KCN - Kingsgate Consolidated

[Sean K]

I wonder if this is all factored in? Will be interesting to see.

 

[finicky]

Think so @Sean K - disappointing piece-meal settlement concessions coming out, I am torn btw selling or not selling a third Surprised there has not been a significant market reaction. Maybe I'm just fatigued with the continued feet dragging delay tactics from the Thais. After all, it's not the Jan 31 'deadline' yet and the critical part of the settlement has just been announced, viz: the grant of the 4 mining licences. More astute commentators than me seem to be high fiving.

One of the MLs is a newie and will allow the optimisation of a major pit, bringing more ore cheaply into play, which in turn will contribute to a new mining reserve to be announced soon. They aready have the mineral processing licence. They plan for the dual 2.5mtpa plants to be refurbished (= 5mtpa) but financing not yet done. Got a decent stockpile of ore. They are already recruiting more staff.
This following sentence in the announcement is frustrating to me. Apparently some negotiation elements still remain in confidence until conclusion - because what are the specific additional items - royalty and tax concessions? The Thai government is sure getting off the hook cheaply. Whine whine.

---

"While some additional items are still under negotiation, the priority remains the re-opening of the mine."

 

[brerwallabi]

Akara Resources Plc, a gold mining company operating in the lower northern region, will be allowed to resume its mining operations if it can manage its operations in compliance with stricter requirements under the amended Minerals Act 2017, according to Deputy Prime Minister Wissanu Krea-ngam.

Mr Wissanu said on Wednesday stricter requirements under the Minerals Act 2017 cover four vital issues: the environment, land management, community health and permission to use the land.

Mr Wissanu denied providing comments for a report that the Thai government has awarded four outstanding mining licences to Kingsgate Consolidated for another 10 years in exchange for a withdrawal of the lawsuit.

 

[finicky]

As suspected. No full deal from the Thais after we deferred the TAFTA tribunal's announcement of a decision for 1 month, then another 3 months at the behest of the Thai government. Yet the company is saying we continue to hold the option of the tribunal's judgement over the government. Obviously the Thais are not impressed. Very unclear explanation by KCN as to what "small number" of matters are still under negotiation with the crooks. No mention for instance of royalty or tax concessions. So far the Thais have conceded nothing that costs them a cent. Share price has been plunging for days on mostly higher volume.

Unemon's take on twitter, lol, Ross being our chairman, Jamie his gopher.
unemon
@unemon1
$KCN - Ross (the boss?) or Jamie (The ??) did it again .... what we've got from the Thais - Empty suitcase of money.

 

[Sean K]

@finicky So, another delay for 12 months? HUH??

 

[finicky]

@Sean K , yeah sold out at market - except for 5,000 shares in case there's an attractive SPP down the track. Maybe I'm wrong but I just see the delays as concessions to the Thais made out of an awareness of weakness in our position. What's been going on with the delays and the piece-meal terms of settlement granted so far is nothing like we expected as an outcome, yet some are still painting an announcement like this as positive. They figure a continued suspension of the Tribunal's decision under TAFTA strengthens our hand in that the govt won't dare interfere with the company as it resumes operations and also it will work as reassurance to financiers. They might be right and I have fallen at the final hurdle - but phooey, my patience is worn out. Thailand - I wouldn't even holiday there let alone invest in anything there after this. I did pull a decent profit but nothing life changing that's for sure and I had to wait a decade or something to get it.

 

[Sean K]

Thailand - I wouldn't even holiday there let alone invest in anything there after this.

I would still go back to the Krabi region and put Koh Lipe on the holiday list.

 

[finicky]

I've been hoping that a bullish falling wedge is maturing for KCN so that I get an opportunity to sell my last 5,000 shares and put the proceeds into a useful company like Codan (CDA) or South (S32) at their current low prices. However who knows? The transactions are pretty slow and there's only a feeble lead from the momentum indicators. Though today's price is encroaching on my best fit downtrend line - a plus.

Held
Sentiment: Sell

Daily with 50 dma

 

[UMike]

Got rid of half at around the $1.80....
Probably want more than that, but, who knows.

