Serabi Gold Share Discussion Threads

[aimsurfer] 18/4/2021 11:20

Recently new holder here. I think there is a good chance of consolidation in this mining district. For Serabi consolidation their high grade underground mines with a low grade open pit that on it's own might not look that attractive would be a game changer. A jv or some type of agreement where ores are mixed would benefit all parties involved. Has anyone here looked at the tocantinzinho project? If any arrangements are made I place my bets on a deal with eldorado.https://www.eldoradogold.com/assets/operations-and-projects/south-america/projects/tocantinzinho/default.aspxAll speculation here but would make sense.

[borisjohnsonshair] 18/4/2021 11:16

Brazil has had a very rough time but the wave is past its peak and the vaccination programme gathering pace. 3.8% fully vaccinated now, which if properly allocated represents most of the seriously at risk protected. Hopefully the infections will continue to drop but more importantly the deaths & seriously ill dropping much faster. SRB has a perfect storm of good news ahead - audit finished, Coringa license, Coringa mine development, production increasing to the point of needing the ore sorter, more cash generated, gold price rocketing (over US$2,000 soon), Covid over and HUGE exploration discoveries. Don't be surprised to see 500p by the end of the year and 1000p by the end of 2022. This is a US$1-2B business.

[tightfist] 18/4/2021 10:37

Hi Cotton,.It's was the inflexion of the Brasil COVID curves in the last two months that is alarming. As you say, SRB were recently quite forthcoming about their relative isolation - it can only protect their crew so far? And a dampener on the sp?.As for the other aspects, it seems to largely be a question of putting one's faith (or not) in management, combined with patience to allow them to progressively deliver, now that the financing is clarified..I was surprised my thoughts in #2566 regarding adjacent AAL tenements drew only one comment. It's blindingly obvious IMO that in mutual interest a deal needs be struck, maybe it's a question of timing? Just musing, maybe SRB wish to try and complete a FS for a prospective standalone processing unit near Toucano or to the west of Sao Chico first? In the interim, trucking ultra-high grade ore all the way from Sao Domingos to Coringa may become viable?.Cheers, tightfist

[cotton4] 18/4/2021 08:59

Morning Tightfist - Tragic though it may be, Brazil death rate is on a par with the UK, 3 times the population and 3 times the deaths.
As for SRB, their remote location helps, a bit like the remote islands of the UK.
As for operations we really need to get the Coringa licence. Production has always been a constraint so the plant at Coringa, when built will provide much needed capacity, not only for Coringa but also Palito.
As for the financials, we need to get 2020 out of the way. Any further delay will impact when we get this years Qtr1, which imo will have profit before tax doubling due to the pog and Real exchange rates compared to last year.
The recent fund raising, although a sore point for many of us, has provided the necessary funding to progress and is better than the Wonga loans we have had in the past.

[tightfist] 18/4/2021 07:50

This underlines the company's commentary last week - tragic:.https://www.worldometers.info/coronavirus/country/brazil/

[backinblack80] 18/4/2021 01:05

kennyp52, if you truly believe what you are posting then you must be a pretty poor investor....

[loganair] 17/4/2021 10:46

China mines the most amount of gold in the world and doesn't export any of it, yet over the next couple of months (April & May) they are going to import 150 tons of gold worth around $8.5bln.

India imported 160 tons of gold in March.

It seems to me that India and China are buying up gold as though there is no tomorrow.

[tiger60] 17/4/2021 09:00

They seemed to have reset their approach to forward statements finally. On the bright side it looks more a shift to ‘under promise, over deliver’ as I believe the current yearly guidance of 33,000 to 36,000 looks more than achievable with ramp up from H2. As to 80k post Coringa coming online and with guidance of 45k (2022)from current sites and 38k from Coringa we look in good shape to beat that.

We desperately need to get the financials out the way. There are a number of accounting adjustments and explanations needed around assays, prod numbers and of course the cash withdrawals. Add in continued advice that quarter four costs were high then it is something to suck up and move on from.

However, if those surface soil anomalies show promise and we firm up resources our day in the sun will come sooner than some think. A JV is not out of the question. Bringing a lot of firepower to accelerate the development and with it wider investor interest. I dream of Open Pits.

