Reading their web site this morning after seeing the latest RNS on their additional purchase it would seem that their investment strategy ground rules mean they like to be a pro-active investor.
Like you say, just small change to him but maybe big change to STI.
Building a stake ,for some reason & he often buys up to 29.99% of a company in which he is interested in-which will cost small change to him with view to the current market cap of STI.
Someone has brought STI to his attention for some reason & presumably that relates to undervalued assets.
If they stopped giving away our assets for a song then they have already done better for a starter.
The current board has valued the company at less than the cash in hand in the proposed deal. Apparantly our other assets are worth nothing, even if we were a cash shell a goos management will get good money if a company acquired a cash shell for the sole reason of reversing into it as a means of getting quotation in the stock market.
After the deal , they are going to overload the board by bringing in all the board from Crusader, increase their severance period, over inflated salaries and share options.
Crusader is on its backside, a distressed asset so if anything STI should have got the best of the deal as we have the money and stock market listing but for some reason the Crusader management managed to outwith our current CEO in negotiating a deal.
Need I go on....
I may not know if the incoming management may do better, (there is a chance that they may not playing a devils advocate here), but I DO KNOW from our past experience that this current management WILL NOT do any better.
So the choice for me is simple: Do I stick with management that I am 100% sure has sold current shareholders down the river or do I take a chance that someone else will do better?
The someone else we are talking about is not just anyone; they are backed by our biggest shareholders who are a big force in mining.
Another way of looking at it to ask this question:
Do you believe that some of our biggest shareholders who has something to lose or gain are more in tune to other stakeholder or do we go with a management that have absolutely no share in the company , their only interest in the company is their salaries. So as long as their wages are guaranteed then their interests is served.
I rather believe that my interests are aligned with those that have shares in the company and so will be affected by this deal. They are the ones that have called the meeting, Our CEO and his immediate buddy have 0, ( yes that is Zero), shares in the company. With zero shares in the company, destroying the share value is not an issue for them as long as their salaries is guaranteed.
Besides those requisitioning the meeting are not just Joe Blogg off the street but parties that are well versed in mining ; including AngloGold Ashanti and Teck Resources.
These are my views .. you may see differently, but I align with those that actually own shares in the company and can see the destruction of share value.
If you look at the recent RNS's you will see that 24% of shareholders have requisitioned an extraordinary general meeting to pass resolutions to replace the CEO and Chairman of the company and terminate the proposed takeover of Crusader Resources Limited. This accounts for the fall in the share price.
I am pleased to report to shareholders following my appointment as Chairman of GoldStone Resources Limited ("GoldStone" or the "Company") in July 2016. 2016 saw a number of changes to the Company, following the £1.0 million (US$1.4 million) equity ﬁnancing in July 2016, we were able to undertake further explora on ac vi es. The results from the diamond, reverse circula on and auguring drill programmes that were carried out at the Homase‐Akrokerri project in Ghana, provided encouraging results and have highlighted the areas that we need to focus on in order to ﬁrm up and add to the exis ng resource, in order to advance the project towards a scoping study and ul mately, to bring the project back into produc on. Whilst our core focus is centred on the Homase‐Akrokerri project, we con nue to seek ways of realising the value of our Senegal and Gabon assets. It is too early to claim any success in this regard, nevertheless we are working on these interes ng prospects. To align our accoun ng policy with interna onal peers, GoldStone has elected to capitalise its explora on costs, where previously it had been expensing them through proﬁt or loss. This will apply only to the work undertaken on the Homase‐Akrokerri project. We believe this will provide a be er reﬂec on of the results of the Company's ac vi es as well as its ﬁnancial posi on. The Board con nues to monitor and manage the Company's working capital posi on and to consider funding structure to provide the requisite funding to advance the Homase‐Akrokerri project. With this in mind, post the year‐end, the Company brought in a strategic partner, Paracale Gold Limited ("Paracale"), pursuant to a loan of up to £0.4 million (US$0.5 