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OGC - Oceana Gold

Discussion in 'Stocks I-P' started by yogi-in-oz, Jun 19, 2007.

  1. yogi-in-oz

    yogi-in-oz Well-Known Member

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    :)

    Hi folks,

    OGC ..... new listing today, resulting from the restructure of OGD.

    Should be a lot of POSITIVE interest in this one, over the first
    couple of days ..... :)

    happy days

    paul

    :)

    =====
     
  2. motion

    motion Well-Known Member

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    Yep I have my eye in this missed out on the share placing... so looking to get in early.... I think this will be a good year for them very interested in what they are going to ann over the next 12 months.
     
  3. bigdog

    bigdog Retired

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    Re: OGD - Oceana Gold

    ASX ann today
    19/06/2007 December 2006 Annual Report
    http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00730838

    OCEANAGOLD
    CONCISE ANNUAL
    REPORT 2006
    Highlights

    Completed merger with Climax Mining on 6 November 2006.
    Ӣ Achieved a 725% increase in operating profit after tax (excluding unrealised hedge losses and impairment of goodwill on acquisition) to $11.0 million.

    Ӣ Increased cash flow from operations by $37.5 million or 321% representing 11 cents per share.

    Ӣ Diversified shareholding through sell down of GRD shareholding.

    Ӣ Raised A$140 million of committed financing to fund project developments in the Philippines and New Zealand.

    Ӣ Achieved the 2006 gold sales target of 180,000 ounces, an increase of 6% over 2005.

    Ӣ Completed hedge book restructure in May and delivered an 8% increase on the average gold price received.

    Ӣ Achieved a 5% cash cost per ounce improvement to $361 per ounce.

    Ӣ Started commissioning the process plant at the Globe Progress Gold project at Reefton in December 2006.

    Summary of Financial Results
    (A$’000) ------Yr 2006 Year 2005
    Sales revenue 134,916 112,164
    Gross profit..... 31,760 10,415
    Earnings before interest and tax 25,435 1,668
    Profit after tax 11,003 (1,760)
    Earnings per share (A¢ per share) 2.53 0.44
    Dividend per share (A¢ per share) 0.0 0.0

    The above figures exclude unrealised hedge gains or losses and impairment reversals or writedowns.
     
  4. explod

    explod explod

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    Can someone explain why this company, apparently run well in the past with good resource holdings is languishing so much of late. Sure there have been structural changes, is there some doubt perhaps about anyone's ability to turn things around in Fiji, perhaps ?
     
  5. bigdog

    bigdog Retired

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    The OGC SP has been disappointing over recent months with low on 21-Aug-2007 of $2.8000 and high $4.15 on June 26 2007. SP has been improving over past week!

    OGC $3.45 +$0.04 +1.17 19,147 shares $66,083 @ 20-Sep 10:14:37

    ANN today advised that:
    OceanaGold Corporation will open trading on the Toronto Stock Exchange at 9.30am on Thursday 20 September 2007 (Toronto time).
     
  6. champ2003

    champ2003 Well-Known Member

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    It might be worthwhile to have a look at this company guys as this one has huge potential for growth in t he short term. Their cash costs were an issue along with hedging however they have rejigged their hedge book with higher average spot prices and their cash costs are dropping which is a positive sign. The other thing is that they will go from 190000oz to 500000oz within the next 1.5 yrs. Add to that the fact that the gold bull run is beginning and the gold price is rising is sure to add to this companies short and long term bottom line pofit.

    Lookin good IMO,

    Cheers!

    :D
     
  7. bigdog

    bigdog Retired

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    Despite the gold price now at 27 year highs, the OGC SP continues to disappoint!

    Most likely related to the issues reported in Oxfam report covered in article below


    http://www.oxfam.org.au/campaigns/mining/ombudsman/2003/cases/didipio/

    Background
    The Didipio case highlights the need for communities that will be affected by mine operations to give their free, prior and informed consent to mining operations ”“ at all stages of mining exploration, operation and rehabilitation.

    The case also demonstrates the importance of providing communities with accessible, timely and correct information about the potential social and environmental impacts of mine activities from a social and environmental point of view, and allowing communities to decide if mine operations should go ahead in their community.

    It further illustrates how mining can have significant social impacts even before operations begin.

    Grievances
    The Mining Ombudsman became involved in the Didipio case in 2002 in response to community requests.

