contacts.

[lasata] 01/5/2018 10:08

Wider audience taking note of commercial production starting

[darola] 01/5/2018 09:24

Hopefully this the start of a slow sustained rise. Deserves to break 40 now.

[rickyhatton] 01/5/2018 07:22

Very Good results ("outstanding potential") as previously trailed by Cora. Teke is potentially very positive for hum LOM and output, and could now become, after conversations with Hum, Cora's priority. Teke is potentially much better than most of Hums satellite deposits.

"Some excellent grades and widths, a deep weathering profile which signifies the potential for lower cost mining, and both discoveries' proximity to an operational processing plant underpin the outstanding potential which we see at Tekeledougou. I look forward to promptly pursuing these discoveries, with follow up infill and extensional RC programmes being planned, as well as some core drilling to help understand the new systems."

[bookwormrobert] 30/4/2018 18:07

In the conference call Dan reacted to a figure of about $60m with a positive comment - so a bit better than $53m, I think.
It's interesting to note the conditions under which the share options are granted at the end of today's long RNS. They set a target of 100,000 ounces for the next nine months (April to Dec) at a "normalised" AISC of $750 per ounce. (See RNS for exact conditions).
Anyway, all good here. Actually, very good. Except for the share price, of course. When will Pageant be gone?

[chipperfrd] 30/4/2018 17:11

CEO says "15% of FCF = US$8m".

That translates to a total estimate for FCF (theirs) of c. US$53m.

Chip

[zeberdie] 30/4/2018 16:41

How did you get the $53M

[utrecht_00] 30/4/2018 16:25

the only number that counts in that RNS is the expectation that they will be produing $53 million of free cash flow a year. That is outstanding. And with the pog set to increase it just gets better. Cash at bank covers debt marhet cap circa £110 million, todays news prices HUM at a p/e of 2.6.... whats not to like?

[ukgeorge] 30/4/2018 15:50

Centamin aside. (I didn't bring them up)

These will imo do little until the q2 results are out in circa 3 months time.

Then we will fingers crossed get confirmation on low costs and around 27koz of gold production.

I shouldn't think they will hit an aisc of $750 and personally would be happy with anything sub $950. Interesting that they mentioned the 60 cents per litre in the update today. It would be good to know the current price. The mine has a high strip ratio so fuel prices will be making up a big chunk of costs. Shame they did not hedge the fuel at lower prices.

[chipperfrd] 30/4/2018 15:32

UKGeorge,

Centamin has been a great stock for me since 2001. But you are giving an incorrect impression of it in your last post here.

Their reserves are actually 8.9Moz, not the 20Moz you are stating.

You should also be mentioning that their attributable earnings are shared with the government on a 50:50 basis. HUM's attributable earnings are 80%.

Like most startups, CEY have spent many years building up their mine having raised lots of cash and working through a number of different crisis issues.

Give HUM a bit of time and they may well perform just like CEY. They have certainly done very well so far at Yanfolila.

Chip

[redtrend] 30/4/2018 15:26

I'm talking about the principle of one mine which others have raised. I'm sure you can pro rata.

CEY's market cap is 1.8bn for 580k oz forecast and HUM's is little over 100m for 120k oz.

If HUM's free cash flow is as advertised and net debt quickly changes to net cash, it's quite clearly under valued. Its under valued for a good reason - risk profile. It needs to prove itself but if it does, it will obviously re-rate

[charles clore] 30/4/2018 15:25

George - and what percentage of Sukari is owned by Centamin?