drbubb Posted October 18, 2012 Report Share Posted October 18, 2012 South African Gold stocks Symbol Company : $Price : shares : Mkt.Cap : PER : Yield% : BkValue : Pr/Bk : Pr/Rv : OpCF : FreeCF AU--- : AngloAsh. : $32.57 : 385m : $12.60B : 12.90 : 1.18% : $00.14 : 219 X : 242 X : $2.29B : $230m GFI-- : Goldfields : $11.76 : 728m : $ 8.57 B : 09.06 : 2.90% : $07.74 : 162% : 175% : $1.90B : $445m HMY- : Harmony-- : $ 7.99 : 431m : $ 3.45 B : 11.77 : 1.39% : $08.96 : 093% : 208% : $479m : -$137m GOLD: Randgold : $119.9 : 92mn : $11.00B : 25.93 : 0.30% : $25.90 : 923% : 483% : $514m : -$144m impuy : Impala Pl. : $17.35 : 607m : $10.52B : - N/A- : 0.58% : $09.40 : 190% : 345% : $566m : -$672m agppy : A.Am.Plat : $ 7.67 : 1.62b : $11.98B : - N/A- : 0.61% : $04.04 : 193% : 252% : $568m : -$499m AU / Anglo-Ashanti ... update // SAGS-charts (adv) GFI / Goldfields ... update HMY / Harmony Gold ... update GOLD / Rand Gold ... update Compare : HUI / NYSE Arca Gold BUGS Index ... update "The Gold Race" - Can Gold stocks catch up with Gold ? ... update GOLD Reserves & Production Symbol Company : $Price : shares : Mkt.Cap : PER : GoldOz : MC/oz : '11Prd : '12ProdE : MC/'12p AU--- : AngloAsh. : $32.57 : 385m : $12.60B : 12.90 : XX.Xmn L $ X00. : X.X0mn : X.X0mn : GFI-- : Goldfields : $11.76 : 728m : $ 8.57 B : 09.06 : 80.6mn : $ 106. : X.X0mn : 3.50mnE : $ 2,448 HMY- : Harmony-- : $ 7.99 : 431m : $ 3.45 B : 11.77 : XX.Xmn L $ X00. : X.X0mn : X.X0mn : GOLD: Randgold : $119.9 : 92mn : $11.00B : 25.93 : XX.Xmn L $ X00. : X.X0mn : X.X0mn : impuy : Impala Pl. : $17.35 : 607m : $10.52B : - N/A- : agppy : A.Am.Plat : $ 7.67 : 1.62b : $11.98B : - N/A- : Link to comment Share on other sites More sharing options...
BradleyWong Posted October 18, 2012 Report Share Posted October 18, 2012 Interesting. Which of these stocks do you like best? They all seem pretty cheap. Link to comment Share on other sites More sharing options...
drbubb Posted October 18, 2012 Author Report Share Posted October 18, 2012 Interesting. Which of these stocks do you like best? They all seem pretty cheap. Purely based on charts, I would go with Goldfields: GFI / Goldfields ... update Here's GFI's One Year chart ... update I need to do more work on fundamentals, before I buy. The raw statistics also support the notion that GFI is the cheapest. Symbol Company : $Price : shares : Mkt.Cap : PER : Yield% : BkValue : Pr/Bk : Pr/Rv : OpCF : FreeCF AU--- : AngloAsh. : $32.57 : 385m : $12.60B : 12.90 : 1.18% : $00.14 : 219 X : 242 X : $2.29B : $230m GFI-- : Goldfields : $11.76 : 728m : $ 8.57 B : 09.06 : 2.90% : $07.74 : 162% : 175% : $1.90B : $445m HMY- : Harmony-- : $ 7.99 : 431m : $ 3.45 B : 11.77 : 1.39% : $08.96 : 093% : 208% : $479m : -$137m GOLD: Randgold : $119.9 : 92mn : $11.00B : 25.93 : 0.30% : $25.90 : 923% : 483% : $514m : -$144m impuy : Impala Pl. : $17.35 : 607m : $10.52B : - N/A- : 0.58% : $09.40 : 190% : 345% : $566m : -$672m agppy : A.Am.Plat : $ 7.67 : 1.62b : $11.98B : - N/A- : 0.61% : $04.04 : 193% : 252% : $568m : -$499m ============== QUARTERLY RESULTS GFI OzProd inSA GldAv : RevsMn : GoldPr : $CCost : NetEarn : E.P.S. NCEpr -As% === Q1- 0,830 0,XXX $100. $1,285m : $1389R : $0,751 : $158m : $0.23 $1,093/oz 21% Q2- 0,872 0,XXX $100. $1,411m : $1496R : $0,816 : $186m : $0.27 $1,178/oz 21% Q3- 0,880E Q4- 0,883 0,XXX $100. $1,534m : $1677R : $0,767 : $336m : $0.47 $1,206/oz 28% '11 : 3,400E === Q1- 0,827 0,387 $100. $1,442m : $1679R : $0,870 : $268m : $0.39 $1,280/oz 24% Q2- 0,862 0,437 $100. $1,408m : $1600R : $0,851 : $198m : $0.30 $1,308/oz 18% ==== 1,689 : Q3- 0,906E Q4- 0,906E '12 : 3,500E === /website: http://http://www.go.../statistics.php Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 DOWN HARD - Why? A Strike is hitting the SA Miners Sym. : Price +Chg. +Pct : Vol. AU--- : $32.57 - 2.37 - 6.78% : 3.18mn GFI-- : $11.76 - 0.74 - 5.92% : 5.63mn HMY- : $ 7.99 - 0.30 - 3.62% : 2.38mn GOLD: $119.9 - 5.07 - 4.06% : 629 k impuy: $17.35 - 0.50 - 2.80% : 