Couldn't see a thread for vgm following the transition from rvd and now producing gold at Vatukoula in Fiji. Looking to ramp up to a rate of 110,000 oz per annum by mid 2009 with current rate of production probably a little over 60,000 oz per annum.

Making good progress towards their targets.

I threw a few bob at this one at the end of november paying 1.02p per share, prospects look good but they (minnow miners & oilies) always do, don't they. As a holder of several such co's which have yet to perform I know my patience will be tested further with VGM.
2517

Also built up a holding since Nov and have invested in one or two other gold related shares. These sort of stocks have been ground into the dirt for various reasons such as deleveraging, redemption selling etc and any fundamental valuation has been kicked out the window. The fundamentals will right themselves soon enough and just a little patiencee is needed.

VGM is ramping up production at the right time, gold heading up and oil prices well down.

Looking forward to the next quarterly production report in early March and would think they will be up to a rate of about 65,000 oz per annum.

Juniors ready for a very sharp move up ? Gold juniors are looking favourite !!

February 05, 2009
Why Juniors?, Why Now? - Analysis of the Canadian CDNX Index...
by Clive Maund

http://www.safehaven.com/article-12521.htm

The charts speak volumes !!

VGM at next minesite presentation on 24th Feb

57th Minesite Mining Forum

Tuesday 24th February 2009

"AIM listed Vatukoula Gold Mines also has some good news for investors as its mine in Fiji is steadily increasing gold production towards a target of 2,000 o! zs a year and cutting costs down to US$600/oz which, though high, is not bad with the current price of gold. This underground mine has been in production for more than 50 years and when money is available to spend on refurbishing plant and equipment costs should fall further."

Think they mean 2,000 oz per week !!!!!!!!

Anyone going?

57th Minesite.com forum
24th February 2009, 9.30 am - 1.30 pm
Armourers' Hall, 81 Coleman Street, EC2R 5BJ
( nearest tube station is Moorgate)

Presenting companies:

*
Vatukoula
*
Cluff Gold
*
ATW Gold
*
Red Rock Resources
*
African Consolidated Resources

Investors can attend this event for FREE. To register click here or email support@minesite.com or call Jen Earle on 0207 562 3381

Not such a good update.
2517

Today's RNS does clear the air.

Reckon we have seen the bottom today.

Strong today, hope that doesn't put the kod on it.
2517

A number of possible offers is the reason for the sp rise.
2517

Competition between bidders will be good for any takeout price.

can't see any bid succeeding under 2p.

I'd be quite happy with 2p+ thank you, oh happy days

whjy would anyone want to buy this tiddly gold mine(r) with hugely expensive extraction costs?

If new equipment purchased production could increasse to 100k ozs pa and costs would fall. market cap 10m, 100kozs gold @ say $800peroz = 60m. QED.

your money but something like CEY is a much better bet

CEY have it all to do, VGM is producing.

agree to differ (sharply) on the better investmnent and potential ...... in fact i don't hold CEY and have not done so for several months, but like to keep an eye on them

Has anybody read through the operational update : they are hardly making any money at all !, this will peak and then drop....good for a quick in and out...just don't keep them !.

rf that depends if bids materialise and the price offerred, directors unlikely to accept a deal pitched lower than 2p inmho.

but does anyone think the company is worth any more than twopence!?

How many shares are there ?....hundreds of millions probably.....more than 750 workers.....not much money coming in....market cap of 10 million at a penny.....if this goes up further ...I would take profits if I was in !.

rf if you are not in why are you concerned? Are you a de-ramper or just bitter that you are missing the boat?

ah yes .... i forgot .... to halifax, anyone who does not care for "his" companies is perjoratively deemed a deramper

cynic glad you have owned up at last!

que?

Halifax, I would jump in straight away if I could make a buck or two....not so sure....reading the RNS's does not inspire....but it may rise just with everybody piling in.....and rise to what level ?, if this goes anywhere 2p...I would say take the profits because the company itself looks like a loser !.

Well, I missed out on this one...should have got in last Thursday....please take some profits guys !.

with a true/live market price of 1.50/1.75 you would be very hard pressed indeed to make any money

cynic, you can sell @ 1.60 and buy @ 1.68, so not quite as bad as the live market price is indicating.
2517

Those that got in at .95p will have done very well....I should have done the same, but otherwise apart from this takeover, I would not have given this company a second look, it is too late to buy in now !.

cynic closed our position nice but small 50% profit, sorry you missed the boat.

i'm not as chasing every stock rumour is the road to perdition, but glad you made a decent profit and had the sense to bank same.

overall, i'm not sure quite where gold is headed, as it has relatively little intrinsic (commercial) worth and is primarily driven by sentiment.

Boy am I glad I sold out @ 1.6p, may be a time to revisit later perhaps.
2517

I waited to see if there was a bit more to come, silly me. still might come right.

Balerboy, I usually do that but I have started to be more disciplined as to when I sell, especially non divi paying minnows, with VGM I bought originally @ 1.02p and doubled up @ 0.68p, so very content. Also took some money from BRR this week although still holding some. I hope VGM come good again for all holders.
2517

talk of 2 bids @4p and 1 not showed there hand as soon as 2morrow.buy buy buy

templar minerals are 1 of the rumoured bidders 4p+

and Templar Minerals without two halfpennies to rub together !!!!

Are we going to get another chance at 1.6p + next week?? Might make a profit on this yet.

hopefully fireworks next week.

"Dealers believe Vatukoula Gold Mines edged up 0.1p to 1.075p ahead of expected fireworks next week. The boys in dark glasses think it has received three bid approaches and a cash offer of 3p could come early in the week.
That should start an auction because the stock is worth 5p-plus. The company owns the largest gold mine in Fiji which contains just under $800million of gold reserves."

http://www.dailymail.co.uk/money/article-1173309/MARKET-REPORT-Footsie-shrugs-gloom.html

well that bit of guff should get the lemmings leaping on board ..... and off again at the slightest whiff of disappointment

Which is precisely why MMs feed it to the press.

if one is selective and nimble - and i am not at all commending this company (it's crap!) - profits can be made ..... but don't forget to bank them!

Coming good again.
2517

I knew my time would come again, lol remind me to get out at the right time this time George.

Sorry, that's your decision, hopefully a profitable one.
2517

Too serious 2517, lighten up lol.

Money is a serious matter, ha! ha! As we 'down yer' well know, not quite as 'careful' (so they say) as those north of the border but a close second.
2517

Reckon Cynic got zippers and a padlock on his pockets, lol. They like to count it every night. We like to spend on a drop of scumpy.

interesting to see this on L2 ..... MMs only offering/bidding in lots of 50k ..... spread isn't horrific at abput 8% and HUGE volume today of 32 million, thought that is only 350k

MMs are holding this up today -- they don't want to get squeezed if and when a bid comes in.

being a total arsehole, and having made some decent splosh over the last several weeks, i decided to gamble and buy 250k @ 1.35 ...... though technically only offered in lumps of 50k, the order was readily filled, which implies there are still sellers about

from memory, 18m traded yesterday and certainly 40m traded today ...... strange shenanigans with not much to show for it all

0.60p here we come.
2517

This was bound to happen,....only good for an "in and out" chaps...some people will be cursing !.

YES!!

Bought a few for the med/long term this morning... so have many others...it's looking good for the next few months (imho)

You've rekindled the hope of making a bit on this one, hung on too long last time.

I'm looking for a re-entry around 1.05p
2517

Geogre, bite the bullet and buy..... 1.05 long gone.....:))

bb the trades are down as all buys, I would have thought the sp would have moved (up) with 5.5m shares traded.
2517

It has moved but probably be back tomorrow lol.

You and a few others 2517George ----------

but isn't that 1.05p a bit hopeful ??

I was looking to add around there but think I may have to look at a higher price.

Walden---I may have missed it (fear of paying too much), have traded these very profitably in the past, and when one opportunity passes you by another comes into view, although not sure which one that is yet ha!ha! Good luck all
2517

BB, Walden, nearly there.
2517

Yup -- may just get there.

Good luck to you --------- and me, I'll be topping up also !

you're all nuts! ..... not sure that even SEY is not a better punt, and that is damning with faint praise indeed

topped up with a few more this morning

We may be nuts, but I know I didn't pay 1.35p a share.
2517

at least i had the sense to cut my losses, brought about by pure stupidity + some greed

I'm glad you managed to limit your losses, as for pure stupidity and greed I reckon that can be true of most, if not all investors, it certainly applies to me with some of my shares. PET is a prime example, I still have these after 6+ years and sit on a small loss. Good Luck All
2517

Looking good!

spoke a bit too soon ! but the momentum is sort of upward !

George, back to 1.40p take over price, maybe not such a bad hold at mo with it climbing slowly up on the back of gold price I suspect, do I get out at peak or hold is the question??

just bought into this little number on the back of the hif takeover approach......cant trade on td on line and showing 4v1..........any longtime holders any ideas what could be going on.

bb just got back this morning from a few days away, this is doing well atm, I'm not in but good luck all, maybe I'll get another chance during october, although 1 or 2 other goldies have caught my eye.
2517

You haven't been getting your legs out as well as Cynic have you geogre?? Tight cycling shorts must be all the rage. Got Toya going, should have sent your daily report to her and she could have posted it along with cynics..... lol :))

Up another 4.6% still climbing.

Looking good !... I'm already 35% up from when I got in a couple of weeks ago..in for the long though as a good story is unfolding here (imho)

New article, click here

Thanks Andy, still hold these. BB

... And watch the SP over the coming months and onwards, this isn't a ramp, results due any time too, today's RNS I think was un-expected, toss this news in with good results due anytime now (supposed to be end of month) and I reckon its a deffinite good buy, check the trades to close today, and watch onwards ....

Yep, it looks to be shaping up nicely!

It's looking good...SP should move up nicely from here in the coming weeks and months..imho

Vatukoula Gold Mines has increased production from its Fiji mine.

It said this followed recent capital expenditure in underground development, underground mining equipment and at its power generating facility.

It mined 24,926 tonnes of underground sulphide ore between 12 October and 23 November with a delivered grade to the mill of 11.22 grams per tonne of gold (8,994 ounces).

The oxide circuit of the mill has mined 21,583 tonnes of open pit oxide ore with a delivered grade to the mill of 1.98 grams per tonne of gold (1,376 ounces).

It said: "These results, in particular the grade being delivered to the mill, are above management expectations for the period and as a result the company's first quarter results are expected by management to show an improvement in both production and cash costs per ounce over the previous quarter."

The company plans to release its operational update for the first quarter in December.

This is turning into more than a little gold mine by the looks of the way things are progressing!

7 December 2009 AIM: VGM

Vatukoula Gold Mines plc

("VGM" or "the Company")


Operational Update for the First Quarter from 1 September 2009 - 30 November 2009


VGM, the AIM-quoted Fijian gold producer, is pleased to announce its' operational update from the wholly-owned Vatukoula Gold Mine in Fiji, highlights include:

Mine net earnings of 1.292 million up from a loss of (1.587) million in the previous quarter (unaudited)
Gold sales of 8,826ozs up from the previous quarter (6,617ozs)
Average realised gold price of US$ 1,096/oz up compared with previous quarter (US$ 929/oz)
Gold recovery of 12,227ozs, up from previous quarter (7,444ozs)
Cash costs of US$584/oz down from the previous quarter (US$1,111/oz) (unaudited)
Capital expenditure during the period was 1.7 million (unaudited)
Signed the Social Assistance Deed and Fiscal Agreement with the Government of Fiji

Great news...bought some more..must be a steel at these levels !

