Pan African Resources Share Discussion Threads

[justiceforthemany] 15/2/2023 11:29

Agree with above comments but share price is falling relentlessly for no obvious reason. Market is plain stupid sometimes. Now at pre pandemic lows.

[tuscan4] 15/2/2023 11:23

I listened to the Conference Call and could not fail to be impressed with the Presentation. S.Africa for all it's detractors appears to be rising, not falling, in the list of attractive mining jurisdictions in the world. Example :only a year to obtain permitting for Mintales.
Quality management, low and under control costs, long term high quality reserves, scope to increase output over the next several years, all on a P/E of under five.
Investors with a time scale of more than a year will be rewarded I feel, with the strong possibility (probability) of gold rerated much higher leading to fabulous returns. I pray that this is not taken over at this juncture.

[astjgroom] 15/2/2023 10:12

Softened report but still pretty robust. The moment inflation is tamed in the US there will be a massive re-rate in the GP. US also now expecting a hard landing. Nibbled another 50k just now. Let's hope Eskom can improve their service...

[johnbull1] 15/2/2023 09:09

Results read well. The $1291 AISC not terrible given the blow-out at Barberton (due to Consort). BTRP, Elikulu and Evander all look pretty decent. As does guidance. AISC guided 1250 at 17 zar for the year means full year earnings will not be disimilar to last year.

[justiceforthemany] 15/2/2023 08:20

Some idiots selling 200K shares
Up strongly in SA not reflected here

[stonedyou] 14/2/2023 11:37

Dollar crash coming – Robert Kiyosaki.

By 2025, faith in the greenback will be destroyed, the famed author claims.


Famed writer and economist Robert Kiyosaki has warned investors that the stock markets are about to crash and the US economy is heading into a “depression.”

According to the ‘Rich Dad Poor Dad’ co-author, this will be fueled by the fact that the US Federal Reserve will print billions in “fake money.”

“Giant crash is coming. Depression possible,” Kiyosaki tweeted late Sunday.

He also wrote that by 2025, Bitcoin will hit $500,000, followed by $5,000 and $500 price marks for gold and silver respectively. He explained that this will be “because faith in the US dollar, fake money, will be destroyed,” adding that Bitcoin is the people’s money, and gold and silver are “God’s money.”

Giant crash coming. Depression possible. Fed forced to print billions in fake money. By 2025 gold at $5,000 silver at $500 and Bitcoin at $500,000. Why? Because faith in US dollar, fake money, will be destroyed. Gold & Silver Gods money. Bitcoin people’s $. Take care.


— Robert Kiyosaki (@theRealKiyosaki) February 13, 2023
The spot price for gold is currently at $1,856.58 per ounce, with spot silver at $21.99 per ounce and Bitcoin at $21,864.


This is not the first time Kiyosaki has tweeted about an approaching market crash. He has made several similar warnings, tweeting that everything will crash, including the prices of gold, silver, and Bitcoin. This has caused some skepticism regarding his predictions.

Recently, Kiyosaki predicted an impending collapse of the financial markets, which could happen, he said, as early as this week. Analysts noted that he probably attributed the worsening of market conditions to US inflation data, which is due on February 14. Kiyosaki urged people not to panic and to increase their exposure to strong assets.

[creditcrunchies] 14/2/2023 08:54

Surprised to see this one drop so fast we're going right back to the lows of 3 years ago

[stonedyou] 14/2/2023 08:22

Accelerated De-dollarization Will Increase Demand for Gold'


After Several Strategic Mistakes, the Wind Changes

The increased use of the extraterritoriality of U.S. law - particularly the Foreign Corrupt Practices Act of 1977 - has inevitably increased the reticence of foreign countries towards the United States. The fact that the possession of dollars by a foreign company makes it immediately liable to investigation when it violates U.S. law has contributed to the fact that the U.S. currency is no longer just a tool for monetary domination, but also a legal lever for coercion that endangers the sovereignty of all economic agents. Many French, Chinese, Iranian, etc. companies have paid the price.

In addition to this, numerous embargoes have been put in place (Iran, Venezuela, Afghanistan, etc.), as well as the threat of exclusion of certain countries from the SWIFT interbank messaging system, a Western geopolitical tool now dominated by the Americans. By isolating a bank from this network, the transfer of payment orders stops, which amounts to making the financial institution virtually inert. Iranian banks were notably excluded in 2012 as the country accelerated the development of its nuclear program. Two years later, the United States issued the possibility of suspending Russian banks from the network following the annexation of Crimea. Entering the danger of dependence on the Western system, Russia creates its own Russian financial messaging system named SPFS in the aftermath.

For its part, China established a local network in 2015: the CIPS program. This system offers clearing and settlement services for cross-border trade in yuan. Four years later, European countries followed suit by establishing the INSTEX network following the unilateral withdrawal of the United States from the Vienna Convention on Iranian nuclear energy. But President Trump quickly called them to order and threatened that those who used it would no longer be able to trade on American soil.