27,213 agppy: $ 7.67 - 0.14 - 1.79% : 0,713 ASA- : $24.16 -0.48 - 1.95% : 42,432 PTM.t: $ 1.02 + 0.02 +2.00% : 227k ==== GDX- : $51.52 - 1.59 - 2.99% : 14.8mn GLD- : 168.79 -0.75 - 0.44% : 6.61mn SPY- : 145.82 -0.38 -0.26% : 148.1m DXY- : $79.38 +0.04 +0.05% : n/a FXZ- : $25.11 +0.02 +0.08% : 22,629 The drops in SAGS (South African Gold stocks) were big and came on high volume. GFI hit my Buy Target, but I did not buy yet because I want to understand why the stocks are coming down so hard before buying. GFI is only $0.05 away from a new Low for the year, and a break of support there might trigger a deeper correction. Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 Rand slammed, hits 3-year low as strikes spread Loss of mining revenue huge hit to growth / OCT. 8th SAN FRANCISCO (MarketWatch) — The South African currency tumbled to its lowest level in more than three years Monday as union activity in the country spread from the mining sector to truckers and possibly state employees, with the strikes now posing a threat to Africa’s biggest economy. The U.S. dollar USDZAR .. update ...rose for a seventh day to buy almost 9 South African rand — touching its highest level since early 2009 — before edging back to 8.8592 rand. The greenback has shot up 8.7% against the rand this month, according to FactSet. The WisdomTree Dreyfus South African Rand Fund SZR +1.65% , an exchange-traded fund which tracks the currency, lost 0.8% on the day. It’s lost 5.7% this month. The iShares MSCI South Africa Index Fund EZA .. update which tracks South African equities, fell 1.9% on the day and has declined 7% this month. “Until such time as industrial unrest abates and the underlying damage becomes a little clearer, then the [rand] will be susceptible to inevitable downward pressure,” said Neil Mellor, senior currency strategist at Bank of New York Mellon. Strikes over wages started in August at a platinum mine owned by Lonmin PLC UK:LMI -0.96% LNMIY -3.18% . The labor unrest led to dozens of deaths, in what was the bloodiest police action since apartheid. Close to 100,000 workers in South Africa have gone on strike in recent weeks, according to Reuters. Workers at Anglo American Platinum ZA:AMS -1.30% , a subsidiary of Anglo American PLC UK:AAL -0.26% , were also on strike, and rejected the company’s firing of them, AFP reported. Anglo Platinum is the world’s largest platinum producer. Last week, South Africa’s truckers went on strike, slowing transit of goods, while port and railway workers may join, Mellor noted. That led Royal Dutch Shell RDS.A -1.70% UK:RDSA -1.06% to declare force majeure on delivery commitments in South Africa because of the strikes. Read ibtimes.com report on Shell’s ‘force majeure’ in South Africa. On Monday, a spokesman for South Africa’s union of local government workers said it has filed notice to embark on a national strike, according to Reuters /more: http://www.marketwat...&dist=bigcharts Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 South Africa miners reject Zuma's plea to end strike Salt Lake Tribune-5 hours ago Fochville, South Africa • Ernest Morake shook his head and laughed when he heard that South Africa's president wanted striking miners to ... == == South Africa mines: back to work and back on strike Financial Times (blog)-14 hours ago Jacob Zuma calls on all South African business leaders to freeze pay In-Depth -The Guardian-8 hours ago Will South Africa's strike season ever end? Blog -Aljazeera.com (blog)-Oct 17, 2012 Strike season' It is still traditionally 'strike season' in South Africa, that time of the year when workers bargain for wage increases. But this year seems different for me. I have never known the strike season to be this violent. For example, 34 striking miner workers were gunned down by police on August 16, at Lonmin Platinum mine in Marikana. And the violence and continued unrest is beginning to take its toll on the average South African. It is no longer: "When will this end" ...it is rather: "Why won't this end?!" But it seems the nationwide strikes are growing and spreading. Some government-paid bus drivers have gone on strike, demanding a wage increase. This could potentially inconvenience about 42,000 passengers. As if things couldn't get any worse, municipal workers are threatening to go on strike soon. Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 (This August 2012 Comment has proven to be a little premature, thanks to strike action) South African gold producers looking best in 15 years: RBC EXCERPT “We believe gold equities are poised to outperform the gold price as investors take advantage of growing free cash flow,” he said. Traditionally, analysts have used a 12x P/CF multiple to determine target prices, but now, even with an 8x multiple there is still implied upside of more than 50%. “This compares to our American and Australian counterparts that use around 10x and leaves the South African gold producers now almost priced in line with our base metal producer universe,” he said. Multiples in the base metal sector are at about 7x. Overall, earnings per share forecasts are up “significantly” with most estimates up more than 100%. Price targets for the Tier I South African gold producers are up 9% and the rest of the industry 25%. Among the major producers, Mr. Esterhuizen is most bullish on Harmony Gold Mining Co. Ltd., which is expected to deliver greater volumes at higher grades in the next two years on the back of several new projects. /more: http://business.fina...n-15-years-rbc/ Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 South African Gold Production Dives To 90 Year Lows / The nearly 80% fall in South African gold production has led to it being recently overtaken by China, Australia and the U.S. It is now even at risk of being overtaken by Russia. The scale of the collapse is such that it is worth considering the possibility that the Apartheid regime may have exaggerated the size of South African gold production. Indeed, similar questions could be asked of the massive increase in China's gold production in recent years and whether Chinese gold production tonnage figures are exaggerated. The massive 11.3% decline in South Africa was more than even that seen in December when gold output fell by 8.2%. The continuing output decline is due to many of the country's biggest gold mining operations having reached the ends of their lives and having closed down. Old mines that are still operating are mostly getting deeper and deeper with safety concerns a limiting factor, while new operations coming on stream tend to be either small by comparison, low grade, or both. South Africa's continuing gold production decline is not cyclical and is permanent and is another bullish factor for the gold market in the long term. Geological constraints mean that there is little prospect of any serious reversal in the trend. Geological and the lack of any major gold finds anywhere in the world in the last 20 years also suggest that the supply side of the gold equation remains bullish. The decline in South African production has been a major contributor to at best flat global gold production over the past few years. ====== /source: http://www.marketora...ticle33620.html Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 CALLS WORTH BUYING Soon ?? Benchmark Calls: $Stock: I.Value : 2013 : 2014 : 2015 : ==== GFI- : Jan$10C : $11.76 : $1.76 : $2.02 : $2.74 : $3.18 : ------ : ----------- : U /lying : $1.76 :+0.26 : +0.72 : +0.44 : GFI- : Jan$11C : $11.99 : $0.99 : $1.39 : AU-- : Jan$30C : $32.57 : $2.57 : $3.65 : $6.15 : $7.20 ------ : ----------- : U /lying : $2.57 :+1.08 : +2.50 : +1.05 : HMY : Jan$6.0C : $07.99 : $1.99 : $2.15 : $ ?? ------ : ----------- : U /lying : $1.99 :+0.16 : They don't trade much, if at all, but look at the terrific volatility in the notional price of these: Harmony Jan.2014 $6 calls ... update Wow! Get the timing right, and you buy at $1.30, and