Serabi Gold Share Discussion Threads

[tightfist] 30/5/2018 17:07

I see half my post got lost.... Today's rise is symptomatic of the illiquidity - I wonder what tomorrow will bring?!Having said that the volume is a tad more respectable in the world of SRB! Maybe the gap to that Peel Hunt target is making folk more interested?

[tightfist] 28/5/2018 18:01

Hi Logonair,Thanks for the info. I was curious how the number of trades had suddenly increased - your figures show the float is pretty modest -

[loganair] 28/5/2018 14:47

Peel Hunt upgrades its investment rating on Serabi Mining (LON:SRB) to buy and set its price target at 8p.

[loganair] 24/5/2018 11:39

Fratelli Investments.................32.9%
Greenstone Resource..................25.3%
River & Mercantile Asset Management...9.7%
City Financial Investment Company.....5.0%
Anker Holding.........................4.3%
Drake PIPE Fund.......................3.9%
Eldorado Gold Corporation.............2.9%
Directors (excluding Fratelli)........2.2%

[tightfist] 24/5/2018 11:30

Thanks Logonair. Can you please post the notifiable holders/percentages? City Finance are not alone in their belief in the evolving SRB story!!

[loganair] 24/5/2018 10:22

Over the past month City Finance has come from no where to holding 5% of Serabi so they must think Serabi has some good value.

The notifiable major share holders hold 76.1% of Serabi.

[tightfist] 24/5/2018 10:18

IMO Impatience + Poor Liquidity = share price Drop > Buying Opportunity?Loaded-up myself, and a patient holder for several more years yet...... May have a few more if there is another lurch?!

[lalria] 24/5/2018 09:28

Why the drop here ???

[ppvn] 18/5/2018 14:24

Ok so sounds like everyone on a similar page (I.e. woeful liquidity and bad past deals!!). Good points re. Ore sorter as well as ramp up. Happy to continue here, fingers crossed no massive drops following consolidation, might be tempted to pick up a few more if we do go down at all. Low market cap for potential 100k oz producer (though thinking about it, the balance of payment for Coringa will fall due at first gold so they'll need to pony up before 2020, if 100k oz within two years is to be achieved). Fingers crossed!

[tightfist] 18/5/2018 10:07

IIRC about 80% of their costs are in BRL. I hadn't noticed the weakening of the BRL vs USD in the last two months. Currently it's about 16% weaker that FY2017 average.Also don't overlook the cost/production possibilities of the Ore Sorter going on-line in Q1? next year. IMO that is also a potential game-changer?SRB seem to be developing slowly but nicely; a country-wide involvement is now being suggested? If only there was more interest and liquidity/volume.Cheers, tightfist

[loganair] 18/5/2018 09:57

PPVN - In general with all miners around 75% of the costs of running a mine are in local currency.

I am also not a fan of the upcoming consolidation.

I am hanging my hopes that the management of Serabi are being truthful when they say the company will increase their gold production to around 100,000oz per year in 2 years time.

[ppvn] 18/5/2018 09:32

I haven't seen any more research notes, but a significant portion (from historical RNS') of costs are indeed in BRL. One of the issues is that the Sprott loans had call options on around 6.3k oz of gold (from memory) so that's why their financial rebalancing has cost them so much in this quarterly report (I.e. they have to pay sprott when the call options become more valuable).

I'm still here but I'm not the biggest fan of this upcoming consolidation and not a fan of the comments re. The possibility of further financing. I personally think this company is significantly undervalued still so will give them a few more quarters. Last fundraisers were at decent prices so figure it's fairly obvious they are undervalued currently. Only my opinion!

[lessentin] 17/5/2018 18:35

Regarding AISC, I bought some srb recently noting the 20% decline in the value of brl vs usd since January. My theory was that many of the brl based costs would be decreasing significantly vs. the usd based income stream. Maybe a much larger part of the cost base is usd based rather than brl...
Anyone seen any more details in the Peel Hunt broker note?

[loganair] 16/5/2018 12:25

Highland Gold mining which is my largest gold investment their AISC is around $650 per oz.

What I noticed and is worrying to me as an investor is how Serabi's AISC increased by over 10%.

[chipperfrd] 16/5/2018 12:11

loganair,


For info: the average AIC (All In Costs, admittedly more harsh than straight AISC) that I calculate for 46 Gold producers, including most of the largest, is US$1,231/sold oz.

Chip

[loganair] 16/5/2018 09:07

Serabi have got to get the price of their mining down, that is the simple end of the matter as their gold production is very expensive.

Serabi are still saying that they will get gold production to 100,000oz in 2 years which I very much hope they are able to do so.

[lalria] 16/5/2018 08:29

They did a consolidation years ago and the price collapsed from 40p to where we are today and now they are proposing to do the same again. Yikes

[loganair] 15/5/2018 17:22

Often this mean the share price doesn't rise as far or as fast as it is easier for the share price to rise 1p from its current level then it will be to rise 20p from 75p after the share consolidation.

[tightfist] 15/5/2018 17:05

I see that they are proposing a 20:1 consolidation at the 14th June AGM. Looks good to me, part of growing up to respectability.Will look deeper into AISC comments; if it's like another miner I am invested in, it depends on policy - immediate expensing or capitalising/depreciation of exploration costs.Cheers, tightfist

[ppvn] 15/5/2018 15:01

Agree with regard to the AISC numbers, Serabi seem to have a lot of strings attached to their Sprott "deals" that effectively pass through a lot of profit which is a shame for the moment.

Also noted an interesting comment regarding the Coringa acquisition and further funding requirements, but final payment not due until around 2020 and with at least that much as cash in hand currently, well let's see what the next few quarters hold.

Will be good to see some reports of drill program at some stage. Hugely upped the investment in exploration (I.e. from zero) so will be nice to get some fruits back.

[loganair] 15/5/2018 09:02

What I didn't like about this report is how the AISC production of Gold increased from $1,043 to $1,166 per oz.

Serabi are one of the more expensive Gold miners and desperately need to get the AISC figure down below $1,000 per oz.

I am mainly invested in Highland Gold Mining (HGM) whose AISC is around $650 per oz.

[tightfist] 15/5/2018 08:57

This morning's Q1 numbers are interesting BUT it's the sentiment underlying Mike's Comments that is most notable to me - full of confidence and IMO multiple potential game changers in motion. One for a patient LTH.Good also to see interest and liquidity in dealing this morning; let's see if that is sustained - rather early days for that to turnaround?Cheers, tightfist

[ih_671431] 15/5/2018 07:59

Here’s the link to Serabi Gold’s (SRB) numbers to take a look at

[ppvn] 01/5/2018 11:48

Hi Tightfist, I'm still here and still hopeful for the future of Serabi. If they can get Coringa up and running in the not too distant, as you say should get a bit more interesting. Not sure it's pessimism with regard to this share; the low liquidity just makes it relatively boring then it goes haywire for a day or two now and then. Think PoG will be under pressure for a couple of months but then we could see a more sustained rise, all helpful seeing as we are now, I suppose, a developing mine! Still reeling from the amortization figures personally but that's just accounting; doesn't change the fact SRB seem to be doing ok. Time needed here but still see decent possibility to make out very well on this one.

[tightfist] 27/4/2018 21:48

There is now a brrmedia MH interview that expands on the Q1 report and short-term activities:



As Mike says the company is now properly capitalised for the current programmes and they don't have to keep a constant eye on the PoG or the strength of the Reis. IMHO the Q1 report is quite promising but the pessimists will rule for a while yet - there's a reference to prospective 2018 news flow at the end which may liven things up a bit?

Cheers, tightfist