While the European system is only marginally used, the Russian and Chinese systems are booming. In addition to attracting numerous partners such as Iran, India and Turkey, they have succeeded in accelerating the de-dollarization movement, which is reflected in a decrease in dollar reserves worldwide. Thus, while the dollar represented 66% of global reserves in 2014, it now represents only 58.8% of reserves, to the benefit of the euro, the yuan and gold.

Although the leaders of this movement remain the "strategic rivals" of the Americans - i.e. China and Russia - several countries are beginning to turn their backs on the United States and the dollar in order to move towards China and the yuan. This is notably the case of Israel, which recently announced that it was reducing its dollar reserves (by more than 5%) and adding yuan for the first time (in a still very small amount). This is also the case of Brazil, which has chosen to reduce its dollar reserves in 2021 (from 86.03% to 80.34%), in favor of the yuan (share evolving from 1.21% to 4.99%). Other countries, such as Nigeria and Iran, did the same a few years earlier.

In this context, if the war in Ukraine can be explained by multiple geopolitical reasons (energy, NATO enlargement, internal conflicts, etc.), the fact remains that the long strategy of de-dollarization of Russia remains a major source of tension between the United States and the Kremlin. In 2013, 95% of Russia's hydrocarbon sales to the BRICS were traded in US currency. In 2021, it was less than 10%. A radical change when we know that Russia is one of the main producers of oil in the world, that raw materials contribute to more than half of the country's exports, but that they remain, above all for the United States, the means to maintain their monetary supremacy.

In addition, the Russian central bank has been steadily reducing its dollar reserves since 2014. Today, the US currency represents only 16.4% of its reserves. As for the euro, it constitutes 32.3% of reserves, gold, 21.7% (driven in particular by the purchase of 40 billion dollars of gold over the past five years) and the yuan, 13.1%. A strategy that today allows to limit the effects of the recent economic sanctions taken by the West against Russia.

[justiceforthemany] 13/2/2023 17:09

Cobus and other directors can not buy stock at the moment due to the closed period. Come results day Wednesday they can though and need to.
At 52 week lows.
Yes there is geopolitical risk and electricity issues despite our solar plant but share price is now at less than 5x earnings, 50%+ upside from here is possible.

[stonedyou] 13/2/2023 17:05

CHINA PUSHES DE-DOLLARIZATION WITH GOLD, CURRENCY SWAP DEAL.


Advancing Global De-Dollarization, China’s Central Bank Is Boosting Its Gold Reserves While Signing Currency Swap Deals In Yuan With Countries Like Argentina, Encouraging The Use Of Renminbi Instead Of US Dollars.


China’s central bank has taken a series of steps to accelerate the global drive toward de-dollarization, challenging the hegemony of the greenback.

The People’s Bank of China is increasing the share of gold in its foreign-exchange holdings, bucking the US dollar, which has for decades been dominant in reserves.

This January, China also signed an agreement with Argentina’s central bank for a currency swap deal, in which Beijing will provide 130 billion Chinese yuan (roughly $19 billion USD) to help Buenos Aires stabilize its currency and economy.

The South American nation said it is “committed to deepen the use of the RMB [renminbi] in the Argentine market for bilateral exchange”. (Renminbi is the official name for the Chinese currency, also known as the yuan.)

These moves show how China is responding to the new cold war that the United States is waging against it.

Concerned that the aggressive sanctions that Washington has already imposed could expand into an all-out economic war, Beijing is decreasing its holdings of dollars in reserves and encouraging the use of its currency in trade with other nations – chipping away at the global reserve currency.

Meanwhile, Russia’s central bank has pledged to buy yuan in the foreign-exchange market to hold in its reserves. And Beijing is already buying oil from Moscow in its currency.

China’s Central Bank Increases Its Gold Reserves
In December 2022, the People’s Bank of China publicly disclosed for the first time in three years that it was increasing the share of gold in its foreign-exchange reserves.

Bloomberg noted at the time that “China’s purchases may be part of a plan to diversify its reserves away from the dollar” – a virtual certainty.

In January 2023, Bloomberg followed up indicating that the People’s Bank of China had again boosted its gold reserves.

The media outlet speculated that Russia is filling its reserves with gold as well.

China and Russia are not alone. Bloomberg reported that central banks around the world are buying gold, reaching a record of close to 400 tons in the third fiscal quarter of 2022, compared to 241 tons in the same period in 2018.

Central banks in many countries are increasingly worried that they could be targeted by unilateral Western sanctions.

The United States and European Union have frozen or seized hundreds of billions of dollars and euros from the foreign reserves belonging to the central banks of Russia, Iran, Venezuela, and Afghanistan.

This has pushed many nations to look into diversifying their foreign reserves – not only governments targeted by the West for regime change, but even long-time allies such as Saudi Arabia, Egypt, and Türkiye.

The US-dominated International Monetary Fund (IMF) warned in a March 2022 research paper of the “stealth erosion of dollar dominance“.

.

The financial institution observed a marked rise in the use of “nontraditional currencies” in global central bank reserves. The Chinese yuan has driven this increase.