Onward and upwards. Or should that be onward and downwards as it is a mine?! :o)

...The turnaround was partly due to the impact of some planned new equipment but also as a result of the mining of higher grade material (which particularly helped generate a much lower than expected cash cost per ounce). It cannot be guaranteed that such grades will continue being encountered but the gold-in-circuit is expected to be reduced to normal levels in the current quarter and with further equipment and operational benefits still to come, the 1.4p share price continues to fail to reflect the potential production (110,000 ounces per year targeted) and mine life (likely 40 years+). We maintain our 3.7p target price and speculative buy recommendation. www.uk-analyst.com

keep pumping to save the mine.

I like the pumping if it continues to rise, nicely in profit, keep it up willpe.

Every little helps!

RNS from 05 January 2010

Vatukoula Gold Mines Plc
("Vatukoula" or "The Company")
Appointment of Joint Broker



Vatukoula Gold Mines (AIM: VGM), the Fijian gold mining producer, is pleased to announce the appointment of Arbuthnot Securities Limited as joint broker to the Company alongside W.H. Ireland Limited with immediate effect.

Commenting on the appointment, David Paxton, Chief Executive said;

'We're delighted to have appointed Arbuthnot Securities as joint broker to Vatukoula. Their expertise and support will be important as we continue to grow Vatukoula and create further shareholder value.'

Also,

10 fold rise on the way?



Hedge fund firm Toscafund's high-profile founder Martin Hughes is backing online gaming, housebuilders and resource stocks for 2010 but is wary of commercial property and has moved out of retailers.

"Resource stocks are attractive... There may or may not be a bubble in gold (the metal), but if you go back three years gold shares have hardly moved. We expect very favourable announcements."

He said he recently bought into Fijian gold company Vatukoula (VGMS.L).

"Based on management expectations it's on a PER (price/earnings ratio) of just over 1.5 (times), so we expect it to rise 10-fold over the next 12 months."

He also favours online gaming stocks but has switched out of consumer discretionary.

nice one Kim,

Cool ! thanks Kimo.....I'm already 60%+ up so v happy with my investment.....onwards and upwards...

something i picked up on

Minesite today

January 11, 2010
Vatukoula Gold Is Well On The Way To Achieving Production Of 100,000 Ounces Of Gold In 2011
By Charles Wyatt
Colin Orr-Ewing has kicked off 2010 in ebullient form. I have never before, in many years in this game, had a company that is making money, has no borrowing or hedging and has money in the bank. The paragon is Vatukoula Gold, which runs the Vatukoula mine in Fiji and proved to be a problem for several of Colins predecessors. To be precise the company has 8.5 million in the bank in England, and another 1.5 million in a Fijian bank. Warmer and a lot safer than the Iceland banks turned out to be, he comments. In fact Fiji is a good country in which to operate for more reasons than just the weather. It sits on the Pacific ring of fire, English is spoken, rugby foot ball is played and there are strong links with the British army the SAS in particular. Cynics can pooh-pooh these reasons but they make it that much easier to communicate with the authorities - Vatukoula has the support of the government, a three year tax concession on import duties, no VAT on fuel and simply pays a three per cent royalty on gold sales.
Just before Christmas the company issued an operating update for the quarter to end November. This showed that it had recovered 12,227 ounces of gold compared with 7,444 ounces in the previous quarter, a continuation of a rising trend seen since the Vatakoula team brought the mine back into production towards the end of 2008. The advance, however, is significant as the company has now achieved a figure of 5,000 ounces per month. That brings up a target total of 60,000 ounces for this year and makes the 100,000 ounces that the company is shooting for in 2011 seem realistic.
Quite a lot of people would have bet against this achievement, but Dave Paxton, an ex-Gold Fields man and investment analyst who joined the company last year as chief executive has focussed doggedly on the problem areas and this is paying off. For instance, the generators were in a dicey condition so they have been refurbished or replaced, and an outside power generating company is now ensuring a reliable source of power. Early on, an oxide circuit was installed to treat a stockpile of lower grade oxide ore and thus supplement underground production. The underground mining vehicles are also being replaced, and there are four yet to be delivered.

The mine is now producing at an average of at least 500 tonnes per day, as a result of the replaced underground fleet, and there is no doubt that this can be improved on still further, as additional underground earthmoving equipment keeps pace with mining. It is only comparatively recently that a consistent mine plan has come into existence as underground drilling has increased understanding of the near term production stopes. As this proceeds the company should be able to iron out variations in grade and also allow production scheduling to be managed better. Better planning will result in the provision of additional working faces and this, in turn, will boost productivity. Five underground drills are operating at the moment and a similar number are on order to accelerate this process.
Pumping was another problem area which has now been sorted. Previously there were only four pumps and they were working flat out, particularly during some of last year when there was higher than average rainfall. If one pump failed there was a real problem, so there are now two pumps at the major pumping stations underground and another two on surface as stand-by. As a result dewatering is taking place with greater efficiency and the 18 level has now been exposed. It will need some refurbishment, as will the Philip shaft which provides access between the 15 and 18 levels. But as every week goes by the management at the mine gains more experience, and so, when the Fluidised Bed Roaster packed up, it was shut down and overhauled very quickly.
Vatukoula has a current resource of 4.3 million ounces of gold which, as Colin Orr-Ewing admits, will be more than enough to see him out. Even so, exploration is in progress, not only to identify additional resources in the vicinity of the mine but also further afield. In the meantime the 2011 target of 100,000 ounces is drawing in some very shrewd investors. To well-known names on the register are Sprott Asset management and Canadian Zinc Corporation. The overhang from Wally Berukoffs unwelcome intervention is no more, so a listing in Canada might also be on the cards. Colin will not be drawn too far on this, but it appears that Dave Paxton may be going on a roadshow to Toronto before long so there could be something in it.

Beat me to it Micky!

SP heading to where it should be at last. I've held VGM for a while now and have always felt that, with the right management, it could become a force in the gold mining industry again. I think we are just about there. Most of the major problems appear to have been sorted and with a little fine honing, hopefully, production will be uninterrupted and increasing. I would not be surprised to see the SP at 10p or more within the next 6 months. Or sooner.

Another day like today would be very welcome!!

Thanks micky, good report, skyhigh, nice to be 60 % up, I have bought more so not so much in profit as I was. Looking forward to Kim's 10p+

or even 1p perhaps! .... sorry; just feeling more caustic than usual

no no onwards and upwards...you'll miss out..

on it's way to 2p +

A 2p trade has gone through. Perhaps the ascent is a little too rapid, though there's nowt wrong with that if you are a day trader!

lets not forget

The Company's focus is the Vatukoula Gold Mine in Fiji.

Vatukoula (Fiji)


An underground gold mine located in the Tavua Basin, which is within the Tavua volcano in the northern part of the Fijian island of Viti Levu
VGM owns both the mining rights and associated assets of the mine.
Reserves of 858,000 ounces of gold and a resource of almost 5 million ounces gold
There are currently 3 operating shafts and a decline, plus over 450km of underground drives
Vatukoula has an operational history of over 70 years and has excellent infrastructure. Historic production of 7.1 million ounces at 11g/t

Panguma (Sierra Leone)

5,400 hectares containing 2 confirmed kimberlite dykes + a 3rd identified target
Inferred strike length of 4km
Adjacent to Tongo Dyke Field, where US$ 2.75 billion diamonds have been extracted and dyke grades vary from 87cpht to 268cpht
Awaiting renewal of exploration license from the Ministry of Mineral Resources of Sierra Leone

Rio Novo (Brazil)

Located in the Tapajos gold province, central Brazil
The area comprises 4 claims over an area of 30,000 hectares
The area is proximate to the Palito Gold Mine a producing gold mine.

Kao Diamond Project (Lesotho)

The Company owns a 0.46% stake in Global Diamond Resources Plc, the holding company of the 147 million tonne, 10.19 million carat Kao Diamond Project in Lesotho, Southern Africa.

RNS gold resource estimate reduced.

It sounds as if the're being prudent/conservative so as not to build up to higher expectations ?

SP holding up well..

I guess when we start seeing real output/revenues increasing we'll see good RNSs and SP higher (imho)

Isn't is refreshing to see an AIM listed company being "conservative"?! RNS confirms the quality of the mine.

back in blue kim.. some big buys going in now .i would like to see this at 2.04p end of today.

I'd like to see it at 2.04! :o)

confirms what we no kim but a nice read picked up on BB

This is what Arbuthnot are saying to their institutional clients

Resource and reserve update
Vatukoula Gold Mines (VGM) have released its first independently calculated JORC resource and reserve estimate since re-admission which continues to demonstrate the company is in possession of a world class, high grade gold deposit. The updated estimate confirms the multi-million ounce magnitude of the resource, stating measured, indicated and inferred resources of 4.3Moz at 7.3g/t. This estimate includes reserves of 0.68Moz at 10.9 grams per tonne at a very conservative gold price of 750/oz, assuming operating costs that we estimate are equivalent to the current cash costs of c.$650/oz. The reserves therefore support at least a 5+ year mine life with good potential for further extensions provided the vast resource base continues to be converted into reserves.

Scale underappreciated by the market
While these updated estimates are a reduction to the 2006 estimates included in the re-admission document (reflecting the removal of less accurate face sampling data, cutting out high grade intersects and mine depletion), the difference is not really significant as neither estimate are reflected in the company's current share price. The company's reserves and resources currently trade at a large discount to the company's peers. On an EV/Resource basis, VGM trades at c.$23/oz - a 75% discount to peers and only marginally above the discovery cost of many companies. At the current valuation, the company's resources therefore would make an attractive acquisition for any company looking to add resources at near the cost of exploration without much of the exploration risk. On an EV/reserve basis, the company trades at $144/oz, a near 50% discount to its peers. We expect this discount should be eliminated as the company achieves its fully funded production ramp up of 60koz in 2010 and 100koz in 2011 as investors' confidence in the company's ability to produce profitable ounces improves.

Execution is the key
With this update confirming the size and quality of the high grade resource, we expect that company will continue to perform well provided production targets are achieved. This will unlock the mine's profitability and potentially even bring the company into the crosshairs of larger producers struggling to find or replace ounces.

Yes, nice one micky.

over 16 buys today over the 1,000,000.m mark in 4 hr not bad ;-))

so close to 2p....just one more push should do it...lol

Heave!

I'm glad it was you who replied kim and not cynic....lol

:o)

broken well through the 2p barrier today..:))

Can it sustain it? There is no reason to think not at present.

Apart from profit taking of course, which might be a bit premature!

morning kim L2 showing 2.2 to buy ;-))


Vatukoula draws attention

By Neil Hume and Bryce Elder

Published: January 14 2010 02:00 | Last updated: January 14 2010 02:00

Vatukoula Gold Mines was among the most heavily traded small cap shares yesterday as investors digested an independent assessment of the reserves at its gold mine in Fiji.

The company claimed that the resource estimate - the first since the company was readmitted to Aim in March 2008 - showed the company was in possession of a world-class, high-grade gold deposit.

In response, Religare Hichens Harrison increased its target price to 2.7p while Arbuthnot Securities said the company could now be a takeover target.