million) to provide near term working capital. Their involvement is subject to the passing of important resolu ons at the forthcoming AGM, discussed further in the Chief Execu ve Oﬃcer's Report. Paracale has the exper se to build mines and bring brownﬁeld projects into produc on. The Board sees this partnership taking the Company forward, with the ul mate aim of bringing the Homase‐Akrokerri project back into produc on. We are conﬁdent that they will support the Company going forward and we will keep shareholders advised as to progress in this regard. With the support of Paracale, we hope to develop a wider shareholder base in the future as further funding will be required in order to, inter alia, advance the Company's projects. In addi on, in order to preserve cash, the Board also agreed, subject to approval of the requisite share authori es by shareholders at the AGM, to be issued shares in respect of salaries through to the end of September 2017
Chief Execu ve Oﬃcer's Report It is my pleasure to present my ﬁrst Annual Report as the Chief Execu ve of GoldStone Resources Limited ("GoldStone" or the "Company") having been appointed in an ac ng role on 18 February 2016 and then substan ve on 30 June 2016, I set out below a strategy for the Company and an opera onal update. The focus for the Company going forward is to unlock value through the poten al development of it's Homase‐Akrokerri project in Ghana. GoldStone will focus its eﬀorts on increasing the conﬁdence in and overall scale of the exis ng mineral resource and economics for the project as it progresses through to a scoping study. The ul mate aim is to bring the project back into produc on, and to place the Company on a sound ﬁnancial foo ng. With this in mind, the Company, post year‐end, entered into a loan agreement with Paracale Gold Ltd ("Paracale"), which will provide the Company with important working capital and will, subject to shareholder approval, convert into shares in the Company. In addi on, Paracale also brings extensive experience in developing and building mines and we welcome their support to date and their con nued
Decent statement & very positive news regarding our gold production in the first half.With view to the higher gold price & our low cost of production I would have thought that a decent re rating is now overdue.
New note out today by Beaufort, scraped from Researchtree: "Stratex continues to support Goldstone, as it increased the loan amount provided to the latter. Goldstone would use the money for general working capital as it progresses in its portfolio of West African gold projects. Goldstone would also use the funds to provide settlement to former CEO Mr Jurie Wessels. Recently, Stratex secured financing for Tembo gold licence, which is a positive move considering the rising gold price and the recent awakening interest in gold projects and gold stocks. The Tembo tenements adjacent to Acacia Mining's Bulyanhulu Mine have yielded multiple gold intersections from previous drill programmes and it now remains to deliver a coherent resource with further drilling. Furthermore, Stratex is directing its future efforts and expenditures towards opportunities in West Africa, a region where management remains focused on exploration and the potential acquisition of new projects. Stratex also continues to consider opportunities in Turkey and the wider region where it already has a footprint in terms of intellectual and operating experience along with a successful exploration team."
"Stratex International has increased the unsecured short-term loan to Goldstone Resource, a company that Stratex has a 33.45% interest in, from US$100,000 to US$350,000. All other terms remain the same. The loan will be used for working capital and to satisfy the amicable settlement between Goldstone and its former CEO Jurie Wessels... It is positive for both Stratex International and Goldstone Resources (33.45%-owned by Stratex) that an amicable settlement between Goldstone and its former CEO Jurie Wessels has been reached."
"During Q116 Stratex International completed a low-cost exploration programme at the Dalafin Project, located in Senegal... Low cost exploration from Stratex International has yielded some promising results at the Dalafin Gold Project, located in Senegal. The Company is now reviewing the entire project data set to plan a drill programme to test the southwest extension of the Faré Zone, potential extensions to the Madina Bafé sheeted vein zone, as well as, the gold-bearing quartz-tourmaline veins of Baytilaye East.."
"Stratex report progress at their Dalafin gold exploration project in Senegal. An infill soil sampling program at Fare has extended the gold anomaly by another 750m. Outcrop sampling gat Baytilaye also shows reasonable gold occourances of  1.6 g/t, 1.37 g/t, 1.23 g/t, and 0.92 g/t"
Looking much stronger now. Going on the recent production update 40,000 oz by the end of the year should be achievable, now we didn't think that we would be saying that a few weeks ago...we are finally being recognized.