From 2000 to 2021, the percentage of foreign reserves held in US dollars dropped from a bit over 70% to just under 60%.

Thus far, the shift has been slow. But as the United States escalates its new cold war on China, the ensuing geopolitical conflict is likely to accelerate the move toward de-dollarization.

[stonedyou] 13/2/2023 16:54

WESTERN HEGEMONY'S COLLAPSE

De-Dollarization Accelerates

De-dollarization and the New Economic Order

The Biden administration’;s idea of transforming the dollar and the global payment system into weapons has caused many countries and investors to actively diversify their assets away from the dollar system.

As Bloomberg reports, countries such as Bangladesh, Kazakhstan, and Laos are in talks with China to increase their use of the yuan, while Beijing and Moscow are developing joint mechanisms for mutual settlement without using the dollar, and India is promoting its rupee as a regional currency by starting to provide a bilateral payment mechanism with the United Arab Emirates.

Another reason for the flight from the dollar is its potential strengthening in the coming years due to a change in the course of the Federal Reserve’s monetary policy. Corporations around the world are selling an unprecedented amount of their debt in local currencies, fearing a further strengthening of the dollar.

As Bloomberg columnist Michel Jamrisco writes, there are increasing voices saying that the dollar is being used to “intimidate small countries.” Southeast Asian countries are therefore using this reason to trade more in local currencies, moving away from the dollar.

[lovewinshatelosses] 13/2/2023 16:29

Agree. We will find out soon enough, I'm sure.

[johnbull1] 13/2/2023 16:26

Maybe thats worrying people but I'd also be very disappointed not to bank or debt finance. With recent bond and overdraft they have, they seem pretty close to having enough cash now, although there's a lot of capx this year. Feels a seller being filled in the bg, as you keep seeing it wacked in aftermarket.

[lovewinshatelosses] 13/2/2023 16:21

A conventional bank loan or a non-discounted placing if needed. This is an established and profitable outfit, not one of the tin pot AIM outfits, so I would be disappointed if it turned out otherwise.

[justiceforthemany] 13/2/2023 16:13

Mintails will get EPS to 4p+ but how is that going to be funded? Is this drop due to an imminent placing? What do people think.
Valuation is super cheap now.

[lovewinshatelosses] 13/2/2023 13:57

Agree. I like this company, and to date have been impressed with the BOD. Some substantial inside purchases when allowed would underpin this hitherto justified faith and IMO reduce the risk/impact of further lows in the share price

[johnbull1] 13/2/2023 13:44

It's pretty frustrating where the share price is given the gold price in rand they're getting at all time high. Makes sense that EPS would be down 40% given the fall in production (and probably high costs at Barberton >$1700 due to Consort?) What's key is for the company is what it can do to costs going forward? And how bad will the load-shedding affect them? Can Elikulu be brought back under 1000 with better recoveries at Leslie Bracken? Can Evander stay in 1000-1200 range? Can extended BTRP be held at 1000? Can Mintails be brought in at 1000? Can Barberton be reduced to 1300 under Fulco? If so, the stock is on <4x PE with a growth profile. I would hope management buys stock on the 15th.

[lovewinshatelosses] 11/2/2023 11:44

I hear you, Cinoib. This is the type of market where buy and hold will simply not work for the majority of stocks, IMO. Glad I traded this one a few times along the way since 2020, while maintaining a small core holding since mid last year (if memory serves correct). Would have also made considerably more profits doing the same over at FRES, which I have held for a few years more. Only started laddering in and out of that one around mid 2020. 'Diamond hands' before then.
If I had simply bought and held PAF from 2020, around 15p I think roughly my first buy was, good profits would have evaporated to pretty much zero at the time of print. Of course, I may regret keeping the small holding I currently have and which I have added to recently, but the strategy so far has served me well. Would love to have been here around the 2p mark, but doubt I would have kept many back once the magical ten bagger had been achieved. No way would I have been able to sit fully on my hands until that level was reached either :)
Anyway, hope to see you back here soon mate.

[cinoib] 10/2/2023 17:02

Lovewin, I always keep my eye on it as been here from 2001/2 at 2p so have seen all the ups and downs. Just now it has a problem to solve and am sure he will sort it, but I need to make money to supplement my poor pension so can't afford to sit to long, but no doubt I will be back at some point in time. All depend how many more thousand million the fed gives the banks to short gold to death to keep a worthless $ high. If ever they get found out what they are doing, all hell will break loose and the gold price will quadruple overnight.

[justiceforthemany] 10/2/2023 16:32

ZAR gold price is what matters most according to Cobus and that is up significantly year on year to the tune of 30%+

[lovewinshatelosses] 10/2/2023 14:08

Yeah, it is OK as things stand. Still a fairly relaxed holder here. GLA.

[tigerbythetail] 10/2/2023 13:20

RNS out - not a great half (as already known), but if production recovers in second half (as guided), and if the gold price stays where it is (or goes higher), then this is very much a buy.
GLA in catching the very bottom of the inevitable dip.