"At the current valuation, the company's resources make it an attractive acquisition for someone looking to add resources at near the cost of exploration without much of the exploration risk," it said.

Vatukoula rose 7.6 per cent to 1.98p after 142m shares changed hands.

I hope it doesn't get taken over before we reach 10p micky!

here here, any idea who would be in the running to take over?

they would have to put a 15p buy to get it i think ;-)

The Chinese like gold!

2.15p up it goes.

175 million trade gone through O yes L2 here we go ;-)))))))))))

taken out now showing 1,750.000

still this baby going up 4 million buy at 2.2 buying at 2.25 now

:o)
I had a stop loss in place and got taken out at 1.702p yesterday, had to buy back in at 1.99p later! It pays to remember where the stop losses are!!! Still, can't complain, it's been all profit so far.

but VGM remains a very dangerous play ...... it looks very much like a typical lemming-hysteria stock, and once any selling starts, then sp could easily collapse ..... no question that a guaranteed stop-loss would be recommended

anyway, good luck to all who sail in her, but don't get too greedy - remember Poseidon if you're old enough!

chart showing next stop @ 2.72p kim would be nice to see that today then 3.82p it looking strong also tried a dummy trade earlier they would buy 2.500,000 and sell 170,000

Poseidon, yes a classic! That was nickel though wasn't it? This is GOLD! Hahahaha! (Hysterical laugh!)

VGM should have some way to go for the sp to match the quality of the mine IF what we are being told is true, and I have absolutely no reason to believe it is not. But of course, you are right cynic, don't get too greedy.

as i speak 2.3p new high

I don't think we'll see 3p + today micky. But who knows? :o)

A couple of salient points from the latest resources estimate:-

A combined Proven and Probable Mineral Reserve estimate of 1.9 million tonnes of ore grading 10.9 grams of gold per tonne for contained gold of 0.68 million ounces. This is based on a gold price of US$750 per ounce and projected operating costs of US$107
(F$203) per tonne of ore.

A sensitivity that showed potential to increase the Mineral Reserve by approximately 20% if the assumed gold price is increased to US$1,050 per ounce, while other parameters remain constant.


If the gold price holds up at it's present listing of US$1136, that is going to make a substantial difference to the value of the mine isn't it?

am temped to sell 30% just to keep cynic happy..

Now look what you've done! ;o)

had a job to sell took 3 attempts.. must have been busy. happier now nearly half my investment back, so happy to let rest ride and see where we go from now.

that tells it all ..... now imagine there's a fair number of sellers around

I have no problem selling at 2.3235 at present. Perhaps there are not so many sellers!

back up she go's 1,250.000 @ 2.38p....... 1.40p to buy now cynic theres more to this then just a day trade

161,321.529 traded today so far

I can see why they wanted to give me 2.3235 now; glad I didn't accept it!

167,479,843 now micky.

mid price now 2.44p @ 2.45p to buy kim bet you wish you sold now ha !;-))

Long broker note out today from Hichens, but to summarize the important bit:
"We have increased our gold & silver estimates for the next four years.
Higher than expected gold & silver prices are anticipated as the global economy begins to recover and the risks of deflation subside and the market begins to focus on a world with higher inflation. We retain our BUY recommendation, increased target price of 2.7p (from 2.4p).
On the back of higher than expected 1st quarter grades and higher than expected gold prices we have increased our EBITDA expectations for FY10 by 135% and FY11 by 18%. We expect that quarterly gold production will be volatile for the next 12 months as the average head grade is a function of the number of operating stopes and the recent investment in new mining equipment will take at least six months before enough new stopes can be brought into the mine plan. We retain our full year production forecast of 44koz for the year ending August 31, 2010.
Risks
Key risks to our recommendation include fluctuations in commodity prices, especially gold and crude oil, along with the GBPUSD, USDFJD & AUDUSD"

I'm not selling micky!

Thanks Harry.

not sure how many you guys hold, but though there are 6/8 MMs, none of them offer/bid more than blocks of 50k

cynic if we brake 2.44 on days chart this will fly head @ shoulder patten on the cards.

that's a brave call, but not the point i was making anyway

mm giving mid price now on sells somebody whats them

looks like theres a buyer in........ there soaking sell up like a sponge there holding this back i think!! i might be wrong. cynic any views

if you go to L2 you'll see that lowest bid is 2.16 and highest offer is 2.60, but best of both is now 2.40/2.41

2.39p now cynic but yr right

not a bad day after all 200,000,000 traded in one day how bad up .34p if it stay here for a bit will be good for next leg up have a great night to all

not complaining, if looks healthy tomorrow or even a tad back will buy some more. will see. cheers micky

A satisfactory day!

Morning to you all.. Lots of small sell but a lot of 1,000.000 buy as well

do remember that that is only 25k, so don't get overexcited

cynic something to read let me no wt you think...The Company's latest presentation

http://www.vatukoulagoldmines.com/admin/LatestNews/Docs/VGM%20Presentation%20Jan%2010.pdf

bought back in first thing as it looked good but chickened out and sold the lot for good profit, have held from 1p mark so am happy.

have you read the presentation balerboy i thing you may have jumped to soon but good luck ;-)

i have read it but not that exciting so made the decision.

here,s a 3 day chart looks very bullish movement we should see 2.72p today that my view

Perhaps even 3p micky?

at the mo looks like i was a bit premature , good luck to those still in but don't get caught with too much greed. BB

fuck off you .... you're sounding like my echo :-))

Thanks BB! I've reduced to 300k but that is staying. I can't see any material downside to VGM, barring disaster at the mine or a gold price collapse of course. I can see a lot of upside though!

this is not about greed balerboy this is about long tem investment this company as it all....... and as long as management don't fuck up we really could see 15p don,t forget they paying work force 6 years into there pension fun that mean they no they will earn more money out of them this is a great tem we have here

Bad luck cynic! Still time to buy some for the long term!

Frightening isn't it.... but my more mature approach and being polite to other poster's carries me in good stead.....;))

2.7p to buy .... kim i think MM will hold it here for a bit next stop 3.81p not today ;-((

micky, I'm sure your right and i will be back, but being friday thought i'd be prudent.

profit is the name of the game and you have taking yrs nothing wrong in that .,ask cynic

for long term! ..... you must be joking!! .....

actually, i'll let you into a shameful secret
i succumbed to one of the 7 deadly sins and bought 100k yesterday and a further 100k just now

cynic cynic cynic you old Fox's .........looking ready for a shake

Oh, well done cynic! now keep 100k 'til the sp reaches at least 10p!!

wt did you make of presentation cynic on web-site must of been good for you to buy more ;-)) may drop to 2.5p showing on charts

pure and uncontrolled greed was the sole trigger

hope it goes back to 1.8p

hope you get a holly bush stuck up your arse!

Ouch! :o)

LOL ;-)))))) thats funny

if this start,s to go above 2.65p i think we should see a 3p break

Good read for those of you that have some time on yr hands

http://www.alternativeinvestingfacts.com/tedbits_newsletter_overview.cfm

they've just filled an order for 19,517,109 and 5,482,891 buys

maximum buy online 25,000 there filling another order

Not a bad three days trading.... near on 500,000,000 shares sold now why can't all my share be like this ;-)). have a great weekend see you all on Monday

Yes, ditto micky!

"enjoy your w/e before the reality of monday", he said gloomily
NY looking horrid (-135 @ 10572) and gold also dropping sharply (-$12.00@ $1130)

morning to all..she looking bullish this morning if we can hold above 2.72p next stop 3.18p

a little something i pick up read page 7 bottom of page

http://www.wh-ireland.co.uk/uploads/File/investmentBulletins/Investment%20Bulletin%20January%202010.pdf

still the buying is relentless ..big buy coming in now nice to break 2.72p

would look to me as if this has topped out, hope you made a bit of profit cynic. Wait now for the dip and back in again..

2.42p should see reversal........ thinking of buy some more

WINS + EVO already offering at 2.48 ..... my guess is price is weakening as excitement wanes

my own position is showing minuscule loss, so shall stay put at least for the moment

missed the boat AGAIN cynic.....your making a habit of this, the couldren will be stirring!!!!!

if i get burned or even slightly singed, it will be 150% my own fault for being stupid and greedy

cynic, you should let profits run, i see you are getting very nervy lately.

not especially, but i have never been afraid to bank decent profits ..... with VGM, it was just a total spiv, as i really cannot see this as much of a company

Vatukoula Gold Mines* Production Ramp Up on Track for End of 2010. Buy at 2.56p with 3.9p Target Price
A few useful info in this UK-Analyst report

thank foxnil great reading great company

nice little 10,000,000 just gone in should give a nice little kick in the morning

Time Price Quantity Type Bid Offer Buy/Sell Total Buy Total Sell Total Unknown
18/01/10 16:40 2.4727 2,750,000 O 2.45 2.46 Buy 70,361,110 60,480,786 13,902,174
18/01/10 16:39 2.5 10,000,000 O 2.45 2.46 Buy 67,611,110 60,480,786 13,902,174
18/01/10 16:36 2.46 2,500,000 O 2.45 2.46 Buy 57,611,110 60,480,786 13,902,174
18/01/10 16:29 2.45 2,500,000 O 2.45 2.46 Sell 55,111,110 60,480,786 13,902,174
18/01/10 16:28 2.456 4,000 O 2.45 2.46 Buy 55,111,110 57,980,786 13,902,174

If this displays properly, the last 4 trades are quite interesting.
all are standard "open" trades.
however, it also shows that there is plenty of stock still floating about

cynic we had another 10 million buy just flashed through at 5pm sorry just look again also 6,000 000 and some L updates

just seen it .... also an "open trade" buy

I'm not in but if you look at AVM (not in either) : it is only double this market cap and it's a much, much larger company...to my way of thinking a better bet if you take out the speculation on this one.....how much is this producing yet ?....by the way Avocet is close to 100000 ounces per year soon if I'm not mistaken...to me this is overrated.

it was pure greed (and stupidity) that got me into VGM, albeit not for huge amounts ..... i know of rather than about AVM, and have never followed it at all

we could now see this at the next level in a couple of day being 3.82p this is not just PI buying here cynic........ this is looking like mid to long term buying ?

who says?
10m shares = 100k, which to some is not big bananas
and even if it is mid/long-term investment, look how well Mr P has done with his HUGE stake in GOO

cynic there still more coming in 50,000,000 shares have been traded after time was called ........and who the fk is mr.P ? LOL O by the way 10m shares = 249k

i see only 10m + 2.75m traded after hours .... forgot sp was no longer +/-1p!

Mr (P(arvezi) is a professional poker player (i believe) who now owns or did a year ago, about 12.5% of GOO ..... great call for that hand!

That ain't your real name is it cynic... LOL .....i no you like poker and you have been buying GOO on the quiet !:-))...lets hope we have a good day tomorrow unfortunately out all day tomorrow i'm going to be itching .

well another good day today mm still buying in 10,000,000 lots 39m shares traded today P.I must be mad selling these shares @this price 3.82p next stop for tree shake.

Keep the faith mickey! ;o)

hi kim another good day today 90m + shares traded ..its looking more and more intesting... lots of institutes buying now i feel still if anyone no how to make money they do ........like to have a penny for every share they have on vgm

Hi Kim something to look forward tomorrow

Miner to reveal extent of new gold reserves discovered in Fiji

By Mark Leftly


Sunday, 24 January 2010
Share
Close


Gold Prices Soar in 2010
Free report detailing why the priceof gold is about to sky rocket.
MoneyMorning.com/Gold_Prices




Vatukoula is expected to announce a bumper find of gold tomorrow.


