Petropavlovsk Share Discussion Threads

[orkneyarab] 04/3/2022 14:16

Needs to get a move on if it's finishing blue. Personally, I think it will sell off a bit before the close. It'll be a long hold over the weekend.

[undervaluedassets] 04/3/2022 14:09

There was one point when I had 550,000 POG.

When Strukov board room coup happened I dumped the lot (with great sadness I have to say)

[orkneyarab] 04/3/2022 14:03

Nice to know you don't buy coin toss stocks, but thanks for your views on this one.

[ak62] 04/3/2022 13:49

BLUE finish without fail
IMO

[undervaluedassets] 04/3/2022 13:47

In more normal times (pre Strukov) I have spoken to Max. Nice guy. The thing is right now he does not know any more than anyone else. Especially as he is based in London.

This is a coin toss stock now. I don't buy coin toss stocks.

[albert arthur] 04/3/2022 12:45

She'll be blue by 2pm. That's my gues.

[smithim1311] 04/3/2022 12:41

If anyone is interested, I’ve just had a 30 minute chat with Max in IR. Really frank and honest conversation. He effectively told me that production is continuing as normal, and there is enough FCF for the next 6 months or so. He reckoned the major concern was in refinancing the debt due at the end of this year should the sanctions remain. In addition, there was concern about sourcing any spares for the POX hub, but he suggested the Chinese may be able to help with that.

He also mentioned that they had discussed issuing a ‘nothing to see here’ RNS similar to Polymetal, but felt they couldn’t say much more than ‘that’s the situation as of today’. I asked him about delisting, or suspension, and again all he could say was that we keep trading. He thought a major threat could come in the form of a very low ball offer, but the lack of liquidity in Russia might help us on that front as any suitor might not be able to find finance.

Asked him about the Russian government seizing the mines and the gold. He appeared taken aback at the suggestion, but he acknowledged it was a possibility.

All in all, a very reassuring chat. I will continue to hold, until the dust settles. My view is that these should have been suspended earlier in the week, to safeguard the SP, but we are where we are.

By the way, in no way do I want to influence any investment decisions. This could be suspended this evening, but it was good to hear the production continues…..with gold at $1950 /Oz! GLA

[sparty1] 04/3/2022 12:31

"Petropavlovsk is one Russia's top gold producers - operating some of the largest gold mines in Russia in terms of gold production output, processing capacity and resource base - with untapped exploration and growth potential."

Really?? Stinks to high heaven.There may be a profit from these prices to be had but look out for government interference who will struggle to buy foreign currency under current conditions.Russia will be a very poor nation in 6 months and Putin will be looking to grab assets anywhere he can. There`s your share price drop right there.

[tomboyb] 04/3/2022 11:49

EVR / POG moving up -

[orkneyarab] 04/3/2022 11:27

Not interested in anything other than making a few quid mate, it's all going really well so far.

[pilkersa] 04/3/2022 11:24

Could go blue at this rate

[amaretto1] 04/3/2022 11:10

How much was the bid last time ???

[texas ranger] 04/3/2022 11:10

How much cash do they have?

Go and look in financial. Production will stop now. People saying it's insolvent are correct. The debt to equity ratio is massive now.


May delist now or administrator comes in.

Equity is only £45m now and debt 10-14 times more.

Market is starting to price this as bankrupt.






A Look At Petropavlovsk's Liabilities
Zooming in on the latest balance sheet data, we can see that Petropavlovsk had liabilities of US$232.9m due within 12 months and liabilities of US$821.8m due beyond that. On the other hand, it had cash of US$36.5m and US$69.4m worth of receivables due within a year. So its liabilities total US$948.8m more than the combination of its cash and short-term receivables.

This deficit is considerable relative to its market capitalization of US$1.07b, so it does suggest shareholders should keep an eye on Petropavlovsk's use of debt. Should its lenders demand that it shore up the balance sheet, shareholders would likely face severe dilution.


Debt and other liabilities become risky for a business when it cannot easily fulfill those obligations, either with free cash flow or by raising capital at an attractive price. Ultimately, if the company can't fulfill its legal obligations to repay debt, shareholders could walk away with nothing. While that is not too common, we often do see indebted companies permanently diluting shareholders because lenders force them to raise capital at a distressed price. Of course, the upside of debt is that it often represents cheap capital, especially when it replaces dilution in a company with the ability to reinvest at high rates of return. When we examine debt levels, we first consider both cash and debt levels, together.

[amaretto1] 04/3/2022 11:09

It's because they can't buy !!!Most of them are bust ...Or going that way

[amaretto1] 04/3/2022 11:08

U thought about selling to China etc ?? Why don't u tell poly and Evr Shareholders.....Both up over 20 percent !!Ceasefire by Monday

[orkneyarab] 04/3/2022 11:06

Some people seem very angry that some other people may have bought stock in a company on the stock market.