Petropavlovsk Share Discussion Threads

[book5] 31/1/2018 09:08

CityAM.com
Kenges Rakishev:
“ shareholders will wish for reassurance that the omission of (Pox hub’s) production forecast from today’s guidance does not indicate a lack of commitment over bringing the project to completion”

Rest article he complains about worrying lack of ambition...

IMHO the update was too conservative

[gilotron] 30/1/2018 12:52

interesting wallywoo

[wallywoo] 30/1/2018 09:40

juju: To be fair to POG the hedge was a condition of the bank loans (no longer applicable, since now bond debt)

[seppsuess] 30/1/2018 09:34

slow but steady progress...

[juju44] 30/1/2018 09:29

badly misjudged hedge will keep this lower for a long time

[gilotron] 30/1/2018 09:25

yea plenty of opp for positive news flow this year

[book5] 30/1/2018 09:20

I am very happy to hold my shares and wait

[gilotron] 30/1/2018 08:59

Hmm annoying that there is still 400k hedged to a lower gold price

[haughtonhoney] 30/1/2018 07:38

Results out.

[gersemi] 28/1/2018 09:21

As we see with PMO and ENQ and also with POG. Once the debt falls away the equity content of the company and as a result of this, the share price will rocket

[officehead] 28/1/2018 09:19

Q4 - Update
Since Mr Hambros departure along with the enthusiastic level of communication. The update on Tuesday will hopefully supply a useful update of ongoing projects and a pointer in the future direction under the new investors influence.
Here are just a few pieces of the extra information I would like to know beyond just the important production figures.
1. Confirmation that the $500million bond issue was used to replace debt refinancing.
2. TCC within earlier guidance.
3. Underground Mining at Pioneer is on plan and that the higher grade areas have now been accessed and some indication that grades from mined ore and exploration drilling are as expected.
4. Malomir - commissioning of the 1st floatation line is complete.
5. High grade ore identified from underground mining at Malomir is/will have a positive impact on costs and output.
6. POX development is progressing to plan.
7. PM returning as a director/confirmation of a permament CEO.
8. Any changes in hedging.

Interested what other people are looking out for.

[book5] 27/1/2018 11:47

POG is on the LSE volume top list
Did the volume spike during the closing auction?

[gilotron] 26/1/2018 22:54

don't fight the pog!

[book5] 26/1/2018 17:43

Good volume and share price rise
:)

[srpactive] 26/1/2018 17:43

54m traded today?

[brian1944] 26/1/2018 15:20

DL no its 150m

[davidlloyd] 26/1/2018 14:47

is that 300m then? :-)

DL

[brian1944] 26/1/2018 10:30

if petro repeats its first-half cash flow it will have generated 150m in 12 months

[brian1944] 26/1/2018 10:29

if petro repeats its first-half cash flow it will have generated 150m in 12 months

[ih_184073] 25/1/2018 14:03

#ballin #showme9p

[gilotron] 24/1/2018 16:23

ic
A prominent Kazakh businessman has called for a shake-up of Petropavlovsk (POG) after acquiring a 22.4 per cent stake in the Russian gold miner at the end of December 2017.

POG:LSE
Petropavlovsk PLC

1mth
Today change
0.00% Price (GBP)
8.40
Kenges Rakishev, a director of Central Asia Metals (CAML) and a former majority shareholder in Kazakhstan’s largest bank, met with the board of Petropavlovsk for the first time this week, to agitate for several strategic shifts in the wake of a boardroom coup that led to the ousting of chairman Peter Hambro, and the subsequent resignation of co-founder and chief executive Pavel Maslovskiy.

Chief among these goals is to broker the return of Mr Maslovskiy, who the oligarch believes is the only person to successfully oversee the construction of a key pressure oxidation (POX) plant in Pokrovskity, Russia. According to Mr Rakishev, the former chief executive has said he would return with the board’s backing, although as of October Petropavlovsk said the POX Hub development was “progressing on schedule and on budget”, ahead of first production later this year.

The board has also been pressed to dump its 31.1 per cent stake in IRC, the Hong Kong-listed iron ore miner chaired by the son of Mr Hambro. Instead, Mr Rakishev thinks the group should be solely exposed to gold, and would benefit by acquiring gold miners in Russia and Kazakhstan whose owners are keen for a back-door listing in London.

The oligarch has also asked the directors of Petropavlovsk – a portmanteau of the founders’ first names – to consider re-branding the company, and has asked for a non-executive seat on the board.

Mr Rakishev declined to comment on the size of his investment, although it also included the purchase of convertible bonds worth $28.8m (£20.4m) from asset manager Renova, which was at the forefront of last year’s coup. At the time of the deal on 27 December, a 30 per cent premium to the stock’s three-month moving average would equate to 10.1p a share, or £75m for a 22.4 per cent holding.

Asked why he bought into the London-listed gold miner, Mr Rakishev said he was positive on the fundamentals for precious metals, and believes Petropavlovsk is significantly undervalued against peers such as Polymetal International (POLY). FTSE 250 constituent Polymetal, which has total debts of $1.7bn and is expected to generate pre-tax profits of $595m this year, sits on a price/forward earnings multiple of 11. Meanwhile, Petropavlovsk has a forward earnings multiple of six, total debts of $654m and forecast pre-tax profits of $100m for 2018. “It’s not fair,” said Mr Rakishev.

Petropavlovsk declined to comment.

IC View
On balance, we agree that Petropavlovsk should re-brand and sell its $66m holding in IRC. However, the gold miner is aware of the latter prospect, so too the need to get the POX Hub up and running. We also agree that against a $1,300 gold price, the shares’ rating looks tempting, though scale, dividends, and longer-term boardroom stability explains Polymetal’s relative premium. Mr Rakishev’s conviction bet is no less interesting, but we’ll wait until full-year results are published for determining whether a turnaround is under way. Hold at 8.4p.

[timanglin] 24/1/2018 15:57

I think the speculative statement in the press that he had experience with cryptocurrencies in the past, is interesting, in that the next wave of cryptocurrencies are asset backed, eg gold. He would also understand and be comfortable with local business practice

[gilotron] 24/1/2018 15:31

righty well i've picked up load more stock. I like this guy more and more and agree with cutting irc out.

[peterg40] 24/1/2018 12:58

Unfortunately no connection,met him briefly at the 2014 AGM when I flewin from my Asian base.This was my first and only attendance at a POG AGM having held the stockfor eight years +.At that AGM, PH explained that he was unable to say very much,as he had been advised by his legal team,that the refinancing negotiations were ongoing.