The miner, which is listed on the Alternative Investment Market, wants to expand its main asset, the Fijian mine of the same name that produces 40,000 ounces a year. Its chief executive, David Paxton, is expected to tell the market the company drilled 10 holes in the area, all striking gold.

Shares closed at 2.39p on Friday, down nearly 4 per cent on the start of trading.

RNS to that effect micky!

RNS Number : 0291G
Vatukoula Gold Mines PLC
25 January 2010


25 January 2010 AIM: VGM


Vatukoula Gold Mines plc
("Vatukoula" or "the Company")

Exploration Drilling Results

Vatukoula, (AIM: VGM), the Fijian gold producer, is pleased to announce the initial results from its exploration programme targeting an economic resource suitable for surface mining.
Highlights:
Drilling has identified multiple mineralised structures
Structures interpreted to be open along strike and depth
Selected drill hole intersections include:
MA 738 - 5.35m at 5.97 g/t of Gold
MA 740 - 6.03m at 2.06 g/t of Gold
MA 743 - 2.85m at 5.38 g/t of Gold
MA 747 - 1.45m at 6.57 g/t of Gold
In September 2009 Vatukoula announced that it had begun the surface mining and treatment of near surface oxidised gold mineralisation, and had begun a 10 hole diamond drilling exploration programme near the Korowere hill area targeting the near surface extension of the President Dyke and associated gold mineralisation. All 10 holes have now been drilled under this programme. The drilling results are given in Table 1 below.
Initial drilling intersected multiple mineralised structures around old surface operations specifically around the President Dyke where mineralisation remains open along strike and at depth.
In addition to the current drilling programme, historical surface mapping and drill intercepts will be used to develop an exploration programme to delineate the extent of the mineralisation with a view to estimating a Mineral Resource and possibly a Mineral Reserve for the oxidised mineralisation. Any such resource (and/or reserve) statement prepared in respect of the oxidised mineralisation will be announced if and when completed.
Success in these investigations would lead to a review of all Vatukoula's leases in the wider region for potential oxidised mineralisation and its possible inclusion in the long term mine plan of the Vatukoula Gold Mine.
Importantly, the Mineral Reserve and Mineral Resource estimate announced on 13 January 2010 excludes any oxide material that is presently being evaluated in this exploration programme.

David Paxton, CEO of Vatukoula Gold Mines commented - "We are pleased with the results of the oxide ore exploration to date which have confirmed management's belief in additional near surface gold mineralisation; if this is proved, and is of sufficient scale and grade, it will add to the production profile of the Mine. This exploration work has progressed well and is in conjunction with our continued production of gold from existing operations. Management recognises that it is important to maintain our efforts in increasing production from existing reserves, whilst also exploring the potential to grow the reserve base. We look forward to reporting on our gold production for the quarter in March."
Qualified Person Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School. Kiran is the Finance Director of Vatukoula.

Enquiries:
Vatukoula Gold Mines plc
David Paxton + 44 20 7016 7861
Kiran Morzaria

W.H. Ireland Limited
David Porter + 44 20 7220 1666
James Joyce

Arbuthnot Securities Limited
John Prior +44 20 7012 2000
Edward Burbidge

Bishopsgate Communications
Michael Kinirons +44 20 7562 3395

Thought this would jump higher and quicker than it has....take over prospects got to better than last time. imo

Slow and easy is the way I like it! :o)

As the RNS is now available on MAM I've removed the Table 1 Drilling Results, hadn't realised how much space it took up!

.

Kim!!!! lol

i'm actually out of these now, but were i a holder, i would be quite concerned that trading volume is pretty low (55m to date) and sp has scarcely moved despite the trumpeted rns

i'm actually out of these now, but were i a holder, i would be quite concerned that trading volume, by recent standards, is relatively subdued (55m to date) and sp has scarcely moved despite the much trumpeted rns

buy orders show up as sell

Vatukoula Gold Mines posts an inaugural gross profit of 1.4m for the year to the end of August.

This compares with a loss of 0.6m in 2008.

Total revenues for the group increased to 18.8m - up from 3.8m last time.

The firm said the improved performance was due to the increase in production and a higher average gold price received of $881 per ounce plus major advances in its ongoing production ramp-up at the Vatukoula gold mine with output totalling 33,757 ounces (2008: 12,847 ounces).

Chief executive David Paxton said: "We continue to believe that this mine can produce 100,000 ounces of gold per year and we believe that the expenditure on significant new machinery and mine development will prove to be a solid long term investment."


http://moneyam.uk-wire.com/cgi-bin/articles/201002261601567827H.html

I'm back in and hopeful, started to rise last thing.

I think this is an interesing play on the gold price.
Clearly gold has a long way to go yet with all the fiscal problems in EEC and the rest of the world.

BIG POP TODAY!!

Wow! nice RNS..onwards and upwards... I'm in from 1.1p & more @1.4p so v happy with today's results...will continue to hold for a good while yet..best is still yet to come I feel! (imho)

From another BB.....

Apparently there is a gold company (African) listing shortly on a valuation that values the reserves(on a per ounce basis) at 4 times the current VGM valuation! This will further put VGM on the fund managers radar!

Be interesting to see the next round of broker updates when the're released.

last buy was @ 1.47p for 180,000 looking good for monday should be some nice reading on sunday . have a graet weekend to all

Yes I have seen predictions like this come unstuck. CDN's share price surged from 15p - 1.35 on a similar prediction of new hardware producing more output. It didn't happen - having said that the sp was re-rated and settled at 45p. A takeover is also very possible. I dont see the price of gold losing its shine any time soon so I suspect the only way is up!! By specialone1

This rec sent to my inbox a few mins ago from GE&CR ..I'll settle for a doubling from here that'll make an eventual 3bagger for me.

Final results for the 12 months to 31st of August 2009 were released on the 26th of February with the highlight being the booking of the companys maiden gross profit of 1.4 million. This profit came on the back of the company producing 33,757 ounces of gold, up 163% on the corresponding period in 2008, and at an average gold price of $881 per ounce.


As operations underground were at various times interrupted and expanded, Vatukoula began sourcing additional ore from an easily accessible low grade waste dump. Believed to have in excess of 200,000 tonnes of material at a grade of 1.75 g/t gold, the companys processing plant required minor modifications to accept the waste dumps oxide ore. Further in-situ oxide material has since been discovered at surface which the company will be treating in due course.


On the 10th June 2009 Vatukoula signed a memorandum-of-understanding with The Fijian Sugar Authority for the future purchase of power from their proposed Bagasse power project at the Rarawai Mill. Alternative power sources are also being evaluated with the relevant authorities as Vatukoula seeks to augment, if not replace, its diesel powered electricity generators.


Revenue increased from 3.8 million in the 12 months to 31st August 2008 to 18.8 million for 2009. With higher production and lower operating costs, the company generated its first gross profit of 1.4 million a marked improvement on the 0.6 million gross loss incurred in 2008. However, this profit was eliminated by higher administrative (3.1 million vs 1.3 million) and depreciation & amortisation costs (3.9 million vs 0.8 million), a 2.7 million provision for doubtful debts and 1.1 million in share based payments, with the result being a pre tax loss of 10.0 million (loss of 4.1 million in 2008). The loss per share rose by 43% to 0.43p from 0.30 in 2008. Aside from a 0.51 million convertible loan, Vatukoula was debt free and held cash and cash equivalents of 1.09 million as at 31st August 2009 (2.25 million at 31st August 2008).


Post balance sheet date, Vatukoula has been busy with further upgrades, updates and exploration. The company embarked on a capital expenditure programme to acquire refurbished underground equipment including an additional five underground dump trucks and six underground loaders, more reliable power generating capacity and spare pumping capacity. The programme, funded through the 11 million raised in September and October, is generating tangible results with not only higher production levels achieved, but lower operating costs through economies of scale.


Meanwhile, an independent assessment of Vatukoulas reserves and resources was carried out by AMC Consultants with the result being a decrease in total gold to 4.3 million ounces, but a greater understanding of, and confidence in, the resource.


The company established a Social Assistance Trust to support previous employees of the Vatukoula mine unable to find work since its closure in December 2006. Vatukoula will pay F$6 million (approximately 3 million) into the fund during the next 5 years and, in return, will receive various concessions and exemptions from the government.


Finally a 10 hole exploration programme was initiated around the President Dyke, an historical surface mine site.


Vatukoula is targeting the production of 60,000 ounces of gold in the 2009/10 financial year, ahead of an annualised production rate of 100,000 ounces of gold by the beginning of 2011. Cash costs for 2009/10 are expected to be between $550 and $600 per ounce, while long term, with the implementation of alternative power sources and higher total output, we expect cash costs to continue trending down. Management has done a commendable job of modernising the Vatukoula gold mine, but are under no illusions as to the work ahead. We retain our confidence in the companys ability to deliver on its goals and thus reiterate our stance of speculative buy with 4p target price.

with you all the way S.H

i think there is more to it. i did some googling and sprott asset management has substancial share holding in both companies VGM and CZC. sprott and zinc both listed on toronto sx. sprott also operates in securities advicsiory. wondering- is it possible for VGM to have dual listing on AIM an TSX with sprotts help. and if so what effect it would have on sp???
other point going back to skyhigh 229 post... if you looked at ANDM which has ok very little share issue to VGM. ANDM plan to produce 15000onc of gold by end of 2010 and ANGM trades at 8.5p. it looks like VGM is way undervalued???

From the Daily Mail yesterday...something very pos+ could be about to happen to the SP ? (dyor)......

Market comment:

Nosy buying amid talk of an imminent development helped Vatukoula Gold Mines edge forward 0.18p to 2.28p.

Effectively put on the investment map by Martin Hughes in January when the shrewd Toscafund boss revealed he had bought a stake and said the shares could rise ten-fold, Vatukoula could be about to update the market on progress at its gold mine in Fiji.

http://www.dailymail.co.uk/money/article-1259026/MARKET-REPORT-BG-shares-gush-BHP-rumour.html

fantastic website one of the best out there well done VGM

http://www.vgmplc.com/operations/

who give a flying f about the artistic merits of a web site?!

morning cynic nice to see your in a better mood today ;-)) i think when the news come out on monday then a lot more people will what to research the company web site

http://business.timesonline.co.uk/tol/business/markets/article7069236.ece

dabbled here once, and managed a small loss ..... out of both POG and RIO as of thursday/friday (but shall buy back eventually), so currently just holding CEY as a gold play .... but shall def buy AGB fist thing monday

cynic AGB LOL who the f##k are they ? what i will say to you is , take a look at GRL........ do your home work its very very under valid in a big way , some good news was out a week ago or so ,...and now there waiting for Joc report ...on a well known gold belt ...let me no what you think cynic i think you be happy with what you find CEY overrated..

GRL is far too small for me .... i only use cfds and they need cap of 10m+

typo - it's ABG is the barrick gold vehicle that is being floated in london on monday morning

the trend is a friend in need cynic and it looks like ABG could need your money more then it need you.... sort tem could do well with your money but i fill that this would be long tem , would love a piece but funds all but tired up. my view think your do well long tem

very happy to take a quick profit in ABG!

5.75p per ordinary share has been set is that correct ? i think your money would do better in GRL but well see one month from today 20/03/10, should realy keep this too VGM post As i feel this will do better then both.

