Vatukoula Gold Share Discussion Threads

[giant steps] 27/6/2013 09:47

O/T

Andy, what appears on your shortlist ? (tia)

[andy] 27/6/2013 09:35

Johndee,

But they are losing money on every ounce produced, where is the value?

"the price of gold is very likely to double in a few years time", really? Who said so?

Everyone was predicting $2500 gold this year last year, and where are we today?

I think the POG is ridiculous, but sadly the market can remain irrational longer than we can remain solvent!

Personally I am ONLY looking at producers, or near to production, in safe jurisdictions, with around one year's cash in hand, preferably more.

That cuts the list down to size for aure!

[johndee] 27/6/2013 09:26

Operational Update for the Third Quarter and Nine Months ended 31(st) May 2013

Vatukoula Gold Mines Plc (AIM:VGM), the AIM listed gold producer, is pleased to announce its unaudited preliminary operational results from its 100% owned Vatukoula Gold Mine in Fiji for the third quarter and nine months ended 31(st) May 2013.

-- Secured GBP4.5 million of working capital finance via an equity placing with DRK Energy Co. Limited ("DRK") at an 88% premium to market

-- DRK have agreed to work in conjunction with VGM to source the required debt financing to fund the Company's planned expansion programme

-- Lowered cash costs per tonne from US$185 per tonne in the nine months ended May 2012 to US$151 per tonne in the nine months ended May 2013

-- Completed the switch from strike drive development to footwall development in the Smith section of the mine. This will allow more efficient extraction and lower dilution of ore, delivering a higher overall grade.

--------------------------------------------------


That says more than enough really. At this share price it has to be a good buy. I am still researching more and have not bought as yet.

[augustusgloop] 27/6/2013 09:08

Clearly you haven't bothered to do any research.

[johndee] 27/6/2013 08:54

Why would investors have recently paid 15 pence a share? The price of gold is very likely to double within a few years. VGM are well placed and have raised 4.5 million quite easily.

[andy] 27/6/2013 08:24

johndee,

They are losing money on every ounce produced!

Where is the value?

[andy] 27/6/2013 08:07

Chinese,

VGM is not a charity!

DP has do to the correct thing for the owners of the company, ie the shareholders!

The Fijian government will have to address the unemployment issue, presumably they will go back to doing what they did before VGM re-opened the mine!

[chinese investor] 27/6/2013 07:57

Mothballing is not an Option !
What are the 1,500 Fijians Gonna Do ?

[johndee] 27/6/2013 07:22

Seems very undervalued after a placing at 15 pence taken up!!!

[andy] 26/6/2013 17:21

janyboy,

That's not what DP said recently!

"David Paxton, CEO of Vatukoula Gold Mines, commented:

"In the first three months of H1 we continued to invest heavily in capital development which opened up access to the high grade Cayzer-Prince ore body. Currently we are carrying out limited mining from this ore body which has been reflected in an increase in grade coming from the Phillip shaft of 6.9 grams / tonne compared to the previous six months which yielded 5.3 grams / tonne."

[janyboy11] 26/6/2013 10:32

bulldog30 26 Jun'13 - 08:07 - 13459 of 13459 0 0

Andy

With fall in price of gold to $1250 overnight must be worth mothballing this mine


IT WAS MOTHBALLED 10 YEARS AGO






.

[bulldog30] 26/6/2013 10:11

Andy

At $1230 and share price off again today I imagine that the Chinese will negotiate something here. Will be interesting to see how this develops with more than one Chinese investor at the trough though.

[andy] 26/6/2013 09:41

bulldog,

Yes a C & M decision must be close now with $1250 POG, there has to be a limit as to how much more they can afford to lose.m

Surely the Chinese will ant to re-negotiate?

[bulldog30] 26/6/2013 08:07

Andy

With fall in price of gold to $1250 overnight must be worth mothballing this mine since outside debt finance will be nigh impossible IMO unless Chinese investors put up the finance secured on the mine.

[fangorn2] 25/6/2013 19:23

I don't dispute that the point vis VGM was proved ages ago :)

Just wondered viz MML

[augustusgloop] 25/6/2013 19:15

Fangorn2,

Jgraggaber is not me.

The point was proven on VGM long ago.

[atlantic57] 25/6/2013 18:44

Yes indeed it must make economic sense to shut the mine down for now very surprised they have not done this.

[fangorn2] 25/6/2013 18:31

I think Elban/Augustusgloop has given up on VGM - he's now over at the Medusa Mining board under some new guise apparently. ("Jgraggaber") profile not new , been around, but same posting style.

[ohisay] 25/6/2013 17:29

More ouch - 3 months to May.

Cash cost per ounce shipped (US$) 1812

These Chinese are clever chaps but with Gold at sub 1300$ they''ll need lots of Chili oil in their rice.

[andy] 25/6/2013 14:46

atlantic57 12 Jun'13 - 13:04 - 672 of 684 0 0

Andy don't you read the production guidance statements we are weeks away from...

--------

:-)

I expect a care and maintenance statement to be issued soon, surely they cannot continue making losses on production?

[chinese investor] 25/6/2013 13:04

"While we continue to source the financing required to achieve our long term targets, we do not expect any material changes in our production figures. We anticipate the completion of the debt financing near the end of September 2013, after which we will be able to fully implement our strategy of achieving our long-term, cost effective sustainable gold production targets."

[fangorn2] 25/6/2013 09:34

Operations Update: Q3 & 9 Months ended 31 May 2013

Ouch.....
9mths May'13 9mths May'12
Underlying operating (loss) (GBP'000) (7,152) (4,337)
Cash cost per ounce shipped (US$/ounce) 1,689 1,609
Average realised gold price (US$/ounce) 1,617 1,656

[1waving] 24/6/2013 12:41

Just thought I'd drop in to have a look how VGM did in their last quarter knowing that they have almost religiously put out their quarterly update on or before the 21st of the month following quarter end.

Seem to have gone quite coy....

[atlantic57] 23/6/2013 23:06

Thank you i will do it now.