PNR - Pantoro Limited

[barney]

Seems like the next 12 months for PNR will be a developmental stage rather than a full production stage .... the share price fall has been disappointing, PNR deserves to be included in my "spec" watch list.

Yeah agree Peter …… there is too much Gold in the ground where they are digging for them to fail you'd think ……. It has always been an accumulate and hold Stock for me so I'm happy to sit out the short term disappointments at this stage.

 

[barney]

Things have improved with PNR but the SP has been behaving a bit like a Mexican jumping bean lately.

I suspect a few games being played due to the Quarterly being negative and the smart money happy to extract shares from those getting nervous.

Always been a buy and hold trade for me so happy to see things on the improve

Who knows where it will head next …. Chart musings (or perhaps chart A-musings below)

 

[barney]

So a couple of weeks later ….. I am seeing a much better pattern evolve …. PNR is a long term hold for me so short term gyrations can be frustrating … but when longer term patterns make sense, it can be a relief …

I see mid/long term positives over the last couple of weeks … If the POG continues or just stabilises, PNR is in a good position to do well … as are most producing Goldies, big or small.

Given that assessment, any retracement to 21-22 cents should be well supported by Buyers … if not … baked beans again lol

 

[barney]

My last post back in August could not have been much more off the mark

I can see it in hindsight (Chart noted) but at the time it was not so obvious. What looked like positive buying was actually well orchestrated Selling.

Their last few Quarterlies etc have shown some problems resurfacing. Not sure why their AISC have continued to blow out but they are bleeding a lot of cash considering they are producing plenty of Gold.

The only positive I can try and salvage on the Chart is that wide ranging bars on high Volume can sometimes be pivotal for a reversal …. no too confident about that given the cash burn however

SP currently back at the previous lows after the dump in July. Under there will signal serious SP problems. Time to tighten up the seat belt on this one I think

 

[barney]

Appreciate your acknowledgement @trav so thanks for that

PNR management have been excellent …. Unfortunately, the pursuit of excellence can sometimes bite you in the bum when good intentions get sidetracked by economics

I have no doubt this Co. will succeed eventually, but I suspect the size of the pie they are trying to consume (in the short term) may be way bigger than their mouths realized

On the flipside, management are proactive, so longer term Investors (As I am), may still see the benefits of their efforts.

Tough times in the short term however

 

[tech/a]

Barney
Technically I’d be surprised if this isn’t a bottom.

Low risk at the moment I think
High volume wide range down bar.

It’s a counter intuitive signal.

 

[barney]

Barney
Technically I’d be surprised if this isn’t a bottom.

Low risk at the moment I think
High volume wide range down bar.

It’s a counter intuitive signal.

Yeah thanks Tech …. Hopefully it can at least form a base around the 15-16 area.

 

[barney]

Have picked PNR again in this years comp. Not my top pick but it looks a chance of a decent reversal if they can get their mine production up to scratch. Norseman will start to add value in time as well so some potential positives if Gold stays strong.

 

[peter2]

PNR - Another of my picks for the 2020 CY comp. Pantoro is currently producing gold at it's Halls Creek mine in the Kimberley. It has also bought into a resource in WA with Norseman.
Another turnaround opportunity for 2020.

 

[peter2]

The anticipated turnaround for PNR has been delayed. The market did not like the latest quarterly report. It seems that PNR is unable to control their production costs.

 

[barney]

It seems that PNR is unable to control their production costs.

I've removed quite a few eggs from this basket recently but what's left are looking pretty shaky.

In a period of record Gold prices these guys are battling to break even with projected production numbers not even 50% of what have been indicated to Shareholders.

Costs involved in eventually getting Norseman plant up and running are estimated at around $25 million. If they don't start making a few bob from Nicolsons, the cash left in the kitty will start to disappear very quickly and any future cap raise will likely be done at a hefty discount.

From something which was so promising 2 years ago its been a major disappointment on many levels. I suspect they need more experienced personnel to crunch some numbers on how they are running the operation because ever since the digging has gotten a bit trickier, they seem to have little idea how to manage expenditure. They should be banking millions per Quarter … unfortunately continuing to do the opposite …. Long term probably still ok. Short term, time to "Wake up Jeff"

 

[barney]

I've removed quite a few eggs from this basket recently but what's left are looking pretty shaky …. Long term probably still ok. Short term, time to "Wake up Jeff"

Have added more PNR over the last 2 days to what was left of my core holding.

Why? Chart looks terrible but price action indicates close to the lows. The chart picture is actually one of my favorite patterns based around my old Forex trading exploits

Current market cap around $85 million with $25 million in the bank so the odds aren't bad.

Still a lot of work to do to turn the recent bleeding around but if Norseman is as good as they say there is plenty of room for upside.

Market seemed to like the fact they will not be hedged agaisnt the Gold price from the start of May. If the POG stays high their bottom line will be improved substantially.

 

[barney]

price action indicates close to the lows.

Announcement out while I was typing the above post.

Paul Crmlec buying $25K shares to top up his port folio. Maybe that explains the price action

Always happy to see Directors etc buying on market

 

[peter2]

From their recent announcement.

"Pantoro is in the fortunate position of being unhedged once the final 2000 ounces of pre-sold gold is delivered in April 2020.." Managing Director, Paul Cmrlec.

I like the sound of that with the POG going higher.

 

[barney]

The chart picture is actually one of my favorite patterns based around my old Forex trading exploits

All those sleepless night trading Forex were good for something lol The Chart looked a bit ordinary a couple of weeks ago but the Low was in as I suspected.

Been a nice rise since … expecting a consolidation period for now. Plenty of Gold being found at Norseman if they can get it out of the ground with a better AISC than Nicolsons things should tick along ok for the next 12-24 months.

Discl. Added at the Lows and Holding.

 

[noirua]

Princess Royal/Slippers Infill Drilling Confirms Multiple Ore Zones
23 April 2020
https://stocknessmonster.com/announcements/pnr.asx-6A976125/

 

[barney]

More good drilling results announced today at "Panda". Shaping up to be a very handy deposit. SP due for another consolidation period I'd say.

New results from drilling which has been focused on the likely open pit footprint include:
10 m @ 11.60 g/t Au
9 m @ 12.98 g/t Au
11 m @ 6.27 g/t Au
4 m @ 11.54 g/t Au
1 m @ 59.2 g/t Au
4 m @ 9.94 g/t Au
2 m @ 8.70 g/t Au
7 m @ 4.59 g/t Au
8 m @ 3.45 g/t Au
4 m @ 5.21 g/t Au
5 m @ 4.87 g/t Au
7 m @ 4.97 g/t Au
1.2 m @ 30.64 g/t Au
2 m @ 7.08 g/t Au

 

[Trav.]

@barney I wonder how much they are paying for the Geo to follow the 'Line Of Lode'

Looks pretty obvious to me

 

[barney]

Looks pretty obvious to me ]

It does indeed.

I just hope that Panda turns out to be as wide as Scotia, and they join together at depth

 

[barney]

Moved quicker than expected. Potential Breakout area above 25 cents but there are a lot of punters in profit now so some selling expected.