Trans-siberian Gold Share Discussion Threads

[oldasiahand] 23/2/2006 09:39

Not just Chinese, also Indians, Arabs, Russians smaller central banks etc.

here's an interesting clip from the Business Times Singapore with Marc Faber and others on gold and how high it could go.

[frrinvest] 23/2/2006 08:44

Chinese are buying gold big time. The price of the yellow metal will catch up to its real value which is well over $1000/oz. irrespective of the Iranian situation. People are begining to recognise the diff. between paper money and REAL money. Its not just my opininon, have a read the media and DYOR.

If you invest in gold mines today then you are investing to reap rewards from the future. Exciting times ahead and if TSG gets it right who knows where the price will get to.

[oldasiahand] 23/2/2006 08:09

No real idea. Let's see how the projects are implemented. if we can have faith that production will really happen in 2008 then we can begin discounting back. Still think the price of gold is headed higher and TSG will benefit once the market is convinced the new management is committed. let's face it the shares were 165p when gold was about $400. I'm looking for over $600 possibly $700 this year if the Iranian situation blows up so the old highs in TSG would seem possible this year.

[frrinvest] 22/2/2006 22:30

OlAsiaHand, I think your analysis has been spot on so far. Take my hat off to you mate. Well done. Where the next stop for SP? Any guesses!

[oldasiahand] 22/2/2006 14:57

Adam is bang on. No way it will not happen now.

Trader Horne: I have to get up to speed on uranium. I know i should but travelling all the time.

[trader horne] 22/2/2006 12:44

OldAsia,
I see your interest in Canadian miners. I expect great things to come for Uranium, especially Cameco and Urasia (No ADVFN threads for these). Goldwise I ducked out of TSG last year, have a bit of HIF and GMA, but am well into AVM , preferring producers or about-to-produce rather than exploreres.

[adam] 22/2/2006 12:36

ad1967mc correct, but this is Russia, and it is about chess. I am sure that nothing and everything has changed. Nothing, technically as you say has changed. Everything has changed because now it is very public: Anglo American backed by a Russian ex-Finance Minister - who by the way has slapped down £10m of his own dosh, very publically are committed. Do they really want to play local politics now for some backsheesh?... your move.

[ad1967mc] 22/2/2006 09:09

Certainly been a roller coaster and I must tip my hat to those who held through or bought the lows. I wouldn't have.

That said, the latest move up looks somewhat premature. Yesterdays RNS was spun a little better than the last, but when you compare them side by side, not much has changed. The risks remain exactly the same and real progress has been very slow. For example the only difference at Asacha is the company has said it's going to mine. Finance, permits and conditions are still outstanding. Veduga was a little more encouraging, the conceptual ideas for resurrecting the project appear to be workable. Whether it can stand up to more detailed study remains to be seen.

[oldasiahand] 22/2/2006 07:14

Shaping up to be the most spectacular round trip I've seen in 45 years in the markets.

[adam] 21/2/2006 07:32

Seems very upbeat on all fronts.

[josedelavega] 21/2/2006 07:30

really interesting:

"We are optimistic that it will be possible to produce gold from Veduga on an
economic basis, although we have yet to define the optimum method."

José :-)

[josedelavega] 21/2/2006 07:28

nice :-)

Trans-Siberian Gold Asacha Update
RNS Number:6820Y
Trans-Siberian Gold PLC
21 February 2006



Trans-Siberian Gold plc

TSG to go ahead with Asacha - work ongoing at Veduga

LONDON: 21 February 2006 - Trans Siberian Gold plc ("TSG" or "the Company")
(TSG.L) is pleased to announce that, subject to completion of financing
arrangements, the Company is to proceed with the development of the Asacha gold
mine in Kamchatka, Far East Russia.

Following the appointment of Mr Jonathan Best as Chief Executive Officer in
November 2005, TSG has undertaken an in-depth financial and technical review of
both the Asacha and Veduga projects. The directors have agreed to move ahead as
quickly as practicable with development at Asacha and, subject to completion of
project financing, expect to start underground development in August this year,
with plant construction starting in September. It is expected that plant
commissioning will commence in December 2007 with first gold production in early
2008.

The total capital and pre-production costs of the Asacha project are estimated
at US$90 million (including recoverable VAT of US$11 million), of which $22
million has already been spent, leaving US$68 million to be funded through
project finance and equity or an equity linked instrument. Talks with Standard
Bank Plc together with the European Bank for Reconstruction and Development on
project financing are ongoing and Anglogold Ashanti Ltd, a 29.8% shareholder in
TSG, has agreed to participate in this funding to maintain its shareholding.

It is anticipated that project finance can be arranged by May 2006 and
consequently development of the Asacha mine will then begin in earnest. The
project finance is subject to fulfilment of certain technical conditions and to
receiving certain regulatory approvals, permits and an extension to the
production condition in the Asacha license. Every effort will be made to
complete all outstanding items to meet the May 2006 target.

