Pan African Resources Share Discussion Threads

[fangorn2] 08/2/2018 11:30

South Africa offers olive branch to mining industry

South Africa struck a more conciliatory tone towards the mining industry on Thursday with the deputy minister of mineral resources saying he wanted to find a way to break the impasse over controversial new regulations. “We are going to find a way to deal with this by working together,” Godfrey Oliphant told the Investing in African Mining Indaba in Cape Town, admitting the government could have done a better job consulting the industry on the policy change.



In other news Capetown down to last 60 days of water.

[frazboy] 08/2/2018 11:29

had a bit of a laugh at that Robsy. This was one of the last 3 shares to go into Bearbull's income fund (Investor's Chronicle). The other two in that hall of equity fame are Petrofac (pre SFO annoucement), and Inmarsat (preNumis downgrade). Not a good recent record!

So, although, IIRC, Bearbull said earnings, and hence dividends would be lumpy at PAF, it'll be interesting to see what the take is on this share, when it does eventually, get reviewed. personally, i've only looked at the headlines numbers, but I can only imagine that operating costs are a bit higher than some on this board are suggesting, and, unfortunately, downtime (part of the problem, leading to higher cash costs) on these old assets is not going to improve massively - it's the nature of the beast. the rand strength is unfortunate, and i struggle to understand it.

[robsy2] 08/2/2018 11:16

Hey, it's good to know that "Shareholders are no longer required to exercise caution when dealing in Pan African shares."
R2

[justiceforthemany] 07/2/2018 19:47

Good news I think to call off the Zimbabwe ASA discussions.
Target production of 250,000oz this year with Elikhulu - cash cost of which will only be $500/oz.

[coincall] 07/2/2018 17:36

Deal is off with ASA Resources.

I thought PAF were probably going to buy and sell the assets as the gm/ton of gold were not typical of PAF's quality.

[topazfrenzy] 07/2/2018 12:54

I doubt the Rand is ever going to race away so I can't see why some of you keep fear-mongering. This will carry on delivering once they get their operations in gear and fully functional.

[johnrxx99] 07/2/2018 04:13

Simple said, if the SA economy improves and the Rand climes with no gold rise, we are stuffed. Therefore I hope Zuma stays, not being South African.

[justiceforthemany] 06/2/2018 22:12

Jacob Zuma is set to resign as the president of South Africa
hxxp://uk.businessinsider.com/jacob-zuma-resign-president-south-africa-2018-2?r=US&IR=T

[justiceforthemany] 06/2/2018 22:09

Guesstimation
We could try and guesstimate, by making various assumptions about how many farmers there are now, how many are white and how many people live on their farms.
But as they explain in their analysis, small changes to those assumptions can make huge differences to the estimated murder rate. On some sets of assumptions, the farm murder rate is no higher than the national average.In short - we have no clear idea about the murder rate on South African farms.

And because of that, the claim being made by protesters about farmers being more likely to be murdered is not supported by reliable data.

[fangorn2] 06/2/2018 19:15

Watch the videos...

Truly worrying for both white farmers and the blacks they employ.

Sarf Africa is sadly doing to implode.

[topazfrenzy] 06/2/2018 16:12

This is a total bargain now, turnaround coming for the company and with the stock market turmoil, a sudden rush for gold will begin soon. People are still being way too complacent, the way the VIX exploded upwards yesterday I think something similar will happen to gold miners over the next 24 months as people scramble to get into one of the very few safe havens money can buy.

[fangorn2] 06/2/2018 15:38

Wonder if Zuma will be gone before or after the last White farmer is murdered.

[justiceforthemany] 06/2/2018 12:18

The corrupt Zuma could be gone in days. Huge pressure on him to resign including from Nelson Mandela foundation.

[justiceforthemany] 06/2/2018 10:08

Finally some quite big buys are coming in. ASA Gold deal may be close also.