    Many in the Didipio community state that the proposed mine - which is due to begin production by the beginning of 2009 - is not acceptable to them. They believe it will cause environmental damage, endanger health, displace them from their lands and may destroy sustainable agricultural economic opportunities.

    According to both community members and their political representatives, OceanaGold has not gained their free, prior and informed consent. Consent has not been gained on a number of levels, including:

    * Community members allege that the company has not presented information about the proposed impacts of the mine in an accessible way or language, including failing to explain technical aspects of the proposed mine in an accessible form.
    * Community members allege that they have not been given information about proposed relocations.
    * Community members allege that they have not been given adequate and accessible information about the potential environmental impacts of the proposed mine.

    Community members report that, although the mine is not yet operational, they are already feeling its impacts. Support for the proposed mine is spilt within the Didipio community, with those who want the mine to go ahead and those who oppose it. This has created tensions within and between communities.

    Community members also allege that the company and/or its representatives have:

    * Intimidated, harassed or forced community members to give the company access to their land or to sell their land at prices determined by the company
    * Sought to gain approval for the proposed mine in inappropriate ways, including by misrepresentation and offering material incentives to political officials
    * Sought to circumvent established regulatory consent requirements that prioritise the need for local council (Barangay) consent. The Barangay Council of Didipio has consistently opposed the mine project since 2002
    * Publicly misrepresented the level of support that the project and the company have been able to attain

    Action taken
    The Mining Ombudsman undertook field investigations in September 2002, February/March 2005 and March 2007.

    The Mining Ombudsman has attempted to raise community concerns with the company OceanaGold through several letters and discussions, however, the company has not yet substantively responded to any of the community's grievances or the results of the case investigations. The Mining Ombudsman will continue to try to engage the company on the concerns of the community and raise the profile of this case.

    In September 2007, Oxfam Australia released the Mining Ombudsman Case Report: Didipio. This report outlines the results of our investigations and the grievances of the Didipio community who are concerned abut the way OceanaGold has pursued the proposed mine.

    2007 Full Case Report
    The Mining Ombudsman Case Report shows how OceanaGold has failed to obtain the free, prior and informed consent of the Didipio community

    2003 Case Summary
    Download the Dipido Case summary as a pdf

    2003 Full Case Notes
    Local communities in the Philippines allege that Climax Mining officials falsified documents and bribed community leaders in order to manufacture community consent for exploration and mine activities. (pdf 203kb)

    2002 Full Case Notes
    A preliminary investigation into the grievances raised by local communities in the Philippines against Sydney based mining company, Climax Mining

    ====================================================

    http://biz.yahoo.com/ap/071106/gold_miners_sector_snap.html?.v=1
    Sector Snap: Gold Miners
    Tuesday November 6, 1:41 pm ET
    Gold Mining Stocks Gain on Higher Gold Price Amid the Dollar's Continued Weakness

    NEW YORK (AP) -- Shares of gold miners climbed Tuesday, as the price of gold struck a 27-year high against the backdrop of the dollar's continued weakness.

    An ounce of December gold added $14.20 to $825 on the New York Mercantile Exchange in midday trading, rising to its highest level since January 1980.

    The price of gold has added about 26 percent since the beginning of the year, and gains accelerated within the last couple months as the Federal Reserve cut interest rates twice.
     
  8. bigdog

    bigdog Retired

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    SHARE CAFE COMMENTARY

    OGD - Macquarie rates the stock as Outperform

    BROKER NEWS - 26/11/2007

    Lower grades at Macraes and a general blow out in costs have led a frustrated broker to reduce FY08 earnings by 115% (to -5c) but increase FY09 by 6% (to 14c). Oceana has failed to perform despite the rise in the gold price but the broker has not given up yet.

    The broker has, however, taken the target down to $4.00 which is a big discount to the $5.59 NPV. Gold stocks aren't meant to trade at a discount, but Oceana is still problematic at this stage.

    Target price is $4.00. Current Price is $0.79. Difference: $3.21 - (brackets indicate current price is over target). If OGD meets the Macquarie target it will return approximately 80% (excluding dividends, fees and charges - negative figures indicate an expected loss).
     
  9. So_Cynical

    So_Cynical The Contrarian Averager

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    OGC SP just continues to fall...even fell yesterday when everything was green....at some stage OGC just has to be great value.
     
  10. bigdog

    bigdog Retired

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    A ray of sunshine for OGC!

    The SP plummet of recent times has been disappointing!

