http://www.kitco.com/charts/livegold.html

cheers GF.

currently 7.43/7.50 = down 0.29p

Hoping for the gap to be filled in the chart above, Mr C.

Open Offer

Petropavlovsk PLC wishes to notify that IRC Limited ("IRC") has today announced it plans to raise approximately HK$408 million (approximately $52.6 million) by way of an open offer of shares to Qualifying Shareholders.

Further details may be found in the announcement of IRC Limited, available on its website www.ircgroup.com.hk

As its going so well, I've added a few more today.

Trading Statement

Peter Hambro, Chairman of Petropavlovsk, said:
"During the period, we maintained our focus on increasing efficiencies, controlling costs and maximising positive cash flows. In the lower gold price environment we are aiming to maximise cost benefits. Crucially, the recent volatility in the price of gold highlights the value of our increased production flexibility."

H1 2015 Highlights and FY 2015 Outlook

· Costs
o Significant decrease of preliminary Total Cash Costs ("TCC") in Q2 at Pioneer and Albyn - two major producing entities of the Group
§ Pioneer TCC of c.US$550/oz when processing 1.1g/t vs c.US$650/oz in Q1 (a reduction of c.15%)
§ Albyn TCC of c.US$600/oz when processing 1.2g/t vs. c.US$950/oz in Q1 (a reduction of c.37%)

· Net Debt
o c.US$234 million reduction in net debt (preliminary) as at 30 June 2015 to c.US$696 million (preliminary unaudited) compared with c.US$930 million audited net debt as at 31 December 2014
o Reiterated 2015 year-end net debt guidance of c.US$600 million
o Reiterated net debt:EBITDA ratio target of 1.5:1, though production plan provides sufficient cash flows for a scheduled senior bank debt repayment by the middle of 2018 and repayment of US$100 million Convertible Bonds in 2020
o The Company is trading comfortably within bank covenants

· Production
o H1 2015 total gold production of 240.2koz, in line with guidance
o Increase in high-grade ores reserves accessible for open-pit extraction in 2015/16 at Andreevskaya (Pioneer)
o Petropavlovsk maintains capacity to achieve FY production of c.680koz but will maintain flexibility in output in order to minimize operational expenses and maximise cash flow in low gold price environment
o Tactical decision on absolute levels of production will be taken during the next six months to achieve the optimal cash flow generation and net debt repayment by potential exclusion from production of marginal ounces from Malomir and Albyn

· Gold sales and hedging
o Physical volumes of gold sold of 229.7koz
o Average realised gold price of US$1,221/oz
o Positive effect of US$11/oz from the Group's hedging position
o As at 30 June 2015, the Group had outstanding hedging contracts for 75.0koz of gold at an average price of US$1,201/oz

· Capital expenditure ("Capex")
o The Group reiterates full year target of US$35 million in total Capex

· Exploration
o New deep drill holes at Pioneer confirmed the continuation of high-grade gold mineralization to depth. Group continues to assess plans for underground mining
o Further promising exploration results from non-refractory mineralisation located near the ore processing plants at Pioneer, Pokrovskiy and Albyn

FY 2015 Outlook
o The Group issues improved TCC cost guidance of c.US$600/oz, down from US$700/oz previously, due to continuing success of efficiency programme and revised production schedule
o Reiterates 2015 year-end net debt guidance of c.US$600 million, due to strong anticipated cash flows in H2
o The Company reiterates FY production capacity of 680koz but stresses that this may not be optimal from a cash generation point of view

· IRC
o Prospectus issued for fully underwritten rights issue of HK$408 million on the basis of 4 offer shares for every 15 held. Petropavlovsk has undertaken not to apply and its holding will be decreased to 35.83%

D. E. Shaw & Co., L.P. & D. E. Shaw & Co. (London), LLP now have 12.1% of voting rights (combination of CFD & Convertible Bonds).
Seems they are happy to hold and increase........I assume with confidence of the industry eventually turning around?

Still bumping along the bottom. Considering the state of the market, it has probably fared better than I thought it would.

