Petropavlovsk Share Discussion Threads

[route1] 12/10/2020 09:14

Right now the gold mining sector is a DANGEROUS space, in my opinion.I sold out after holding for more than a decade.There are far better sectors and companies in those sectors to be invested in right now!

[bubloo] 12/10/2020 08:12

I think the drift has begun wish I had told my small holding earlier. Hold or sell is the question as nursing small loss now.

[undervaluedassets] 12/10/2020 07:45

Big management changes.

"Alya Samokhvalova has left the company with immediate effect". Another of the old guard gone. She chaired the meeting that dealt with the vote.

worked in senior roles for the company for the best part of 20 years

No "thank you". no nothing. just "Alya Samokhvalova has left the company with immediate effect"

There is a story there that is not being told isn't there?

The uncertainties here just keep on increasing

And 2 new boys about whom I can find nothing on a google search. "Yes" men mebbers?

[troy] 11/10/2020 17:23

S&P downgraded Petropavlovsk
Standard & Poor's

Standard & Poor's

© flickr.com/ Funky Tee
Read 1prime.ru in

MOSCOW, October 9 - PRIME. The international rating agency S&P Global Ratings (S&P) downgraded the long-term rating of Petropavlovsk to "B-" from "B" and placed it on the list for revision with a negative outlook, the agency said in a release.

"The downgrade is related to our view on the possibility of increasing risks around management and corporate governance, which could potentially damage Petropavlovsk's credit profile," the agency explains the rating action.

S&P notes that there are conflicts between shareholders and the interim CEO and key executives at the mines, which sheds light on issues related to the composition of the board of directors and top managers of the company.

At the same time, the agency noted that the company's operating indicators remain stable amid high gold prices, and the company's leverage has already significantly decreased.

Petropavlovsk Plc is one of the five Russian companies in terms of gold production. The main assets are concentrated in the Amur Region. In 2019, the company mined 12.8 tons of gold.

[malcontent] 11/10/2020 11:12

@doc_oj

well I did consider rotating out of POG into AAZ a month ago
In the end I kept my POG and contented myself with buying a starter position in AAZ
I aim to add in AAZ with the recent weakness, although it illustrates very well the geopolitical risk that comes alongside precious metal company investing
I understand those who stick to companies that work in Canada and Australia

[bubloo] 10/10/2020 21:17

sold my large holding in POG and moved to rsg RESOLUTE MINING where I see definite opticK of between 20 to 40% when they announce 3rd quarter results and life of mine plan TOR XYAMA AND TABLORONI UNDERGROUND HOPEFULLY in next two weeks

[doc_oj] 10/10/2020 20:15

@malcontent: very well said! I'm very heavy in aaz and the recent wobble has been painful despite the company and the bod being absolutely solid

[rochdae] 10/10/2020 14:20

Well I bought a few more at 31p.
Got 250k now average 33p. Fraction of what I had due to the increased risk. But the market only cares about cash generation.

Gold going higher. Results will look good. No real collapse here. Far worse with cey despite management.

Pox worth a billion in itself remember.

[malcontent] 10/10/2020 12:03

well what an INTERESTING share to be invested in - it's one of my gold plays (from 9p average) but we get "Game of Thrones" thrown in for free, along with a free insight into modern Russian business practices.
Bargain!

I'm still holding, because, in my view, gold is in a bull market- likely early stage, and this company is well positioned in this respect

But holding Gold stocks is always full of unexpected jeopardy - there's a few here who may have avoided "dodgy POG" and invested in "stable" gold sticks like, say, CEY, or maybe AAZ... whoops

I think we should all accept that precious metal stocks are wobbly
If you don't like that, then stick to bellweather FTSE 100 stocks like.....Rolls Royce, BT, BP.....whoops!

[undervaluedassets] 10/10/2020 10:04

A little context ..

I try to deal with "now and next" when investing not the past. Like driving you do not invest by constantly looking in the rear view mirror.. the view ahead is what matters.

so for me POG was a "watch and see what happens" for 6 years prior to 2017 when I finally thought that the turnaround looked credible and I made my first investment (dipped a toe in). Up to 2017 I had been an interested but dubious spectator.

