4297 days ago
I spent two years working along Sam Bottell as he worked with minesite.com and oilbarrel.com and he is a good, honest and clever chap. Now that he is starting his career freelance writing as well as an organiser of the UKInvestor Show I have no hesitation in helping him along via this blog as a guest contributor. As such I bring to your attention a share tip from TradingResearch Point on Kryso Resources. Having spoken to Kryso CEO Craig Brown yesterday I agree with Sam’s conclusion. Sam writes…
Shares in Kryso Resources (KYS) are off by 7% today after it announced that it would not complete the construction of its Pakrut gold mine in Tajikistan by March 2014 as previously scheduled and that a new completion date would be announced “in due course”. The company has spoken and the market has over-reacted.
The project has been delayed by a few months but work is now on track albeit a few months behind schedule. There is even the possibility of a catch up occurring if additional resources are brought in. The delay (which will be just a few months) does not create any cashflow issues for Kryso; and for a mine with a 14 year estimated life (and it could be longer) a delay of three or four months really does not make a jot of difference to any DCF valuation. The fact that Kryso operates in Tajikistan which some might consider a more exotic location might add to the way that investors have been un-nerved but I view this as a buying opportunity.
The maths are not complex
4308 days ago
I spent two years working along Sam Bottell as he worked with minesite.com and oilbarrel.com and he is a good, honest and clever chap. Now that he is starting his career freelance writing as well as an organiser of the UKInvestor Show I have no hesitation in helping him along via this blog as a guest contributor. As such I bring to your attention a tip from TradingResearch Point on Afferro.
Shares in AIM and TSX listed African mine developer Afferro Mining (AFF) fell by 5p at 74.5p today on news that one potential bidder for the company is now out of the running. The market never likes such news but it overlooks the fact that there are still a number of corporate discussions still ongoing but, perhaps more importantly, that the shares are fundamentally cheap. I view this as a buying opportunity