sell 2 1/2 weeks later at $4.50. That's a theoretical gain, since they did not trade at those prices, The Goldfields calls should trade better. GFI - Jan.13-$10C ... update GFI - Jan.14-$10C ... update Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 MORE DETAIL on the Strike Actions, #1: Strikes in South Africa shut 39% of country’s gold production posted on September 26, 2012 at 4:28 pm Wildcat strikes have spread across South Africa’s mining sector. Strikes at AngloGold Ashanti (AU), Gold Fields (GFI), and other gold mining companies have halted about 39% of South African gold production. AngloGold said today that all production at its South African mines has been halted. The company is the world’s third largest gold producer. For more on the South African strikes and their effect on prices for commodities such as gold and platinum see my September 25 posthttp://jubakpicks.co...rica/#more-9700 The latest round of the labor turmoil that began with a six-week strike at Lonmin’s (LNMIY) Marikana platinum mine isn’t limited to the mining sector, however. Coal of Africa (CZA.LN) workers have also gone out on strike along with 20,000 transport workers. The new wave of strikes shares this with the Marikana strike: Workers have sidelined representatives from the National Union of Mineworkers in favor of representation by committees of their co-workers. The National Union of Mineworkers is a key ally of the African National Congress government. Opponents of the ruling faction of the African National Congress are attempting to use the strikes to challenge current party leadership. There is one crucial difference, however, between the strikes on Lonmin’s platinum mine and the strikes in the gold fields. Read more /more: http://jubakpicks.com/tag/gold/ Link to comment Share on other sites More sharing options...
drbubb Posted October 19, 2012 Author Report Share Posted October 19, 2012 MORE DETAIL on the Strike Actions, #2: South Africa miners reject Zuma’s plea to end strike By RODNEY MUHUMUZA | The Associated Press First Published 6 hours ago • Updated 6 hours ago EXCERPT ... "We are not going to quit until we get the right offer," said a miner who gave his name as Manyane who is among the AngloGold Ashanti employees demanding at least 18,500 rand (about $2,100) in monthly pay, an increase from the 4,000 rand (about $450) per month they say they now get paid. "We are peaceful. But if they fire us and hire other people then that will start violence. If they do that we are going to war." Strike action at gold and platinum mines had cost the country about 4.5 billion rand (more than $500 million) in lost output by mid-September, Zuma told a meeting of businessmen in Johannesburg last week. Citing the impact of unresolved strikes in the crucial mining sector, the credit rating agencies S&P and Moody’s have downgraded South Africa’s credit rating. At the peak of the wildcat strikes, about 80,000 mineworkers — representing 16 percent of the mining workforce —were striking across South Africa. The wildcat strikes have been marred by violence, most notably an incident on Aug. 16 when police shot and killed 34 miners at a platinum mine in Marikana. /more: http://www.sltrib.co...africa.html.csp Link to comment Share on other sites More sharing options...
BradleyWong Posted October 19, 2012 Report Share Posted October 19, 2012 South African Gold stocks Symbol Company : $Price : shares : Mkt.Cap : PER : Yield% : BkValue : Pr/Bk : Pr/Rv : OpCF : FreeCF AU--- : AngloAsh. : $32.57 : 385m : $12.60B : 12.90 : 1.18% : $00.14 : 219 X : 242 X : $2.29B : $230m GFI-- : Goldfields : $11.76 : 728m : $ 8.57 B : 09.06 : 2.90% : $07.74 : 162% : 175% : $1.90B : $445m Wow! Can that right? GFI has a MktCap of $8.57 Billion, and annual Operating Cash Flow of $1.90 Billion? That's something like 4.5x Operating CF? If that is so, I will be buying some stock. How much debt do they have? Link to comment Share on other sites More sharing options...