Asacha mine

Work at Asacha has continued on engineering studies, site preparation and in
completing construction of the access road, while discussions with banks and
lending agencies on project finance have been ongoing.

The current mineral resource contains 534,493 oz of gold equivalent (in gold and
silver credits) in the measured and indicated categories (80%) and 131,653 oz
in the inferred category (20%) for a total of 666,146 oz (20.7 tonne) contained
gold equivalent. There is potential to increase this resource as exploration
results to date have revealed further mineralization in two parallel structures
to, and in one structure below, the current main Asacha orebody. The operational
plan includes an exploration programme in order to bring this mineralization
into the mineral resources and ultimately into a mineable ore reserve.

The current plan allows for ore extraction by underground mining methods only,
but a study has now been completed which indicates that it is technically
feasible to open pit the top portion of the orebody. Work will continue in this
area as extraction of the upper portion of the orebody should increase the
mineable ore reserves and improve the safety and economics of the project.

On the basis of current resources with an average recovered grade of 15.1 grams/
tonne and planned ore production of 200,000 tonnes a year, Asacha will have a
mine life of approximately 6.5 years, producing some 608,000 ounces of gold and
1.1 million ounces of silver at an average total cash cost of US$200 per ounce.
After the start of production there will be further capital expenditure totaling
US$12 million over the life of mine. Gold production is expected to be 30,000
ounces in 2008 and then approximately 100,000 oz per annum over the subsequent 5
years before tailing off towards the end of the current planned life of the
operation.

There is also potential for Rodnikova, TSG's other project in Kamchatka some 65
kilometres north of Asacha, to provide additional ore for the Asacha mill. TSG
will begin exploration at Rodnikova in 2006 to increase the size of the historic
resource.

Veduga

TSG has also completed a preliminary review of its Veduga project in central
Siberia after an initial pre-feasibility scoping study indicated that
construction of a complex metallurgical plant to produce gold metal at the site
was not economically viable due primarily to the high energy costs.
Nevertheless, the Company believes there is considerable value at Veduga and, as
a result, has been examining a number of alternative processing and other
options. These have included the production of flotation concentrates to be
transported to plants in the Urals, Kazakhstan and/or China which have the
technical capability to treat such material.

Further recent study has indicated that in the short term the option of
concentrating the sulphide ore and shipping it to a smelter may be a viable
treatment route for a first phase development of the project. Additional
flotation and concentrate test-work and economic analyses are underway and are
expected to be completed during the next 6 months. In addition, if this
processing route is pursued then the approximately 1.5 million tonnes of oxide
ore could be treated at the same time. In parallel with this TSG is actively
pursuing its exploration programme with a view to increasing the overall
mineable mineral resource from the existing 2.8 million ounces of which 1.9
million are measured and indicated.

In the longer term, development will depend on the results of additional
flotation test-work, utilizing a biological-oxidation process which has
indicated that further optimisation may be possible. This could improve the
economics of this relatively higher capital cost and power consuming processing
route. This second phase development route is also encouraging in light of the
recent announcement regarding the completion of the Boguchanskaya hydro-electric
power station which should allow for the provision of grid power to Veduga in
2009.

Ten boreholes were drilled in the Powerline (LEP) Prospect totaling 1,621.0 m.
at the end of 2005. The holes hit a 'buried' gently dipping body of gold-bearing
quartz-sericite metasomatic mineralization. A 20-50 m wide metasomatic zone can
be traced for 150 m along strike at 100-130 m depth from the surface.
Mineralized intervals 10-20 m in width were revealed in the drill holes.
Gold-bearing metasomatics are located near the plane of the Maloveduginsky
thrust, which is the main governing structure within the Greater Licence Area.
This favorable geology and structure is indicative that the orebody is not
closed off and that extensions to the orebody are still probable.

Work is continuing on a structural interpretation of the Veduga ore system
including the development of a 3D model. All the ore zones recognised so far
within the Veduga mining licence have been identified from surface exposure.
Initial results from the structural modelling have been encouraging and there
appears considerable scope for the identification of 'buried' ore zone similar
to the one identified within the Greater Licence Area at LEP.

Bogunay

Diamond drilling at the Bogunay gold prospect commenced in December 2005, and as
of January 27th a total of six holes had been completed for some 750m. The
drilling is in follow up to our trenching programme completed during the summer.
Trench results have been encouraging, with some significant gold assays. Whilst
the assay results of the diamond drilling are still awaited, all six holes have
intersected a zone of mineralisation consistent with that previously found in
trenching.

New significant shareholder

It was recently announced that Russia's UFG Asset Management had formed a
Private Equity Fund. On 16 February the Company was advised that UFG Private
Equity Fund ILP had acquired 25% of the Company's issued shares.

