Avocet Mining PLC / AVM (LSS)

WKN 900 745 ISIN GB0000663038

Seymour Pierce erhöht Kursziel von 108p (1,59 E) auf 118p(1,74E).
Derzeitiger Kurs etwa 78p (1,15E).

Seymour Pierce Ups Avocet Target >AVM.LN

Wednesday, July 06, 2005 6:10:07 AM ET
Dow Jones Newswires

0948 GMT [Dow Jones] Seymour Pierce lifts Avocet Mining's (AVM.LN) target price to 118p from 108p. Move follows development of process routes which negate the problems associated with carbon at the Penjom gold mine, and the company's suggestion it may be able to upgrade the overall reserves contained within the existing mine plan. Maintains buy rating. Trades +5.4% at 78p. (DWE)
http://www.newratings.com/analyst_news/article_905734.html

LONDON (AFX) - Avocet Mining PLC said its pretax profit for the full year to end
March rose slightly to 15.803 mln usd from 15.592 mln a year earlier, in a year
where the company is debt-free.

Basic earnings per share is 11.26 cents compared with 12.20 cent, after a share
issue and placement.

Avocet said it intends to ask permission at the AGM to issue up to 100 pct of
its issued share capital for acquisitions, and to issue one third of its issued
share capital for cash through a private placement.

It said it wishes to have the ability to move expeditiously should an
acquisition opportunity arise.

Avocet said it intends to pay a dividend this year.

"With solid operational cash flow combined with zero debt and an unutilised 10
mln usd credit facility from Macquarie Bank, the balance sheet of the Company
remains strong."

newsdesk@afxnews.com

Sogar ne Dividende soll´s geben :))

Avocet Mining Lower; 1H Results Weigh

Wednesday, November 16, 2005 6:53:16 AM ET
Dow Jones Newswires

1137 GMT [Dow Jones] Avocet Mining (AVM.LN) -7% at 93p. Follows 1H results which showed pretax profit down 26% after encountering higher costs and the effects of hedging. Evolution Securities notes a strong increase in gold production to over 100,000 ounces, and expects this growth to continue while helping to fund more exploration projects. Maintains buy rating and 130p price target. (DWE)

Avocet Mining 1H Mixed Bag But Outlook Strong
Wednesday, November 16, 2005 7:24:18 AM ET
Dow Jones Newswires

1201 GMT [Dow Jones] Avocet Mining's (AVM.LN) interim results are "a mixed bag," says analyst Charles Kernot at Seymour Pierce. Notes an increase in production and revenues is offset by increased costs at the Tajik ZGC. Says once the major pre-stripping program ends costs are set to decline "and the earnings outlook for the group is therefore better." Notes its hedge position will continue reducing revenues for the next 12 months. Overall, however, sees the outlook for Avocet as "particularly strong" and reiterates buy rating. Shares trade -7% at 93p. (PBA)

Doch, aufstocken !

Minews Story Date: November 17, 2005

Avocet Mining Consolidates Position in Central Asia With Deal In Western China

There are three companies involved in the deal just announced between Caledon Resources, Avocet Mining and Dynasty Gold. One too many for comfort as Princess Diana once observed, but in this case George Salamis of Caledon played a useful role in persuading Avocet to purchase shares and rights to shares for an undiluted interest of up to 35.9 per cent in Dynasty. Caledon itself has a 12 per cent holding in Dynasty and became aware that four of its shareholders Tou Yeung, Wayne Koshman, Brilliance Holdings and Koshman International Holdings were tending to use their votes in a way which might be interpreted as slowing down the company’s progress. If they had been persuaded to sell in the market it would have hit the Dynasty share price hard, so this looks like the ideal solution. At the same time Avocet has taken up shares in Dynasty’s recent C$1.55 million placing which brings its total to 21.4 per cent and the balance comes if and when purchase agreements are exercised.

