Some sketch notes of the Interactive Investor iBall video on Shanta Gold released on Thu 12-Jan-2012.
SHG soon to go into production. 2012Q1 estimated - there were delays due to equipment delivery. SHG's ventual goal is 200k oz pa. Singida is expected to prodcue 45k oz pa when it goes live in 2013. Most eyes are on New Luika, where production is expected Real Soon Now. It already has a stockpile that needs processing. New Luika is expected to produce 190k oz in the first three years. It should pay for itself in the first 12 months, and then bankroll Singida.
Bridging loans are in place, and the company does not expect to have to go to the Market for additional funding.
Posters have speculated that institutional investors therefore have no incentive to sit on the sidelines and hope to pick up stock cheap in a placing. they'll have to invest directly, if they want it.
Brokers have pencilled in 12.26p for both y/e 31-Dec-2012 and y/e 31-Dec-2013. I presume these estimates were done prior to a knowledge of the delays. Still, on a forward PER of 1.9, there's plenty of room for a huge margin of error.
I have a holding in SHG.