So when I started investing in 2017 I was dealing with what was happening then; I was not interested in the past; I was interested in "now and next". As the story improved I invested 17 more times into the recovery buying on good news and on dips.

So from my perspective from 2017 the management did indeed preside over a recovery.

Right now .. using my "now and Next" lens things look horrible (to me .. I cannot speak for anyone else). But the news has been hoorrible so I am OUT. The market seems to think so too and over the last couple of weeks POG has gone from best performing UK Gold mining stock to the worst (Centamin excepted). Also did we all read the article in the FT .. not great.

Before anyone says it this is just Russia risk . It's not.. this is Petropavlosk risk... Trans Siberian gold has put on 4% over the same time frame.

If the "Now and next" changes to the good for POG I may - (stress may) - invest here again.

[popeye888] 10/10/2020 09:30

I'm pleased to see you are aware of the silly figures I talked about but you get my point, and that is all I was trying to do. I seem to remember my POG shares were more than £10 per share under the old BOD. I just get very annoyed when people try to mislead readers with their slanted comments so I try to balance things a little. The main point is that the old BOD were not as good as some people might suggest.

[popeye888] 09/10/2020 22:27

Quite amusing,

"By contrast The previous board it should be noted presided over a transformed company whose share price rose 700% in 3 years making it the stand-out performer in the ftse 250"

Quite amusing because you fail to mention that the previous board took the share price from £6 down to 5p and then up to 35p. Didn't the old BOD do well!

This company would have gone into liquidation under the management of the old BOD if it wasn't for shareholders helping out with more cash via a rights issue.

£6 to 35p is not very impressive.

You can do what you like with numbers, it just depends which numbers you choose to use and how you present them.
I know there is a lot more to this story, but I think the support of the shareholders together with the rise in the gold price is mainly responsible for where this company is now.

[undervaluedassets] 09/10/2020 19:16

Everything about this suggests to me that Strukov and his ilk are happy with the company being in a state of chaos as it gives them the opportunity to pick up more shares on the cheap...

And even at some point in the future to put shareholders out of their misery by making a derisory offer for the whole..

I must ring Prosperity and see what they make of all this nonsense.

The proof of the pudding is in the eating. And if share price performance is a measure of success (which it surely is in the final estimation) well since they have come to power the new management and board have certainly been successful at driving the price of shares in POG down.

By contrast The previous board it should be noted presided over a transformed company whose share price rose 700% in 3 years making it the stand-out performer in the ftse 250

[erdingtonian] 09/10/2020 14:50

Watched a fascinating programme about the world's deepest mine, in the RSA, where the stuff they discard contains 1g/ton! What Pog digs up is less than that. Puts things in perspective really.

Waiting to see if we get back to 37p. I think 40p is now ambitious.

[pogue] 09/10/2020 13:41

Pass the acid tabs I need to look at this RNS again.

[stevea171] 09/10/2020 13:39

It's been reported in the Russian press. If you know otherwise pray tell.

[popeye888] 09/10/2020 13:30

Which of you knows what is fact and what is fiction. It's amazing how well informed some people are on here, or maybe they don't realize there is a difference between fact and fiction.

[stevea171] 09/10/2020 13:04

If Strukov is in prison awaiting trial for not paying 1.58 billion rubles in taxes and son Ivan and acting POG CEO Meshchelnikov are facing criminal charges to do with damage to the computer hardware and software of the POG Moscow office as well as assault and intimidation of POG staff (mainly women) who worked there, would it not be incumbent on the company to advise shareholders of these material facts??

[doc_oj] 09/10/2020 12:37

undervaluedassets: what do you think would be fair value for this business with the today's mentioned (terrible) figures of 560-600koz with a cost of $800-850 and capex of $90-100mln? considering current gold price.

i certainly think expecting the company to be valued at more than the current market cap is not wishful thinking?