Having taken profits at LGO, leaving some positions to
travel remembering this is for no other reason bar the asset. The most recent
RNS from LGO, Goudron Drilling Update gave some decent upside. One
will hold their breath and wait for the "appraisal" of new
opportunities that the fundraiser was allegedly for!? Is it likely neighbouring
licenses/blocks will not now realise there's more potential? One suspects the neighbouring
real estate values have just gone up. However as a producer, LGO are about
their monies till further news, common-sense should have prevail.
Well there's a surprise for Nyota Minerals. The board are
outlining they cannot raise monies and there's no future for being able to fund
development. What does worry me is why the management have not quit? NYO enter
aconditional agreement with KEFI Minerals plc ("KEFI")
for the sale of Nyota's remaining 25% direct interest in the Tulu Kapi Gold
Project in Ethiopia. Jesus, NYO have sunk a significant amount of monies
into the Tulu Kapi and have managed to get what for it? Mothballing would have
been better!
Better gold license sales have gone through recently off the market at a
better price than NYO's. Its with regret I have a holding in NYO, more so by a terminal
error than anything else post a significant trade short and being left with some
equity...it actually disgusts me to hold stock in this company. Partly because
there's no opportunity to short! Perhaps the Board would let me know which
Donkey sanctuary they wish me to donate the shares to? Answers on a
postcard!
Nyota, with the present and past board is shafted...The
company in the current form is set to perform in no way...shares will be
returned to shareholders. Why not the cash! The board
clearly admit they cannot raise funds, so put the assets up for sale, give us
the cash and stop paying the board (albeit reduced recently.). It was
hilarious at Epsom that a NYO discussion came up and people would have been willing to fund
it had there been a complete change in management, alas that's never
likely.
Its been quite a time of it for Oilers, one thing that was gossiped about yesterday was Xcite being 'very' close to a deal with
StatOil and Shell. Ian's thoughts were quite interesting, in so much he does
not perceive much value for current XEL shareholders above 105 post any deal.
Farm Outs/IN whereby the main party is cash strapped have not gone to plan as
such, going for a song. XEL, do not have long before the market becomes 'more'
impatient.
From an FX perspective and in light of the ECB (European
Central Bank) decision, there were some significant opportunities for those
trading. For myself, my French trip this year has got slightly cheaper, more
interesting is the Villa owner wanting GBP. As a previous FX trader with a
larger book, it's interesting he wants GBP's rather than EURO's. Time will
tell...
Iron Ore is on the slide, gradually, with a soft
landing managed purely by the Chinese and a US IB whom I assume wants some
brownie points in claiming a small house of overexposed cards in China didn't
collapse that would have had a few consequences for some "invested" ex-politicians and/or associated families. Nevermind the stocks issue
which has finally come to light that there 'may' have been some corruption in
the stockpiles reported and/or held such as copper, aluminium, alumina and
surely not Iron Ore?...This may have significance for Copper/Nickel, but one to
watch...Nickel has been capped pending Indonesian's decision to stave off a
mining crisis that would take longer to recover than the building of smelters!
Will the Chinese obliged with another 8 smelters? Surely...One hopes that there
isn't an ensuing crisis of the same stocks being leveraged from multiple banks
without consent. Perhaps parties would be wise to check the larder before
approving further advances.
Atb Fraser
Fraser- well done on your LGO move- I have red markers against all of David Lenigas' various ventures, so would have to break my rules to trade there, but Goudron is an exploitable asset and they seem to have worked that out now. Like REM, it attracts the sort of traders that view a day as a lifetime, preferring a 10 minute investment in most cases and trying to make enough to cover their curry/5 pints each day. Comparing LGO and TRIN is quite interesting, given their mkt caps were close yesterday- I know which I see as better value and better mgmt. too.
ReplyDeleteRe NYO- what a mess and so holders get Kefi shares and not a lot else. Its fairly clear that the mgmt. turned down a significantly better deal from CEY but neither side made this public, and now the shareholders have to pay for the mgmts. poor decisions over the last few years. Lets hope they are remember and cant raise cash again when they move.
Re XEL- I would assume that they would get the FDP in place before farm out, given the value added at that point and the work they have done to date. Bentley will get developed with Bressay together, it may sense for many reasons so Statoil are in the box seat. Most XEL holders would be disappointed at £1.00 or so, but maybe a deal that sees them retain a % of the combined development would be an alternative.
Cheers. The Leggie
Fraser
ReplyDeleteTrying to think like a shorter today..... so I bought some QPP!!
They have been on my watchlist for a few weeks, the knife would have had some fingers off on some days, but I know that it has a few notable shorters in so I held fire. And then they collapse on that RNS, which was nothing to do with the underlying business, and I thought "If I was short, I would close today"..... so I bought.
The AGM is next week, the usual suspects will be vocal and the Gotham crew may still want more blood, but I have done some homework and I feel the cash will flow one day, so on a limited basis, Im in.
Please feel free to remind me when they call in the liquidators.... :-)))
Cheers. The Leggie
You may benefit from shorts closing more than anything re:qpp. Often the closing causes a bounce. What is significant is the non-main marketing listing that was essential for larger longs. This won't materialise for near 18 months by my estimates...hmmm
DeleteGood luck! Tc f
Fraser- No - they seem to have effectively written it off today. It will be interesting to see what % of shorts did close today in due course- it would have been a great opportunity for some when they got down to 12p. Im expecting QPP to be a rocky road and some more bad days for them, but I think they have a viable business and will move on to better days.
DeleteCheers. The Leggie
Was a bizarre day today Leggie trading wise. Supergroup performing well if you’re not hoping for positives, I was going cross-eyed with trades today, stretched to the hilt! I elected to close out my LGO positions due to the drop, not my intention but will re-evaluate in due course! Clearly the sellers are taking more profit, who'd blame them! So I followed suit….
ReplyDeleteI was discussing with a couple of chaps believing that LGO need cash at this higher price then an article appears. The rumour is the placing is either a placing for LGO or INSP. So with the level of news flow etc...you'd be questioning why to hold on to further positions as I did shortly after! So the market had mine back. I'm not complaining at all!
Iron Ore has had some 'unique' movements for which are Asian based. The landing looks to be 'assured' as soft. Any major drops are alleged to have serious implications for highly leveraged traders/mills in China.
Coffee has been giving me a very good pick up as well! Talk about shooting in price! So with the drought pushing demand high on an assumed “low supply” I elected to go close longs, decided against an instant switch short from long. The dry season for Arabica is upon them without rain its likely a shortage of around 30% by some forecasts. In real terms for the average drinking in a shop it’s negligible, about 15p on a hit!
For those looking for global views, my last shipment of Semi-Meaty Pork Ribblets (still tickles me) prices have stabilised and dropped a fraction!
TC F
Fraser- Saw the Tip TV interview with David Lenigas yesterday and he was pushing LGO, REM, UKOG, Stellar and Solo in one 26 minute barrage of "the market doesn't understand us" and "this will knock the socks off" quotes. He would be great down at a flea market but he was very blasé about his companies that have bombed with a "some you win, some you lose" attitude. Very entertaining. I wouldn't be surprised if all of the above placed in the next week.... :-))
ReplyDeleteRe Iron ore- GLENs Ivan was scathing recently re the iron ore majors and their prod pushes, highlighting GLENs spread of business and small exposure to iron ore. I would say that their earlier African iron ore commitment re Askhaf (Mauritius) is a better project than ZIOC, with far lower capex v. prod figures and so I would be very careful with ZIOC, but that's just me.
Im not sure what semi meaty means but I assume the badger and hedgehog population in your area of the country is endangered....
Cheers. The Leggie