At that stage, of course, Caledon and Avocet will effectively control Dynasty as Caledon will have 13 per cent post the placing. This is the key to the whole deal as the Hatu property includes the Qi-2 deposit which has an independently verified inferred resource of 16,855,400 tonnes at 1.68 g/t gold to give 912,600 ounces of gold using a cut-off grade of 1.0 g/t. In one jump Avocet has got its hands on a significant deposit across the border from its Zeravshan deposit in Tajikistan as well as all the permits required to take it into production. It is not a big deal from Avocet’s point of view, but the deposit is currently at the stage where infill drilling will bring the resource up to a measured and indicated category ready for production and Dynasty has two other less advanced projects..

In addition to this there is the undisputed logic that Avocet possesses the mine building and operating skills as well as the financial capacity necessary to conclude the feasibility and mine development. and mining skills. The company has just announced its interim results for the six months to end September and these show that production has topped the 100,000 oz mark for the first time compared with 82,000 ozs this time last year. The Penjom mine is still the power house and it is interesting to learn from chairman Nigel McNair Scott that when operations commenced there back in 1996 the mine life was only 2.5 years. It now has a life of at least another four years and exploration continues to come up with increased resources.

Total gold sales for the period were 105,010 ozs, but the average realised price was only US$402 /oz. Had it not been for the hedging programme insisted on by Macquarie as part of the funding package for Penjom the average realised price would have been US$433/oz which would have added more than US$3 million to gross revenue. A total of 24,000 ozs was delivered into the hedge which was sad for shareholders as the debt has now been repaid in full. As part of a US$10 million revolving credit facility from the same bank Avocet has agreed to liquidate at least 4,000 ounces of this gold hedge per month as from April 2005.There are still another 50,000 hedged ounces outstanding with an average delivery price of with an average delivery price of US$305/oz so the pain will continue for another year.

Higher operating costs were another pain. Although production from Penjom remained steady at 60,530 ozs, cash operating costs rose from US$211/oz to US$234/oz due the larger interim open pit which required extra waste stripping. To be fair these waste stripping costs also included costs that had been deferred but are now being amortised over the mine’s life. Zeravshan Gold in Tajiistan has also yet to turn the corner, but it is fair to say that it is in the revolving door. It also had to contend with extra waste stripping at the Jilau Main open pit in order to access higher grade ore. In the meantime most of the ore was lower grade stockpiled material and this accounted for the fall in production from 23,000 ozs to 18,000 ozs and the increase in production costs. Once the higher grade ore is exposed Charles Kernot, mining analyst at brokers Seymour Pierce, anticipates positive benefits over the coming months, although the exact timing of the improvement is uncertain.

The news from the North Lanut mine in Indonesia is good now that it has overcome some teething problems when production started in October 2004 and reported gold recovery from the leach pads is above the 75 per cent rate assumed in the feasibility study. The mine is now operating at close to design capacity and gold production is running at an annualised rate of over 50,000 ounces with cash costs below US$200/oz. Fuel costs have risen since the Indonesian government was forced to reduce fuel price subsidies, but the impact has been limited by the purchase of a new mining fleet which has replaced expensive and inefficient mining contractors.

Exploration at North Lanut has focused on extensions to the existing orebody, but recent drilling results from the Bakan prospects, which are also within the North Lanut Contract of Work, have been particularly encouraging since their geology is similar to the area around North Lanut. Exploration at Zeravshan has also focused on infill drilling at the current open pits of Khirskhona and Jilau North where the majority of ore being mined is in the inferred category. The results from this work will be assembled into a revised resource model which should be finalised before the end of the current financial year. Avocet looks set for a good second half to its financial year and analysts are expecting production to grow to 235,000 attributable ounces of gold in 2007, with plenty of blue sky in Malaysia, Indonesia, Tajikistan and now China. Such a pity the directors did not take a bolder view of the price of gold and cart out more of that hedge over the past two years. But hindsight always gives one 20:20 vision.

Saccard

Willkommen an Bord.

Finde ich prima, einen sehr guten Avocetkenner hier zu haben.