Solgold Share Discussion Threads

[onedayrodders] 11/10/2018 08:31

Marvellous .. a global bear market and possibly worse just as the vultures are circling here :0(

[pecker1] 11/10/2018 08:23

With the Maxit options exercised and out of the way, I expect an RNS or two any day now.

[simon_carter] 11/10/2018 08:20

Seems to be a wider correction across the entire market, wouldn't be surprised to see it back at the 25p level

[mikalan] 11/10/2018 08:19

Volume low so being walked down by MMs. Frustrating, well a word beginning with F anyway.

[mam fach] 11/10/2018 08:15

Got it down to 30p then.
Let's see where we go from here.

[mknight] 11/10/2018 00:20

What's 1 and 2 please.

[jerryspaniel] 10/10/2018 22:59

There are so many reasons why the share price has fallen. A fund raising is one of them but I would think that its third or fourth on my list of reasons.

[mknight] 10/10/2018 21:30

31.5p

That came down really quickly which makes me think news of fund raising may not be too far away or the price may be less than the 29/30p that I thought probable. With the news of late all being really good I cannot see any other reason for the drop.

The Dow with an 800 odd point drop we may see 29p at sometime tomorrow.

Long term holders of course need not worry .

[mirabeau] 10/10/2018 18:05

Hannam new note - target 75p - a great read and very exciting

[jerryspaniel] 10/10/2018 14:04

With regards to the options that expire this month. If one assumes that you could offset the cost of the options by selling an amount at (say) 34p you will need to sell 29,765,457 shares at 34p to give you a nil cost on the balance of 11.3 million shares exercised.
Obviously the higher the price the fewer you have to sell. The other side of that would be they haven't sold any shares and they fall below 28p and become worthless. SOLG don't get £8myn and we don't get diluted by 31myn shares.

[pecker1] 10/10/2018 13:02

write another play: "Emissary from Ecuador" or, more probably, say read Much ado about nothing.

Edit: Re timing, If he can get the drill results in time, NM will probably do an RNS when the Maxit options are out of the way, as more important for morale for the employee and contractor options to get exercised well in the money.

[zeusfurla] 10/10/2018 10:11

Shakespeare makes a lot more sense than today's share price movements! What would he do?

[mikalan] 10/10/2018 10:01

To buy more or not to buy more, that is the question. Whether 'tis nobler in the mind to suffer The slings and arrows of outrageous fortune, Or to take arms against a sea of troubles, And by opposing end them?

[mknight] 10/10/2018 08:32

Not the best kept secret . Fund raising at around 29 or 30p.

All imho guesss

[mam fach] 10/10/2018 08:25

Sad to have thoughts that price is being manipulated.
Happy that someone wants our shares.
All IMHO.

[mirabeau] 09/10/2018 22:41

Special report: BHP’s arrival on the Solgold register has given rise to expectations of a takeover battle breaking out over the smaller player — with its Cascabel copper and gold discovery in Ecuador as the prize.

Coming up against BHP would be Australia’s largest gold miner, Newcrest Mining, which outlaid $23 million for an initial 10 per cet stake in Solgold in 2016 — and has since become the company’s largest shareholder with 14.5 per cent.

There is a possibility BHP and Newcrest could team up to mount a joint bid for Solgold.

But the more likely scenario is that one of the parties misses out on Cascabel and is left to look elsewhere for exposure to copper and gold assets with genuine tier one potential.

The competitive tension in the chase for Cascabel rightly suggests that there isn’t a surfeit of options in the tier one category.

But one that could appear on the radars of hungry majors like BHP and Newcrest, if it hasn’t already, is Xanadu Mines’ Kharmagtai Project in Mongolia’s South Gobi Desert.

Kharmagtai isn’t dissimilar in terms of scale and grade to Cascabel. Both deposits are also characterised by high gold-to-copper ratios, which helps greatly with economics.

But what Kharmagtai has in its favour is it sits at surface and infrastructure is readily available.
Why Kharmagtai?

According to Xanadu, the deposits that make up the current Kharmagtai resource will be mined in an open pit scenario at a grade of greater than 0.5% copper equivalent for at least 20 years.

In an underground mining scenario like that envisaged at Cascabel – large-scale block caving – a grade of at least 1% copper equivalent is typically needed for a project to be viable, which represents a significant hurdle.

Like Solgold is currently doing at Cascabel, Xanadu (ASX:XAM) is in the process of preparing a new resource estimate for Kharmagtai that is expected to add significantly to the maiden resource of 1.5 million pounds of copper and 2.2 million ounces of gold announced in March 2015.

Xanadu anticipates publishing the new resource at the end of October and says it will follow shortly thereafter with the results of a preliminary economic assessment (PEA) on a starter pit project for Kharmagtai.

Solgold is progressing a PEA on a much larger, underground development at Cascabel and is scheduled to release the findings in the March quarter next year.

The release of the Cascabel study is tipped as a potential catalyst for the anticipated corporate action, particularly if it confirms a net present value for the project in excess of $4 billion, as Solgold chief executive officer Nick Mather says it will.

Given the similarities between Cascabel and Kharmagtai, it is not difficult to mount an argument that Xanadu is undervalued.
Kharmagtai Project in Mongolia’s South Gobi Desert

The stock has suffered due to the uncertainty around commodity demand created by President Trump’s trade wars and has dropped back to around 13c, capitalising the company at $84 million.