drbubb Posted October 20, 2012 Author Report Share Posted October 20, 2012 I Did buy some GFI calls on Friday. But was slow to pull the trigger, and so got fewer than I had wanted to. ===== Recap Of The Major Mines Impacted By The South African Mine Strikes 19 October 2012, 1:59 p.m. By Alex Létourneau AngloGold Ashanti Ltd. (NYSE:AU)(JSE: ANG) Despite a proposal from AngloGold on Oct. 11, where the company said they would improve miner’s salaries in order to get its six operations in South Africa back on track, their striking miners are not responded. The Chamber of Mines is conducting meetings between the two parties but there have been no significant updates as to when the strikes will end. Standard & Poor’s have said that they may cut AngloGold’s ratings to junk. The company has seen roughly 30,000 ounces of gold lost weekly as all of their South African operations have been shut down due to the strikes. AngloGold is headquartered in Johannesburg and has seven projects in the country. Last year the company produced 4.33 million ounces of gold from its 20 operations located across the Americas, Africa and Australia. Gold Fields Ltd. (NYSE, JSE: GFI) Gold Fields saw most of its KDC West and all of its Beatrix workers return to work this week. The only workers left striking are at Gold Fields’ KDC East, to whom the company issued an ultimatum to Friday, stating the workers are required to return to work Monday, or face dismissal. Despite the labor improvements, S&P also said they may cut Gold Fields’ rating. The company lowered its third quarter gold production Oct. 12 due to the strikes. Gold Fields said its third quarter gold-equivalent ounces are expected to be 810,000 ounces. That’s a drop compared to 862,000 ounces in the second quarter of 2012 and 900,000 ounces in the corresponding quarter one year ago, the company said. The company said that KDC produced 1.1 million ounces of gold in 2011 while Beatrix produced roughly 380,500 ounces of gold in 2011. Gold Fields is one of the largest unhedged gold producers with 3.5 million gold-equivalent ounces produced from eight operating mines in Australia, Ghana, Peru and South Africa. Harmony Gold (NYSE: HMY) Harmony Gold has been out of the news for the most part regarding the strikes at its Kusasalethu mine. There have been no updates from the company and they were mentioned briefly in news reports throughout the week, but nothing more than workers are still off the job. The company is currently engaged in negotiations with the Chamber of Mines, along with AngloGold and Gold Fields. Harmony Gold is South Africa’s third-largest gold producer. Its Kusasalethu mine produced over 180,000 ounces of gold in 2011. Impala Platinum Holdings Ltd. (JSE: IPA) Impala Platinum seems to be in the clear since it signed a deal Sept. 27, agreeing to a 4.8% market adjustment for its employees. There have been no issues that the company has reported since the deal was signed. Implats produced 1.84 million ounces of platinum and 3.77 million ounces of platinum group metals in 2011 from its Bushveld Complex in South Africa and the Great Dyke in Zimbabwe. Anglo American Platinum Ltd. (JSE: AMS) Amplats said they are holding off on more dismissals but they maintain that the 12,000 employees that were fired Oct. 5 will not be brought back. The company said that attendance remains below 20%, rendering their Rustenburg operations unsafe to operate. "We are faced with extremely complex challenges that require innovative solutions that will address the very real economic issues affecting the entire platinum industry,” said Chris Griffith, Amplats chief executive officer. “We believe that it is only right for us to engage with our recognized unions and work together to find the best way forward." Media reports Oct. 12 said Amplats lost over $126 million in revenue due to the ongoing labor disputes in South Africa, figures that continue to rise daily. On Oct. 10 police stopped hundreds of striking workers from storming the National Union of Mineworkers’ Rustenburg offices. There were no reports of death or injuries. Anglo American is the world’s largest platinum producer and accounts for roughly 40% of the world’s new platinum production. In 2011, the company produced 2.53 million ounces of platinum. ==== /more : http://www.kitco.com...SA_strikes.html ==== OTHERS include: Atlatsa Resources Corp. (TSXV, NYSE MKT, JSE: ATL) Gold One International Ltd. (JSE: GDO) Kumba Iron Ore (JSE: KIO) Lonmin Plc (LSE: LMI) Petmin Mining Ltd. (JSE: PET) Petra Diamonds Ltd. (LSE: PDL) Village Main Reef (JSE: VIL) Link to comment Share on other sites More sharing options...
drbubb Posted October 25, 2012 Author Report Share Posted October 25, 2012 GFI, braked and ready to go higher ? ... update GFI: $12.07 +0.22 Open:12.05 / High:12.17 / Low:11.94 Volume:4,285,280 Percent Change: +1.86% ============== I hope some other GEI readers got some calls on this dip Bought Calls on Goldfields / GFI Gold Fields ADS Jan 2014 Call 10.00 (ONF) + I paid $2.78 Link to comment Share on other sites More sharing options...