5.75! .... sorry, but not remotely interested in GRL

but from various press stories, looks as though you guys should have a jolly time tomorrow

Yes cynic your right on this occasion.........and here one of them press stories

Gold mine quadruples sales

By Mark Leftly


Sunday, 21 March 2010

Vatukoula, a gold miner that is listed on the Alternative Investment Market, is expected to announce a near doubling of its sales tomorrow.


For the second quarter of its financial year to the end of February, it is likely to announce that it sold more than 15,000 oz of gold. In the previous three months, it sold 8,826 oz.

The increase means that the Vatukoula mine in Fiji will have made net earnings of around 4.6m for the quarter, up from less than 1.3m in its first quarter.

The company is led by its chief executive, David Paxton, a former mining sector analyst. David Lenigas, the executive chairman of the Lonrho African investment empire, is a director.

Ultimately, the company aims to produce at least 100,000 oz a year at its Fijian mine as the result of a major drilling and redevelopment programme.

Vatukoula's shares closed at 2.2p on Friday, down 3.93 per cent on the start of the day's trading. The company is valued at more than 80m.

what would have been good to know would be at what level of production the company becomes profitable - sure as hell isn't at 15,000 oz

if i new that Cynic i would be very happy man .........but David Paxton, CEO of Vatukoula Gold Mines commented - "It is paramount that these results are taken in the context of the Board's overall and continuing strategy to develop the mine as a profitable venture moving forward. In order to achieve that goal the Board has had to focus both its efforts and funds on a significant capital expenditure programme. We have initiated our strategy with a long term regard to the needs of the mine and of the Company. We are determined that this mine can and will produce 100,000 ounces of gold and we believe that the expenditure on significant new machinery and mine development will prove to be a solid long term investment." .................AS YOU NO CYNIC you have to speculate to accumulate

RNS Number : 9111I
Vatukoula Gold Mines PLC
22 March 2010



22 March 2010 AIM: VGM

Vatukoula Gold Mines plc

("VGM" or "the Company")

Operational Update for the Second Quarter ending 28 February 2010

VGM, the AIM-quoted Fijian gold producer, is pleased to announce its operational update from its wholly-owned Vatukoula Gold Mine in Fiji, highlights include:
Mine net earnings of 4.6 million, up from 1.3 million in the previous quarter (unaudited)
Gold recovery of 12,869 ozs, up from previous quarter (12,227 ozs)
Gold sales of 15,267 ozs, up from previous quarter (8,826 ozs)
Average realised gold price of US$1,104 / oz, up compared with previous quarter (US$1,096 / oz)
Cash Costs achieved in the second quarter of US$684 / ozs of gold recovered compared to US$584 / ozs in the first quarter (unaudited). This increase was mainly due to lower grade material being mined.
Completed the first payment to the Social Assistance Deed in March 2010
Gold Production Report Q2 2010



Operations Update: The recently upgraded underground mining fleet has had a significant impact on operations: the tonnes of ore processed has been increased by over 18% compared to the last quarter. In addition, the availability of the underground mining fleet has also enabled us to increase development metres by over 20% compared to the last quarter.

While Q2 showed a 17% increase in our cash cost per ounce of gold recovered compared to the previous quarter, this was due to lower grade material being mined compared to the previous quarter. Additionally, our unit cost per tonne of underground ore mined and processed increased by 4% - the majority of this increase is attributable to higher fuel costs. Our costs, however, remain in line with management expectations and we continue to believe that as we increase our gold production the cash costs should reduce over the longer term to a level between US$550 and US$600 per ounce of gold recovered.

The Gold shipped during the period increased from 8,826 ozs to 15,267 ozs. The increase is attributable to both the increase in gold recovered during the period and the shipping of gold produced in the first quarter of this financial year. This has had a significant impact on mine net earnings which have increased to 4.6 million (unaudited).

On 15 March 2010, a hurricane warning was issued for the northern areas of the islands of Fiji. Areas to the North and East, particularly the island of Vanua Levu bore the brunt of the cyclone. Facilities at Vatukoula suffered no damage following the cyclone.

Underground Operations: Underground production for the quarter increased to 62,606 tonnes at a grade of 6.93 grams per tonne (first quarter 45,105 tonnes at 8.34 grams per tonne). The lower mining grade was as a result of increased ore delivered from on-orebody development and the mining of lower grade areas.

The improvement in underground mining is a result of increased availability and utilisation rates of the underground loading and haulage equipment. Underground mining operations delivered on average 647 tonnes of ore per day, up from the previous quarter of 478 tonnes per day. This is in line with our build-up in production from underground sources. The daily average ore delivery for each of the months of December, January and February was 565, 657 and 727 tonnes per day respectively.

Management continues to focus on mine planning to ensure that both short term planning and long term mine projections can be achieved. Of particular importance to planning is the historic lack of detailed geological information on the sections within the reserve and resource blocks. To rectify this the mine has acquired a further four underground exploration drills, giving us a total of nine, which are being used to provide advance information on the ore bodies for detailed planning.

Dewatering of the lower mine levels has been completed, and pumping is maintaining constant water levels. Pumping at the Philip shaft has exposed the 18 level, which we plan to include in operations at some time in the next financial year. Refurbishment work on access to the 18 level is underway. The engineering design and specifications for the Philip Shaft repair has been detailed and we are in discussions with an engineering group to undertake the necessary work. The repair will be on the lower levels of Philip Shaft and will not affect hoisting in the shaft while the work is being undertaken.

Milling Operations: The Vatukoula Treatment Plant ("VTP") operated satisfactorily during the quarter. The main crusher gyratory needed repairing during the period, which was successfully completed by mine staff with only a temporary suspension of crushing. The VTP milled 102,302 tonnes of sulphide and oxide ore at an average head grade of 4.64 grams of gold / tonne. Gold recoveries were 84.14%, which is consistent with historic gold recoveries at Vatukoula.

Power: A third party power generating company now provides over half of the current power requirements at Vatukoula. The Vatukoula Power Plant provides the balance. The mine has appointed an expatriate engineer to oversee the Power Plant.

Management is seeking alternate means to reduce the power cost. Our discussions in regard to a bio-fuel sourced power generation, in conjunction with the Fiji Sugar Corporation are ongoing.

Fijian Government: In March 2010 the Company made the first payment of F$1,500,000 (US$770,000) to the Social Assistance Trust Fund. This fund will finance the retraining and relocation of previous employees of Vatukoula who have not regained employment.

David Paxton, CEO, said: "We continue to focus on ramping up production and are now clearly seeing the benefits of our investment in new equipment last year. We have a long-term plan in place for the mine and it is pleasing to see its continued development going to plan. We continue to believe that our forecast production target of 60,000 ounces gold production for the financial year ending August 2010 remains on course.

The step increases in gold sales and earnings achieved during the quarter demonstrate the fruits of our labour. As previously stated, the planned continued increase in production is expected to result in a reduction of our cash costs per ounce. Additionally, as we grow our exploration programme, the Company's prospects are expected to become even more compelling. As such, we look forward to updating the market with further developments in the coming months."
Qualified Person Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School. Kiran is the Finance Director of VGM.


Edit. I have removed the breakdown of production figures as they became spread out and unreadable in my original post!

Thanks kimoldfield lots of good news too take from that I.E .........

We continue to believe that our forecast production target of 60,000 ounces gold production for the financial year ending August 2010 remains on course.

nice too see management producing what they preach.

even to my surprise, the market is underwhelmed

market are always underwhelmed cynic , special in these troubled times nothing surprise me in the London stock exchange any more just have too be a little Patience they no the game well... they write the rules ;-)) we just have too bend them

I think the market was already aware of the contents on Friday. I thought that the Results RNS on 26 Feb held a note of caution from Dave Paxton:-

David Paxton, CEO of Vatukoula Gold Mines commented - "It is paramount that these results are taken in the context of the Board's overall and continuing strategy to develop the mine as a profitable venture moving forward. In order to achieve that goal the Board has had to focus both its efforts and funds on a significant capital expenditure programme. We have initiated our strategy with a long term regard to the needs of the mine and of the Company. We continue to believe that this mine can produce 100,000 ounces of gold per year and we believe that the expenditure on significant new machinery and mine development will prove to be a solid long term investment.

No need for too much caution as far as I can see and, barring a calamity, the goal of 100,000 oz per annum should be achieved sooner rather than later. Having said that, I haven't visited the mine so cannot see any likely spanners in the works! :0)

This from Monday's recommendation on UK-Analyst is from GE&CR


Vatukoula Gold Mines * - Second Quarter Operational Update. Speculative Buy with 4p Target Price.



Key Data


EPIC
VGM


Share Price
2.295p


Spread
2.29p 2.30p


Total no of shares
3,652,371,027


Market Cap
83.8 million


12 Month Range
0.53p 2.59p


Market
AIM


Website
www.vatukoulagoldmines.com


Sector
Mining


Contact
David Paxton, CEO

Tel: +44 (0)20 7016 7861


The 3 months to 28th February 2010 provided further tangible evidence of operational progress at Vatukoula as the company reported increases in gold recovered and gold sold, as well as continuing to benefit from its unhedged position. Most importantly, the statement out today shows that the company remains on track to meet its target of producing 60,000 ounces of gold in its financial year to 31st August 2010.

Tonnes of ore mined, delivered and processed increased by 39%, 16% and 19% quarter on quarter to 62,606, 101,702 and 102,302 respectively as the availability and utilization of equipment as well as improved mine planning produced tangible results. The average total head grade fell from 5.29 g/t to 4.64 g/t as the average grade mined fell from 8.34 g/t to 6.93 g/t due to the company mining lower grade ore bodies. Consequently, the cash cost per ounce recovered increased from $584 to $684.

Recovery rates were stable at 84%, and while the amount of gold recovered rose marginally to 12,869 ounces (12,227 ounces in November 2009 quarter), the amount of gold shipped ballooned to 15,267 ounces (8,826 ounces). This, together with the continuation of high gold prices ($1,104 per ounce) resulted in Fiji group net earnings rising by 255% to $4.6 million.

On the 15th of March, a cyclone centred on the island of Vanua Levu left the companys facilities undamaged, while the matter of power supply remains a constant issue and one which management continues to seek a resolution to with discussions with the Fiji Sugar Corporation regarding bio fuels ongoing. Having committed to a social assistance trust fund for ex-employees of the Vatukoula mine in December 2009, the company made the first of five F$1.5 million ($0.77 million) annual payments on the 15th of March 2010.

With exploration of the companys wider licence area in the Tavua volcano ongoing, and a study commissioned into the capital cost of increasing eventual gold production beyond the current 100,000 ounces per annum target, Vatukoula remains committed to maximising the value from its natural and manufactured resources. On the basis of our discounted cashflow model, we continue to value Vatukoula at 4p per share but, if it can deliver a sustained increase in production above 60,000 ounces per annum, we will be forced to increase that target. At 2.295p our stance remains speculative buy.

charts showing a buy signal on the MACD... strong buying also contributing to the signals
SAR also showing upward trend

is VGM now blowing bubbles???