Commenting on the Board's decision, Jonathan Best, CEO, said:

"We have undertaken a detailed review of the Company's position and are
confident that we are now well placed to go forward with the development of
Asacha as quickly as possible while we consider further the options available to
us at Veduga.

"We are optimistic that it will be possible to produce gold from Veduga on an
economic basis, although we have yet to define the optimum method.

"Asacha, although on current reserves a short-life mine, will be profitable
because of its high grade. An updated reserve/resource statement taking into
account recent drilling and a higher gold price should give additional ounces
and we anticipate that we will be able to further extend the mine life through
an exploration programme within the Asacha license area and at nearby
Rodnikova."

On the new significant shareholder he said "It is encouraging to have a large
Russian investor and we look forward to meeting with them in the near future"

[frrinvest] 17/2/2006 12:40

Agreed. Thanks OldAsia.

[oldasiahand] 17/2/2006 12:19

When the bands are this constricted you are normally about to get a sharp move one way or the other.

In our case, I look for an upside breakout since the momentum appears that way. if gold stabilises here and we get some coherent statements from the stakeholders instead of this cacophony of confusing reg n announcements, then a price recovery seems logical. After all we had a price of 160p when gold was $400. Here we are at $550 and 100p. We wrere looking at a price objective of 250-300p at lower gold prices. If both projects are now given the all clear again then who knows where it can go. Does make you wonder who organised the decline last year that let the Russians in at very favourable prices though.

[frrinvest] 17/2/2006 11:19

OldAsia .... what does it mean? care to explain for someone who does not understand the charts please

[josedelavega] 16/2/2006 16:59

hmm... Mr.Kernot of Seymour Pierce
have to look in 2 years where this stock will be :-)

i think that can get a rocket

José

[josedelavega] 16/2/2006 16:46

really interesting ;-)

UFG PE Fund is a 250 million US$ international
fund specializing in acquisition of 25%+ stakes
in fast-growing Russian companies.

UFG Private Equity Fund I LP will consider investing in companies active in all sectors of Russia's economy.

These will include companies planning an initial public offering, those pursuing strategic alliances or acquisitions and any regarded as potentially interesting acquisition targets for a Russian company.

.....Boris Fyodorov, a former finance minister, started a private equity fund to invest in nonstate companies .... :-)

!!!!! The $250 million fund will focus on 5,000 to 10,000 companies worth $10 million to $100 million that have no government ties, Fyodorov said. Target companies are likely to triple in value within five years, he said in an interview in Moscow last week. !!!!!!!!!!!!!!

long and strong for TSG

José

[oldasiahand] 15/2/2006 13:39

Things are getting interesting. Announcements should be made in the next day or so about the Russkies etc. Allied Asset appears to be on the ball. Apparently, Anglo is now committed to getting things moving and the company will be going ahead with both Asacha and Veduga. They expect to get the licenses and can get the financing. If so, we are back where we were a year or so ago. If licenses and financing do eventuate then we will have a good bull move in this share. Question for punters is the amount they want to hold within the gold portion of their portfolios. Seems a reasonable punt here.

[frrinvest] 15/2/2006 10:00

looking at TSG currently; can anyone shed a light on this company please - is it worth investing in? Raving reviews a couple of years ago but share price slid although it perked up recently. Why? is the production targets of 2006 delayed or will not be met. Any info will help, risks etc. Thanks a lot.

[wdurham] 14/2/2006 17:33

Adam - have you seen the late UKREG announcements? Another 15% quietly acquired and now disposed, presumably to the Russian principal of this Cyprus registered broker.

[oldasiahand] 14/2/2006 17:33

Would be nice to get some clarification from the company. We now have two blocks with almost 60 percent between them.

[adam] 14/2/2006 17:24

alliedasset writes on TMF

At the risk of incurring my superior's wrath I have ventured back onto this site to clear up a few myths.

Firstly Hanover nominees are a group of Russians (as Allied Asset stated earlier). They are headed up by a well respected Russian ex finance minister. We understand it is not their intention to make a bid but to provide assistance. They now hold 27.5%

Secondly, we are indeed a bona fide fund,privately run and not to be found through the internet.
Thirdly, yes, I do hold some TSG shares of my own!
Signed "backroom Lucy"

[adam] 13/2/2006 16:47

> However, probably not looking for Russian assets

According to ResrouceInvestor.com, they might be. If I were a shareholder I would be peeved. The Russians have shown that a large political discount is merited. re: fronting in Cyprus - sorry, my broker has no details, just that dodgey.
p.s I am told Nezhdaninskoye means "surprising" or "unexpected". They have a cruel sense of humour. Note also CER do not have $90m to go shopping with - The money is not in the bank yet. Let us just hope it is not a Russian bank too for their sakes.