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

cheers GF.

rf so why is CEY's sp falling?

It's not.

sorry it is if you look at the 1 month chart.

The gold price chart suggests an imminent breakout in gold price.
With September usually a very good month for the yellow stuff,it could hit $1200. according to a CNBC tipster.

And this looks to be the start of it today.
Gold price up by $25. today to $979.

Boy !, this is flying...wunderbar !!!...

Yes,and the $25. price hike is the largest 1 day rise since March 19. Agood sign if ever there was one.

Today : this is like launching a rocket from a rocket...

moderately interesting ......

This from liberum..... Thoughts?


BUY

Petropavlovsk (formerly Peter Hambro Mining)

PRICE: 8.84 | UK | MINING | POG.L | POG LN

Last night we met with a confident Pavel Maslovskiy, CEO of Petropavlosk (PPK) for an informative meeting with our sales team. The company reiterated it is firmly on track to deliver 500koz of gold production in 2009 (210koz in 1H09). The company surprised us on highly prospective growth prospects at existing operations via material resource increases (at Pioneer, Malomir and Albyn) and its confidence for sustainable low cash costs (Malomir at an estimated US$186/oz!! total cash cost). In addition we expect to see first earnings from iron ore in 2010 with a financing deal with the Chinese on its bigger assets before xmas. Despite its recent rally (+67% since 8th July) we continue to regard PPK as our standout pick, still cheap for a precious metals stock on 10.0x 2010 PER and 5.6x EV / EBITDA (at US$1,000/oz gold). Highlights from our meeting:

n 1H09 US$254/oz cash costs are sustainable: reported 1H09 cash costs (post royalties and taxes) were US$281/oz at Pokrovskiy and US$222/oz at ramping up Pioneer. Maslovskiy does not expect imminent cash cost increases due to ongoing Ruble weakness (average of 31.4 in 2H09 vs 24.9 for 2008), low and stable energy costs within Russia, frozen wages for 2009 and ongoing ramp up at Pioneer where the 2nd grinding circuit reaches full capacity this month. Cash costs at the more mature Pokrovskiy mine are expected to remain under control. No guidance was given for full year costs but we now expect cash costs to come in significantly below our pre-interim estimates of US$384/oz possibly as low as US$330/oz for the full year. Guidance was provided for the first time on cash costs at Malomir (commissioning 2H10), which also appears extremely low cost at US$186/oz (direct operating costs of US$113/oz).

n Resource increases point to asset life increases at existing operations: the interims on September 1st flagged an additional 280koz of Russian classification gold resources at Pokrovskiy, three very high grade ore columns near Pioneer (including 1.7m @ 366g/t, 6.2m @53g/t and 7.7m @55g/t) which could point to an extension of Andreevskaya along strike, plus two new non-refractory ore bodies were delineated at Malomir the companys next growth asset in the pipeline. Enticingly Maslovskiy suggested that in-situ grades at Andreevskaya are trending 30% higher than that assumed in the geological model, with the next resource update likely to be at the start of 2010. Existing pit reserves at Pokrovskiy last until 2012, whereupon the Pokrovskiy flanks become the principal plant feed, but PPK appear confident that additional near pit resources may be also added.

n Albyn set to become a flagship asset: at the interims PPK announced a doubling in expected full production at Albyn to 205koz from 2012 (start up 2011) a highly prospective source of production that we still value as an exploration asset. A pre-feasibility study has been completed that envisages 1.5Moz of Russian classification resources, with and IRR of 57% (at US$850/oz gold price) for a mere US$160m capital expenditure. However this study is based on 1.5km of strike yet the alluvial orebody extends 5km along strike, thus the scope for very material resource increases is high. Due to a high nugget effect within the ore, PKK has applied conservative resource criteria and it believes there is scope for resource gold grades to be underestimated by 15-20%. Albyn is a non-refractory, free milling ore, which will allow simple technology (gravity separation) for +c.91% recoveries. PKK is clearly excited about Albyns potential, with Maslovskiy pointedly stating that he would have preferred it to have leapfrogged Malomir in PKKs pipeline delivery. It is clear this mine looks set to become PPKs flagship asset and its development should take PPKs production through the 1mozpa production barrier.

n Fixed costs to be spread across 4 operations: due to the companys remote location and lack of a skilled labour pool, the company performs in-house mining services (licensing, construction, drilling, assaying and mining). Consequently PPK has historically only been able to spread fixed costs over Pokrovskiy. Exploration and construction costs in 2008 totalled US$27m and US$15m in 1H09; going forward these costs may be spread over 4 producing operations.

