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

cheers GF.

Gold production soars at Peter Hambro
MoneyAM
Peter Hambro Mining reports a 72% increase in first-quarter attributable gold production to 107,400oz. The amount of gold sold was almost double the figure for Q1 2008.

The company says the production increase was mainly due to the effective operations of its Pioneer processing facilities, with Pioneer's Stage 1 process facility working at full capacity.

Equipment installation for the Pioneer plant's second line is continuing with commissioning expected in July, ramping up to full capacity by September.

Expected production for 2009 remains between 460,000oz and 510,000oz.

Production from the Pokrovskiy mine is expected to decline in 2009 to 177,000oz. Q1 production fell by 12%.

Average realised gold price for the first quarter was $910/oz, up from $909/oz in Q1 2008. Gold sold in the first quarter reached 99,053oz, up 95% on the previous 50,723 oz.

Zak Mir Pro TAeer just given his verdict on POG over the road....


Zak Mir



Reged: 28/06/07
Posts: 796
Re: CHART ATTACK - Longs and Shorts. [Re:
#445320 - 07/05/09 08:06 AM Edit Reply Quote



I feel I have made my contribution with the FTSE 100 call to 4,800 on a break of 4,100. This is a very good charting thread on the stocks. POG would probably be my favourite mining long after the break through 600p.

Fairfax mini-comment

In conclusion: Peter Hambro Mining is our top pick in the gold mining sector. The company has some of the
best fundamentals in terms of production growth and low cost operations. Last year saw the impact of
substantial investment into the new mine and financial reorganisation partially driven by the effects of the credit
crisis. This year should see the company enter the FTSE 250 and potentially move to the FTSE100 is the stock
is able to achieve a reasonable re-rating.

Beijing bets on bullion

By Patti Waldmeir in Shanghai

Published: May 6 2009 23:31 | Last updated: May 6 2009 23:31

China is expected to keep buying gold to diversify its vast foreign reserves after it recently revealed it had been secretively buying bullion.

Beijing and Shanghai-based gold industry analysts said the country had almost doubled its bullion holdings. But they said China was likely to make as many purchases as possible within its borders, rather than turn to international markets where it could push up gold prices.

Beijings exact gold purchasing intentions are a state secret, but industry analysts are betting on more purchases as Beijing has been clear about its desire to diversify its foreign reserves away from the US dollar. Although gold is quoted in dollars, its price usually rises when the dollar weakens.

The analysts base their bet, at least in part, on the history of another buyer: Russia. After Moscow announced it was buying bullion, it regularly disclosed information revealing almost monthly increases in its gold assets.

Im absolutely sure that they will continue buying because Chinas gold holdings are very small in terms of the size of its economy and the growing significance of its currency, says Paul Atherley, managing director of Leyshon Resources in China. But we will find out about it only after they have done it.

Chinas current gold reserves represent only about 1.6 per cent of total foreign reserves, a vastly smaller percentage than the worlds average of 10.5 per cent. Nevertheless, its percentage is similar to the 2.2 per cent in Japan, the worlds seventh-largest holder. The challenge for Beijing is to attain a similar diversification, requiring large amounts of gold, without disturbing the market.

Hou Huimin of the China Gold Association, forecast that Chinas gold reserves could rise in the long term to as much as 5,000 tonnes. It wont be a leapfrog achievement but a gradual increase along with the countrys economic status.

One potential source of gold for China is the International Monetary Funds expected sale of about 400 tonnes of bullion. Analysts said Beijing could try to purchase a block of that sale in an off-market agreement.

China last year overtook South Africa as the worlds largest gold producer and is estimated to have produced 282 tonnes of gold. Some gold from state-owned producers goes directly into Beijings gold stockpile every year. Gold purchases from state-owned producers can be made secretly and at below-market prices, making them more attractive than international purchases.

In addition, turnover at the Shanghai gold exchange rose nearly threefold between 2007 and 2008 but it is impossible to know how much of that, if any, may have been reserve buying, analysts said.

Copyright The Financial Times Limited 2009

Forecasts look impressive,pity about the sp reaction to it.

if you accept that POG is intrinsically very volatile anyway, current price is not a bad entry level - see chart below with sp at last poking back above 50 dma.

next resistance is about 680 (i think), and rns yesterday makes positive noises about restoration of divi

pretty good call -for a change - by my reckoning ..... hope lots of you followed

this could well be the breakout that has been klong awaited ..... certainly a useful RNS this morning and bullion also happens to be on the march

Buy recommendation in todays' Telegraph
Also worth noting , is gold up $50. in last 2 weeks.

but sell recommendation in the Times ..

lol

The Times sounds like a bit of a dog here!
i.e. - barking up the wrong tree.

WOW!!!!!!
figures are stunning and sp has rocketed ...... i'll flatter myself that my call in late July was pretty much spot on (see chart above), but confess that though these were still on my watchlist, i haven't held them for at least several weeks, having been seduced by all sorts of other stocks that, in truth, have also performed more than a little tidily

Can say that again (but dont). A bit like you cyners buying this that and everything.......... but luckily for me held onto a batch............. NICE.

Gold producers are set to rocket, probably pulling along the explorers as well, you cannot keep on printing money without the price of the yellow stuff increasing as well. Those that haven't hedged their production too much will do even better than others.

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.