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

cheers GF.

Interim Management Statement

Key points:

n During Q1 2013, the Group produced 136,800oz of gold, a record for Q1 and an increase of 13% on the comparative period in 2012;
n The Group re-iterates its full-year production target of 760,000-780,000oz with unit costs per tonne of ore processed and per cubic metre of material moved for all hard-rock mines to remain approximately in line with 2012;
n The pressure oxidation hub ("POX Hub") currently remains on track for commissioning in Q1 2014 and the related Malomir flotation plant remains on track for commissioning in Q3 2013;
n Encouraging additional exploration results have been received from the Pioneer area;
n The Company has launched a comprehensive cost-cutting programme and continues to review operating scenarios to accommodate a potential continuation of low gold prices;
n Petropavlovsk has prepared effectively for the current volatility in the gold price via forward sales contracts and achieved a combined average selling price of US$1,639/oz in Q1 2013. Approximately 46-47% of the Group's forecast production over a period of 14 months ending March 2014 is hedged through forward sales contracts to be cash settled at an average price of US$1,663/oz;
n Stage 1 of the equity investment into IRC Limited ("IRC") was completed in April 2013; Stage 2 remains on track for completion in Q3 2013;
n Management believe that the Company continues to operate within its financial covenants at current gold prices; and
n The Group restates its plan to repay a substantial amount of its debt by 2019.

Isn't it sad when a 13% hike in gold production results in a 4% drop in the sp.

Petropavlovsk Q1 gold output 136,800oz, up 13%
StockMarketWire.com
Petropavlovsk said it produced a record 136,800 ounces of gold in the first quarter, up 13% on the year, and reiterated its full-year production target of 760,000-780,000 ounces.

"Operationally, the year has begun positively for Petropavlovsk with output on track to achieve the previously guided production target," said chairman Peter Hambro.

He said the company's focus for 2013-14 has been to complete its major capital spending programmes and then commence the process of driving down the debt incurred to pay for those projects.

"However, the sharp reduction in the gold price, which has fallen from approximately $1,700/oz at the beginning of January to a recent low of $1,380/oz, is causing us to review our short to medium term strategy," Hambro said.

One options included conserving cash by restricting discretionary capital and exploration expenditure whilst redoubling our efforts to move newly identified, non-refractory resources at Pioneer into mineable reserves so as to de-risk the production schedule for 2014 - the year of scheduled commissioning of the POX Hub - and perhaps for longer.

A further option would be a temporary slowdown of the implementation of the POX Hub and flotation plant at Malomir which would release greater amounts of cash and permit earlier debt repayment. Under this scenario, the POX Hub would not be operational until 2015.

"The Group's Operations Committee is currently holding its scheduled meeting in Blagoveschensk and is reviewing these and other scenarios in detail and the market will be updated on the final decision in due course," Hambro said.

"The forward sale of half of our output, which has a further 11 months to run, allows flexibility in our decision making process."

This share was £4 only 3 months back.

As the boy fly said to the lady fly, " Excuse me dear, but is this STOOL taken ? "

This mining sector is unbelievable. If you want to lose money, this is the place to be !

Cazenove comment today:
"Guidance reiterated, cost cutting measures: POG forecasts 760-780koz in FY’13 at flat unit costs at its hard rock mines. This is in line with JPMe of 766koz at $952/oz. Construction of the POX plant is on track for Q1'14 commissioning with the Malomir floatation circuit on track for Q3’13.
Management is assessing cash conservation including: cutting capex and exploration, slowing POX ramp-up to 2015 and attempting to process greater non-refractory ore. We identify a key risk with such measures could be the impact on 2014 and 2015 production and cash flow if POX is slowed.
Net debt increases to $1.2bn, but repayment relief: Quarter end net debt increased 10% from YE’12 to $1.2bn. POG’s shares have lost 63% YTD on balance sheet concerns at lower gold prices. Positively POG states it has renegotiated 2014 loan maturities, shifting 50% of $337m repayable in 2014 to 2016 and 2017. This leaves POG’s $380m, Feb’15 convertible bond as its key refinancing risk. We estimate gold will need to average over $1,400/oz for the rest of 2013 and exceed $1,500/oz in 2014 to avoid breaching POG’s sub 4.0x net debt / EBITDA covenant. $106m gold market value: Ex-IRC, POG’s gold has an implied market value of $106m which we regard as too pessimistic. Despite real concern for its balance sheet we estimate loan covenants come do not come under threat until 2014, therefore on spot POG is not facing imminent liquidity stress.
Valuation: We forecast earnings are close to breakeven at spot, yet we still calculate POG’s gold operations trade on MtM 5.3/10.3x 2013/14 PER and 3.0/3.5x EV/EBITDA. We maintain our £4.20/shr PT and with POG trading at just 0.43x P/NPV. We remain Overweight."

Canaccord Genuity Buy 134.85 138.00 600.00 600.00 Reiterates

Westhouse Securities Buy 134.85 138.00 365.00 365.00 Retains

Bank of America Merrill Lynch Buy 134.85 138.00 530.00 530.00 Retains

Blimey skinny it this a bargain or are the brokers taking the pith.?

Added charts at top.

God knows - well someone must!

Wonder if its bottomed. Suppose thats on gold price?.

Actualy out fishing so limited to what I can do on this poxy lap top.

Any idea what other brokers are saying?.

Skinny that big turd above is it the same one someone posted to Winnie?. LOL.

23 Apr 13 Liberum Capital Buy 138.60 429.00 - Resumes

23 Apr 13 Canaccord Genuity Buy 138.60 600.00 600.00 Reiterates

23 Apr 13 Westhouse Securities Buy 138.60 365.00 365.00 Retains

23 Apr 13 Bank of America Merrill Lynch Buy 138.60 530.00 530.00 Retains

17 Apr 13 Westhouse Securities Buy 138.60 365.00 365.00 Retains

16 Apr 13 Nomura Reduce 138.60 240.00 125.00 Reiterates

16 Apr 13 JP Morgan Cazenove Overweight 138.60 460.00 420.00 Reiterates

15 Apr 13 Citigroup Sell 138.60 274.00 141.00 Downgrades

11 Apr 13 Societe Generale Buy 138.60 470.00 275.00 Reiterate

Cheers Skinny much appreciated.

Post 1542, SP now 1420p ish.

Odds look better for bulls.

Skimming this over in my mind.

Caught 2 lovely Rainbows. Steamed fish and mash for tea.

Looks like a bottom on the 2 daily Skinny plus more QE promised in US and Japan. China buying gold like no tomorrow.


Ohhhhhh you devil your tempting me to buy.

Skinny got your eyes on any other charts?.

Seem to pull the bargains out.

Well market annomalies which I look for.

Appreciated if you have any.

Another of my boring yielders SDV looks quite good, but then I've been long for an age.