Production Report for Q3 2015
Q3 Highlights
· The Group successfully achieved its Q3 production levels as called for by the previously announced change in strategy designed to meet the Group's challenging debt repayment profile. This calls for the Group to concentrate on the mining and production of ounces with the highest possible profit margin, even at the expense of those ounces that are only marginally profitable
· Q3 gold production of 114,500oz (Q3 2014: 150,100oz), with total gold production for the first nine months of the year of 354,700oz (nine months 2014: 456,500oz)
· Sales for the first nine months of the year of 343,500oz (460,900oz during the same period in 2014)
· Q3 average realised gold price of US$1,153/oz (including a US$27/oz contribution from the hedging programme) and US$1,198/oz, (including a US$16/oz contribution from the hedging programme) for the first nine months of the year
· c.US$255m reduction in Net Debt as at 30 September 2015 to c.US$675m, compared with c.US$930m as at 31 December 2014
· Underground potential at Pioneer: budgeting discussions and dialogue with contractors to carry out detailed mine design and further underground exploration is underway
Operational Update
· Q3 works at the majority of the Group's mines in line with the Group's plan
· At the high-grade section of Andreevskaya (Pioneer), the presence of enriched zones with free gold particles and grades in the hundreds of grams per tonne required an adjustment to the plant's flow sheet to prevent losses of high-grade material to the tailings dam
· Data from blast-hole drilling confirmed that average grades in these areas exceed JORC model estimates
· To treat this high-grade material, a different set of technological parameters was adopted:
- Blending with large volumes of low-grade material
- Extending the leaching time at the plant up to 22 hours, compared to the usual period of 10-12 hours
· In October, the Pioneer plant achieved an increase in head grades from 1.1g/t to 2-3g/t. Due to the extended leach-time, there is currently an increased volume of gold in circuit
· The Group expects that c.150,000oz of gold (455,000 tonnes of ore) can be recovered from this high-grade area at Pioneer by the end of the year, although total production for the year will depend on processing speed and recovery
FY 2015 Outlook
· The Group reiterates its year-end Net Debt guidance of c.US$600m at a cash cost of c.US$600/oz
· All-in Sustaining Costs ("AISC") are expected to be c.15% above TCC/oz with All-in Costs ("AIC") only c.5% above AISC
· The Group is confidently following its repayment schedule and expects to stay within its financial covenants at the year-end results
· The Group reiterates its capex guidance for the year of c.US$35 million.

Commenting on operating results, Pavel Maslovskiy, Chief Executive Officer, said:
"I am pleased to report that the Company is progressing well with our target for 2015 to decrease Net Debt to c.US$600 million by the end of the year, focusing on the mining and production of ounces with the highest possible profit margin. This allows us to fulfil our deleveraging programme targets and to deliver on our highest priority - returning value to our shareholders.

Operationally, Q3 works were carried out in line with the Group's plan across all our mines with the exception of Pioneer, as explained in today's statement.

In order to ensure minimal losses during treatment of high-grade ore, a new set of technological parameters was developed and we expect that c.150,000oz of gold can be recovered from this high-grade area by the end of the year, although the total production for the year will depend on the speed of processing and recovery.

Work on the Group's underground development potential is ongoing. At Pioneer, drilling work has confirmed extensions suitable for underground mining at Andreevskaya, NE Bakhmut and Quartzitovoye (Malomir). The main ore body at Pokrovka I is also being evaluated. Mineralisation is open at depth in most instances. Discussions with contractors regarding budgeting, detailed mine design and further underground exploration is currently underway.

The Group is confident in meeting its repayment schedule and expects to stay within its financial covenants at the year-end."

On the move again.

FT:
"A RUSSIAN billionaire has quietly built a large minority stake in Petropavlovsk, fanning speculation that he could launch a bid for the gold miner chaired by City veteran Peter Hambro.

Viktor Vekselberg, whose net worth is estimated at $12bn, controls a vast empire through his holding company Renova. In recent weeks it has used three subsidiary companies — Lamesa Group, Lamesa Foundation and Polo Company— to amass a 20% stake in Petropavlovsk, owner of one of Russia's largest gold mines.

Renova did not return calls.

Petropavlovsk — founded 21 years ago and originally called Peter Hambro Mining — declined to comment.

The move by Vekselberg, 58, owner of a 250ft super-yacht called Tango, is the latest development in a harrowing year for Petropavlovsk.

The miner nearly went bust when it was unable to meet repayments on more than $900m of debts. It had spent heavily to develop a large deposit in eastern Russia amid a crash in the price of the precious metal. From a peak of nearly $1,900 an ounce in 2011, it has dropped to about $1,076.

Petropavlovsk was saved by a deeply discounted £155m rights issue in February that wiped out shareholders who chose not to throw more money at the company. The deal included a new $100m (£65.7m) bond convertible to stock."

Declared short interest has now dwindled to less than 1%, from a high of 8%.

Many are buying.
Gold at 1200, and expense at 850, they should have made enough cash to reduce debt further.

One to watch....as they might be able reduce debt levels...

Gold is rising above 1220.

Is anyone else optimistic about this?
Big volumes and steady rise recently.

it's an interesting high risk/reward play
if the markets are to continue south, then gold is likely to rise, and even spivvy stocks such as POG should benefit ..... i think it's a low cost producer actually, which will certainly help

The 7p level seems a constant struggle to break through. Also POG is heavily laden with debt, which seems to put off some investors. Am a holder so hoping you are correct.

Once again barely made it past the 7p level.

Very strange movement.
Gold continues upward trend, but POG is falling