Pan African Resources Share Discussion Threads

[goldie34] 24/1/2023 08:56

Don't see why the mining union could not support that if all the employees can be used full time. Win for both?

Also, shouldnt we have production numbers for six months by now?

[plasybryn] 24/1/2023 08:56

Mentioned yesterday in This is Money The Mail

[johnbull1] 23/1/2023 08:52

I think 10MW represents only 5-10% of current electricity requirement. This posted on LSE forum:



Good if Pan can do this, as some of Barberton costs have needed to come down for a long time.

[justiceforthemany] 20/1/2023 16:52

What about our solar plant though? Should that not be helping even in the load shedding phases?

[johnbull1] 20/1/2023 09:30

There are likely concerns over load shedding (stage 6 until recently) in SA and the effect this may be having on operations. Also, Sheba and Consort might well have performed badly over the first half, with the turnaround plan not yet realised.

So I think we have to get results out of the way and a focus on what can be done to improve AISC at Barberton, manage load shedding and advantage from a great gold zar price of 1070 per gram. On today's gold zar run-rate (and post a weaker H1) the stock is on <4x PE.

[cinoib] 20/1/2023 09:18

Well something is holding it back. As gold is on the march to 2,000 and we are down again. My other gold stock is up 7% this morning, so at least one is responding to the steady rise in gold and future profits.. This is a 200k producer with a margin at current levels of nearly $800 an ounce so should be well past 20p by now, not struggling to hold 18.

[kickingking] 19/1/2023 21:29

I think the once a year dividend is also hindering investors. I emailed the company just before Christmas and got a reply back last week. They told me they will discuss the dividend at the next board meeting.

[lovewinshatelosses] 19/1/2023 18:26

Indeed. I actually decided to ignore my own plans and bought another 10k shares, when I saw a retest looked likely. Smaller than my usual tranches, as it does not usually go well for me when I bypass a strategy I initially had in mind! Will add the usual amount if I get to apply my original strategy next time (although needless to say, would be more than happy for that opportunity to not come about) :)

[cinoib] 19/1/2023 15:30

LOVEWIN, Well gold is having another run as is up $16.30 as I write, back over 1920, see how long it last this time.

[lovewinshatelosses] 19/1/2023 14:03

Not PAF-specific, its a market sentiment thing, IMO. I waited to see how it would react to the 50 DMA support, and it sliced through that like a hot knife through butter, so I am sitting tight for now. But I am not concerned, FWIW, and ready to buy some more if 17p holds. Almost certainly will add if we see the mid 16's again on no company-specific news, regardless of technical stuff. But each to their own, not advice etc. GLA.

[cinoib] 19/1/2023 09:48

No better, gold up $6 and we drop 2%, not that the rest of the market is any better. Hardly a blue on the board today.

[astjgroom] 18/1/2023 22:52

Sometimes gold can pop up on Fridays, let's see what happens later in week...

[cinoib] 18/1/2023 13:37

Gold powering ahead again and we go backwards. What the f--- is going on.

[stonedyou] 17/1/2023 07:57

'Dr. Doom' Nouriel Roubini says the Fed will wimp out on its inflation fight and gold is the best protection as volatility batters the economy.


The Fed will wimp out on its inflation fight, according to "Dr. Doom" economist Nouriel Roubini.

He believes the Fed needs to raise rates past 6% to bring inflation to target levels - but it's unlikely to go that far due to recession risks.

Roubini said gold is the best bet for investors as inflation, high debt, and extreme volatility are set to batter the economy.


"Dr. Doom" Nouriel Roubini said the Federal Reserve will wimp out on its inflation fight, and gold is the best protection for investors as volatility batters the economy.

In an interview with Kitco News this week, the top economist predicted the Fed would likely raise interest rates past 5%, though they would have to reach 6% to fully bring inflation back to target. But rates that high will likely push the US into a severe recession, he added, doubting central bankers would go that far.

"There is so much debt in the system that an attempt to reduce inflation not only causes an economic crash, it causes also a financial crisis," Roubini said. "They will feed on each other, and faced with an economic and financial crash, the Fed and other central banks are going to have to wimp out, blink, and not raise interest rates as much."

However, that still won't save the economy from a recession: Failing to bring inflation back to target levels could cause a de-anchoring of inflation expectations, sparking a stagflationary debt crisis, Roubini warned.

[cinoib] 16/1/2023 16:03

this seems to go down fast enough, but slow to go up. Must have someone unloading a large position.

[cielos] 14/1/2023 21:59

There is some life on the stock as Gold price is rising

[stonedyou] 11/1/2023 12:58

Gold's New Golden Year.

THERE is a time for temperance and there is a time for promotion, writes Gary Tanashian in his Notes from the Rabbit Hole.

Too many in the gold sphere forget about that first thing when risk is high, and in August, 2020 it was at nosebleed levels.

Gold then started on the long road back to a low risk setup for much of 2022. Now the gold price is finally starting to validate that view, especially in its macro relationships.

These fundamentals are amplified for gold miners, which are businesses that leverage gold's standing among other more cyclical assets and considerations, like Energy, Materials and human resources (mining cost drivers).

In other words, gold mining as a sector generally shines fundamentally when inflation is low but also when market liquidity is low, driving down the options (stocks, commodities and other speculations) that probably 90+% of the investing world believes so strongly in relative to the barbarous relic.

