Shanta Gold Share Discussion Threads

[kennyp52] 16/4/2020 09:08

338 ...

With unprecedented global demand for physical gold, Hummingbird's unique SMO coins have sold out; however, with stable supply from Yanfolila and the continued ability to mint coins at Stephen Betts and Sons Limited, the Company is well placed to supply this increased demand and realise extra value on top of the increasing gold price through enhanced margins.

They make extra margin from minting coins so presumably they will be knocking out coins left , right and centre as we type and turning it into cash .

[338] 16/4/2020 08:11

What is the reason, HUM can't find gold refinery?

[qs99] 16/4/2020 08:06

indeed....have topped up on HUM from 19p upwards. Just looks very oddly priced IMO....natch keeping my SHG holding as well.

THink HUM will be debt free sooner than it says with this gold price....my view

[338] 16/4/2020 07:37

QS99,
HUM keep 11koz gold inventory, that's massive.

[nielsc] 16/4/2020 07:28

Fitton,I think they will want to hold onto a bit more cash than usual as these are uncertain times and they may have to slow or stop production for a while. Shg will be due a rerating once their debt is close to being paid off. Also with their hedge being reduced will help their profits. Cheers,Niels

[qs99] 16/4/2020 07:17

well look at HUM de-leveraging quickly, Q1 out this am.....and that was Q1 average gold price of $1,568....DYOR etc....happy to be holding material levels of HUM and SHG.....CAPD RNS this am was pretty good IMO as well!

[fitton] 15/4/2020 22:35

With gold now trading at over $1700oz and assuming Shanta have managed to get at least $1500oz on average this year it is possible that Shanta's net debt could be down to $6.5m at this point in the year.The company could be debt free in another 15 weeks of so.Speculation of course but we shall see.

[brasso3] 15/4/2020 22:25

The FED are putting money into institutional hands to buy equities. Blackrock is an example of this.

[space_bob] 15/4/2020 22:05

The Fed can't buy equities and if congress allowed it, it would be about as popular as the banks bailout. US companies have spent $5 trillion over the last 10 years on share buybacks using Fed funny money to prop up their share price even during a boom. You can only buck the market so much. US unemployment figures out tomorrow will cause another drop. I agree they'll print to infinity and it will help gold, but not convinced they can hold the markets up much longer.

[12strings] 15/4/2020 21:33

space_bob,

Central Banks have already been buying equities ... The Bank of Japan owns 43% the Japanese listed stock.

hxxps://asia.nikkei.com/Economy/BOJ-is-top-10-shareholder-in-40-of-Japan-s-listed-companies

The US Federal Reserve Bank are considering direct purchase of US equities and are already directly injecting cash into ailing US companies.





The old phrase of "the Fed has your back" lives on. They'll print to infinity and hope the end game doesn't happen soon. What want is a period of high inflation, that will further impoverish the poor, but reward the stockmarket and of course gold (because interest rates will have to be kept to 0%)

Al my opinion of course

[goodgrief] 15/4/2020 20:28

Almost got a full house!

[wimbled] 15/4/2020 19:38

Shared from AAZ board includes SHG. Marginally better than AAZ

[space_bob] 15/4/2020 17:20

Redhill, yes it will boost the gold price, but as we saw last month, initially for a short time it will knock the price.

12strings, the problem isn't liquidity like the last crash, it's the shut down of the economy. Unless central banks directly buy shares, it's all for nothing.

[12strings] 15/4/2020 16:58

Predicting the general stockmarket performance over the short to medium term is like rolling a dice. One thing's for sure - the central banks are going to print more and more currency to keep markets up and people solvent. There will be mountains of cash looking for the safest investments. The Central Bank on UK is even by-passing issuing bonds that the govt have to bid on alongside anyone else. The extra currency will just be given out to the govt to dole out (literally helicopter money). That money has to go somewhere and every institution and individual has an interest in maintaining share and bond prices which pay pensions and allow people to keep spending.

One day, the party will crash, and gold will really fly .... unless they make it illegal to hold gold!!!!

But that wont be for a good while yet IMO.

I'm way overweight in gold + gold miners

[redhill] 15/4/2020 16:33

Surely that scenario will boost the gold price ! LOL

[space_bob] 15/4/2020 15:54

US markets are currently down around 10% on a year ago - in the face of potentially negative oil prices, 30% unemployment and the US and world economy shut down for at least 2 months? It was already ripe for a crash. Central banks have used all their firepower - they printed trillions, but all it's done is kept the plates spinning for a few more weeks. I think their heading for a 30% drop, probably within the next month. When that knocks the gold price, that's when I plan to get back in.

[qs99] 15/4/2020 15:44

And the last week has seen some big old volumes in shares traded vs normal or is that just me?

[qs99] 15/4/2020 15:39

Not sure a crash, but IMO no market is pricing in properly the sort of earnings collapse likely in H1 of 2020.....yes a rebound is likely in earnings but how quickly?

DYOR

[space_bob] 15/4/2020 15:37

Definitely be 20p+ at the end of the year. Still think that in the very near future there'll be a humongous crash on the US markets with a knock on effect onto markets around the world and the gold price. Followed by gold shooting back up to $2k.

[shieldbug] 15/4/2020 13:03

The main risk to Shanta is a forced mine closure due to Covid19. However the deeper into the second quarter we go and as the gold price rises the amount of outstanding debt is significantly reducing which in turn also reduces the risk of a forced mine closure.

Price should keep rising here.

[12strings] 15/4/2020 11:28

Nice to see this morning's price action. Just imagine the effect of a broker's note would do. At present the market seems to be totally unaware of the prospective positive EPS (because it isn't being marketed!)

[qs99] 15/4/2020 10:45

big volumes again

[qs99] 15/4/2020 10:32

that would be nice....

[scoble2] 15/4/2020 10:23

30P BID IS COMING