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Newcrest Mining Ltd T.NCM


Primary Symbol: A.NCM

Newcrest Mining Limited is an Australia-based mining company. The Company's principal activities are exploration, mine development, mine operations and the sale of gold and gold/copper concentrate. The Company owns and operates a portfolio of brownfields and greenfields exploration projects. The Company’s assets include Brucejack, Cadia, Havieron, Lihir, Red Chris, Telfer and Wafi-Golpu. The Brucejack asset is located approximately 950 kilometers (km) from Vancouver, Canada. The Cadia asset is located approximately 25 km from Orange, New South Wales (NSW). The Havieron asset is located approximately 45 km east of Telfer. The Lihir asset is located on the Niolam Island, approximately 900 km from Port Moresby, Papua New Guinea (PNG). The Red Chris asset is located approximately 1,700 km from Vancouver, Canada. The Telfer asset is located approximately 400 km from Port Hedland, WA. The Wafi-Golpu asset is located approximately 65 km from the city of Lae, PNG.


ASX:NCM - Post by User

Comment by sclardaon Jul 23, 2021 10:07pm
116 Views
Post# 33600261

RE:RE:RE:RE:RE:Anybody else notice this?

RE:RE:RE:RE:RE:Anybody else notice this?Shadow10 wrote

I would have to say i also agree with  Sclarda also, i think most of our problems are short related. There are about 10 to 12 million shorts between Canada and the U.S. and there are big brokers or multiple brokers  with many shares that are trying to drive the price down. I don't have a problem with people who want to short a company, thats fair. What isn't fair is when these multiple brokes try and munipulate the price even on companies that are making mony every Quarter.
I don't think there is any thing that O'Brian or Perron can do about that , what they can do is what they are doing by selling Snowfield and drilling more holes and finding big gold and that is what is happening.
I think it took Kirkland Lake Gold a couple of years to straighten out the mess they had and look at them now.
We couldn't get there from where we were with Snow Flake Joseph Ovsenek.

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"I think it took Kirkland Lake Gold a couple of years to straighten out the mess they had and look at them now."


Exactly. KL is a very good example as they struggled for years to get the operation up to speed and the market didnt pay much attention. Then as the debt went away and the cash started piling up the market took notice in a very big way.   

PVG also has had its struggles over many years first to find the gold get permits, financing build the mine and then pay back the $750 million US in debt they took on to build the mine. It appears that  the market is kind of bored with the PVG story that has been going on  for many years.  As the debt is payed off and the cash piles up all over the place the market will eventually notice PVG just as they did KL.

The problem with many gold stock investors is that they buy into a company like PVG way to early and go through all the ups and downs of developing a mine and paying back the debt which takes many years. When the shareprice struggles they talk of manipulation, shorts etc. 

While some of that may be true we have to remember that the more shorts there are if the company performs they can also  help the shareprice soar as they have to cover in large quantities. 

Maybe the bigger problem is that the market doesnt give a Sh@it about PVG and all its struggles to build the mine over the last decade or more. Why should the market  and investors care? Its not like this stock was paying a nice dividend while you waited for the last decade. Investors have thousand of companies to choose from many that have been paying a nice dividend for a long time.

The market really only cares about sustainable Free Cashflow and that is what PVG after all these years finally has.  At the same time even with this low shareprice PVG still has a market cap. of aprox.  $2.1 billion Cdn. so i would not be expecting a multi bagger anytime soon with this stock. At this low of a shareprice there does seem to be a very good chance of making some nice profits relatively soon.  

From my calculations PVG should be cashflowing aprox. $350 million Cdn. per year at todays gold prices. 

At 8 times cashflow that equals a shareprice of aprox. $15

At 10 times cashflow the shareprice should be aprox.  $19

Anyone else care to take a guess as to where they think the shareprice will be six months to a year from now?

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