When you think about it. $10,000 worth of KCN v $10,000 worth of S32 which would you rather have. Easy choice.

 

[brerwallabi]

Over the last few months phenomenal rain around Chatree mine it will have slowed up everything that was planned.
When your up to your knees in water when they say it’s not chit don’t believe them.

 

[finicky]

Up 5% early trading, albeit similar with other gold stocks
Current downtrend breached.

 

[Sean K]

Up 5% early trading, albeit similar with other gold stocks
Current downtrend breached.

View attachment 148969

There's a few gold charts looking pretty good at the moment. Perhaps the Bitcoin thing last night was the impetus for punters to give gold a chance. I'm not counting chickens yet, but am hopeful my long suffering gold colour coded stocks start to shine.

 

[finicky]

1.95 - still hanging in with my remnant for another 5c or so, then it's goodbye to Kingsgate and f'g Thailand and their evil junta, byzantine bureacracy and degenerate king forever

Don't go for Elliott Wave arcaneness but here's a cheerful scenario from Keith Goode:

 

[UMike]

Got rid of half at around the $1.80....
Probably want more than that, but, who knows.

When you think about it. $10,000 worth of KCN v $10,000 worth of S32 which would you rather have. Easy choice.

IF only I bought the S32.

Looking to offload these @ anywhere over $2.25. Only cause I am losing patients. 1 /7/2023 will do.
If there is to be a tough time in the mkt and gold stocks do well then maybe KCN can capitalise. Been a very disappointing end of year for them imo.

Good enough to tip in the 2023 comp.

 

[finicky]

@UMike still holding my remnant - hoping to get $2 out of them. My patience is also at breaking point as I am following a view (Felix Zulauf, google his youtube vids) that Q1 could be bad and everything'll get hit including gold. Felix is very bullish gold stocks from 2024 as he is expecting a good 2023 recovery for general equities innU,S and Europe after the Q1 smash but after that something, e.g a bank crisis in CCP China will blow everything apart and gold will benefit from C.B loosening.
I know you didn't ask

Hepd

 

[finicky]

Out at last! Remnant sold @ 1.86

Not Held

 

[UMike]

HALF-YEAR FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2022
Out now.
Good Damm awful. Yet the stock is up 14odd%

So confused I'll probably exit.



(..... Shows What do I know?)

 

[UMike]

Guess this is why.

The Chatree Gold Mine is OPEN Kingsgate Consolidated Limited (ASX:KCN)
(“Kingsgate or the Company”) is pleased to advise that the Department of Primary Industries and Mines (“DPIM”) has approved the reopening of the Chatree Gold Mine in Thailand. Akara Resources will now commence works to:
• Start full commissioning of Plant #2 which includes the use of stockpiled ore already on the ROM pad;
• Start the Rehandle Contract to process the stockpiled ore which has been awarded to Lotus Hall, and the necessary heavy equipment and workforce has been assembled for this work; and
• Ramp up Plant #2 to its full production capacity. Kingsgate is also pleased to advise that Akara has commenced initial refurbishment works on Plant #1

 

[finicky]

Far be it from me to imply anything positive about business in Thailand but this is looking pretty good mate. It depends on how much you've got tied up in it and whether you've recovered your costs and made some profit already. Patience, seeming never ending, is still needed.
Those Thai workers are high quality and not greedy nor idealogical; they'll make it happen as long as the pig government stays out of the way finally and the start up capital is adequate.

Not Held

15 minute chart

 

[UMike]

Got rid of my Westpac Broking holding portion today.

Still holding. (comsec)

Looking back at my KCN history I have a parcel that I sold all out at $8.08. (Bought at $7.14 so I am so Happy I traded that sell order.)
My only real failings with the stock was as it fell I started buying the dip @ around $4 to $2.
Bought a large amount around 65c and offloaded the dip buy @ around 70c (helped with Tax loss offset).
So good fortune and patients really won out with this.

Agree with the Thai workers being quality. Hoping the Govt stays out of it but that'll only happen if the legal actions went in KCN's favor.