Shanta Gold Share Discussion Threads

[bikwik] 11/11/2021 17:19

As you can see it pays to wait for the downtrend break! Refer to my recent post with the chart.

[338] 11/11/2021 16:40

That UT trade at 12p was the last bunch of juju's shares 😂

[338] 11/11/2021 16:39

Juju have been selling SHG after his wife threatened to burnout all of his pants 🤣🤣🤣

[redhill] 11/11/2021 16:13

There must have been a huge stock overhang .

[338] 11/11/2021 15:49

Come on Eric, show us the amount of VAT refund you can get for this month 😁

[juju44] 11/11/2021 14:30

Graveyards come to mind with gold soaring

[redhill] 11/11/2021 14:24

Anyone got level 2 at the moment ?

[lowtrawler] 11/11/2021 14:09

Redhill, it's basically a dip while they bring some of the mine extensions into operation. However, I wouldn't rely on it rising back to 80k on a routine basis and eventually will tail to much lower levels. By that time, WK should be in full swing.

[lowtrawler] 11/11/2021 14:06

On Target - they may be well remunerated but they are also young and don't come from wealth. I expect they are at a stage in their life of purchasing property, cars and a lifestyle which needs cash rather than shares. I have worked with folk taking home £10m bonuses and they would usually find ways to spend it that you and I would never think about.

[redhill] 11/11/2021 13:22

Lowtrawler

Production forecast to be back at or around 80000 oz at New Luika by 2024 and that's before we take on any new machinery .So 74000 oz in 2023 and 77000 oz in 2024
.

[on target] 11/11/2021 13:19

You think they sold shares because they needed the money? You might want to have a look at their remuneration in the annual report!

[lowtrawler] 11/11/2021 12:40

Redhill, I always try to understand opposing arguments but I struggle to come up with reasons why our share price remains subdued. As best I can tell, they amount to:

1. Previously we reliably produced 80k ounces from NLGM and this looks to be permanently reduced with further reductions likely to take place as we move closer to end of life. Consequently, previous valuations have been scaled back.
2. We hit rock and so issued an unexpected profit warning. The market doesn't like surprises and so we were hit hard. The market needs evidence we are through the rock and we have been discounted for risk that it may happen again.
3. We intend to embark on a new venture into WK which will need plenty of cash and management resources. This is inherently risky and so gives a further risk discount.
4. We are building Singida and this could be subject to cost / time overruns, a discount is applied for this.
5. Directors and major shareholders have not shown much faith in our future with share sales.

In my view, demonstrating management ability by bringing Singida into production on time and budget will remove 4 and reduce the discount for 3. If NLGM hits planned production over the next 2 quarters, the discount for 2 will go back to normal levels. Singida production will more than compensate for reductions at NLGM which will also help with 1.

I would like to see SHG introduce a Directors Loan scheme which will avoid directors having to sell shares.

[redhill] 11/11/2021 10:27

kennyp52

You could have sold for more than 19p last year so why would you want to accept that now !

The fund raising was very important as they paid off the (Augustus Gloop's) Loan and allowed development of Singida to proceed in addition to drilling at WK.

I do appreciate the frustration of holding this stock having seen it drop back but the future is looking better and better although the share price is not reflecting this.

[redhill] 11/11/2021 10:14

Decent buying today. Let's hope the Market Makers can now take this up.

[338] 11/11/2021 09:28

Lowtrawler, please watch Eric presentation in YouTube

hxxps://youtu.be/p305AEXNloc

Redhill sent the above link few days ago... everyone must watch! 👍👍👍

[338] 11/11/2021 09:25

But once the New Luika underground starts the expected production... The share price can double at least from here... May be about 3 months from now?... please Eric give us an update 👍

[lowtrawler] 11/11/2021 09:22

Thanks 338, do you have a link referring to this?

[338] 11/11/2021 09:22

Output measured by throughput has been steadily inreasing... but the grade quality in Bauhinia Creek is decreasing... So Shanta has a plan to put another milling machine to increase the throughput to 2,700 tonnes, which could increase the gold production by 2koz per quarter... I fink

[338] 11/11/2021 09:22

Output measured by throughput has been steadily inreasing... but the grade quality in Bauhinia Creek is decreasing... So Shanta has a plan to put another milling machine to increase the throughput to 2,700 tonnes, which could increase the gold production by 2koz per quarter... I fink

[338] 11/11/2021 09:16

Transition of gold production process from Bauhinia Creek to New Luika underground supposed to complete by now... but it seems to take longer than expected.... that's my interpretation from the current share price

[lowtrawler] 11/11/2021 09:09

kennyp, what BOD failure are you referring to?

Until they hit rock, they have hit every guidance and delivered on every plan. Hitting rock could happen to any miner at any time and cannot be construed a failure. They are building Singida to plan and on budget. They are drilling WK and finding impressive results. They are extending LoM at NL with low cost drilling. They are debt free, paying a dividend and no longer have the hedge. They have regular open communications, enviable safety record and strong community involvement, never mind the largely local workforce.

The BOD are not responsible for where the market moves the share price All they can do is continue to deliver and help the market better understand underlying value.

Your wish for a bid is not remotely likely to happen until we are closer to developing WK. Our Tanzanian assets are of no great interest to larger players, WK will spur interest.

[johnrxx99] 11/11/2021 08:52

Lowtrawler, exactly my point in a lot more words but very well said. I remain cautious.

[bikwik] 10/11/2021 18:48

Stick to whether Shanta's going UP DOWN or sideways!

[bikwik] 10/11/2021 18:46

Lets not get sidetracked!