Not as much as ABG there sinking Cynic, !! LOL

didn't buy those after all that, but sure glad i took my profits on RIO and POG

i expert gold too move back up sort trem Cynic in the big way that's why I'm taking my position now ,i would suggest you are in a boat that lets you ride the wave

i trade both RIO and POG on a regular basis, but thank you for your thought

New article, click HERE

Extract from GATA ( Gold Anti-Trust Association ) Chairman's written submission to today's CFTC Public Meeting to Examine Futures and Options Trading in the Metals Markets:--

March 18, 2010

The CFTCs own reports of November 2009 show that just two U.S. banks held 43 percent of the commercial net short position in gold and 68 percent of the commercial net short position in silver. In gold these two banks were short 123,331 contracts but long only 523 contracts, and in silver they were short 41,318 contracts and long only 1,426 contracts. How improbable is it that these two banks attract most of the investors who want to sell short? 5

It has been possible to extrapolate that the two banks that hold these large manipulative short positions on the Comex are JPMorgan Chase and HSBC because of their huge positions in the OTC derivatives market, whose regulator, the U.S. Office of the Comptroller of the Currency, does not provide anonymity when it publishes market data. 6 In the first quarter 2009 OCC derivatives report, JPMorgan Chase and HSBC held more than 95 percent of the gold and precious metals derivatives of all U.S. banks, with a combined notional value of $120 billion. This concentration dwarfs the concentration in the gold and silver futures markets and should raise great concern about the lack of position limits on the Comex.

GATA has evidence that there are huge physical short positions in the gold market that cannot be covered. Growing stress caused by burgeoning physical bullion demand is threatening to lead to a price explosion, which will restore to the market the balance that regulation has failed to maintain. In our view, the Comex paper market will become dysfunctional, with force majeure having to be declared as the concentrated shorts are unable to deliver on their obligations.

We urge the CFTC to report fully and candidly on these markets and take appropriate action.

Sincerely,
WILLIAM J. MURPHY III
Chairman ( GATA )
-----------------

Full submission:--
http://www.capitolconnection.net/capcon/cftc/032510/Presentations/Panel%203/March%2018%20%20FINAL%20CFTCLetterCP-03-18-2010.pdf

charts are showing this as ready for the next move up please do yr home work

ready and waiting. gl

Interesting turn of events.... TPTB are not happy. Its either they silence him now, or else things would get out of hand if this hits the mainstream media. Just imagine him being interviewed on all the independent newspapers. the only way he can save his life now is go viral with his message with the help of the gold bugs.

http://www.sott.net/articles/show/205674-Andrew-McGuire-whistle-blower-on-market-manipulation-injured-in-hit-and-run-accident

something to ponder on till tomorrow from another BB

http://www.dailyfinance.co.uk/2010/04/02/why-china-loves-gold-so-much/

This is a must listion

Another scoop re. physical metals held or rather not held by the Bullion Banks
http://www.kingworldnews.com/kingworldnews/Broadcast/Entries/2010/4/7_Andrew_Maguire_%26_Adrian_Douglas.html

heavy buying here today.

Looking good isn't it?

hope the spike past 2.60 isn't it and back down again. Nice to see it back in play.

Now way back in play - gold shooting up this going down - better mining stocks available than this pile of rubbish. SELL

Like CEY and MML

that transaction of 12million shares is it a buy or sell????

that is great news?

what is???

BB---check the rns.
2517

Thanks george. took my eye off this one as it seemed destine to go down, the new shares will dilute sp somemore but the higher production is very healthy. Made the mistake of taking a good profit on the last rise then stupidly going back in again as it seemed to have more steam in it...... if it drops somemore may top up and average down.

go to www.zerohedge.com gold if expected to spike up. if the production keeps increasing??????????

Lots of small punter sitting on huge losses - steer clear for now!! buy sub 1p

I'm a small punter......cynic keep quiet!! lol

Also on the move am back in the money.,. buy buy buy

RF this is another goldey on the move.,.

This is looking good,,,more than doubled my outlay so far..should be lots more to come (imho)

look at this go....

Yep, it's good... let's hope this does not pull back like so many other good little stocks have over the past weeks!

I did a cynic last high. took good profit on what i held, then got greedy and bought back in and got left with the shares and profit gone.....stupid boy pike!!
So after long wait am back in the money, will not do that again.

results expected next week I believe and there's hope of a production upgrade.

Results are out

Had this reply from Tom Winnifrith's Smaller Companys Gold Fund.

They had enjoyed a good run - there was some profit taking. we still regard the shares as seriously undervalued. The company is presenting at the gold show in denver right now and we are told that the response is very positive.

This is still looking good and I'm well up on my 1.1p initial buy! long may it continue! staying in for more gains!

Tom W's gold fund portfolio ....


Top 10 Holdings

Stock Name Fund %
Vatukoula Gold Mines 7.59
Conroy Diamonds & Gold 7.55
Minera IRL 5.38
Medusa Mining 5.17
Kryso Resources 4.08
Chaarat Gold 4.04
Jubilee Platinum 4.04
Great Panther Silver 3.87
First Majestic Silver 3.49
Red Back Mining 3.19

What about Goldplat GPD?

What about it ? i held those about a year ago but the share price wasn't going anywhere , how are they doing now

I read a very promising report on them - look ver undervalued but that market not woken up to them yet!!

with gold well past 13$ VGM is rocketing into profit, 4p by xmas.,. buy buy buy

Still climbing.,. will we see 3p today???

this is a share, prob even worse than SOLG, that i find too scary, and certainly warned off No2 son yesterday ..... as far as i can see, there is no real logic to the rise either than just on the back of the gold price .... any way you look at it, these two companies are squiddly-diddly, and when they fall, they do so at 10x the pace that they rose

.

SRB - not the faintest idea; far too small to be of interest to me and have never looked at it

A heck of a lot of gold stocks are rising...even minnows...but not all of them...just some....

.

Perhaps not a panic...but we all know that the world economies are not exactly booming,.... gold is acting like a currency...and the trend is a gentle rise....

Got to disagree cynic..... this rose I think from 1p+ to 2.6p last and settled back to 2.3p now rising steady as you say on back of gold price and xmas/ indian demand. If we get past 3p, good profit made and expect to fall back to 2.5p but who knows how far it will go, early days plus good rns's .,.emu

may be, but not for me i think ..... i hold CEY and POG, both of which and of course are NOT rising and even falling!

The market caps are far too big now Cynic.....better to pick some midcap gold producer-explorers.....CLF-MIRL-MML....all isable also AVM (Aim) (not in) but seems to be doing fine....( I can never ever get that one right)......

too big for whom? ...... POG drives me nuts, but i think it's a damn good company; CEY is slightly more speculative but is actually producing and has good and proven reserves

I'm not saying that they are bad companies...they are tremendous firms...but they are too big and the small investor needs swings in the market...hence midcaps that are rising such as the ones cited above make better for the Isa....

ah - well my perspective is slightly different as i deal in CFDs ..... which of your 4 above do you rate the most highly and i'll check it out

Cluff Gold....(CLF) looks more and more promising.....I hold all three.

ah yes indeed - cluff is another excellent company, though for some reason i have never checked it out

I'm hoping for the sp to climb perhaps as high as 150p.....in time....I tried to get a cfd on it.....too small a cap..I was told....perhaps you might have better luck....

cynic must have bought a mil, gone to 3.06p .,.

cluff CFD is easy as is VGM as it happens (no i didn't emu!)

Managed to get a spread on CLF....can't understand why I was turned down a week ago.....

broken well through 3p and going on, next test is 3.5p

stick with it, I see 5p on the horizon......also get into Greatland before too long

Took my profit quite some time ago, so it's all yours for now..

This reccommendation from todays Sunday Telegraph should do no harm to prospects for VGM
Questor share tip: Vatukuola is a small-cap play on high gold prices
Gold really has been the investment of the decade rising from around $250 an ounce to more than $1,300 now. With the US looking likely to start printing money again, prospects for the metal still look rosy.

By Garry White, Questor Editor
Published: 9:00PM BST 30 Oct 2010

Comment

The company is ramping up production at what was once known as the Emperor Gold Mine, which is on Fiji?s largest island, Viti Levu. Vatukoula Gold Mines

3.31p

Many libertarians believe the price will continue to go up as fiat currencies or monetary units that are not backed by gold devalue. However, Questor believes the best way to play the elevated gold price is through gold companies increasing production. One smaller miner based in Fiji is Vatukoula Gold Mines, and the shares are a new speculative buy today.

The company is ramping up production at what was once known as the Emperor Gold Mine, which is on Fijis largest island, Viti Levu. The mine has been producing gold for 80 years almost continuously. However, operations stopped when the gold price was low. It is estimated that the mine currently contains 4.3m ounces of gold and the company is targeting production of 100,000 ounces per year.

Vatukoula is also exploring the area surrounding the mine, which it believes is highly prospective for new gold finds.

Underground mining has a high-fixed cost base. This means that at a time of low production cash costs are high, but as production increases the cost of producing each ounce falls. In the 12 months ending in August, the cash cost for producing each ounce of gold was $664 per ounce. This should fall further next year as production rises.

The companys target for production in the last financial year was 50,000 ounces, announced in May. The company managed to surpass this and produced 59,658 ounces. In

the current year, it expects production to rise to about 25pc, moving towards our annual production rate of 100,000 ounces of gold per year.

Because underground mining is energy intensive, the company plans to build a wood-fired power station at the site to provide for its own energy needs.

The Fijian government is stable and supportive of the mine. Note the mining title has been held by foreign companies for more than 70 years. Vatukoula has a five-year tax holiday from the government, with royalty payments on gold sales being just 3pc.

The company has about 13m in cash and debt of about $400,000. The shares are not paying a dividend and, based on analysts forecasts, are trading on a prospective earnings multiple of just 4.1 times. As the company increases production, this multiple is likely to move higher as the shares re-rate.

The Aim-listed company is small, with a market capitalisation of 135m, and so it should be treated as a speculative play. However, Questor expects the shares to be re-rated as production increases and cash costs fall. There is also some exploration interest around the site in Fiji. The company is also expected to move into profit this year. Buy.

One thing that they don't mention is the 50 for 1 consolidation due on 8th November. Not that it should, IMO, put off prospective purchasers.

I wont buy them.

I wont buy them.

Check this out for background info
www.vgmplc.com

yesterdays tip in the Telegraph.

http://www.telegraph.co.uk/finance/markets/questor/8096717/Questor-share-tip-Vatukuola-is-a-small-cap-play-on-high-gold-prices.html

Why not Mitzy ?

Walden

Can you put a chart in the header.

Not my sort of share ald.

There is a PE on this stock of only 4.1 !!
The presentation on their website is one of the best I've ever seen.
Certainly worth keeping tabs on when the dust settles a bit { Gold dust!}

my experience of consolidation is sp goes down and hangs for an eternity....

Yes,I must admit I am a bit reluctant,so will wait a bit methinks

Its high in Tom W's Small company Gold Fund portfolio.

Changed my mind and bought a few
Trading over 30 million shares at 11.30 is pretty good going,even for a company valued at 3.7p a share.

Walden

Are you still with us and do you still hold them ?

not bad going...this is a 3 bagger for me so far from a long while ago...onwards and upwards,, my experience of consolidations is not good though... they always go down and languish..let's hope it's different with VGM!

consolidation will get rid of all the day traders this will stabilise the share a lot more for the investor if we do get a 50-1 we could see a 2 price on this with a 3.5 target
they're is a lot more to come from this .

