Hummingbird Resources Share Discussion Threads

[farrugia] 20/3/2024 21:14

this is why i'm here; these are some of the grades and intercepts:





Full reserves summary: hxxps://www.hummingbirdresources.co.uk/operations-projects/guinea/#1703063858205-1d9ff191-3e0f

[laurence llewelyn binliner] 20/3/2024 21:06

#DB, Corica are the mining contractor at Yanfolila too, they won Kouroussa on the back of our existing business relationship and their expertise..It seems at odds that they should fail to right size the fleet to hit the tonnages contracted, perhaps they have over reached and have simply run out of machinery, looking at their operations map, they are active at 16 other mines, with all of them jumping up and down for their capacity to be maxed out something has broken and we are the newest addition at the end of the line for resources..?

[borderterrier1] 20/3/2024 21:02

History repeats itself? Please lets not forget that this isn't the first time that unexpected "bad news" has caused a massive drop and the subsequent sell off provided a huge opportunity.........for some of us? Hummmmmmmmmmm........................?

[gilotron] 20/3/2024 21:02

This is the thing why couldn't hummingbird just have been honest about it

[farrugia] 20/3/2024 20:26

today Hum was completely oversold on panic. This is the market - its a brute that lives on greed and fear and fear was today's driver. I hesitated and had to gulp as I kept adding at today's ridiculous prices.

Predictive Discovery has a market cap of 477.54M and they've still got to build the mine! Their project mine is in the same area as Hummingbird's

Predictive Discovery not far off from Hummingbird’s Guinea operation


#guinea

PDI is focused on its Bankan Gold Project, located in the North-East of Guinea. Bankan lies within the Siguiri Basin, across the Birimian/Archean gold belts, prolific geological formations which stretch from Mali, through Guinea, Côte d’Ivoire, Burkina Faso and into Ghana. Guinea’s Siguiri Basin remains the most underexplored region of this highly prospective West African region. Significant mines in the region include Siguiri (AngloGold Ashanti) which produced 258,000oz in 2021 and Lefa (NordGold) which produced 163,000oz in 2021. The Kouroussa Gold Mine, owned by Hummingbird is also under construction and scheduled to commence production in 2023.

see this

last announcement: hxxps://www.proactiveinvestors.com/companies/news/1042789/predictive-discovery-details-productive-half-year-at-bankan-maintains-strong-cash-balance-1042789.html

My intuition tells me that the resource at Kouroussa mine could be much bigger than initially thought as they haven't yet done that much exploration. And no I don't expect a sell-off tomorrow but hopefully a day of recovery.

Debt is not the problem here, it is trust in management. Hochschild Mining has $250 million in debt and it has been mostly accumulated as they've been building a new mine in Brazil (Maria Rosa). But I do believe that the intercepted grades at Kouroussa and nervous people should really check the past RNS's to see how rich the intercepts really are.

[plat hunter] 20/3/2024 20:20

Apples has the best post of the day, can't argue with a single word of that

[blackhorse23] 20/3/2024 20:18

Local mafia in control ?

[dickbush] 20/3/2024 20:11

LLB, Kouroussa is on the map. I'm trying to find out who the contractors are at Yani given Yani is not on Corica's map.

[eat more aaapples] 20/3/2024 20:10

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[qs99] 20/3/2024 19:45

Fed still expects 3 rate cuts in 2024 though, hence gold price up and $ down....

Farrugia good post mate, I made a decent turn on buying just over 4p and selling at the close.

I sense it may sell off in the am, but as you say, the assets speak for themselves.

Having said that, SHG being bought out IMO on the cheap, shows "risk" countries are unloved....

DYOR

[borderterrier1] 20/3/2024 18:42

Farrugia Many years ago, before I moved here to the US, I had a good friend in the Cheshire area who owned a trout fishery. The conversation went like this:-

"How are things doing with the trout fishery, Don, well I hope?"
"Things are going great Steve, lots of people fishing."
"I wouldn't mind coming over there one day to try my luck if that's O.K?"
"Sure, but you would be better to wait a couple of months and then I will put some fish in."

[laurence llewelyn binliner] 20/3/2024 18:36

#PH, now I see what you were driving at earlier, the origin of the document, odd that Corica did not put something out directly, but indirectly, perhaps a local negotiating tactic, we will see where we go next, and what Coris do to support us..

Fed still on 5.50% with no change made..

[farrugia] 20/3/2024 18:06

If I had to wildly speculate one reason could be the 1-month shutdown of operations. Who foots the bill for the idle machinery and employees that Corica employ? They haven't done work so Hummingbird can dispute paying for idle workers? On the other hand Corica might not be ok with that?

'Hummingbird has endeavoured to work with Corica in good faith since July 2023 to rectify the material breaches, providing interim payments and bringing in other contractors to support Corica who continue to fall behind their contractual obligations.

The Company is seeking to engage with Corica and in discussions other stakeholders, including additional mining contractors, to find a resolution to the current issues and to fully restart the operations at Kouroussa as soon as possible.'

One thing is for sure a lot of people have sold on panic today.


over 31 million volume

I added at the lows even with some trepidation... My logic is that at the end of the day the gold is in the ground and the mine is complete. There are explorers out there that don't have a mine and are worth more than HUM in valuation. Hochschild has some 250 million debt mostly to build the new Maria Rosa gold mine in Brazil. Building a mine is very capital intensive - we have it built now - its about making it work. All parties should sit round a table and talk reason!

[laurence llewelyn binliner] 20/3/2024 17:52

#DB, if you scroll down to the bottom of the -where we work- page, Kouroussa is there on the map, I checked earlier..

FED rate next.. :o)

[dickbush] 20/3/2024 17:50

Yanfolila not on this map. So, who is the contractor?

[laurence llewelyn binliner] 20/3/2024 17:39

#PH.. :o) the statement was authentic, the source seems so too, the contents are disputed, nice touch for those that added but the mining or lack of it still needs to be resolved, so I waited for the RNS and sat on my hands (for now)..

[dickbush] 20/3/2024 17:38

LLB, for some reason I haven't thought about any of those things. Manjana.

Call me cynical but the idea that HUM has acted in good faith with Corica is a bit of a stretch for me. Going public as they did suggests the contrary and they are warning whoever thinks about working for HUM to examine any contract extremely closely.

Best case, HUM is going to have its peak EBITDA delayed again, its share price appreciation deferred again, and probably a rating for its peak EBITDA never to reach even the low end of valuations for West African gold mining companies.

Recovery to 20p? May I live that long.

[laurence llewelyn binliner] 20/3/2024 17:06

In HUM defence they have repeatedly cited the contractor not moving enough BCMs and that is what they have planned their cash flows around, we are in this position because of the contractor and should be in the pay dirt instead, this is the reason a 5th fleet is on site from another company..

Corica timing looks opportunistic to make the most of their leverage, but another month and everyone gets paid..

Cool heads and a swift resolution serves all parties best, if they can put differences to 1 side and get on with it..

#DB, as if we do not have enough going on today with UK-CPI this morning, and the FED rates decision next, then the UK MPC decision tomorrow.. :o)

[sleveen] 20/3/2024 17:06

At least we know under performance has been ongoing for 8 months, explains the badly missed targets. Truth will out.

[qs99] 20/3/2024 16:56

fair points all lowtrawler. I'm not trying to minimise the issue, market cap reduction bigger than claim, enough said! It should be resolvable is my point DYOR