Hummingbird Resources Share Discussion Threads

[ukgeorge] 08/3/2020 12:47

Roll on 30p in the coming weeks and some good q1 results after that

[dickbush] 06/3/2020 21:30

Crazy last hour. Now $1673.70. It still looks like the path of least resistance is up.

[cinoib] 06/3/2020 20:50

$1691 I see very close but no cocanut this time, have to wait for next week.

[avsome1968] 06/3/2020 20:05

Looks like we are going to test $1700 again pretty soon

[avsome1968] 06/3/2020 20:04

Cinoib

avsome, should change your broker, I got another 10k to problem.

Aj BELL do me fine, and obviously buy, sells changes within 3 hour lol.

[rickyhatton] 06/3/2020 13:08

Very Positive - If successful outcome will extend HUM LOM and increase HUM annual production

CORA RNS - Synergy with HUM



"2 March 2020

Cora Gold Limited ('Cora' or 'the Company')

Metallurgical Test Work Programme Commencement

Cora Gold Limited, the West African focused gold company, is pleased to announce that it has started a test work programme in conjunction with Hummingbird Resources Plc (AIM: HUM or 'Hummingbird') relating to a bulk sample programme. The objective of this programme is to explore the amenability of the oxide ore at Cora's Sanankoro Gold Project ('Sanankoro' or 'The Project') to be concentrated to a level that would be viable for commercial trucking to Hummingbird's Yanfolila Gold Mine, located ~100km from Sanankoro.

Overview:

● Test work targeting high grade (+25g/t) truckable concentrate potential

● ~350kg bulk sample currently being shipped to a laboratory in North America for testing

Bert Monro, CEO of Cora Gold, commented, "The recently completed Scoping Study at Sanankoro showed the potential for a standalone mine with an 84% IRR and less than 18 month payback period at a US$1,400 gold price. Whilst this is clearly a highly compelling standalone project, Cora's board is simultaneously assessing additional opportunities through which to potentially fast track development, including identifying synergies with operating mines in the vicinity. We are pleased to be working with our largest shareholder, Hummingbird, to investigate the opportunity to potentially deliver a high-grade concentrate which could, in principle, create a fast track route to low capex and positive cash flow for the Company.

"We are committed to delivering the optimum route of development for the benefit of all stakeholders and will provide updates on this test work in due course."

Further information on the test work programme

Cora has arranged for a 350kg oxide bulk sample from the Sanankoro permit to be shipped to North America for gravity and sizing based metallurgical test work at a facility independent of both Hummingbird and Cora. The programme will investigate the amenability of the ore to be pre concentrated at Sanankoro using a process that requires low capital expenditure, in order to create a high grade concentrate that could be economic to truck extended distances. If results are encouraging, then further testing may be required to confirm whether there are potential synergies with existing operations in the region.

Historical test work completed by Cora has given Hummingbird's technical team a good initial indication that ore concentration may be a possibility. This test work is an initial step before further studies may need to be completed."

[rickyhatton] 06/3/2020 12:59

CORA RNS - Synergy with HUM (25g/t truckable ore)



"2 March 2020

Cora Gold Limited ('Cora' or 'the Company')

Metallurgical Test Work Programme Commencement

Cora Gold Limited, the West African focused gold company, is pleased to announce that it has started a test work programme in conjunction with Hummingbird Resources Plc (AIM: HUM or 'Hummingbird') relating to a bulk sample programme. The objective of this programme is to explore the amenability of the oxide ore at Cora's Sanankoro Gold Project ('Sanankoro' or 'The Project') to be concentrated to a level that would be viable for commercial trucking to Hummingbird's Yanfolila Gold Mine, located ~100km from Sanankoro.

Overview:

● Test work targeting high grade (+25g/t) truckable concentrate potential

● ~350kg bulk sample currently being shipped to a laboratory in North America for testing

Bert Monro, CEO of Cora Gold, commented, "The recently completed Scoping Study at Sanankoro showed the potential for a standalone mine with an 84% IRR and less than 18 month payback period at a US$1,400 gold price. Whilst this is clearly a highly compelling standalone project, Cora's board is simultaneously assessing additional opportunities through which to potentially fast track development, including identifying synergies with operating mines in the vicinity. We are pleased to be working with our largest shareholder, Hummingbird, to investigate the opportunity to potentially deliver a high-grade concentrate which could, in principle, create a fast track route to low capex and positive cash flow for the Company.

"We are committed to delivering the optimum route of development for the benefit of all stakeholders and will provide updates on this test work in due course."

Further information on the test work programme

Cora has arranged for a 350kg oxide bulk sample from the Sanankoro permit to be shipped to North America for gravity and sizing based metallurgical test work at a facility independent of both Hummingbird and Cora. The programme will investigate the amenability of the ore to be pre concentrated at Sanankoro using a process that requires low capital expenditure, in order to create a high grade concentrate that could be economic to truck extended distances. If results are encouraging, then further testing may be required to confirm whether there are potential synergies with existing operations in the region.