Especially trading on a PE of 4.1

More likely 1.50 then drop back to a 1 on lack of volume. imo

At current prices we are talking of equivalent of 2. per share.

l have been closely monitoring this stock for a while now and quite relieved i resisted in buying following announcement of consolidation . l would have to err on the side of B/B s observations and prognosis in this instance in that share consolidations- esp. short term- rarely advance a companies s/p; and even when they do they seem to take forever. .......But thats not to say i wouldnt buy on any sizeable drop in post consolidation price - as undoubtadly this stock is not without its attractions as illustrated by todays nice percentile gain

The stock is up this week by more than one third already.So if consolidation holds fears for you,you could still sell before the event. On the other hand I reckon this fear may be nothing to worry unduly about. After all,it is what the company prospects amount to that counts.

Think TFC has right idea, buy on drop after consolidation but not too early, Christmas gold rush is nearly over for the india market but saying that the Chinees could keep momentum going, will wait and see.

Gold on its way to $1,400 tonight

Back to this consolidation issue.
Still to be voted on,but the intention of reducing volatility must be a good thing.
Hang in there ,don't be afraid of ghosts where there are none.

Hoped you bank some substantial profit Friday @ 4.4p CP

VGM at 201 What the hell has happened
edit: forgot consolidation.

What was closing price yesterday?
Was it 4.2p
At that price it sshould have been opening at 210

Roaring on at 235

Consolidation, at the moment, does not seem to have done any harm!

but we new this kim,... nice to see long trem money paying off would be nice to see 3 for next month

pleased i bought in at 4.23 yesterday could be a nice xmas present for her indoors

Awesome.

Gold now over 1400 bucks an ounce.
And,VGM looks to be a little gold mine if you will pardon the pun.
What was all that crap about a fall on consolidation?

Always wrong me.....gla

this is a no brianer 3 end of next month

It's true, there is a lot of potential here barring problems at the mine, they do seem to have got on top of their various problems though. Good for them!

Did anybody have trouble with their brokers not updating your portfolio ?

still waiting myself

Me too!

Amazing, updated the second I posted!! There must be a spy in the camp. :o)

On the retreat now, probably back to 2.20p old value of share, hope you all took profit.,.

now things are looking good

Vatukoula Gold Mines
* Plans 50-to-1 share consolidation (In U.S. dollars unless noted)

TORONTO, Nov 3 (Reuters) - Vatukoula Gold Mines (LSE: VGM.L - news) , a small gold producer listed on London's AIM exchange, hopes to be co-listed on a North American stock exchange by late January as it pursues more exposure to global mining investors, Chief Executive Dave Paxton said in an interview on Wednesday.

He would not say which exchange he was targeting, saying only that he would file his application in early December. But more than 30 percent of Vatukoula's investor base is in Toronto, with 18.3 percent of that in the hands of Sprott Asset Management.

Toronto is also home to the greatest concentration of mining-orientated capital in the world and has become a magnet for foreign companies seeking greater exposure during an extended run-up in metals prices, especially in gold.

Gold prices are near record highs, trading at $1,341 per ounce on Wednesday afternoon in New York.

"We think we would be a good fit for the North American market," Paxton said of the listing that would still see the company regulated by AIM, a sub-market of the London Stock Exchange.

A North American listing by Vatukoula would also follow shortly on an expected 50-for-1 share consolidation to about 80 million shares from about 4 billion currently.

Vatukoula is the 100-percent owner of a 74-year-old gold mine by the same name in Fiji, where it is producing about 50,000 ounces of gold a year with the aim of doubling that amount soon.

BACK TO LIFE

Paxton became the company's CEO in November 2008, with the first order of business to raise cash and bring the underground mine back to life after it was closed by the previous owners in 2006.

A key investor in that effort was Eric Sprott, one of Canada's best-known fund managers whose firm has maintained its stake in the company with successive financings after an initial buy-in two years ago.

Since then, the company has spent $6 million a year in development costs, and will spend about $10 million in the current fiscal year, which began in August.

"Now we have 13 million pounds ($21 million) and we are generating profits," Paxton said. The company has a market capitalization these days of about 160 million pounds.

He expects Vatukoula to produce 25,000 oz of gold a quarter by the end of its second fiscal quarter, in late February.

At 100,000 ounces a year in output, the deposit has a mine life of 43 years, Paxton said.

He said further exploration would likely lead to the construction of a second mine shaft at a cost of about $30 million and with a view to eventually raise output to 200,000 ounces a year. (Editing by Peter Galloway)

hope you took profits yesterday.,.

......

Don't be silly.VGm prospects look great.

November 2010

43 Years of Stockmarket Experience writes...

Gold is at $1404 oz. Silver is at $27.90. The NAV of your fund has raced ahead in 62 weeks from 100p to 181.1206p and we hope that the best is yet to come, the fundamentals driving Golds rally are as strong as ever.

Gold is pushing upwards, and we believe that due to operational gearing the Fund will continue to do so too! Last week we saw 'Obamanomics' at its finest. After a trouncing in the Mid Terms, which will see Obamas flagship legislature unpicked by the Red House of Reps, and a now two year long period of bureaucratic stalemate, the Fed announced on Wednesday the clearing of the route for a second bout of Quantitative Easing. So the dollar will be devalued rapidly. And we believe that this is a process that has a couple of years to run. But no trading nation can afford its currency to be uncompetitive and so the G20 squabbles like ferrets in a sack as the great nations of the world engage in competitive devaluation.

The pickle that the US finds itself in will eventually lead to the demise of the Dollar as the World's currency. In the meantime it'll see Gold, and Silver for that fact, whiz further ahead. By some measures US unemployment has reached circa 20%, and the real scale of the debt that the US faces is yet to be realised by most Americans. In the next decade the US HAS to completely refinance itself to stay afloat. The state of the economy is that as of the moment, America's second largest Creditor is China, with the Treasury in the top spot. After America's continued attempts at currency devaluation, the US is, needless to say no longer in the PRCs good books.

At some point in the future the Chinese will decline to further the funding of their main Currency competitor. The World however is currently not yet ready to trust the Renminbi. Until the time that it does we will continue to see Investors fly from Cash and cash denominated investments to hard Asset classes, i.e. Gold, Silver, etcetera. We are even seeing Oil creep closer to $100 barrel.

The reason for the flight to safe haven asset classes is that the US, plus the majority of the Western World (including Japan), are so heavily indebted that there is no other feasible option but to maintain miniscule interest rates while devaluing paper currency to whittle away at the 'real' value of their debts. To draw upon the words of John Maynard Keynes 'Belligerent Governments, unable, or too timid or short-sighted to secure from loans or taxes the resources they require, print notes for the balance'. The US has exhausted its tax policies, and almost its debt capabilities, and instead of tightly reigning in decadent spending and promoting pro-business legislature (like for example China has), the US has decided to electronically credit its account with Dollars. The result is 'monetary dilution'. Put simply, in these untoward circumstances the Dollar in the pocket today will be worth less tomorrow ( to misquote Harold Wilson). The fundament al reason for this is that as more currency finds itself in circulation, Inflation ensues. Inflation has, until recently, not been taken seriously. We have recently identified that numerous wholesale commodity prices are increasingly on the way up. For example, Agricultural Raw Materials are up 24%, Coffee 45%, Barley 32%, Beef 23% and Sugar 24%. For the naysayers of Inflation, how long will it be before we see these increases at wholesale level trickle down to the more familiar retail prices? On a trivial level Next is set to put its clothes prices up by 8% as of next year.

More seriously, the argument for Gold has never been so compelling. Accordingly, this month we have taken part in the placing of a new investment vehicle with a mandate to invest in Gold stocks (more on that later). Tom is at the helm of the astutely selected stock portfolio. We reckon Gold and Silver will continue to push on higher. Your Fund is the top performing Unit Trust in its class with a year to date increase of 73.4%, dramatically outperforming Golds year to date increase of 26.9%. Since launch the Fund is is up by 81.12%. Of course past performance is not a reliable indicator of future results and we would like to draw your attention the important risk warning at the end of this message. In light of this our investment strategy remains in tact and stable. We are not deviating; we continue to add to our attractively priced holdings as and when we feel it appropriate. This month we have been nibbling at and compounding our positions in, amongst others, Ariana, Ovoca, Norseman, and Angel Mining.

You may say ''but we are in a frenzy''. Having seen many frenzies during a 43 year stockmarket career I can say for sure that we are not. In terms of gold we are still 30% below the real all time high price. When a frenzy starts gold will shoot ahead in a straight line gaining $50 in a session. And then the next. And then the next. The climax of any upswing is always that dramatic. What we see now is a $20 gain one day and then a $10 retreat. The trend is up but it is not straight line. It is not climactic. And in terms of equities: where is the bid frenzy that marks the top of any rally? Where are the quite ludicrous movements on the basis of mere rumour? Has your postman told you to buy gold stocks yet? Yes there is enthusiasm for the sector but not madness. Not even signs of it. We are still in the foothills of a major movement.

Robert Sutherland-Smith

That maybe so, but VGM is a buy at 210 or less imo

Going down down down......

dogs and fleas as with SOLG

Cynic is being cryptic

part of life aldwick in more ways then one

not really - you're just being thick!
both VGM and SOLG are dogs which have had their recent moment of glory ..... if you sleep with dogs, you get fleas, which i dare say several of you now have

Sold a few this morning as this has been a 3+ bagger form me so far...will run the rest and see what happens!....

Put some of the proceeds into TWL...don't know why..pure punt only..may come good very shortly..

not in here cyners....took my profit long ago..

but then you're a sensible emu and don't always bury your head in the sand!

hope yr still talking to aldwick cynic i'v just taking 10+ bagger and hoping to get back in at 1.89p well see how it go's

if you banked your profit, then well done - i assume it wasn't just "pretend" thanks to consolidation!

Cynic

If look at the gold & oil junior's today you will see that most are down today. But the long game is still looking good,

sorry but i don't think much of this bunch .... much happier with the likes of CEY as a junior

sorry but i don't think much of this bunch .... much happier with the likes of CEY as a junior

Cynic if you still held the ones you paid 1.35p for, your view may be somewhat different.
2517

Infact if I still had mine which I paid an average of 1.01p for, instead of selling @1.79p I would also be somewhat happier, still we pays our money and takes our chance.
2517

fortunately i was not mug enough to get suckered into either this one nor SOLG! .... and if i had paid only 1.35p, i'ld have banked my profits very thankfully .... and of course these have been consolidated, so what's your true cost price? - i assume 135

True cost 62.5p (1 for 50), so 3 bagger at the price you paid.
2517

so bank some/all profit!

Eh! see 381
2517

Bid Price BPC 190.5

Offer Price BPC 191

Maximum Size* 10,000
someone wants in cheap just got this ?

well done george - exactly the right move .... why should you care if you left a bit on the table for someone else?

I'm all for leaving some for the next man, I just left him too much ha!ha!.
2517

CEY is my core stock with smaller punt's on VGM , KYS and KIBO

SOLG not all bad.......was in at 13p and out at 34p all smiles.,.

you got in and got out .... i even remember the discipline myself most times, purely by posting it so often here!

whats happened to vgm share price today

what do you expect from such a stock? ...... dogs and fleas

.