drbubb Posted October 26, 2012 Author Report Share Posted October 26, 2012 'Worst over' as South Africa gold miners sign pay deal The deal that was agreed could potentially end months of unrest, that culminated in 34 strikers being killed at Lonmin's platinum mine in Marikana. About 100,000 workers in all have downed tools across South Africa since August which has led to awkward questions for President Jacob Zuma and the ruling ANC. Many mines across the gold mining belt saw their production halted because of the strikes. After three weeks of negotiations, the National Union of Mineworkers (NUM) and the gold industry, which employs around 157,000, announced agreement on wage increases of between 1.5 and 10.8 per cent for different categories of mine workers. It comes on top of a 10 per cent increase agreed in July. Business Recorder (blog)-1 hour ago Striking South African gold miners have signed a pay deal to end months of often violent labour unrest that has cost the economy at least $1.2 ... South African miners agree pay deal Telegraph.co.uk-6 hours ago South African Mining Strikes Wane as Gold Workers Return Businessweek-13 hours ago == == == Strikes in mining sector cost S.Africa $1.1 bln Oct 25 (Reuters) - Strikes hitting South Africa's platinum and gold mines have cost the continent's largest economy just over 10 billion rand ($1.14 billion) so far this year, the National Treasury said on Thursday. Output from the world's top platinum and major gold producer has been curtailed by months of labour unrest that have hit the sector responsible for about 6 percent of gross domestic product, raising concerns about growth prospects. "Declining mining output and the spread of strike activity has depressed activity in related industries including manufacturing, logistics and services, with negative consequences for GDP," the Treasury said in its interim budget policy statement. In the year to August, mining output fell by 3.3 percent, with production of platinum group metals 15.3 percent lower, although strong iron ore demand from China has helped offset some of the decline in the platinum, gold and coal sectors, it added. /more: http://www.reuters.c...E8LPILE20121025 Link to comment Share on other sites More sharing options...
drbubb Posted October 26, 2012 Author Report Share Posted October 26, 2012 Anglo American chief to step down Financial Times - 13 minutes ago Cynthia Carroll, the chief executive of Anglo American, has resigned from her post at the strike-hit mining company after almost six years in the job. /more: == == Will it hit the AU price? We shall see At the Close: AU : 32.45 -0.05 Open:32.63 / High:32.63 / Low:32.10 Volume:1,561,281 Percent Change:-0.15% Meantime, GFI was: -0.75% Link to comment Share on other sites More sharing options...
drbubb Posted October 26, 2012 Author Report Share Posted October 26, 2012 MORE GFI CALLS Added these: GFI JAN 2013 10.0000 CALL at $2.12 But only part of my order filled Link to comment Share on other sites More sharing options...
BradleyWong Posted October 26, 2012 Report Share Posted October 26, 2012 Hey, I nearly bought some Goldfields stock yesterday. But I decided to wait for a retest of the recent lows. Why are you buying Calls, rather than the stock itself ? At $11.90, the stock is $0.22 cheaper than your $10calls at $2.12. And you miss out on the dividend, if any, between now and January. Do you really think the stock can fall below $10 between now and January expiry? Link to comment Share on other sites More sharing options...
drbubb Posted October 27, 2012 Author Report Share Posted October 27, 2012 Hey, I nearly bought some Goldfields stock yesterday. I am waiting for a retest of the recent lows. Why are you buying Calls, rather than the stock itself ? At $11.90, the stock is $0.22 cheaper than your $10calls at $2.12. And you miss out on the dividend, if any, between now and January. Do you really think the stock can fall below $10 between now and January expiry? No, I don't expect GFI to be below $10 by the third week in January, but you never know And GFI's dividend policy is all over the place, but I don't see them paying one before January: ======= Type Declaration Date Payment Date 09/12/2012 XC 0.1903 : 8/28/2012 9/14/2012 9/27/2012 03/07/2012 XC 0.3030 : 2/27/2012 3/9/2012 3/22/2012 08/31/2011 XC 0.1401 : 8/16/2011 9/2/2011 9/15/2011 03/09/2011 XC 0.0975 : 2/22/2011 3/11/2011 3/24/2011 08/25/2010 XC 0.0961 : 8/12/2010 8/27/2010 9/9/2010 02/24/2010 XC 0.0647 : 2/09/2010 2/26/2010 3/11/2010 08/26/2009 XC 0.1035 : 8/07/2009 8/28/2009 9/10/2009 02/18/2009 XC 0.0304 : 1/29/2009 2/20/2009 3/5/2009 08/20/2008 XC 0.1654 : 8/06/2008 8/22/2008 9/5/2008 05/28/2008 XC 0.0857 : 5/14/2008 5/30/2008 6/12/2008 ========= Read more: http://www.nasdaq.co...y#ixzz2AWXjtZQk So why buy Calls? Three reasons: + Risk Control : you really do never know what the price will do, if it drops quickly to $11, I will lose less money with the calls + Leverage : my money goes further when I buy calls, rather than stock + Low cost protection : GFI closed at $11.98, so at $2,12, I only paid an extra $0.14 (Time Value) for the $10 Calls Link to comment Share on other sites More sharing options...
drbubb Posted October 30, 2012 Author Report Share Posted October 30, 2012 GFI-za: 10,224.50 -233.63 Open:10,364.00 / High:10,364.00 / Low:10,145.00 Volume:956,992 Percent Change:-2.23% Link to comment Share on other sites More sharing options...