[macthepak] 05/2/2018 16:47

From Bloomberg news

"For South African gold miners, it’s both the best and worst of times.

The metal started the year with a bang, rising more than 4% to the highest since August 2016. But an equally impressive rally in the rand means that South Africa-focused producers are likely to miss out on the party.

Because mining companies pay most of their expenses in local currency, a stronger rand squeezes profit margins and can render some operations unprofitable. Many of South Africa’s gold mines date back to the 1950s and 1960s and much of the easily accessible metal has been exhausted, while labour-intensive mining methods compound the effect of currency moves.

“With the rand below R12/$, margin pressure is definitely building up,” Carsten Menke, an analyst at Bank Julius Baer & Co, said by phone. “Rand strength is the flip side of an improving economy, but it’s causing headwinds to miners because of costs going up - they are not enjoying the tailwinds from rising gold prices.”

The rand traded stronger than R12/$ on Wednesday for the first time since May 2015 and on Friday was at R11.84/$ by 11:00 in Johannesburg. The unit rallied as sentiment has been buoyed by the election of Cyril Ramaphosa as head of the ruling African National Congress in December, setting him on a path to take over from President Jacob Zuma.

The gold price rally “won’t make a difference in the short term” to South African miners, Menke said. The need to maintain high capital expenditure also thins out profit margins, he said.

More than half of South African gold shafts may be operating at a loss and a stronger currency raises the risk of closures, said Rene Hochreiter, an analyst at Noah Capital Markets"

[macthepak] 05/2/2018 16:39

Agreed price is getting silly.

Purchased some more today to average down.

Again buys out number sells 2:1 price falls.

Some good news.

Next South African ANC leader and president in waiting for 2019 will be Cyril Ramaphosa.

He was a former non-executive chairman PAN AFRICAN RESOURCES between 2009 - 2011.

[topazfrenzy] 05/2/2018 13:44

The price is getting silly here

[macc2] 05/2/2018 09:39

In today's Telegraph - an extract from a short article about Randgold and its Kibali mine in DR Congo. the development of its Kibali mine in DR Congo has been completed and that it is on track to ramp up production to 700,000 ounces of gold this year. However, last week the Central African country set new higher tax rates on gold, prompting Randgold boss Mark Bristow to warn that controversial changes to Congo's mining code could cripple its economy.

Doesn't read like good news for a potential purchase in DR Congo by PAF

[coxsmn] 04/2/2018 18:48

Elikhulu cost of $123m US through last year's share placing etc. Production of 56,000 ounces per annum for the first 8 yrs then 45,000 ounces for the remaining 5 years.

So for 2019 should yield ~32% increase in gold production compared to the forecast for this year. The possible acquisition announced recently could obviously offer further upside.

[mafia music] 04/2/2018 13:00

how much will Elikhulu production have an effect on the eps for the coming period?

[coxsmn] 03/2/2018 19:14

Big drop in earnings although they remain positive and results are expected to be improved for the next reporting period. There was a large investment made last year in Elikhulu which is yet to contribute to the bottom line. Starting early next year Paf expects Elikhulu to produce 50,000 ounces of gold per annum for the next 13 years.

Hence we could see a significant improvement here in the medium term and the recent 'cautionary' rns highlights news of a possible acquisition.

Dyor.

[fangorn2] 03/2/2018 19:03

Yes I know that Cox but societal collapse from NO WATER will spread as desperate people migrate to whether there is water - and they wont be asking politely but simply taking. And we all know how that ends.

I've seen starvation,and how it changes people. Water scarcity is even worse

Very worrying development.

Add that to the daily murdering of White farmers across Sarf Africa and you have a powder keg waiting to blow.

[coxsmn] 03/2/2018 18:55

Fan,The water crisis is in the Western Cape stretching to the Eastern Cape. The PAF mines are all up north in summer rainfall areas (Barberton) and no water crisis in the old Transvaal.