Now, where's hlyeo?

bought back in @185p belive me when i say this this will see 3 very soon there something not right with this Sp manipulation call it what you like but 3 weeks top and 3

The dilution today may explain the weakness.
2517

must admit I also bought back in at 1.90p yesterday as that looked about the old sp of 3.5 - 3.8p. happy to hold, wait and see for next spike.,.

just read this on another bb

Just speaking with TD waterhouse there only allowing long posisions on VGM, they cant borrow the stock to offer a short, all bodes well for the next coming weeks months, just topped up, good opp this morning. my view on this is the same sort of stock

you misunderstand - that just means there is no one left willing to lend stock - i.e. everyone wants to short it

lol
yr neaver change cynic

my comment however was accurate, even if you don't like it

The fundamentals for the stock look very good to me

Finally sold all my holdings today @ an average 3.5+ bag.. sp v happy with that. will come back in if this drops to 150ish... can't see this doing much for a little while... have gone into RGM, TWL, SRES & ABH(today pm) with the proceeds thru this week.

GLA..

just for those of you that think this is a fly my night company well watch the video and you may think again this is @ $1,400 gold a $80,000,000 a yearly profit company now that not something to turn your noise up too

http://www.gowebcasting.com/events/denver-gold-group/2010/09/20/vatukoula-gold-mines/play/stream/1037

thanks harrycat looks good for 215p today

i see all the pi have left this to the long players don't be fooled by this share still has a long way to go this is a no brainer

Nice recovery!

bought back in last week at 1.95p am very happy to see this rise, back in the money again.,.

VGM looks cheap at 180p now.

it's not a stock i care for much, but i would not be at all surprised to see sp hit 200 dma ..... btw, only canaries go cheep!

and emu's, if it hits the 200 dma i'll have to stick my head somewhere dark......

up your arse - or does the sun from there?

Good rns, should be very busy by next xmas.,.

"We are very encouraged by the initial results from the drilling programme, which show further mineralisation close to surface and possible down dip and along strike extensions of the Vatukoula ore bodies. Our focus remains on developing the exploration potential of the mine to expand current production and we look forward to reporting additional drill results."

"The combination of extensive historical mining data, minimal exploration over the last 30 years, and modern exploration techniques provides an exceptional opportunity for Vatukoula to undertake exploration in the Tavua Caldera. Vatukoula is a world class gold deposit, with over 7 million ounces of gold produced to date, and a further 3.9 million ounces in Resources."

VGM is facing some difficulty now.

so i guess it wasn't that cheap at 180 then

Am 30% down on these , Tom W bought more for his gold fund at 100p and thinks they are a long term hold. That was before the latest update.

I'm very down :((

110p... looking very grim... could go sub 100p.

re post 408 - i shall very unkindly say that only those no-brainers bought ...... sorry bb, hlyeo and aldo

made me good money in the past but agree should have sat on hands.,.

Excelent write up on VGM in last few days by Ross Jones of Scrazy. Show the Company to be very cheap going forward.....



Buy Vatukoula at 91.125p
Says Ross Jones of t1psim.com

We own a shed load of these shares in our fund I declare this at the start. We are damn glad we hold them as they are dirt cheap. Let me also declare that! However, the share price of Fiji focused miner Vatukoula Gold Mines has been in the doldrums as of late. The last six months have seen the miner come off a high of circa 225p to where the shares currently trade at 91.125p, valuing the company at just 85.4 million. A trend of disappointing short term production downgrades and swollen costs associated with longer term focused mine developments coupled with a surprise ( if relatively small) placing at 125p, has seen solid downward pressure on the share price which simply does not reflect the fundamentals of the outstandingly strong long term bull case.

Our view is that the price weakness is a great opportunity for the long term investor and hence we have bought more at these depressed levels and here is why.

Forecasts for full year Gold production has been consecutively revised down over the last two quarters and for the current year to August 31st the management has now provided guidance of 55,000 ounces having produced 41,487 ounces up to the end of Q3. The company is paying the price of over promising and under delivering but has focused itself upon accelerating its long term mine development aimed at enhancing production capacity. In the short term this has seen lower than forecast grades processed and costs become swollen, but in the long run should position the company well to hit its target 100,000 oz output level. We reckon it will be shooting at that level by early 2012.

The stock market does not treat short term disappointment well and in this transitory period leading up to full output there is scope for continued share price weakness here. But once target output is reached, at 100,000 ounces ($1,500 Gold) and forecast costs per ounce of circa $880 Vatukoula will be generating free cash of 39.1 million. With insiders recently buying reasonable amounts of stock at 110p (CEO & Chairman) and Vatukoula currently trading on a projected multiple of just 2.2 the bad news, and disappointment are more than discounted here. The long mine life and potentially economically attractive exploration upside provide further justification for investment here. The current share price weakness should be seen as a buying opportunity.

I would add as a potential bonus that there is no reason why output could not be hitting 130,000 oz by the end of 2012 as some higher grade open pit deposits near the main mine are exploited. That would alter the maths materially both by increasing output but also by reducing unit costs by (perhaps) $100 oz. Moreover the company is also working on a biomass fuel provision system which could be onstream within a year and would cut cash costs by $140 oz. And finally, we think that gold is heading a lot higher than $1500. You can play with the maths yourself but under some circumstances this company is now trading on a cashflow multiple of little more than 1.

Ross Jones
www.t1psim.com

13/07/2010

Is it a case of " well ,he would say that " being paid and working for Tom Winnfirth's GOLD Fund who's largest holding is VGM

VGM third biggest holding in Winnies successfull Gold fund........

Top 10 Holdings
Stock Name Fund %

Ascot Mining 7.85
Great Panther Silver 6.21
Vatukoula Gold Mines 5.89
Hambledon Mining Plc 5.54
Ariana Resources 4.88
First Majestic Silver 4.57
Athol Gold 3.46
Angel Mining 3.26
Romios Gold 3.18
Sovereign Mines 3.11

http://www.t1psim.com/pdf/Gold%20Fund%20Issue%2027.pdf

Not a big fan of Winnies but he does seem to get most of his miners right these days.

Also i think Wendy Durham has VGM as a long term hold. Bad move by Tom W to sell CEY and MML i think.

Wendy durham, havent seen her for a while. Normal on over the road on a mining site or two.

Glad to see these creeping back up, got greedy and bought at wrong time.,.

Actually going up today!

This is a disaster now - 70p

It's all a disaster :((

solg and eog are similar stocks that some promoted as being the next sliced bread

A well respected Pi has just bought in,so took a look and came up with this interesting post.


My Dad's (ex geologist) take:-

This is a worldclass deposit that has produced 7m ounces of gold so far and still has a resource of over 4m ounces with recent exploration pointing to more to come. Reserves of around 800k ounces, sufficient for the next eight years will be increased with infill drilling and new access from the inclined shaft now being developed from 18 to 21 level.

The mine closed due to high costs in 2006 when the gold price was circa $600. Final days struggling meant no development or maintenance and they resorted to highgrading around one of the shaft pillars which damaged it. Assume the price required for disciplined mining at reserve grade as a profitable going concern was 20% higher say $720. Now inflate that at 5-6% compound per annum to 2012 gives an equivalent gold price of around $1000 an ounce. (Not the suggested possible $800 from the ever optimistic management.) That kind of reduction can only occur in about three years time when the new green electric power station is up and running. So by year end august 2012 they might be approaching the long promised 100k ounce annual output at a true cost coverage rate of circa $1000 ounce. Meanwhile at a goldprice of perhaps $1800 and rising there should be $80m surplus at last. Allocate $25 for tax $30m for growth and exploration and $25m for a dividend to long suffering shareholders. If such dividend was 5% of market cap, then that cap would be $500m or £323m over five times the present sorry level of £0.59. It is clear that only gold price optimists would invest in this risky high cost producer but one does not have to be a raging goldbull to see attractive upside possibilities and very little downside left!


The management must be told to stick to their knitting and fully explore their fijian leases BUT NOT TO WASTE SHAREHOLDERS FUNDS EMPIRE BUILDING IN OTHER LANDS! There are many years life left in Vatukoula and shareholders can reallocate their dividends if they so desire as can management holders. Other valuation parameters; at todays market cap $91m resource ounces are valued at $23 per ounce few significant longlife economic deposits are being uncovered today as cheaply as this, then you could not build a new mine at such a small cost. UK mining analysts tend to be over conservative in their longterm gold price forecasts having been consistently wrong for the last ten years, on quite reasonable forecasts this mine can be very profitable again. Finally one has to hope that promoter Paxton has taken a leaf out of Peter Hambros book and is now under-forecasting this years 65k ounce output.


There is a new mine management team in place and development must be opening new stope faces by now, if they can make a slightly better job of sorting ore from waste, and putting higher grades through the mill the future will be bright. Q1 15.5 Q2 16.5 Q3 18 Q4 20 m ounces would get us to 70m ounces fingers crossed. There still remains the tantalising potential for new discoveries both within the mining lease already revealed and in the surrounding ground along the caldera rim. The best place to look for a mine is near a large mine.

Also this from Kingworld.

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2011/12/20_London_Trader_-_We_are_Witnessing_a_Historic_Bottom_in_Gold.html

sold all of mine today , this is one of tom winnfirths favourites bought KMR with the proceeds

VGM is too cheap now at 60p... BUY

you must be joking!

Flooding in Fiji , maybe that's why they seem cheap ? but not if the mine as been effected by the heavy rain.

malaise looks much more than just some short term flooding

50p should be the bottom... not a penny less. Good buy.

Wouldn't touch it above 40p.......sub 40p and might be interested.

some twit went back in when he'd already made a profit on this one and now has to sit on his hands and watch.,.

not even an emu would do that .... must be a real knobhead

Told you so Cynic, ok just 50% right

Accident and rain hit Vatukoula gold mine

StockMarketWire.com

Shares in Vatukoula, the Fijian based gold producer, have fallen nearly 5% amid speculation of excessive water ingress at the company's Vatukoula gold mine.

Due to the effects of the recent heavy rainfall in Fiji, the country's infrastructure has been impaired. As a result some of the company's employees who live outside of the Vatukoula and Tavua communities have been unable to attend work or have had to attend to their homes.

Ingress of water into the mine has rendered some minor areas inaccessible but otherwise production areas remain unaffected.

On Sunday evening water ingress into the Smith Shaft carried debris into the shaft which at the time was transporting 11 miners in a man-riding cage to the underground workings and in the process causing minor injuries. All of the injured miners were taken to the neighbouring medical clinic.

David Paxton, CEO of Vatukoula Gold Mines, commented: "To date, we believe that there has been no material effect on the production forecasts as a result of the ongoing rains or the minor accident in the shaft."

At 10:15am: (LON:VGM) share price was -1.25p at 53p

Well, it's not too bad, just a bit of rain.

That's what Noah said!

30p now... what a disaster.

They need a big umbrella!

you shouldn't even be in this one - along with a number of other crap shares such as GOO and RRR and FCN

Made good money on this one (and you cynic if my memory serves) when gold was on the up.......BUT like an idiot i went back in for more and got burnt.,.

Sold some time ago with a small profit, should have sold earlier when I would have had a big profit! There is always a chance that VGM will make a decent gold discovery but I will avoid until that happens.

Hey guys,
Found this audio interview with David Karl Paxton, CEO of VATUKOULA GOLD.

Its worth a click:

http://www.brrmedia.co.uk/event/98779/david-karl-paxton-chief-executive-officer

had a little jump today, vgm i mean could this get excited on the run up to xmas.....damn said that word again.,.

Good volume again today with a step up in the right direction.,.

Going TITS up by 25th june any prats like me holding need to sell.......