LGL - Lihir Gold

[johenmo]

political situation...what political situation? the locals are share holders.

Your shorting LGL ?

I'm not trying to downramp at all. Just found it interesting that people who are on the island, and others I know who have been in PNG for 20+ years are wary of LGL. Some of these had business interests that were caught up in the Bougainville situation, so that may be part their wariness.

Political situation = national government level, not island/local level.

As for the thermal power, if the company says so, then I stand corrected.

Not shorting. Not in it at all. Still waiting for a better moment for entry.

DYOR.

 

[So_Cynical]

Not shorting. Not in it at all. Still waiting for a better moment for entry.

I got in at the low the other day $2.10

Are u waiting for better than that?

In this market i spose anythings possible.

 

[johenmo]

I got in at the low the other day $2.10

Are u waiting for better than that?

In this market i spose anythings possible.

Because I'm still learning and working on a system I haven't done anything. I'm doing some research atm and will act when I've finished.

This is NOT down ramping but based on the advantage of relatives who have worked and had businesses up there. The PNG government worries me because the "wantok system" really doesn't give me confidence! The islands tend to be a better than the mainland.

My rellies were caught up in the Bougainville crisis, even though they had nothing whatsoever to do with the mine. Didn't stop the locals burning things down and them having to write of the Bougainville investments.

Price - lowest it's been since Mar 2006 so I could see myself getting in soon. Like I said, I just want to minimise risk - price has dropped significantly % wise in the last month and I'm not trading daily/short term. I aim to buy on a rising trend. I considered it at $3 - glad I didn't.

 

[simontitan]

so what kind of news are we anticipating tomorrow morning at half year earnings release?

I am hoping for some good news

 

[Family_Guy]

Lihir Gold returns to profit

August 19, 2008 - 8:54AM


Papua New Guinea miner Lihir Gold posted a first-half net profit of $36.5 million, rebounding from a $46.5 million loss in the same period a year ago.

It also said total production would rise to more than 850,000 ounces in the full-year, up from 701,000 in 2007.

http://business.theage.com.au/business/lihir-gold-returns-to-profit-20080819-3xru.html

 

[simontitan]

Well it was great news, but not great enough it would seem as the share price spiked to 2.29 now is 1-2c above or below yesterdays close.

Guess gold didnt get high enough

 

[Sean K]

I think it was pretty positive.

Normally they bring out bad news.

Still not making much money for a company with such a massive MC...

Their pe has always been huge for some reason....

Maybe T/O premium.

I'm on the side till the market settles in about 2015 ish.... `

 

[simontitan]

Yeah. well hopefully they get Ballarat off the ground and Ivory coast up and running in September and Gold price goes back up

is that much to hope for

 

[eddyeagle]

It's about time LGL had a positive profit report!

Things are looking good in the medium term:



Lihir also said total production would increase to more than 850,000 ounces this year, from 701,000 ounces in 2007.

The improved profit followed the merger of Lihir with Equigold, which brought the established mine at Mt Rawdown, in Queensland, and the new Bonikro mine in the Ivory Coast, in West Africa, into the group.

Bonikro is being commissioned now, with it initial gold pour scheduled for September.

Mr Hood said Lihir's second half production would include the start of commercial gold production at Ballarat, with ore extraction set to begin later this month, ramping up over the remainder of the year.

Ballarat is expected to produce approximately 40-50,000 ounces in 2008, with the bulk of production in the final quarter.

Lihir's major asset, the 23 million ounce reserve Lihir Island mine, off Papua New Guinea, continued to perform well, Mr Hood said.

The Lihir island mine was scheduled to produce more than 700,000 ounces in 2008, following output of 308,000 ounces in the first half.

The expansion of the process plant to lift output to more than one million ounces per year continued to make good progress in the first half, and remained on budget and on schedule for completion in 2011.

''By the end of this year, the LGL group will have four mines in operation, producing a total of more than 1.2 million ounces of gold per year, providing the company with diversified cashflows and strong future growth potential,'' Mr Hood said.

