"The British prime minister is set to promise to send military helicopters to a French counter-terrorism operation in Mali.....
The three RAF (Royal Air Force) Chinook helicopters would give logistical support to French troops fighting Islamist militants.".
I have always rated he security risk at Mali as low. I perceive that the risk will be even lower with this meaningful deployment.
Meanwhile it seems to be a waiting game for what I perceive to be a seller (Pageant Holdings) to finish selling. Sounds like a January sales pitch - Once they are gone they are gone!
Bert kept carefully to the script of what is in the RNS, Note the RNS talks about throughput reaching 75% in January, but it is only half way through January - so it could well be higher by the end of the month.
As for VOX, got this far but could not find a video clip:-
Interesting that the 'buy' price was initially stuck at 39p (2p more than the 'sell' price) on the news (talk about putting people off buying with such a wide spread!) but the spread has now come back to 37-37.5p. One would ordinarily anticipate a small share price rise after a good RNS like today's. I guess that the next RNS will be in a month's time when the mine is officially opened and they declare that it is close to 100% of nameplate throughput?
Q4 Operational Overview
· Commenced gold production on budget and on schedule
· Commissioned the 1.24Mtpa carbon-in-leach circuit ('CIL') processing plant at Yanfolila
o Targeting ~130,000oz gold in first full year of operation
o 107,000oz Au p/a over life of mine at ~3g/t average grade
o 1 million ounces gold outside current mine plan - drilling of existing resources targeted throughout 2018 to deliver greater reserve life
Q4 Corporate Overview
· Cash position ~US$40 million at YE 2017
· Cora Gold Limited (in which HUM holds a 33.85% interest) raised £3.45 million and listed on AIM, focussing on gold exploration in Mali and Senegal, offering potential for proximal satellite deposits to provide further feedstock for Yanfolila plant
· Soft-launched "1oz Hummingbird" Single Mine Origin pure gold coins from Yanfolila
o 1,400 people registered interest within one month of soft-launch http://hummingbirdresources.co.uk/coins
o Coin sales to commence in Q1 2018, with first delivery of coins targeted by end of H1 2018
· Shipping of gold dore bars to the refinery has commenced
· Ramp up to commercial production remains on plan
o Plant throughput at 65% capacity during last two weeks of December
o Plant throughput reached 75% capacity in January 2018
· Cora Gold announced visible gold in drill core, full assay results to follow shortly from their maiden drilling campaign at Sanankoro
· Malian President, Ibrahim Boubacar Keïta, to officially open Yanfolila Gold Mine on 14 February 2018
Dan Betts, CEO of Hummingbird, commented:
"The last quarter of 2017 saw Hummingbird become the newest African gold producer, delivering the Yanfolila Gold Mine on time and budget. The team on the ground at Yanfolila operated 24/7 over the Christmas period and the ramp up is going well and on track to reach commercial production as planned. I am pleased to announce our first shipment of gold to the refinery has now been completed."
Yes I knew about the 35% Humm holding. What I liked about Cora is how they are doing the drilling and I suspect they will find a lot more gold ounces as a result. Some explorers are worth £10M per 1M ounces of discovered gold. So if Cora finds 1.5M ounces this year I can see their share hitting 22p-24p. This adds around 0.4p to Hummingbird through the 35% so hence the direct punt to get more bang on the portfolio. I still have a shed load of Hummingbird but taking an 11% gain on a few covered 20% of the cost of buying the Cora.
All the best with your lot. I would certainly think about getting some of these especially if it trickles back a bit in price.
Not going to happen as HUM have only just sold Cora, so they are not going to buy it back. They own 35% of it, so retain a good stake, and would benefit from LOM extension to Yanfolilla if they truck the base material for processing from Cora's closest asset, which is a double whammy for HUM as they will increase the throughput and LOM for the Yanfo investment, cover part of thier running costs by being paid by Cora to process it, and then receive 35% of the proceeds as shareholders of Cora, so a win-win for HUM.
Share price now seems to be getting back to where it was prior to the share sell off, so hopefully onwards and upwards from here.
