TwoSporrans
14 Apr 2016
Re: Great Q3 results today "the $2.5m tax rebate will be received this quarter too, taking net cash to $4.1m".Yes, good news and as you say Gretel, recent higher gold prices should result in a further cash build.Also, the cost performance does look encouraging. AISC is most important but the Q3 operational costs came down to just over $800/oz, which is pretty good.There's a fair % of production [not worked out how much] coming out of the San Gregorio development phase and an open pit. The latter especially will be higher cost, probably over $1,000/oz; so the Arenal production must be coming out significantly cheaper than $800/oz.I find that reassuring if the POG does fall back to lower levels.My main concern is that Arenal, even if extended, may only have another 2/3 years life.There are assets that Orosur has that may be developed to replace it; maybe will better it.But where's the capital going to come from?Maybe a shame that Pantanillo has been ditched; it was viable at POG of $1,200/oz upward.The Columbian assets look a good prospect but will require a ton of money to develop and Anillo has yet to reveal it's a worthy candidate for such investment.Hence, I'm pleased to read this wrt the San Gregorio development:"...........a significant restructuring has been achieved and the economics of SGD have been updated, also assuming a reduced initial investment as the Company plans to use the equipment from Arenal Deeps instead of purchasing new underground mining equipment. The Company intends to dovetail the beginning of production in SGD with the conclusion of operations at Arenal in order to facilitate these anticipated savings and plans for this to take place during FY17. Development work in SGD is scheduled to commence shortly during Q4 FY16.An additional expected benefit of the revised plan is that SGD will require no further external financing and is to be developed using cash from operations. "Though it doesn't look like the combined Arenal-SG output will rise substantially above current production levels [underground] and maybe will average only ~30k-oz-pa the next few years, at least there won't be much borrowing and the share capital isn't threatened by dilution in the near future.As ever, Orosur remains a heavily geared play upon the POG.TS
gretel
14 Apr 2016
Great Q3 results today A $3.1m PAT for the quarter 
))Admittedly this does include a $2.5m tax refund, but with AISC of only $978, and falling, a $600k PAT for the quarter is pretty impressive and should be a lot better this quarter with the higher gold price.And the $2.5m tax rebate will be received this quarter too, taking net cash to $4.1m excluding any improved cash from operations. Soon the cash pile will be not far off the £6.3m m/cap!
Solis
11 Apr 2016
III RNS From 5 Oct 2010 Anyone else been advised by III this morning of the RNS re drill results for Vaca Muerta that WAS issued on 5th Oct 2010. Got me all excited for a moment till I read David Fowler's name in the RNS !I know III had their problems, but this is ridiculous.Just glad that I do not have any investments or service with them. Can you imagine your portfolio suddenly showing your holdings from 2010.
Mrbusiness
17 Mar 2016
Re: undervalued?? So why does the share price stay around 7p while others soar, and is no higher than Nov and Jan?Is it worth asking the company?
Bank101
04 Mar 2016
Re: undervalued?? Could go on a tear at sustained rising gold, have plenty of spare capacity at lower grades also. Liquidity is tight, that's my biggest risk here.
tikky
15 Feb 2016
tip tv was this tip talked at tip tv today with STI
TwoSporrans
27 Nov 2015
Sub $1065/oz - Re: Beware The POG - Typos corrected This is bad.Even the Chinese are selling rather than looking at these new lows for the POG as buying opportunities.The technical picture is awful; gold going sub $1065/oz in the context of this:[link] many will want to buy in the face of this.No obvious rescue on the demand side of the price equation; leaves a fall in supply as the more plausible saviour.But when?Presumably, the sharp investment contraction now evident in metals generally will be replicated by Gold miners.OMI has already pared back about as far as it can; hence in a very tight spot with POG threatening to fall below it's All inclusive sustainable cost band of $1,000-$1,100/oz.How long before a global gold production choke turns the POG back up in a new Bull run?And from what low for the POG?Can OMI survive until then and without share dilution?TS
TwoSporrans
06 Nov 2015
Re: Beware The POG - Typos corrected Orosur, being a geared play on the Price Of Gold is nigh certain to be hurt by the latest fall in its price today.The buoyant US jobs stats [incl. revisions] pretty much guarantee the Fed will commence raising rates come December.In turn, the POG dived from a support level it had found, around $1,105/oz, down to $1,085/oz and still downside as I type.What this means is that the POG will retest it's lows of this 3 year bear market.That has to be a major concern for OMI holders, such as myself.Accepted, one should not be overly US news centric; Asian demand is the most crucial driver of the POG.But although Chinese buying remains supportive, developments in India [Monetisation? and looks unlikely the 10% import tax will be pruned] lend to demand remaining relatively moribund, notwithstanding the festive buying season has just commenced there.On the supply side, I keep hearing more and more about global gold production still continuing to hit new highs. Randgold, the latest big miner I noted [yesterday] to achieve record output, with a backdrop of lower costs the past year.So, I'm struggling to see where a sustained POG recovery will come from any time soon.Despite the many good developments with Orosur as a well managed, efficient producer and its prudent survival strategy in place with near zero debt, the POG prognosis risk of a price around the Orosur All-In Sustaining Cost [Current target range $1,000-1,100/oz] or maybe even lower, is a very worrisome prospect.Especially so as the ongoing downside risk and indeed momentum remain unabated.Regretfully, I have just sold off almost half of my Orosur holding, taking the price of just over 7.5p that was available and bearing in mind the the recent bounce from a low of 4.5p has not coincided with any significantly favourable development for the company; at least none has emerged to the world at large.Crystallised a swinging loss on these shares but at least the cash is welcome in the relevant ISA where I am building a decent reserve.Holding on to the Non ISA shares which will very probably serve useful as a means of netting out profits elsewhere and averting CGT liability.Who knows, something may turn up and the OMI share price emerge resurgent.And I still think survival, without catastrophic share dilution, until the next Gold bull run, is quite likely; though that may be as much as a few years away.TS
