Serabi Gold Share Discussion Threads

[ppvn] 24/6/2019 16:49

I think with luck that would be everyone's preference - I'm fairly agnostic between equity at a premium or Sprott though. I couldn't believe it when they extended their facility with them because it just seems so punitive (their rates and costs).

Anyway with luck they will have an increased access to debt facilities thanks to having two solid mines with good track records of production, and with it being used for capex at a third site they may be able to pull a rabbit out of the hat! Fingers crossed anyway.

[ironstorm] 24/6/2019 16:35

PPVN If they need more working capital - assuming they pay Coringa balance in cash - then it would be my preference for them to borrow the money.

The increased PoG should make it very attractive.

[ppvn] 24/6/2019 16:29

Hi Greg,

Further to post 2136, the same source now has a fairly clear run to $1,550 apparently pencilled in. If that materialises together with the Coringa PEA in July it'll be quite nice.

Still happy here, despite the rise still under £40mm market cap which doesn't feel expensive to me, but as ever that's my personal take.

[gregpeck7] 24/6/2019 16:22

Gold price having a nice jump. Up 14 now 1413.

[gregpeck7] 24/6/2019 12:13

Also not Logan on the same time period they have reduced their holdings in us denominated debt. So there is a fundamental switch occurring.

[loganair] 24/6/2019 11:56

In the first 5 months of this year, The People’s Bank of China has purchased more than 70 tons of gold, according to the World Gold Council (WGC) while Russia added 78 tons of gold to its reserves.

[ppvn] 24/6/2019 11:17

The total loan amount that Serabi have currently o/s (from working back to the beginning of the $8mm loan and adding interest payments then dividing by the repayment term of equal installments) would be $4.4mm at the start of June. They repay around $370k per month with the full balance repaid in June 2020.

I'm with you in thinking that they won't need to raise additional funds to repay the loan or the Coringa final payment, however working capital to bring Coringa online may be needed although they will be producing somewhere in the region of 55-60k oz next year thanks to the ore sorter (and we may see a little blip in q4 when it begins to be dialled in). The POG as well as having Coringa going live may open additional financing routes to them, aside from wonga *ahem sorry sprott* loans or equity.

It's going to be interesting here, the premise of them being a 100k producer seems within grasp, and that's quite a milestone for them. And that's completely excluding their very exciting exploration activities, which I'm personally even more focused on!

[loganair] 24/6/2019 10:19

I can see the EPS for this year being far higher then forecast with Serabi easily being able to afford to pay off threir loan without the need to do a share placing to raise the finances to do so.

[tightfist] 24/6/2019 10:11

Did I remember someone suggesting the other day "less is more". If I was a potential newbie to SRB and I saw the last few postings, I would run a mile.......

[gregpeck7] 24/6/2019 09:55

So gold is now up almost 7 usd. If it can close and hold above 1400 it is ready for the next leg up. Bitcoin has gone from 3000 to 11,000 in a few months. I am confident gold can get over 1500 pretty quickly. There will be spillover cash coming in from bitcoin market as well you would think. Gold re rating has barely started though. And a 1500 price for srb would be transformational.

[gregpeck7] 24/6/2019 09:23

Stock in very short supply. Looked down the back of the sofa and grabbed another 700 ish this am...

[gregpeck7] 24/6/2019 08:27

Online limits for purchasing shares just dropped. 1 mm, cfeq left selling at 66p looks like they have about 20,000 shares and that's it..

[loganair] 24/6/2019 08:04

Often one can tell when Gold is soon to go up in price when at the beginning of the year I had quite a few leaflets put through the door saying come to so and so and sell your gold coins and jewellery because gold is at a high price.

To me this means that gold is at a low price and the companies think that the price of gold will soon start to rise and therefore it is not the time to sell your gold rather then it is the time to hold onto your gold or even accumulate a little more gold.

[sherry35] 24/6/2019 00:14

loganair - Your Jun 23rd post is best post out of the entire weekend. Informative and very well articulated - some posters could learn from your posts. I'm getting tired of these open choke one to two liner BS posts that flood the msg board. Very disrespectful.

[gregpeck7] 23/6/2019 23:39

Gold up 10... 1410... Here we go again.. Serabi is going to blow again tomorrow IMO...

[gregpeck7] 23/6/2019 22:17

also logan, you noticed bitcoin has done 10% rise this weekend alone?

I think gold is gonna blow tomorrow....

[loganair] 23/6/2019 20:38

The price of gold - When ever an equity or commodity makes a clear base, then that rally which eventually follows off that base will be considerable.

The more the time involved in forming that base, trading in a clear range and the more clearly defined it is, the more bullish is it for the ensuing rally.

As the multi-year base gets bigger, adds even further potential to the rally that follows.

Forming a multi-year bottom = a base on which a multi-year bull market can follow.

In conclusion - Gold is setting it self up for a considerable rally.

[gregpeck7] 23/6/2019 19:15

https://www.bloomberg.com/news/videos/2019-06-20/why-gold-prices-might-be-poised-for-a-big-move-higher-videoWell worth watching

[gregpeck7] 23/6/2019 14:41

Worlds largest hedge fund founder has come out and said everyone.. yes everyone should have 5 to 10 percent of their portfolio in gold... getting very interesting now. What way will Asia go tonight?

[gregpeck7] 23/6/2019 10:34

Gold should go nuts tomorrow, US cranking up the pressure on Iran, saying strikes could come at anytime, more economic pressure.... Recession fears... Also did anyone else see what happened Friday?

The biggest single day ever for USD / GLD trading...

1.5 billion changed hands... Thats a record...

The gold money is coming....

SRB to jump again next week IMO... 70p plus is a matter of time...

GP

[gregpeck7] 21/6/2019 19:52

Very nice 62,000 delayed buy showing up. People are really getting interested here now. No surprise though. Gold pushing higher again . Can it close over 1400?

[gregpeck7] 21/6/2019 16:19

Agree nick, when I look across the market all things considered I see nothing with the potential for serious gains close to this...

[tightfist] 21/6/2019 16:03

I am an SRB enthusiast too, but also still thoughtful about the funding of Coringa (final payment, plant, etc) and exploration in parallel. IMO we should anticipate enlarging debt; can operational cash flow really fund all of the above (and also leave sufficient headroom to protect the SP).BTW for FT subscribers this link outlines the current investing environment in Brasil:hXXps://www.ft.com/content/faf0520c-8ebe-11e9-a1c1-51bf8f989972?segmentId=778a3b31-0eac-c57a-a529-d296f5da8125Cheers, tightfist