"Gold prices extended their rally after U.S. President Donald Trump said he would waive nuclear sanctions against Iran for the last time to give Washington and its European allies a chance to fix the "terrible flaws" of the 2015 nuclear deal. "This is a last chance," Trump said in a statement, which fed investor worries and boosted safe-haven demand for gold. "Certainly, Trump making that announcement helped, and it's been a risk-on move today," said Dan Hussey, senior market strategist at RJO Futures in Chicago."
In other words, Hub, you're a lazy git who hasn't even bothered to read SAVP's presentation on re-admission. Shame on you. This is an easy double this year just on some moderate drilling success in Niger. Go read the background.
I'm not keen on Nigerian Oil & Gas focused stocks. You've only got to look at Lekoil to see how investors and market in general treats these stocks. Afren (inc many well connected Nigeria individuals) showed the depth of corruption that was going on. At a time when many oil stocks are rebounding, it's hard for even the unwanted and discarded Nigeria stocks to not have some kind of bounce.
The truth is, there are so many safer and more secure regions to invest in across the O&G sector. I wouldn't trust a nigerian contract or licence even if it was etched in stone. You may as well invest in Iranian crude or Iraqi Kurdistan. Too much politics and too many dodge brown bags involved.
Whilst there are some similar regional risks in Colombia, I prefer the likes of AMERISUR - debt free and making cash - loads of it. Yet it's trading at levels last seen when PoO was in the $30's. Big recovery due soon for AMER.
Aside from regional risks, North Sea plays look good for recovery plays but one oil stock I think will do very well is Trinidad focused CERP.L. Schroders keep on buying stock up and they are no spring chickens to the sector. They know CERP's potential is huge.
Good luck with SAVP, but not one for me even in a bullish PoO market. I just can't stand Nigerian stocks. Too many let downs over the years. Easier picls elsewhere.
"Sanankoro Gold Discovery: Potential for standalone mine development"
So whilst Yanfolila gives s short-term production option, CORA is looking to build its own plant, so if it stays independent would process its own ore.
The reality is HUM will take them out before they get to production and as we all expect, become a multi-mine company. Just one more reason whybHUM will grow and grow, and at some point the SP will follow.
Just spotted this post. 1kg! You must be joking. Go to the Bank of England's Museum
They used to have a gold bar that one could try and pick up. It is incredibly heavy! At 19gm per cm3, that is about 50cubic cm. eg 10cmx5cmx1cm - the size of a small bar of chocolate.
There was a program on Freeview that I saw a couple of nights ago where they went to a vault in the USA. A lorry was making a delivery of about 30 gold bars - and it looked an overkill - until the commentator said that if they were put in the back of one's car the tyres would blow out as the gold bars are so heavy!
The big question is what is the value of these gold bars. Perhaps we should run a sweepstake to see who gets closest?
Looking at the gape of the hands holding the gold bars, I estimate the width of a bar to be about 10cm. The length looks to be about 2.5 times the width (=25cm). The thickness is about the width of a thumb (say 2cm). So the volume is about 10*25*2=500 cubic cm. The density of gold is 19.32g per cubic cm, so he weight of one gold bar is about 500*19.32=9660gm. Using 1 gram=0.035274oz, then the weight =9660*0.035274=340oz. ie about 20lb. Cross checking with the photograph - do the gold refiners look as if they are holding 20lb in weight and I would say yes.
So 340oz at $1300oz=$442,000. Two bars, so the total value is of the order of $0.88m.
Cross checking with the nominal 1st year of commercial production target of 132,000oz, then these 2 bars represent (680/132000)*100%= 0.5% of the annual production. Although we do not know how many gold pours have been made to date, I interpret this as showing that the ramp up to full production looks to be going well as it is so soon after first gold pour.
Well Pageant Holdings has been selling. This article may give a clue as to why they have been reducing their stake:-
They bought a large stake in HUM at 22p a share and no doubt wanted to have a limited time frame as they buy into out of favour companies. First gold pour would be expected to give a good share price for HUM and presumably accompanied by more buying demand. So I suspect that Pageant have been waiting until now to sell some shares and no doubt already have some other investment that they want to move onto. I see that the price of HUM is moving up without much buying evident at the moment, so I am wondering if no more of Pageant's shares are visibly on sale.
Oh someone mentioned finding a buyer for HUM's gold - I am sure that I read somewhere that the gold is automatically sold at the gold room in a contract with a third party. However, despite trying hard, I have so far failed to find that information.
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