Read Northland Capital Partners's note on STRATEX INTERNATIONAL, out this morning, by visiting https://www.research-tree.com/company/GB00B0T29327
"Stratex International holds 32.4% of Thani Stratex, and this US$2m placing at US$2 per share, underpins our £3m valuation of Stratexs interest. The funds from this placing will be focused on advancing Thani Stratexs projects located in Egypt, as well as, general corporate expenses. Resource Capital Funds are a mining focused private equity fund and their investment in Thani Stratex is a sign of the quality of both the assets and the management team. Following yesterdays Altintepe update we have upgraded our production forecast for the year and also increased our expectations on operational costs, alongside updating our metal price basket and other minor changes. The net result is that our valuation remains unchanged while our forecasts have been updated...."
Read Northland's note on Stratex International (STI), out this morning, by visiting www.research-tree.com
Stratex International is continuing to support Goldstone Resources with this US$0.1m loan, following a difficult period for the Company. Goldstone is considering the future of its assets that may include full or partial disposal, in the interim, the management of Goldstone has taken extensive cost cutting measures including waving Non-Executive Directors and the Interim CEOs fees to reduce the cash burn. However, it is important to note that the settlement with the former CEO of Goldstone, Jurie Wessels, could result in an additional financial liability for Goldstone.
Full interview: https://www.youtube.com/watch?v=jo2ibOo-Ey8
22 October 2015: The Altinepe gold project in Turkey is close to its first gold pour, and CEO Bob Foster says the company wont know the full operating costs until it has been in production for three to four months.
What he can say is that the company is looking at around $600 an ounce to produce the gold at $1100 an ounce, and will be producing 30,000 ounces a year, possibly more. Initially partners will see an accelerated payback, but ultimately they will see 45% of a mine that is producing gold at a net cash of about $1000.
In regards to the rest of its portfolio, Mr Foster says West Africa is a very good place to be and the next major step for the company will be the acquisition of another project in that region.
Verbally upbeat Bob Foster.....cash flow looking imminent, hence only need for capital markets would be for something significant....interpret that as investment rather than the need to prop up survival.
The Altinepe gold project in Turkey is close to its first gold pour, and Mr Foster says the company wont know the full operating costs until it has been in production for three to four months. What he can say is that the company is looking at around $600 an ounce to produce the gold at $1100 an ounce, and will be producing 30,000 ounces a year, possibly more. Initially partners will see an accelerated payback, but ultimately they will see 45% of a mine that is producing gold at a net cash of about $1000.
Setting a 12p per share price target, Stratexs house broker based its assessment on the imminent commissioning of the Altintepe mine. Would be a nice bonus for Xmas. come on lads lets have that first gold pour, or is the rain doing all the pouring ?
Interesting-so what is the NPV of royalties of up to $20mill over say 15 years?
I am guessing at about $5mill & which would certainly boost our cash reserves & with view to our about to go into production I would hope that our Board would then consider a Special Dividend to the long sufferers.
1:00PM GMT 21 Feb 2015 Comments95 Comments
Panicked investors are rushing to buy gold bullion on growing fears that Greece could be forced out of the Eurozone and currency wars devalue savings held in bank accounts.
BullionByPost has seen the highest demand for gold bullion in its six year history, an exclusive report for the Sunday Telegraph can reveal.
The precious metal dealer, which sold £96m worth of coins and bars last year, said demand during the first five weeks of the year was up 40pc, when compared to the same period a year earlier.
Demand for 1kg gold bars, worth an estimated £26,000 each, has increased by 74pc when compared to 2014.
So Sprott have reduced their holding by 10%. The timing seems strange, just before production is finally due to begin. And if they're not happy with the company, and think they can invest the money better elsewhere,, why reduce by just 10%? And in cash terms it's only c. £80,000.
I'm still happy to hold for production and the accompanying re-rating.
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