Historical test work completed by Cora has given Hummingbird's technical team a good initial indication that ore concentration may be a possibility. This test work is an initial step before further studies may need to be completed."

[magicmayhem] 06/3/2020 12:59

Buys showing as sells

[cinoib] 06/3/2020 12:49

Anyone selling now is iether a fool or a millionaire.

[plasybryn] 06/3/2020 12:29

This is more like it. Very encouraging.

[casual47] 06/3/2020 12:19

Almost like last week's drop never happened.....

[techandy] 06/3/2020 12:19

I hope so but when we get to this level the seller appears.

[qs99] 06/3/2020 12:16

should be through 30p soon IMO....then off and running. Gold not taking a breather it would seem and with CV still in its infancy world-wide & impact still unclear, that uncertainty IMO will continue to drive it North to the benefit of HUM etc. DYOR

[new_buyer] 06/3/2020 11:49

You'd probably assume that for the last 6 months Dugbe would be more prominent in the planning for the future and even more so if the gold price continues as it is. Recently some rather vague details were issued, within an RNS, regarding the development of Dugbe but would be good to see this pick up some pace, maybe President Weah wants a legacy and bringing more gold exploration/mining to the country could be it but from what I understand local infrastructure would need investment.

[cinoib] 06/3/2020 11:22

avsome, should change your broker, I got another 10k to problem.

[dickbush] 06/3/2020 09:54

Redtrend, I'm somewhat more optimistic on EBITDA for 2020, although that assumes the rainy season has no more effect on production than it did in 2019, and ASIC at $850, as required in the bonus plan Call me cynical but I'm assuming that the bonus targets, including the top end of the range for production, are not too difficult to achieve. Given the rising trend of production and 4th qtr 2019 ounces poured of almost 34,000 ounces that 130,000 ounces target seems eminently doable. If so, the company will have net cash well before year end, with only an increased level of drilling expenditure deferring the timing.

AND there's still nothing in for over 4 million ounces in Dugbe.

[ohisay] 06/3/2020 09:42

Redtrend good post - you are not far off these forecasts.



Very good value atm it seems to me.

[avsome1968] 06/3/2020 08:17

This is about to blow cant buy even 5k

[redtrend] 06/3/2020 07:51

Edit: caveat on the above for what happens with Corona of course across the world

[redtrend] 06/3/2020 05:42

Very doable.

1) At $1,650 avg. gold and assuming $900 Oz AISC, margin is $750 Oz

2) 130,000 Oz p.a. x $750 x 90% (HUM's share albeit in these front-end years all costs will go to recovering Capex) = $87.8m

3) Less costs outside AISC: interest payments, G&A costs not linked to Yanfolila, Non-sustaining Exploration (expansionary) = $12m for this year (guestimate on G&A + exploration side. A good question to management would be whether current exploration is classed as sustaining and therefore included in AISC. If it's not increasing Oz, arguably it's sustaining and incl. in AISC). This sum outside of AISC will go down when no more interest payments and exploration may peeter out if it's aggressive for this year and successful at increasing LoM in 1 or 2 hits.

4) Total Gross FCF = $75.8m (assuming no M&A activity or aggressive expansion, which of course I wouldn't mind if it's a good deal/ initiative)

5) Tax hard to estimate as not sure what HUM Accountant's D&A calculation will be. Perhaps $15million for 2020 (Mali I think has 30% Corp Tax Rate. 3% royalty incl. in AISC). Perhaps as little as $5million if Mali Government pay for their remaining 10% share at circa $11million owed to HUM through offsetting corp taxes.

6) Total Net FCF = $61m

With a low ratio of x5 (LoM is 5years, however huge amount of headroom to double this and expand developments further), 5 x $61m = $305million market cap (£236million) or 66p

We need to see such progress in Net Debt/Cash figures for such a share price to be realised over next 12-18 months. Once HUM becomes "Net Cash", has success with the drill bit, provide dividends + buybacks 1H 2021, we should be 60p +.

If the markets continue to collapse and "this time is different" with gold being the only safe haven (seems to be the case at the moment), we could see a lot of money entering gold stocks and pushing valuations far beyond a conservative 5x ratio I used above for HUM.

Gold and gold stocks seem to be climbing a wall of worry (good - no bubble) with many expecting a re-run of 2008 - where gold was aggressively sold off with the market. History doesn't repeat, it rhymes. The S&P is back to the same spot it collapsed to last Friday, yet gold has recovered all its losses from last Friday and then some.

What happens to all the money leaving the markets when they realise gold is not collapsing? I'm betting on gold + gold stocks personally.

Gold at $1,680...

[qs99] 06/3/2020 00:18

50p eminently doable IMO

GLa

[cinoib] 05/3/2020 20:25

UKGeorge, you raided the bern's piggy bank for that 1292. w2hen we hit 30 tomorrow you'll wish it was 112,000. gold heading for $1700 by close tomorrow at present rate, now $1675, only the shorters can slow it down.

[mirabeau] 05/3/2020 19:33

Tipped in the IC