Lihir said its cost of sales lifted 16% from the December half year of 2007 to $US141.1 million. Operating cash flow of $US41.2 million compared to $US53.3 million in the December half.

It said total cash costs per ounce for the full year would be less than $US400 per ounce from Lihir Island.

 

[amory]

<< It's about time LGL had a positive profit report!
Things are looking good in the medium term >>

considering that there is not another important stock on the board that's behaved worse on chart over the last couple of months ...

... that's nice!!!

 

[Hendrik]

Hi fellow posters, im a very novice day trader and im still learning the concepts of tech analysis. I traded LGL for a small gain back in june and im looking at them again this week, ive made a chart using my basic knowledge, i was wondering if some of the experts could mark me on it?


like i said im very novice so constructive critisim is most welcome.

 

[amory]

well gee whiz Hendrik if that chart ain't bullish what is! what I'd like to know is what made them go down this far in the first place? this is not a rhetorical question. when a stock misbehaves as LGL has done, people become wary & distrust the chart.

but good luck with them anyway!

 

[Sean K]

well gee whiz Hendrik if that chart ain't bullish what is! what I'd like to know is what made them go down this far in the first place? this is not a rhetorical question. when a stock misbehaves as LGL has done, people become wary & distrust the chart.

but good luck with them anyway!

amory, you might like to consider what:

Hi fellow posters, im a very novice day trader

might mean against your 50 years of gold investing....

If you're just going to attack people, your at the wrong party..

Let's stay friendly,

Cheers,
kennas

 

[rthakkar]

for you all

Question 1: since the price has fallen so much, why isn't anyone coming out to buyout Lihir?

Question 2: What is your price target for LGL for the last quarter of this year (i.e next 3 months) ?

 

[simontitan]

I got in at 2.24 and out again at 2.38.

Will get back on board as I believe their Ballarat mine is due to kick in this month, which should at least give me some short term gains

 

[Goldmann]

ah my poor old Lihir...

first stock i ever bought - its breaking my heart to see the old girl kicked around like this.

closed at a new 52 week low last night...

woe is me

 

[mattyhammer]

Hi all,
I always read these forums with enthusiasm but am still very new to this game. I've had LGL shares for a while. Got it then out at a profit then bought back in when they were about $3. Anyone able to help me understand why they hovered around the $2.40 mark for a while then dived all so suddenly down to under $2 in the last couple of days. There hasn't been any press release that I'm aware about....anyone got any ideas?

 

[rthakkar]

Hi all,
I always read these forums with enthusiasm but am still very new to this game. I've had LGL shares for a while. Got it then out at a profit then bought back in when they were about $3. Anyone able to help me understand why they hovered around the $2.40 mark for a while then dived all so suddenly down to under $2 in the last couple of days. There hasn't been any press release that I'm aware about....anyone got any ideas?

Nothing about Lihir in particular, but the overall commodities market is looking bearish at the moment.
With oil trading around $100, its has eased the inflation fears which in effect has dragged Gold prices down.

 

[explod]

Hi all,
I always read these forums with enthusiasm but am still very new to this game. I've had LGL shares for a while. Got it then out at a profit then bought back in when they were about $3. Anyone able to help me understand why they hovered around the $2.40 mark for a while then dived all so suddenly down to under $2 in the last couple of days. There hasn't been any press release that I'm aware about....anyone got any ideas?

There has been a considerable rise in the US dollar and many gold traders work off that to a large degree. The rise in the US dollar has more to do with uncertainties now throughout UK, Europe than any real substance to the US currency.

As has been pointed out our dollar drop has held Aussie gold price up so bottom line production from LGL will continue as normal. A return to lower US dollar will bring back sentiment as well.

Having been out of the share market most of this year have begun to pick off some bottoms and got more LGL today at $1.99

Dont' follow me, am often wrong but dont' lose sleep over you current holding.

Notice gold has been sideways the last three days and has just strengthened after our close.

Interesting times.

 

[mattyhammer]

Thanks guys for your input. Guess I will just hold at the mo until things settle down a bit. Not keen to take it out and lose more at the moment. My portfolio is sucking big time....