ALD - Allied Gold Mining

[Walker]

Re: ALD - Allied Gold

Would expect an ann as the last company report (28/11) indicated that production would commence by end of Dec 07.

Being the 13th and having no ann's since then I would think an update is in order from ALD.

I would also hope that production would see the sp rise above previous highs.

 

[Boggo]

Re: ALD - Allied Gold

Another run perhaps, any reasons ?

This came up last night in my scans, seems to be some interest this morning.

Mike

 

[Surly]

Re: ALD - Allied Gold

More than likely drivwen by the company announcement 7 January that was strangely tacked onto the bottom of a placement of shares notice:

COMMENCEMENT OF GOLD PRODUCTION
The first stage of the CIL gold plant at the Company’s 100% owned Simberi Oxide Gold Project is undergoing final stages of commissioning. Ore is currently being delivered by truck to the run-of-mine (ROM) stockpile area from the Samat deposits and the first gold pour from this ore is expected this month.

cheers
Surly

 

[Boggo]

Re: ALD - Allied Gold

More than likely drivwen by the company announcement 7 January that was strangely tacked onto the bottom of a placement of shares notice:

cheers
Surly

Thanks Surly, missed that bit.

You would think they would use that sort of info openly to advantage.

Mike

 

[BeterValue]

Re: ALD - Allied Gold

Well we are into Feb now. Imminent is what the quarterly report said. That could be very subjective.

Let's hope with the new CEO the delays come to an end.

 

[ktrianta]

Re: ALD - Allied Gold

Announcement is now out and first gold pour is done and dusted.

Grades are as expected with chance of over performance and plant working well with capacity to be reached by end of march.

Study to increase prod'n to 135K well advanced.

Could be interesting times ahead.

 

[sophieyan]

Re: ALD - Allied Gold

It has got a few cash on hand compared with its Mkt Cap of over 200 A$m.

Gold pdn were delayed due to failure of machanical and electrical equipment. This disappointed shareholders.

10.5 mil were raised up to gold pdn. Lets consider whether it is worth holding its shares. So little cah on hand, big mistakes in process....

I dont see any potential inside

another company GBM, it is going to produce gold at the ending March. It shows positive sign in market. Keep an eye on it...

 

[ktrianta]

Re: ALD - Allied Gold

Excellent production update today.

13,000 ounces produced in 6 weeks. At this rate will easily exceed their 84,000 annual target.

Also good exploration results near the existing resource and highly likely to upgrade the total resource.

lets hope that a re-rating is on the way.

 

[ktrianta]

Re: ALD - Allied Gold

Gold down to US$930 and the All ords hammered by 3%, yet ALD backs up on yesterdays good announcement by going up another 2 cents today.

Getting set for a retest of the $1.03 old high I suggest.

Anybody with a chart background can you shed some chartists thought on this please?

 

[ktrianta]

Re: ALD - Allied Gold

Barricks joint ventures to spend 20M on exploration on ALD land for upto 70% interest and takes 5% of ALD at 0.85 cents per share.

Price closes up 9.5 cents at 82 cents.

Looking bullish on the charts but is there any chartist out there who may be able to shed light on the charts??

Looking very encouraging.

 

[Bushman]

Re: ALD - Allied Gold

ALD being flogged last few days - down 30%.

Qrt mentioned that production costs per ounce were $703, in excess of the forward sales contract of $700 per ounce! Costs were impacted by 'weather and commissioning costs'.

Investors did NOT like. Wonder of Lihir is starting to lick its lips?

 

[Balder]

Re: ALD - Allied Gold

Interested if anyone has a revised opinion of AGLD following the latest updates.

Know its not the cheapest out there at a target of US$600/oz on production of 200oz p.a, but gold ridge seems to be progressing to schedule and there is a possible reserves upgrade. Realise the warrants will make a difference. Just wondered if anyone had any opinions?

Talk of a main listing on LSE might also get a mention at the AGM if anyone here holds and attending?

 

[Balder]

Re: ALD - Allied Gold

Looked a nice presentation at the AGM.

http://www.asx.com.au/asxpdf/20101110/pdf/31tsv8hgfbnkfs.pdf

Spells out intent, hedge book closure, costs due to drop slightly through to 2012 and page 10 make clear the impact of a higher Gold price. Still a lot cheaper out there, but would have thought once production ramps up, with strong Au price, this has further to go unless forced dumps from institutions holding.

 

[Balder]

Re: ALD - Allied Gold

Price and volume indicators have been moving back up for some time now, in anticipation of yesterday's news that Gold Ridge is to be commissioned in Feb and producing sometime in Mar.

So on track andon budget, breaking out, little interest on here! Maybe because it will be a $600oz producer and at 200oz's p.a target in 2011 some would consider that unexciting Maybe it just doesn't stack up somewhere? Maybe not enough people are giving them any attention given past performance.

AGLD looks fairly well poised for increased production. Getiing ahead of itself or breaking out?

 

[Crom]

Re: ALD - Allied Gold

Hey Balder,

I have a massive interest in this stock. It is a beauty and I don't know why it is not being followed so closely by others.

Wonderful management, significant reserves and exploration upside, massive production targets, and a good price!

I see a minimum 25 % short term upside and while no great tech head, believe it has reached support levels since it's high.

ALD is just a great story, and has been very lucrative. I am confident in adding to my position!

Cheers

 

[Balder]

Re: ALD - Allied Gold

Hey Balder,

I have a massive interest in this stock. It is a beauty and I don't know why it is not being followed so closely by others.

Well Crom it should have an enlarged following in the U.K now. Was the main featured tip in Shares Mag Thursday. Does seem ASX tends to lead but expect a spike on this from U.K.

