Lonmin Share Discussion Threads

[ltcm1] 07/12/2017 17:55

How right you are Careful. Pretty obvious where the bubble is too...

Big Ben did nothing wrong but Lmi has been a marginal cost producer for many years. They needed a Plat rally which came for a while but never followed through.

The thing with mining is that is is highly volatile and a gamble at the best of times.

Who knows the gold and plat price could soon rocket and Lmi will get over this. But it's pretty clear the cash is running low in terms of forward investment.

The Titanic went down quickly at the end.

[careful] 07/12/2017 17:25

things are grim here.
share price has halved in a few weeks.
some technicality on a covenant linked to asset values delayed results.
sounds corrupt to me, results should out by now, good or bad.
Your comparison with coal is interesting.
Cornish tin mines are another example.

Why were some so optimistic after the rights issue.
Share price reached 250p.
Magara always seemed capable and boasted a positive cash flow.

Now we fear the worst again, not helped by a falling platinum price and negatives about China again.

It is not just the bitcoin price that is crazy in these markets.

[ltcm1] 07/12/2017 17:01

Careful who on earth is going to pump any more money into this eternal sinkhole???!!! Even Elvis doesn't seem to fancy putting in any more money in now.

Unfortunately politics is a lot more complicated than your rational analysis suggests.

The thing is they have got to become self financing. If they can't make it work they will end up cannibalising the thing just to stay afloat. It could all end surprisingly quickly, just as UK coalmining did.

[careful] 07/12/2017 16:20

Even if LMI were bought out it is hard to believe that it would be at a price lower than todays share price.
Particularly after the recent rights issues.

The SA government rely on inward investment. They must have learned from the collapse of the Zimbabwe economy after the theft of private assets there over the years.

[careful] 07/12/2017 16:14

platinum down to $899/oz palladium $1007/oz.
the trouble is that it is easy to short the metal and the miner at the same time.

This petrol/diesel argument seems to have crushed diesel car sales.
Diesel cars are difficult to sell, garages full of them.
There should be some real bargains this winter.

[ukgeorge] 07/12/2017 13:58

that is harsh ...on bitcoin

[ravenna23] 07/12/2017 13:43

Yep, the SA government will nationalise this, already own 30%. If you don't think this is realistic, look at the Scottish banks in 2007. Jobs before shareholders.. Money in LMI is as safe as bitcoin.

[ukgeorge] 07/12/2017 09:04

Zero more like then government ownership ....

[jotoha2] 07/12/2017 08:25

50p then a little bounce!!

[no pah king] 06/12/2017 14:06

Going back to 20p or 0p this time around?

[samdb] 06/12/2017 12:44

Need to hurry careful, otherwise you'll be buying at $13,000.

[careful] 06/12/2017 12:03

almost ashamed to admit I bought a few more today.
my judgement is off form of late.

Still, I intend to turn it around by liquidating my whole portfolio and investing the proceeds into bitcoin.

..back to my winning ways.
$12000 per, a bargain.

[mrjellyfish] 06/12/2017 10:42

A little top up here and there.When this rises,I will be quids in .Lovely job.GLA share holders!

[dealy] 06/12/2017 10:12

Mark twain job here (rumours of death greatly exaggerated )

[careful] 06/12/2017 10:08

are you short pjm?
you must have nerves of steel to be short at this price.

[pjm1162] 06/12/2017 09:54

40p soon enough The best short in town is this Wood woof What a dog

[careful] 06/12/2017 09:15

Problem here is that you should not need over 30,000 employees to mine $1bn of PMG's.
Could make decent living at todays prices.
Too many in the lifeboat and it sinks.

Written this off.
I deserve to lose out here.
The signs were easy to read at the time of the rights issue.

[dealy] 06/12/2017 09:04

Torture continues. No changes in holdings announcements and volume is low. Headlines about diesel car sale drops worrying

[ltcm1] 03/12/2017 13:06

Thanks dealy good to have an informed view. You are right about UK.

[dealy] 02/12/2017 13:24

PIC are not greedy like some vulture fund. They have a dual Interest in providing investment returns and seeing local companies flourish. I see their presence only as a positive. In stark contrast to the UK where investing is purely short term oriented

[dealy] 02/12/2017 07:18

Elvis, That would be a reasonable outcome. Relieving pressure and supporting the company is good for all shareholders. Even a buyout by PIC makes sense. 100p will be fine for me

[careful] 01/12/2017 20:49

Wonder what the takeout price will be if PIC take it out 'on the cheap.'
rights issues in recent years contributed over $1 billion.
(to subsidise jobs it appears)

[elvisrocks] 01/12/2017 20:33

dealy, the news is simple. PIC are going to put in some money as debt capital / loans, relieve the pressure from the bankers / covenant, put their two mates on the Board as non-execs, get rid of the Chairman / Big Ben, then buy Lonmin on the cheap to save jobs for the SA Govt, and in turn alleviate the political pressure that is being placed on Lonmin about threats to remove its mining licence and social programs get a due boost. Simple, can see it a mile away. What have Lonmin and Big Ben done wrong, they can't control the Pt Price or XR, its jobs, jobs, jobs under a disguised hat.