RMS, RAMELIUS RESOURCES LIMITED

[mullokintyre]

RMS produced another pretty good Half yearly.
Gold production up 57%
AISC up by a miserly 2%
NPAT up 297%
Cash and gold up 32%.
EPS up 223%
Higher gold sales on higher gold price and reduction of hedgbook.
Penny project looks nicely profitable after Feasability study.
More than happy to buy more at that rate.
Mick

[mullokintyre]

Don't know why RMS is being hammered by the market.
Since the 2.50 highs in September when the gold price was AUD2750, its share price has fallen to 1.29 today, near enough to half what it was.
The gold price today is AUD2300, a 16% fall, so some of the price action can be explained.
If the market thought that gold was going into continue its fall, you would expect all the gold miners to have fall by similar amounts.
Most of them have fallen, but to the 50 percentile mark that RMS has done.
Something is going on, so will hold back on buying more, but will be in like flint if it does get to a buck.
Mick

[plastic]

What do the gold bugs know that we don't for them to be pushing this down nearly every single day?

[mullokintyre]

In Reply To: plastic's post @ Jan 15 2021, 09:45 AM

What then is it due to?
A dollar coming up shortly.

Its been falling since the 2.50 highs of September last year.
I don't know why.
The fundamentals seem pretty good for the company, but the market is never wrong.
Mick

[plastic]

In Reply To: mullokintyre's post @ Jan 15 2021, 09:22 AM

doubt it is due to this transaction.

What then is it due to?
A dollar coming up shortly.

[mullokintyre]

RMS announces it has divested the Coogee gold project to the minnow Victory mines for the addition of 321million shares in Victory.
Not sure if it is going to make much material difference to either share price, though RMS is down again today, I doubt it is due to this transaction.

Mick

[mullokintyre]

RMS puts out another good quarterly, with production slightly above the top end of guidance, always a good sign.
With the previous quarter also above the top end of guidance, the year so far is looking good.
Good cash flow again, with a net increase even after royalty payments, dividends, the spectrum acquisition, debt repayments and planned exploration and capex expenditure. Unless they go on an acquisition hunt, may see some cash returned to investors.
I like a well managed profitable cash generating business.
Mick

[plastic]

Head and shoulders pattern playing out. Seems to be trying to figure where to go next. If it continues, one thirty here we come.

[triage]

In Reply To: mullokintyre's post @ Nov 11 2020, 11:33 AM

If I could I would join you, Mick, as the stream of company-specific news from Ramelius has been very positive for some months now. Going on the recently reported figures for Edna May it too is turning into a major win for the company. Who knows what the next 6 to 12 months has in store for us but I think that there is a reasonable probability that Ramelius will do well in that time-frame.

[mullokintyre]

Rms has fallen about 22% from its September highs.
Gold price has not fallen by anywhere near that much, so not sure why it continues to get punted.
Its not like the turmoil in the world has improved any.
It is still making good profits, the Penny West mine looks like a goer, so not sure why the negativity.
So, I bought some more today.
mick