[tightfist] 17/4/2021 09:00

Hi Kenny, How is SRB valued by the market, the eternal question! And a topic of some posts a few weeks ago.....it has a foot in three camps..This is pure speculation - tbc it looks as though the tenements to the north of Fofoca and east of São Domingos are both held by Anglo American. IMO there should (must?) be an ongoing discussion with AAL regarding the logical incorporation of both of our tenement interests within the ongoing (or expanded?) exploration programme? The underlying geology doesn't care about boundaries! Now that would likely set the share price alight.......As ever, DYOR, tightfist

[tightfist] 17/4/2021 08:42

Hi tiger; Yes, I noticed that 80k realism creeping in. Latest January 2021 presentation says "Construction planned for H2 2021 with 2-year ramp-up" so I am now looking for Coringa to start contributing in H1 2023 and SRB to declare Commercial Production at start of H2. So I agree, 2024 looks like being the first full year of production. My timing may be a bit pessimistic depending on plant reassembly/installation hurdles?.Cheers tightfist

[kennyp52] 17/4/2021 06:54

Ramptastic Boris .. I hope you are right but tiger60 posts are far more realistic. I do think this thing is being mismanaged now ... maybe to extend the mine life / salaries ?? As soon as it gets back anywhere near 90p I will take my profit and run I think . Exploration alone seems inadequate to drive this share price .

[borisjohnsonshair] 16/4/2021 23:53

So what. In a few years the FCF will be US$56M a year based on AISC of US$1050 and gold price of US$1,750 and 80,000 production. PE of 8 = share price of £4.8. Excluding any value of gold discoveries. That's a return I'm happy with!!!!

[tiger60] 16/4/2021 20:25

Even the company has dropped the 100k producer claim as per last RNS (now 80k) and be mindful we are talking 2024 at the earliest for Coringa to fully contribute to reaching those annual numbers

[trader536] 16/4/2021 15:22

Wow I see AFN tanking today Boris, not doing very good are you.

Check out the copper price rise over the last 12 months. I was smart enough to load up with FCX this time last year where I currently have a 7 figure profit!

This dog was £67m in 2007, fourteen years later its £56m (down 16%) with the same overpaid CEO is singing the same 100koz pa tune and successfully suckering in blockheads such as yourself 😆😂🤣


Woof woof 🐶

[borisjohnsonshair] 16/4/2021 12:47

Gold heading to beat 2020 high and then some. US$2,500. Imagine SRB in 2022 if golds at that price and we produce 100,000 ounces plus discover a 3M ounce resource.

[tightfist] 16/4/2021 11:40

Hi Sherry, agreed, no mention of the OS. However, also see posts #2546 & 2554; using the OS will only IMO make sense when SRB are processing ore at over ~14.5kt/mth (when the Palito process plant reaches capacity) and the capacity liberated by reduced processing of flotation Tailings has also been taken up..IF they can meet production guidance (plus?) through enhanced grade (as in Q1) rather than using the OS then so much the better. Some OS performance figures were in the RNS's of 14.04.20 and 12.02.20. There was still SOME Au (0.88g/t) in the OS reject pile; the OS extracted ~75% of the input ore Au..Cheers, tightfist

[kennyp52] 16/4/2021 08:53

Wow 72p .. .incredibly exciting

[borisjohnsonshair] 16/4/2021 08:20

Why talk about the ore sorter when you don't understand how it adds value and why the Covid production drop rendered it pointless. Q3 could see it in action.

[sherry35] 16/4/2021 01:15

No mention of the operational state of the "infamous" ore sorter. Begs the question "Has SBI ever mastered the ore sorter?".

[gregpeck7] 15/4/2021 22:15

Agree. Been hearing all this for years now. Should they not be pushing for 100,000 here by now on past presentations? Shambles of a mgmt team. Classic example of a company in bed with its large shareholders. Private investors just taken advantage of

[borisjohnsonshair] 15/4/2021 16:18

That reductions is less than the US$ reduction they recently mentioned. Good news

[borisjohnsonshair] 15/4/2021 14:45

Gold jumping, while we are pumping!!!!

[golden prospect] 15/4/2021 13:59

Serabi poised for a transformational year.

Great to see the grades coming back up.

[borisjohnsonshair] 15/4/2021 11:28

If they can issue the 2020 Audit tomorrow we will be in triple figures by the end of next week - easily!!!