Shanta Gold Share Discussion Threads

[juju44] 27/5/2020 13:33

Unreal to me in an early gold bull market . What planet you on

[qs99] 27/5/2020 13:03

juj, wtf not a hedge at $1,700? Of course gold could go up, but you can hedge part of future production not all, likewise as a low cost producer it would bank in super profits so it is not "unreal". thanks

[andy] 27/5/2020 11:56

juju,

Agreed.

[jasper2712] 27/5/2020 11:45

risa5
I totally agree. They should stress that they would be very reluctant to invest more money into Singida without the support of the government i.e. VAT repayment.
If the Kenyan project is as good as is being made out, then they could say that it would take priority .
However ,I do not know, if the Kenyan government would be any easier to work with as I am sure I have read that they too were withholding VAT
SHG have now got a bit of leverage here and they should be using it.

[risa5] 26/5/2020 21:55

The vat problem should be resolved before any funds spent on singida otherwise it will be the same story all over again.

[bogotatrader] 26/5/2020 21:46

Triangle forming on charts - getting ready for next leg up?

[juju44] 26/5/2020 16:58

Can’t believe someone suggesting a hedge. Unreal

[jasper2712] 26/5/2020 16:50

Why not use it as leverage to get the VAT refunded ?
Singida will provide jobs/royalties/taxes but it needs investment which will also be needed in Kenya. How much is this worth to Tz ? Surely it is worth a try!

[redhill] 26/5/2020 16:47

You can borrow super cheap but we have had 12 years of debt.
We have been promised that Shanta shareholders would not be footing the bill for Singida and 48% of the mine would be sold off to finance it.

Lets see how this pans out because there was meant to be an IPO.

[qs99] 26/5/2020 16:21

I'd agree....maybe hedge the gold price at this level (!), and raise debt at super low interest rates on a 5 year deal if possible......IMO!

[32campomar] 26/5/2020 16:11

Surely debt is the way to go at the moment, you can borrow money long term for next to nothing, got to be better than dilution.

[risa5] 26/5/2020 13:54

Shanta Gold ups Singida resource estimate; in financing talks
26 May 2020 | 09:41am
StockMarketWire.com - East Africa focused miner Shanta Gold said it had upgraded the measured and indicated resource estimate by 17% at its Singida project in Tanzania.

The company said the mineral resource at Singida was estimated at 11.8m tonnes, grading 2.38 grams per tonne and containing 904k ounces of gold, using a cut-off grade of 1.0 gram per tonne.

That estimate included a 17% increase in the measured and indicated resource, which totaled 5.7m tonnes, grading 2.66 grams per ton and containing 484k ounces.

Financing discussions for the development of Singida were advanced and an announcement would follow, as appropriate, Shanta Gold said.

[redhill] 26/5/2020 11:58

JC2706

Yes it does suggest that. I would hate to see more debt on the balance sheet to get it going.

[jc2706] 26/5/2020 11:53

Interesting statement regarding the financing. This would seem to suggest that the local listing is a no go and that the funding is either to be debt at a project level or a trade sale of some sort.

[338] 26/5/2020 11:27

Lowtrawler,
Faster ROI is denifitely reflected in this and past RNS. Eric also mentioned in his interview.

All look very promising to shareholders 👍

[risa5] 26/5/2020 10:00

Shanta Gold eyes Singida mine development as it confirms gold reserves

Shanta also told investors that financing talks for the development of Singida are at an advanced stage

Shanta Gold Limited (LON:SHG) has published an updated assessment of the reserves and resources at the Singida gold mining project in Tanzania.

It confirmed a JORC compliant reserve of 243,000 ounces of gold, with the mineralisation grading 3 grams per tonne gold.

The company noted that more than 90% of the project’s contained gold reserve is located between surface to 120 metres, leaving further potential for additional reserves at depth.

Resources totalled 904,000 ounces of gold, with 11.8mln tonnes grading 2.28 grams. That includes 484,000 ounces of measured and indicated resources, with 5.7mln tonnes at 2.66 grams per tonne.

Shanta, meanwhile, told investors that financing talks for the development of Singida are at an advanced stage.

"The Singida reserve allows the company to move forwards towards construction and first production at Singida, confident in the fact that we have a number of high-grade open pits,” Eric Zurrin, Shanta chief executive said in a statement.

“Importantly, it is expected that this foundation will allow Singida to generate significant cashflow to, amongst other things, pay for regional exploration which will, over time, illuminate the Project's full potential.”

Zurrin added: “The Singida reserve sits within a substantial resource and is located on a 4.9 km strike in a highly prospective greenstone belt. The reserve represents just 26% of the existing total contained resources and is nearly all within only 120 meters from surface, highlighting the potential for reserve expansion.”
PI

[lowtrawler] 26/5/2020 09:59

338, have you assessed the impact to ROI yourself as I don't see it referred to in the RNS?

[32campomar] 26/5/2020 09:40

Having done lots of research as there are many different gold mining companies out there, I have finally bought in here. Has decided to buy over the weekend so wasn't overly pleased with the positive RNS but managed to get what I wanted without the prices running away! Impressed with the company with lots of positive news flow expected (end of the gold hedge & Kenya acquisition) not to mention an inevitable rise in gold prices with the Colossal amount of debt stimulus sloshing around.

[338] 26/5/2020 08:58

ROI on Singida is much quicker and the profitability has not been reflected in current share price... up we go 👍

[qs99] 26/5/2020 07:56

Well they talk of news soon, so all helps (hopefully!) keep positive momentum

[lowtrawler] 26/5/2020 07:56

Slight increase in grades. Some now measured and more measured & indicated. Overall, small reduction in reserves but measured on a conservative basis. Sets an expectation of funding announcement in the near future. Think it is mildly positive to the share price.

[redhill] 26/5/2020 07:54

QS99

For me it depends very much on how this is financed so i'm waiting to hear those details first.

[qs99] 26/5/2020 07:23

Decent RNS
Views?

[338] 25/5/2020 21:31

Gold supply disrupted


World's deepest gold mine shut down due to COVID-19


Global gold mining company AngloGold Ashanti says it temporarily halted operations on a voluntary basis


Felix Tih
25.05.2020