I highlighted Bob Hoye's view of gold mining in a post-bubble contraction in a post on December 19th (via 321gold). While the last 20 years have foiled Bob's view of a post-bubble landscape (cue "the hero" Ben Beranke, QE and 7 years of ZIRP as a primary example along with radical policy that followed in his wake, as we gauged the oncoming bull in 2020) I have reason to believe – based on indications proprietary to NFTRH – that the Fed is going to be unable to come to the (inflationary) rescue this time; on the next hard stock market downturn.

It's not a perma-bear writing that; it's a guy who has had to be bullish when indicators had advised so over the last 20 years.

Those indicators are now either at extremes or busted on the big macro picture and one strong conclusion – assuming a neutered Fed – is yup, you guessed it, a real post-bubble environment this time. Full frontal Hoye, if you will.

Based on gold's severe and necessary decline in relation to stocks and commodities after the big bubble leg in those assets blown by the Powell Fed in 2020, the year-ago article also noted the following with respect to a big picture chart of the Gold/CRB ratio, one measure of gold's real price.

Good news for gold bugs? Risk is about a million times lower now than it was in the summer of 2020 as the ratio comes back on trend.

As for the big picture technical situation...

Today is a different story. I may be right or I may be wrong about 2022, but the original plan – after NFTRH got bullish the precious metals during 2020's Covid crash (as the Fed cooked up an epic inflationary operation) – was for this downward handle-making as part of a bullish Cup.

The Cup's handle (since distorted to the point where it went from sloppy to no longer a handle) represented the banishment of the monetary metal in favor of cyclical and inflation sensitive speculations of all kinds. Who needs a solid rock of value when you can make some coin in the casino the Fed erected out of inflationary policy? Gold did, however, retake the key 1700 level after plunging below it for a couple months and reversing hard to create a bear trap (of breakdown momo players).

Today let's look at one simple daily chart that shows an undeniable improvement in gold's relationships to other more inflation sensitive and cyclical assets. It means only everything to gold mining, and if the recent improvements shown below continue on to new trends then 2022 will have been the golden launch from positive fundamentals and intact technicals, and 2023 would ultimately be the golden (ie, overtly bullish) year.

Beauty, eh?

We have a likely trend change in gold vs. stock markets, a bottom and upturn in gold/commodities (including significant miner cost input crude oil) and well what do you know? Maybe even a change in its trend vs. a gauge of inflation expectations. The macro started to change with Gold/SPX in January, 2022 and when it bottomed vs. commodities we took further bullish notice on the 'real', asset adjusted prices of gold.

[plasybryn] 10/1/2023 23:00

That was April 2022.

[stonedyou] 10/1/2023 22:34

Russia pegs the ruble to gold in game-changing move.


The Bank of Russia will continue buying gold at a fixed price of 5,000 rubles ($59) per 1 gram until June 30. Russia may thus have a chance to return to the gold standard for the first time in over a hundred years.

According to BullionStar Singapore precious metals analyst Ronan Manley, Russia's decision to switch to rubles in settlements with counterparties will entail significant consequences for the Russian currency, for the US dollar, and for the entire global economy.

According to him, by pegging the ruble to gold, which is traded in US dollars, the Bank of Russia set a minimum price for the ruble in US dollar terms.

"Back on March 25, the ruble was traded at 100 rubles per one US dollar. Now the Russian ruble has gone up to 80 rubles per dollar. This is because gold is traded on international markets at about 62 dollars per gram, which is equivalent to (5,000/62) = about 80.5. Both the markets and arbitrage traders have taken note of this, and the RUB/USD rate has increased," Ronan Manley said in an interview with RT.

With the new peg of gold to the ruble, the strengthening of the Russian currency will affect the price of gold, the expert added.

The energy market will react too
Russia is the world's largest natural gas exporter and the world's third largest oil exporter. Having switched into Russian rubles in settlements for energy resources, Russia pegged the price of gas to it and then to the price of gold, due to the fixed connection with gold. In a nutshell, the Russian gas is now linked with gold through the ruble.

"The same can now be done with Russian oil. If Russia begins to demand payment for oil exports with rubles, there will be an immediate indirect peg to gold (via the fixed price ruble — gold connection). Then Russia could begin accepting gold directly in payment for its oil exports. In fact, this can be applied to any commodities, not just oil and natural gas," Ronan Manley told RT.

By playing with both sides of the equation, that is, by pegging the ruble to gold and then pegging energy payments to the ruble, the Bank of Russia and the Kremlin fundamentally change all the working assumptions of the global trading system, accelerating changes in the global monetary system, he says.

What does this mean for the ruble?
The pegging of the ruble to gold through the fixed price of the Bank of Russia has now laid the foundation for the RUB/USD rate and thus stabilized and strengthened the Russian currency.

"Demanding that natural gas exports are paid for in rubles (and possibly oil and other commodities down the line) will again act as stabilization and support. If a majority of the international trading system begins accepting these rubles for commodity payments arrangements, this could propel the Russian ruble to becoming a major global currency. At the same time, any move by Russia to accept direct gold for oil payments will cause more international gold to flow into Russian reserves, which would also strengthen the balance sheet of the Bank of Russia and in turn strengthen the ruble."

According to the analyst, we are now witnessing the birth of a new monetary system, which is going to be backed by gold and raw materials, rather than by the supremacy of the US dollar.

[astjgroom] 10/1/2023 21:01

:-))) time will tell cinoib. We see from opposite perspectives. I've been in the market 27 years, for the last 10 I have been expects this scenario, time just to ticking away. Good luck to you :-)