    ASX ANN Yesterday

    OGC 4:14 PM Drilling results at Empress deposit, Reefton New Zealand

    3 December 2007
    OceanaGold announces high grade extensional drilling results at the Empress deposit, Reefton, New Zealand

    OceanaGold Corporation (“OceanaGold” or “the Company”) is pleased to report high grade assay results from a drilling program at the Empress deposit within the Company’s Reefton operation in New Zealand.

    The program of reverse circulation (RC) percussion drilling is part of a broader test of extensional exploration that has been conducted at the Company’s Globe-Progress, General Gordon and Empress open cuts which comprise the Reefton Operation.
     
  11. bigdog

    bigdog Retired

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    http://www.theaustralian.news.com.au/story/0,25197,22858101-5005200,00.html

    WHAT THE BROKERS SAY: Kevin Andrusiak | December 03, 2007

    Oceana Gold (OGC)
    Austock Securities
    Strong buy recommendation
    Share price target of $3.87
    Last traded at $2.74

    DOWN, down, down went Oceana Gold's share price over the past month as copper and gold prices went up, up, up.

    Clearly this scenario doesn't make sense in a logical world, but then again Oceana has had to deal with development issues at its Didipio project in the Philippines and low grades at its Macraes mine in New Zealand.

    Are the negative issues fully priced in to Oceana shares?

    You bet, writes Austock analyst Hunter Hillcoat. "Oceana Gold is one of the cheapest gold companies in our universe," he said. "It is trading at a discount to our valuation of $3.87 a share and at some of the lowest gold multiples in terms of EV/reserve or resource ounce, EV/ounce of forward productions, forwards EV/EBITDA, etc.

    We expect earnings to improve from the $US16.7 million loss in calendar 2008 to a profit of $US54.6m and $US114.5m respectively."
     
  12. joelc

    joelc Member

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  13. kennas

    kennas hoarding tinned food

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    Not many gold miners have gone badly the past 6 months. Obviously had some issues but by the figures bandied about looks interesting. Personally not interested till it stops going down.....
     

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  14. So_Cynical

    So_Cynical The Contrarian Averager

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    i reckon it found bottom the other week..at around 2.20
    and OGC inherited the Didipio problems...so there hands are clean.
     
  15. MRC & Co

    MRC & Co Well-Known Member

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    This one has well and truly broken out now. I got on it! Looking for a nice little run now!

    Doing well today on relatively high volume.
     
  16. MRC & Co

    MRC & Co Well-Known Member

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    Damn, falling rocks killed its momentum, even though production consequences are thought to be immaterial to annual forecasts!

    Hopefully after its little hiccup today, it picks up its trend Monday.

    Am I the only one here onboard?
     
  17. AnDy62

    AnDy62 Well-Known Member

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    No you're not the only one MRC. I hopped on recently. I really like the upside potential for this share. From Comsec;

    Earnings and Dividends Forecast (cents per share)
    2007 2008 2009 2010
    EPS -4.6 46.1 72.3 --
    DPS 0.0 0.0 0.0 --

    Also, Fat Prophets really like them as a gold play. Their recent report made me realise the potential of this share. So I did a little research and bought in once they broke resistance. If gold continues north, this share should really benefit as it is in the process of really stepping up production in NZ. :2twocents

    Currently up 5c today with gold up over $1000, good times :)
     
  18. AnDy62

    AnDy62 Well-Known Member

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    Geez damn those falling rocks. Looks like they have destroyed some confidence too. How did this share manage to go down today is beyond me... with all the other goldies surging on the POG. :mad:
     
  19. troyvdh

    troyvdh New Member

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    I have held this outfit for years ...here in ChCh the local rag (The Press) has consistently been very upbeat about the company..glowing expectations..positive developments.....gold continues going up...SP goes down...it is confusing....is it because its listed mainly in Canada...they had a share conversion a while back....I cant be exact..but I held before..and im pretty sure there is a heap less value now......I am a holder but a very suspicious one.........me thinks that GRD used to own the mine on the West Coast (Reefton)...and thats another frustrating story...a failed takeover at $3 last year and now its trading under a dollar !!!!!!!
     
  20. MRC & Co

    MRC & Co Well-Known Member

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    I think there are 4 things holding this one back at the moment:

    1) Phillipines soverign risk.
    2) 45% of gold production from New Zealand is hedged (I beleive).
    3) Global indicies taking a BATTERING, always going to make it hard for any equities, gold or otherwise.
    4) This little rock hiccup. Traders are fickle.

    I still hold.
     
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