n Iron ore assets progress being made at K&S: Kuranakh, the titanomagnetite (lower grade iron ore) and ilmenite operation is on track to be commissioned by end of 2009, a Chinese offtake contract is in place and the operation will be profitable at current iron ore prices (US$30-40m of EBITDA?). More significant are the much larger K&S deposits, where obtaining financing has been the major obstacle to unlocking the assets potential. A new staged proect scope has been set ot by management with stage one being a 3.5Mt pa mine estimated to cost US$400m. A 20Mt pa operation would cost nearer US$1bn, with cash costs for a 65% Fe concentrate estimated by Maslovskiy at US$42/t (vs current spot selling prices in Northern China at close to $80/t). PKK states it is at quite an advanced stage with Chinese strategic partners, finance providers and offtakers and it hopes to provide an update by the end of 2009. PKK appears to be pursuing vanilla project finance structures of 60-70% debt vs 30-40% equity in partnership with a local JV partner and it appears relaxed about its ability to close this deal in China. PPKs equity cheque for their share of K&S on these metrics could be as low as $60m, which could be financed by the sale of the 49% in the project. As such this significant project could be financed on other peoples money and will not be a drain on PPKs now pristine balance sheet.

n Russia risk considered overdone: Maslovskiy stated that PKK is used to good working relationships within Russia but noted a thorough understanding of local legislative practises are essential, a feature which can be frustrating and bureaucratic for unfamiliar foreign investors. Maslovskiy believes the climate for foreign investment into Russia has become increasing welcoming during the last 12 months. He indicated the gold mining sector within Russia experiences negligible State interference since gold is considered non-strategic (Liberum endorse this view since golds relatively small scale relative to oil & gas, nickel and PGMs allow it to fly beneath the radar) and he appears unconcerned about hypothetical future changes to legislation on the basis that PKK enjoys a good relationship with Russias Ministry of Natural Resources.



PPK has outperformed the Philly gold index since 1 July by 25%, yet on a one year view PPK has underperformed the index and its Russian peers Polyus and Polymetal. With an encouraging outlook on project delivery, very low operating costs and very robust near term growth prospects (targeting 1Moz by 2012), PPKs performance remains anomalous. PPK also now has net cash US$63m since its US$141m convertible bond due August 2010 is now in the money (conversion price 7.24/shr). PPK remains our standout pick in the precious metals space; it remains exceptionally cheap for this sector on 10.0x 2010 PER (at US$1,000/oz) and 5.6x EV / EBITDA. Next news will be a site visit on 3rd October so we would advise buying now.

share magazine oct 1st sugests valuation by investment bank Fairfax believes the FTSE 100 beckons and has a price target
of 18.recomends a stong buy

LONDON, Oct 6 (Reuters) - "Russian gold producer Petropavlovsk and asset manager Leader have agreed to create a joint investment fund to buy and develop Russian gold mines, Petropavlovsk said on Tuesday.
Petropavlovsk, Russia's third biggest gold producer, which recently changed its name from Peter Hambro Mining, would provide mining expertise and some capital, while Leader, the largest asset manager in Russia, would invest clients' funds, a statement said.
The initial joint investment is expected to be around $100 million and a number of targets have already been identified, it added.
A spokesman said further details were not available since a memorandum of understanding had been signed but a final agreement was still being discussed.
Leader's main client is the pension fund of Gazprom , the world's largest gas producer, the statement said."

They certainly look one of "The picks to Click",if I can borrow an old cliche from the rock and roll hit parade!( When music and noise were two different things. )

yesterday, sp was only challenging 25 dma ....

who cares.........this is a long term hold.......bought this at 4 quid, cant believe this was under 2 quid

Gold rising as we speak is helping....great stock to buy and hold.

From Canaccord:
"Focus on Kimkan (first of the magnetite ores likely to be developed) 132Mt of magnetite grading 35.5%Fe, and likely to be mined at 10Mtpa and up-graded to 3.2Mtpa of concentrate grading 65%Fe.
The big surprise to all was the amount of work already undertaken in addition to that planned for next six months. Half of the approved 440 hectares of forest has been cleared so far, a team of 60 mostly new hires is on site or dedicated to the project. Pre-stripping is well underway but not yet exposing ore there are some million cubic meters to be removed before mining. The final plan is for 1,000 workforce with full accommodation, at the moment the foundations have been laid for the workshop and some accommodation already in place.
Petropavlovsk plan to be ready to start plant construction mid 2010, should finance and agreements be in place.
Kimkan is the only mining project in Jewish Autonomous Region so is getting full support from local authorities.
We think the market has to catch up on this; most in the market seem to be ignoring the iron ore and attributing no value or at least one case, negative value.
A word of caution ‑ all the work being done may convince some of an early start to commercial production. We forecast first ore late 2013 and we doubt it can be done sooner."

We have now pierced last years all time gold high at $1032

What a star!

told you it looked tasty, though CEY has performd very well today too