Ziknew Posted November 9, 2012 Report Share Posted November 9, 2012 I'm buying Lonmin. The record date for the rights issue is next Friday. I have time to get in and then bag my cheap shares in the rights issue Lonmin (LMI) has announced that it intends to raise $817 million (£512 million) from a rights issue. The 365.5 million new shares will be issued at 140p per share, a heavy discount to the current price. The proceeds will be used to reduce indebtedness and strengthen the company's overall financial position at a time of weak margins in the platinum mining industry. http://www.iii.co.uk...ays-mining-news Link to comment Share on other sites More sharing options...
drbubb Posted November 9, 2012 Author Report Share Posted November 9, 2012 Lonmin? Interesting ... update "365.5 million new shares will be issued at 140p per share" That is a cheap price ! Link to comment Share on other sites More sharing options...
drbubb Posted November 12, 2012 Author Report Share Posted November 12, 2012 Platinum Group Metals Ltd: PLG.NYSE MKT, PTM.TSX • Platinum Group Metals Ltd. is an emerging platinum producer developing the Western Bushveld Joint Venture (WBJV) platinum mine in South Africa and advancing the newly discovered Waterberg Project. • The WBJV is one of the last remaining undeveloped shallow, high-grade platinum deposits in South Africa, adjacent to 70% of global production. • Construction on the project has started with an initial $100M budget focused on development of underground access. • Total capital cost of the project is anticipated to be approximately $506M USD.* • A senior loan facility for a $260M (Barclays/Absa, Standard Bank, CAT Financial, Societe Generale) is anticipated to complete in Q4 2012. • The projected operating cost is $655/4E oz (R650/tonne milled) making it one of the lowest cost platinum mines in the world.* • Projected production of 275,000 ounces (4E) with a 20+ year mine life – initial production scheduled for late 2014. * • Consolidation opportunity: Chinese state company Jinchuan acquired interest ($900M) in an adjoining project; Impala Platinum failed bid ($2.9B) for adjoining company Royal Bafokeng Platinum. • The Waterberg Project on the North Limb in partnership with Japanese state company JOGMEC has led to the discovery of new area for platinum in South Africa. An initial 6.6M ounce inferred (3E) resource was published in September 2012 with an ongoing 10 rig drill program in process. Share Structure: Issued and Outstanding: 177,584,542 Fully Diluted: 195,018,042 Cash: $45M CDN Market Capitalization: $200M CDN Link to comment Share on other sites More sharing options...
drbubb Posted November 23, 2012 Author Report Share Posted November 23, 2012 A recipe for rescuing gold mines? 23 NOV 2012 - TEIGUE PAYNE The resuscitation of Blyvooruitzicht gold mine could pave the way for other ailing mines, says Teigue Payne. "An old lady whose Zimmer frame was breaking down." That's how Peter van den Steen described the state of Blyvooruitzicht gold mine when he took over as a business rescue practitioner in June 2011, in one of the first business rescue cases under the new Companies Act. It is also one of the most successful so far, having saved – at least temporarily – hundreds of millions of rands in value and thousands of jobs by averting liquidation. Van den Steen ascribes the success to a combination of the actions his team took, which could not have been taken without the new business rescue law, and a fortuitous increase in the rand gold price in late 2011. Blyvooruitzicht is like many South African gold mines – it's deep, runs on ageing infrastructure, is undercapitalised and probably destined for extinction if it does not have special ongoing management care and attention. === /more: http://mg.co.za/arti...ing-gold-mines/ Link to comment Share on other sites More sharing options...
Ziknew Posted November 23, 2012 Report Share Posted November 23, 2012 Lonmin? Interesting ... update "365.5 million new shares will be issued at 140p per share" That is a cheap price ! Yes, that's the one. I've bought my shares and I've put in for the rights issue. Link to comment Share on other sites More sharing options...
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