Buy Allied Gold (AGDL:AIM) at
39p ahead of the company starting its second mine, expected in March or April, and its likely inclusion in the FTSE 250 later in year. Resource stocks tend to get a valuation
boost when they bring on new mines and tracker funds will buy into Allied Gold
once it qualifies for the mid-cap index.
The company says final preparations are on track for its Gold Ridge project in the Solomon Islands. The announcement of first gold pour can have a major impact
on a miner’s share price. Cluff Gold (CLF:AIM) increased by 290% to 56.5p in the three months after saying in November 2008 it had produced its first
batch of gold from the Kalsaka mine in Burkina Faso. Avocet Mining (AVM:AIM) jumped by 21.5% to 104.5p in less than a fortnight after pouring its first gold from the Inata mine, also in Burkina Faso, in December 2009.
Allied Gold expects to produce between 20,000 and 30,000 ounces of gold from Gold Ridge in 2011 and 110,000 to 120,000 ounces annually thereafter. Production from its Simberi site in Papua New Guinea is currently running at an annual rate of 70,000 to
75,000 ounces. This will be increased to 100,000 ounces by the end of 2011.Therefore Allied Gold will be producing a combined 220,000 ounces from 2012. This could increase to 320,000 ounces annually by 2015 as it is hoping to extract sulphide material at Simberi in addition to the oxide deposit currently being mined. The £409 million cap has begun a feasibility study and hopes to make a decision in mid-2012.

Chief financial officer Frank Terranova confirms to Shares the company is applying to move from Aim to London’s Main Market. He expects the event to happen by July. Terranova also reveals Allied Gold is looking at becoming a London-incorporated business. This will enable it to qualify for the FTSE indices, assuming there is the requisite minimum 25% free float (essentially shares in the public domain not held by management or family). Both these events should be positive for the share price. Many institutional investors refuse to buy into Aim stocks, so they could soon finally consider Allied Gold for their books. The Main Market also has a higher profile and often commands loftier valuations than Aim.
Shares in Allied Gold have pulled back this year after a strong run in the second half of 2010. This is partly in reflection of a correction in the gold price but also amid local media speculation in the Solomon Islands the landowners of Gold Ridge were not happy about compensation for loss of trees, proposed jobs creation and royalties, thereby putting the mine start-up at risk. The company says the local media is jumping to the wrong conclusions.
Terranova says it is true Allied Gold continues to be in talks with landowners, but claims these are more about building long-term relationships and not about matters which could delay Gold Ridge’s maiden production. He explains: ‘The previous owner of the mine promised four or five apprenticeships; we will initially take on 30. Some people wanted us to take on 750 apprenticeships, but that is not workable. Surely 30 trainees is much better than the five previously offered? I wouldn’t call this matter a dispute.’

The company is looking to cut costs. Under consideration is a move from diesel to heavy fuel oil at Simberi, as the latter is around 30% cheaper. Terranova says this would knock $50 per ounce off mining costs, currently pegged at $652 per ounce. Allied Gold believes the Solomon Islands government will soon build a hydro power station which would mean it can switch from diesel to hydro power at Gold Ridge, potentially in three years’ time. With 8.3 million ounces of gold in its portfolio and several share price catalysts in sight, Allied Gold looks poised to shine.

Copied from elsewhere but seems realistic quote

 

[Crom]

Re: ALD - Allied Gold

Hi Balder,

Looks like it is just us making money on ALD!

Thanks for the info in your post, and I notice today's announcement on Nth American presentations. Plus of course, the asap gold production in the Solomon's.

I was surprised re the comments on landowner dissatisfaction as from my readings, the reason management (Mark Caruso) has been so successful in turning around the Gold ridge project after buying it, has been due to it's committment to landholder concerns. And not just in word, but in action.

Anyway, I bought heavily while it was in the 50 cent region (money where my mouth is), and enjoying this run up as I trust you are also.

Given the significant resources, impressive management, increasing global exposure/listings,and Gold price (with so many world events influencing this for the longer term), it is hard not to see this stock breaking the one dollar mark soon!

Thanks again for the info provided in your last post.

Crom

 

[Balder]

Re: ALD - Allied Gold

Hi Balder,

Looks like it is just us making money on ALD!

Thanks for the info in your post, and I notice today's announcement on Nth American presentations. Plus of course, the asap gold production in the Solomon's.

I was surprised re the comments on landowner dissatisfaction as from my readings, the reason management (Mark Caruso) has been so successful in turning around the Gold ridge project after buying it, has been due to it's committment to landholder concerns. And not just in word, but in action.

Anyway, I bought heavily while it was in the 50 cent region (money where my mouth is), and enjoying this run up as I trust you are also.

Given the significant resources, impressive management, increasing global exposure/listings,and Gold price (with so many world events influencing this for the longer term), it is hard not to see this stock breaking the one dollar mark soon!

Thanks again for the info provided in your last post.

Crom

No Worries

Along with GORO(TSX) this is my largest goldie now i'm that confident of short term upside (and in the monthly stock pick ). So long as Solomons people doesn't throw up any nasties I think we are on a winner.

 

[Crom]

Re: ALD - Allied Gold

I noted your picking ALD in the comp. What a pity the comp didn't start a few trading days earlier in Feb, you would be up 25%!

I think this will be a winner both short and long term

All the best

 

[Crom]

Re: ALD - Allied Gold

In Minesite today, the writer states that brokers are forming a congo line now in re rating ALD. Prices from 92 cents to a dollar as it becomes a producer. I have held a firm belief for some time that this is a one dollar stock.

Note we are talking about a 200,000 oz pa producer, with excellent management which have always been on target in achieving goals.

I bought heavily again during the recent falls meaning, I do put my money where my mouth is!