Solgold, on the other hand, is valued almost ten times more at around $830 million.

There is almost certainly a “Mongolia discount” factored into Xanadu’s valuation given the perception of heightened sovereign risk that has plagued the country in the past.

But that could become harder to justify if there is substance to the recent noises coming from the Mongolian government.

Well regarded Lion Selection fund manager Hedley Widdup attended the Discover Mongolia Forum in Ulaanbaatar in early September and reported back that “there is a sense that the sands are shifting again, and this time in a positive fashion”.


“The Minister for Heavy Industry and Mining used the platform to make the first positive noises from a [Mongolian] mining minister for some time,” Widdup wrote in an article for Miningnews.net.

“Minister Sumiyabazar attended an entire day of the conference and had a simple message for miners: he wants to attract foreign capital to the sector, which is the largest sector of Mongolia’s economy.”

A Mongolian government more welcoming to foreign investment could be just the ticket to bring more attention to the emerging Xanadu story.

It is also worth noting that there is not yet a major, foreign controlled copper mine in Ecuador, whereas Rio Tinto’s giant Oyu Tolgoi operation has been in production in Mongolia since 2013.

In 2016 Oyu Tolgoi’s owners, Rio Tinto and Turquoise Hill Mining, approved a US$5.3 billion expansion on the mine, financed primarily by a syndicate of international banks.

[dmitribollokov] 09/10/2018 22:16

I genuinely hope this sells off so i can buy more, it is a much better investment now than when cey was in the 30s...

[mirabeau] 09/10/2018 21:50

Sell Alpala and the other Cascabel tenements for $1-1.5bn and then we can explore all our other tenements as well.

In 6 months time SOLG will be 60-70p easy

[jlondon] 09/10/2018 21:45

"RESULTS SUGGEST THAT ALPALA NW COULD BE A 2ND PORPHYRY."- Red Cloud Broker Report.

-"In addition,Hole 64 shows evidence of a POTENTIAL 2ND PORPHYRY SYSTEM that could accelerate the co*s GROWTH profile. Highlights: B O R N I T E in Hole 64 indicates potential for a 2nd porphyry system. The co has released PICTURES of the core from Hole 64, where primary bornite mineralisation deep at Alpala NW shows potential growth. BORNITE IS ASSOCIATED WITH A VERY HIGH COPPER CONTENT {63%} and is often associated with being closer to the centre of a very high temperature system."

The above note is dated 7 Oct 2018.

Red Cloud*s broker note: " LAST REPORTED QUARTER C A S H $79.6 MILLION."

Link: hxxps://ceo.ca/CGP From watchdog9292929 [8 Oct 2018-2nd last post] with thanks.

Comment:
$79.6million cash as above - National Bank note mentioned spend is $10m a month so that will last 8 months which will be WELL INTO NEXT YEAR 2019?

[arcadian] 09/10/2018 21:11

Todays news comment-- sounds promising despite the spelling.

"For the miners, a dramatic increase in the amount of cash available for banks to loan out will drive investment, in turn benefitting companies whose product is demanded in times of growth. Over the long term, the mining sector looks a good buy, yet much of the short-term volatility will be dictated by affairs in China and the pathway of US trade negotiations," said IG Group's Josh Mahony.

[lefrene] 09/10/2018 12:23

The whole point of all the drilling and the MRE and PEA exercise is to prove the size and quality of the resource and thus its economic feasibility, thus armed the company can approach lenders who specialise in this sort of project. Canadian Banks have experience of this type of project, hence the effort made to join the TSX. I don't see NM wanting to dilute shareholders any further, we are already awash with near 1.7 billion shares.

[pecker1] 09/10/2018 12:08

As long as the share price stays above the options price they will have another £10M in the kitty by the end of this month. Plenty to allow them to fund raise after new MRE and further exploration results. Share price should jump after option supply is exhausted.

[whites123] 09/10/2018 12:05

Wow...

Dont look in for a week and suddenly see loads of chat of fundraisings etc etc...
I guess you guys have an agenda?

SOLG had over A$ 81,000,000 in bank last results.

I guess none of you understand or realise the significance of BHP.

Im back off...

Watching and reading this board can not in any way shape or form be conducive to a good lifestyle... :-)

Came across a few extra £'s today, so only looked in because I will be buying more.

£2.00 written all over this..
Maybe not next week ,nor next month..
Maybe a year to wait, but its time I am prepared and happy to wait to realise the profits.

[mknight] 08/10/2018 20:15

The problem that a small company like Solomon gold have is they have to raise money as running out or having very little would only cause a cheap takeover. Long term the share price will rise but I cannot help feeling the directors job is to raise money now to assure the future growth tomorrow.

[mirabeau] 08/10/2018 20:00

October 7, 2018



Results Suggest Alpala NW Could Be a 2nd Porphyry

Valuation:
Valuation set for a lift in Q4/18. In our view, the SolGold's current
valuation does not reflect the already world-class nature of the
deposit. The company has an EV of C$0.050/lb versus peers at
C$0.056/lb CuEq (Figure 2) but does not reflect the material resource
growth expected later this year. The deposit has attracted the
attention of a few major mining companies and believe that SolGold
will eventually be taken-out. Upcoming catalysts: 1) Ongoing
exploration and 2) Resource update (Q4/18).