Be well over 30p by the end of the year. |
 Chair Transition and Appointment of Non-Executive Director
Martin Botha to retire as Chair and Non-Executive Director on 31st August 2024 as Andrew Wray appointed as Non-Executive Director
Resolute Mining Limited (Resolute or the Company) (ASX/LSE:RSG) is pleased to announce the appointment of Andrew Wray as a Non-Executive Director of the Company. Following Mr Botha's retirement, Mr Wray will succeed as Chair of the Board of Directors of Resolute.
Mr Wray is a seasoned mining executive with extensive executive and Board level experience in Africa. Mr Wray has held positions at both CEO and CFO level, as well as having substantial banking and finance experience advising companies in the mining and other sectors. He has led successful business turnarounds with responsible project development, built leadership teams, and executed corporate acquisitions as well as asset sales.
Mr Wray, the former CFO of one of Africa's largest gold producers - Acacia Mining, was most recently CEO of West African focused gold miner Golden Star Resources. Prior to this Mr Wray was CEO of the specialist mining investment company La Mancha.
Before entering the mining industry, Mr Wray spent 14 years at JP Morgan Cazenove, where he worked with a number of UK listed mining companies. He has had non-executive director roles at Evolution Mining and Golden Star, and currently Chairs Vedra Metals, a joint venture involving Appian Capital Advisory, a specialist mining focused private equity group |
Roll on 30p dealings getting closer today. This can go much higher. |
Moving nicely in Oz. .55 trading. |
Should be generating buckets of cash at these gold prices
Net cash at 31/12 was $14M
Net cash at 31/03 was $34M, so $20M increase in first quarter.
That was based on 76T oz, selling for $1,950/oz (hedged price) with an AISC of 1,487
If we say Q2 will be 84T oz as plant fully running (not shutdown for planned maintenance) then this will be 160T oz in H1 and 185T oz in H2 (H2 weighted) for the low end of guidance.
So not only will AISC go down but more importantly the gold price is averaging around 2,300 oz for Q2 and we are now fully unhedged. At 1,950 we were making $20M cash, now another 350$ (pure profit per oz). So 84,000 x 350 is 30M, so for Q2 our cash balances should increase by around $50M!!! So in July update we could have net cash at around $84M.
If gold prices averages 2,300 for H2 then 185,000x350 = $65M + 2 x $20M for basic profit at $1,950 oz, so that would add another $100m net cash by year end.
That is $184M + I believe RSG are also still due A$50M (around $30m) from sale of Ravenswood which means net cash at year end could be over $200M. |
Nice positive few days here. |
Nice start to the day |
Reviewed this and have bought, gold price action favorable and debt position improving all the time. One to watch. |
Highlights: Resolute becomes fully unhedged
· Total Recordable Injury Frequency (TRIF) increased to 1.74 from 1.71 in the prior Quarter with five recordable injuries at Syama during the Quarter
· Gold poured of 76,351 ounces (oz) (Q4 2023: 80,307oz) in line with expectations at both Mako and Syama given the scheduled fourteen-day shutdown on the sulphide plant - representing approximately 7,000oz of gold production
· All-In Sustaining Cost (AISC) of $1,487/oz in Q1 2024 was similar to Q4 2023 ($1,480/oz) despite the lower amount of gold poured during the Quarter
· Quarterly gold sales of 69,000oz at an average realised price of $1,950/oz (Q4 2023: 79,480oz at $1,954/oz) as the last remaining hedges were fulfilled. Gold sales were delayed by the Easter Weekend Bank Holidays
· Quarterly capital expenditure of $24.7m (Q4 2023: $16.5m) with non-sustaining capital of $15.5m, sustaining capital expenditure of $9.2m and exploration spend of $2.3m
· Final $25m repayment made on the Term Loan Facility leaving Resolute fully unhedged
· Substantial cash generation of $34.7m before debt and interest payments
· Net Cash of $33.9m (up from $14.0m in Q4 2023), including Cash and Bullion of $80.7m
· Earthworks for the Syama Phase I Expansion commenced with the project on track for ramp-up in Q2 2025
· Continued development of Mako mine extension with an initial Mineral Resource Estimate (MRE) at the Tomboronkoto Prospect declared on 24 January 2024 of 10.7Mt grading 1.2g/t Au for 403,000oz estimated at a cut-off of 0.5g/t
· Resolute remains on track with 2024 guidance for production (345,000 - 365,000oz), AISC ($1,300-1,400/oz) and capital expenditure ($115 - 145m). Gold production remains weighted towards H2 |
RSG did bounce 2 cents in oz and tempting to buy buy at 22.74 as a discount to oz closing price . But the MALI situation is a concern and share price could suddenly plunge again even with gokd price recovering today |
THX just bought some licenses in Senegal. |
@avsome1968 google the just elected Senegal President, Faye, and read about his platform which explicits promises resource nationalism. His main focus is likely to be oil and gas but if we see more appreciation in the gold price his focus could easily shift to gold miners. Political risk / uncertainty is the issue here. |
$2280 gold price we should be over 30p a share what's keeping this down. |
Anybody have any thoughts on the opposition leader (Bassirou Diomaye Faye) who looks like he is going to win in Senegal. Part of his campaign pledge is to renegotiate the oil and gas contracts (resource nationalism). I have seen mention of mining as well in newspaper articles describing his platform but cant find any specifics or reference to gold mining. Does anyone know anything on this? |
Selling usually starts this time of day. Bit of dog. Shame as looks cheap |
Gone back to sleep resolute disappointed sold majority in pump dump by baron on social media put in NYSE gold miners keeping few though undervalued. There is a large background seller in resolute so in theory once out should outperform. |
Well it’s awoken at last |
Dead as a door nail until bottoming out gold comex phase is complete I hoped for completion by now but looks March 2024 spread is a killer but only decent U.K. leveraged play listed.
US is better silver play will be bigger outperformance being MUX or Coeur IamGold Harmony best gold play out there...... |
amazing that trades going through today at close to 64.8 being about 2p above OZ closing price and gold off today after US figures ! |
whoops , it suddenly came yo life as I was typing and a few trades :) |
it has become a waste of time trying to trade it here in UK as almost a MM stock and can not even buy between the MM spread ! It was actually up in oz to 38 cents and chart resistance at 40 level . remains a real dog amongst the gold stocks . |
incredible that 2 buyers paid 19.80 today even though only small parcels of 10,00!
closed at 17.50 equiv in oz which is lead market and millions traded unlike mickey mouse market for this stock on LSE . |
Mining companies operating in Mali may now have to contend with ownership of just 65% of their projects after a law was signed giving the state and domestic investors the right to take up stakes of up to 35%.
Resolute has an 80% interest and the Government of Mali holds the remaining 20%. The Tabakoroni complex is owned by Société des Mines de Finkolo S.A. (SOMIFI), part of the Resolute Group. |
Why do you say it "will never be a popular gold stock"? |
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