Metals Exploration Share Discussion Threads

[thecoyone] 14/3/2023 07:55

Gold has held up overnight which suggests further strength is likely, MTL shares traded at 2.65p in June 2021 when the gold price was $1300oz and the company debt was $120m.

By end Q1 debt will be, most likely, be half that number.

The shrewd are buying, a material re-rate is not far away for MTL.

[broken_arrow1] 13/3/2023 14:42

Now only £3k of shares available at offer price, gold continues to move higher.

[mininglamp] 13/3/2023 13:14

Gold touched $1900oz earlier, great news for producers, the sector has been a poor performer but is starting to show signs of a strong recovery.

MTL looks a good pick, the current m/cap of <£40m looks farcical.

[broken_arrow1] 13/3/2023 11:32

For those interested IG have just £5k of stock available at full offer, then they move higher, a number of retail brokers are currently 'at best' for any size, maybe limit orders would fill.

[thecoyone] 13/3/2023 11:21

It's cheap for sure, problem is trying to get a decent lump of stock, the shares are tightly held.

[jedi k] 13/3/2023 07:25

* Australian gold stocks rise as much as 5.5% to 6,250.30, set for best day since Dec. 21 , if gains hold* All top 10 gainers in the ASX 200 benchmark index are gold miners; ASX benchmark down 0.2% weighed by banks and healthcare stocks .AX* Gold prices rose to its highest in more than five weeks on a weak dollar, with concerns over the largest U.S. bank failure since 2008 driving investors to the safe-haven assetGOL/* Newcrest Mining , the country's largest gold miner, advances as much as 4.2% in its third session of gains

[space_dust] 10/3/2023 16:17

Only 250,000 left at 1.65p !

£4k's worth.

[space_dust] 10/3/2023 16:07

Not much stock on offer here, gold now up $34, MTL 2 year high was 2.65p

[goldenshread] 10/3/2023 15:18

Gold is up nearly $30oz currently, the share price here seems far too low based on the financials.

Has to be one of the lowest valued gold producers on the LSE.

[mininglamp] 10/3/2023 08:00

Added a few more yesterday, I expect the share price will strengthen ahead of the Q1 update due in early April, it will show a further reduction of debt ($10m+) and the gold price has been higher than Q4 so more good news.

In all my short term target remains 3p, that is only £60m m/cap.

[sparki2] 09/3/2023 14:27

How interesting this now is with the very encouraging sight of gold again bouncing off the $1815 level.This bounce off $1815 is for the third time implying confirmation that gold could now be embarking on a particularly strong C upwave.

[space_dust] 05/3/2023 22:29

Gold above $1850, lots of upside here, the sector is a recovery play.

[goldenshread] 05/3/2023 18:08

In June 2021 the share price hit a intra-day 2.75p - the gold price was $1805oz - at the time net debt was $111m

By end Q1 2023 net debt should be down to circa $65m - the gold price being $1840oz, production is up also, the share price is 1.65p ?

This clearly demonstrates how undervalued MTL are, there has been no recognition of reduced debt and increased production since June 2021.

The share price should be circa 3p as opposed to 1.65p based on progress made to date.

The stock is very cheap.

[goldenshread] 03/3/2023 15:47

If they pay back debt at the rate they did in the last quarter it will be just under £50m compared to around £95m this time last year - none of this has been reflected in the current share price.

The market only values MTL at £35m - they are throwing off free cash - at least £15m per quarter, gold prices are rising again.

A buy and hold now could easily bring a 50% gain in a very short space of time.

It is very hard to buy in any size, you have to buy when it's quiet.

[mustafa15a] 03/3/2023 14:37

That's definitely what I am waiting for, one of the key issues was always the debt and the interest levels...we have made significant progress to get rid of that horrible high interest debt and it shows the board commitment to repaying our faith in them.

[the_sage1] 03/3/2023 08:07

Chart looks very positive I must say, this stock appears to be tightly held.

[mininglamp] 03/3/2023 07:58

With gold on the up move again expect to see the MTL share price start to outperform ahead of the Q1 update which comes in early April.

I expect to see another very significant debt repayment, in the last quarter they paid back $14m alone.

The share price needs to revalue to 2.5p, a level that was reached last June, at that time the company had £110m in debt, assuming another large repayment in Q1 I expect this to be half of that number now.

5p a share by year end is a conservative target therefore, current m/cap is only a bizarre £35m

[mustafa15a] 02/3/2023 12:29

Don't take it from me, this is what simply wall street have said about MTL...Trading at 81% below our estimate of its fair valueLinkhttps://simplywall.st/stocks/gb/materials/aim-mtl/metals-exploration-shares

[mininglamp] 22/2/2023 07:58

MTL is probably the lowest valued gold producer on the LSE, it is only a matter of time before a serious re-rate.

At current gold prices they are throwing off copious amounts of free cash, able to pay back $14m of debt in the last quarter alone.

Even at 3p a share the company would only be valued at £60m.

[goldenshread] 21/2/2023 15:52

This company reminds me very much of AAZ, they were trading around 4p with debts near $90m, priced to go bust, as they paid back the debt through exceptional gold mine performance and production the debt was gradually reduced to zero over 4 years.

The share price rose from 4p to £1.70p at one point, they now pay a dividend, they were valued at £180m at the peak.

MTL look like they will have cleared down just over 50% of their debt by end March - the current m/cap is a modest £35m

On a like for like basis compared to AAZ MTL could hit 8p+ per share in due course (m/cap £160m)

I am very surprised more are not buying at these levels, it is a multi bagger in the making IMO.

[flughafen17] 21/2/2023 12:07

It hit 1.95p last week !

More than 2p near term IMO.

[goldenshread] 21/2/2023 11:52

Looks like this is on the move again, the chart is perfect, 2p looks nailed on near term.