TwoSporrans
06 Nov 2015
Beware The POG Orosur, being a geared play on the Price Of Gold is nigh certain to be hurt by the latest fall in its price today.The buoyant US jobs stats [incl. revisions] pretty much guarantee the Fed will commence raising rates come December.In turn, the POG dived from a support level it had found, around $1,005/oz, down to $1,085/oz and still downside as I type.What this means is that the POG will retest it's lows of this 3 year bear market.That has to be a major concern for OMI holders, such as myself.Accepted, one should not be overly US news centric; Asian demand is the most crucial driver of the POG.But although Chinese buying remains supportive, developments in India [Monetisation? and looks unlikely the 10% import tax will be pruned] lend to demand remaining relatively moribund, notwithstanding the festive buying season has just commenced there.On the supply side, I keep hearing more and more about global gold production still continuing to hit new highs. Randgold, the latest big miner I noted [yesterday] to achieve record output, with a backdrop of lower costs the past year.So, I'm struggling to see where a sustained POG recovery will come from any time soon.Despite the many good developments with Orosur as a well managed, efficient producer and its prudent survival strategy in place with near zero debt, the POG prognosis risk of a price around the Orosur All-In Sustaining Cost or maybe even lower, is a very worrisome prospect.Especially so as the ongoing downside risk and indeed momentum remain unabated.Regretfully, I have just sold off almost half of my Orosur holding, taking the price of just over 7.5p that was available and bearing in mind the the recent bounce from a low of 4.5p has not coincided with any significantly favourable development for the company; at least none has emerged to the world at large.Crystallised a swinging loss on these shares but at least the cash is welcome in the relevant ISA where I am building a decent reserve.Holding on to the Non ISA shares which will very probably serve useful as a means of netting out profits elsewhere and averting CGT liability.Who, knows, something may turn up and the OMI share price emerge resurgent.And I still think survival, without catastrophic share dilution, until the next Gold bull run, is quite likely; though that may be as much as a few years away.TS
Solis
24 Oct 2015
SPECIAL MEETING Have had a reply from Ryan Cohen Vice President, Corporate Development, but forgot to ask for permission to publish his reply. However I think he would have no objection to my posting that he has pointed to where the details are on the website [link] under Information Circular. I think they should have put it in the RNS's and called it anything other than Information Circular. Purely to do with the shares to be allocated to the Directors/ management in lieu of salary reduction.Interesting that they still have a Senior Corporate Development person. Augurs well for future expansion (presumably once gold has risen in price).
DrRadcliffe
22 Oct 2015
Re: SPECIAL MEETING Probably worth checking with the company. I couldn't see an agenda or list of AGM resolutions on their web site. I could only find the announcemnt as it went out in the RNS.
Solis
22 Oct 2015
SPECIAL MEETING Am I being dim.OMI announce the AGM and Special Meeting without stating what the Special Metting is to discuss.Any one have a clue or do I contact the company ?
Solis
28 Sep 2015
Precious metal manipulation being investigated Precious metal manipulation being investigatedI wonder whether this will spread to other countries. Sincerely hope so [link]
TwoSporrans
20 Aug 2015
High Grade Arenal; mothball all else Punchline in the last paragraph of the Highlights:"Production of 30,000 - 35,000 oz" Targeted for 2015-16. [53,000 achieved in year to end May 2015.]+All inclusive costs target of "US$1,000 -1,100/oz (versus previous guidance of US$1,100-1,200/oz)"Pretty much the only way to reduce costs to say $1050/oz, while maintaining a very lean development programme and skeleton exploration activity will be to produce at an operating cost of no more than $850/oz.An average max. of $800/oz. is more realistic, given the much lower output envisaged, as some corporate costs are fixed or won't be reduced pro-rata.To achieve the costs above, Orosur will identify and extract the highest grades available from readily accessible deposits.Hence Arenal may well be the only pit operating.Even Arenal production will need to be selective to consistently average $800/oz operating cost.I doubt any open pit production can achieve $800/oz oc.I think this plan of campaign for 2015-16, is absolutely the correct response to the ongoing collapse in the POG.Survival must be the key objective.There will be plenty of output reduction generally and a lot of miners go bust or get bought up for peanuts over the next year.Orosur should be a survivor for at least 3 years, at an $1,100/oz gold price, as it has minimal debt and has a reasonably low cost mine in Arenal to keep operating in a sustainable manner with maybe 4-5 years of reserves at 30-35k production.How long exactly it can operate at close to break-even with ASC depends more on the grade mix and distribution than the absolute total of Arenal reserves.This pre-supposes the POG won't fall much further.It's dire enough at ~$1,100/oz.When will global gold output begin to fall though?It's not evident it has yet; not substantially anyway.Also, looking at the 2015 All inclusive costs being achieved by the biggest mining companies, they seem to be averaging close to $900/oz.This gives me cause for concern that a substantial fall in global supply over the next year or even 2 won't be forthcoming.So, unless global demand for gold rises in the near future, Orosur's long term survival is becoming ever more questionable. Whether or not this line of thinking explains the share price drop today I know not.Orosur shareholders have a history of selling when the management announces it will take prudent action to avert financial disaster.TS
forwardloop
08 Jun 2015
info [link]
