Wednesday 24 January 2018 | ShareProphets: The one stop source for breaking news, expert analysis, and podcasts on fast-moving AIM and LSE listed shares
Orosur Mining (OMI) certainly isn’t amongst the more popular resource stocks on AIM and trading volumes are often verging on non-existent, but I believe that many are missing an opportunity here as they go chasing rainbows with companies that are years away from production, assuming they ever actually get to that stage!
Orosur Mining (OMI) remains one of my favourites amongst the small gold miners listed on AIM, and I now hold shares in the company myself, hopefully awaiting a turnaround in the price of gold.
When it comes to smaller AIM listed gold producers, then Orosur Mining (OMI) looks to be one of the better ones around...
Orosur Mining (OMI) is one of the higher-quality gold plays on the market. It operates the only gold-producing mine in Uruguay, where it has controlled costs and produced some excellent results in recent years. But this morning brings news that an NED has almost halved his stake, which reminds me of the bear case here.
As far as the technical position of Orosur Mining (OMI) on its daily share price chart currently, we can see how there has been a V-shaped reversal in the wake of a selling climax from extreme oversold RSI levels towards 0/100 earlier this month. So what now for the shares?
John Meyer of SP Angel this morning comments on Anglo Pacific (APF), Bellzone Mining (BZM), BHP Billiton (BLT), Hochschild Mining (HOC) and Orosur Mining (OMI) as well as offering a detailed macro view on the news that is shaping global mining and the AIM mining pond.
John Meyer of SP Angel this morning comments on Glencore (GLEN), Aureus Mining (AUE), FinnAust Mining (FAM), Orosur (OMI), Polyus Gold (PGIL) and Vast Resources (VAST) as well as offering a detailed macro view on the news that is shaping global mining and the AIM mining pond.
South America-focused gold producer Orosur Mining (OMI) has received the first $850,000 (£566,000) funding tranche from Chilean investment bank Asset Chile in a three-stage $3.5 million earn-in package to explore and develop the Anillo gold prospect in northern Chile. Based in the Uruguayan capital of Montevideo and quoted on AIM and in Toronto, Orosur whose shares have fallen from a 17.25p 12-month high to 9.13p now, sees Anillo as a potential ‘company maker’, though ‘high-risk’, says chief executive officer Ignacio Salazar, partly because of its proximity and likely similarity to Canadian group Yamana Gold’s El Penon mine in the same area, which holds an estimated 2.7 million oz. of gold and 48 million oz. of silver.
Investors may be sceptical, but Ignacio Salazar, chief executive officer of South American gold producer Orosur Mining (OMI), insists his beefed-up company has restructured its flagship San Gegorio operation in Uruguay and will soon be showing worthwhile improvements in production, grades, costs and exploration. After seeing output at San Gregorio in North-East Uruguay’s Rivera State slide in the year to last May from nearly 65,000 oz. at a low grade of 1.42 grammes of gold per tonne of ore to 60,271 oz. at 2.16 grammes a tonne and with a further drop to nearly 55,000 oz. expected for the current year, Chile-based Orosur suggests prospects for 2015-16 are distinctly brighter.
South American gold play Orosur Mining (OMI) is on the look-out for yet more assets after turning a $14.8 million (£8.7 million) loss into net profits of $5.1 million in the year to May. It subsequently acquired Toronto-listed Colombia-focused Waymar Resources, with gross assets of $14.75 million, in a share deal giving Waymar shareholders nearly 20 per cent of the enlarged company. Orosur is based in the Chilean capital of Santiago and quoted on AIM and Toronto. The company achieved this turnaround largely thanks to a plunge in asset impairments from $14 million to $557,000 and a fall in exploration expenses and write-offs from $4.3 million to $245,000.
Fresh from clinching the all-paper takeover of fellow South American gold play, Toronto Venture Exchange-listed Waymar Resources, AIM-quoted Orosur Mining (OMI) is still looking to expand further by acquiring ‘short-term production assets’. So says Ignacio Salazar, chief executive officer of Orosur, which produced an above-forecast 60,271/oz of gold in the year to May from its San Gregorio mine in Uruguay. The company hopes that Waymar’s exploration targets, notably Anza in Colombia, will provide promising additions to its own exploration and development projects at Anillo and Pantanillo in Chile.
Legendary bear raider Evil Knievil reckons that for an outlay (or has he describes it "an investment") of £15,000 he is set to trouser a £200,000 on the Epsom Derby at 4PM on June 7th.
Following Shareprophets teaming up with spreadbetting company ETX, I have entered a charity Christmas trading challenge with Tom Winnifrith. I hadn’t spreadbet before until a few days ago and tend to focus on longer-term investments but, for a good cause, here goes…
While the post May period has witnessed decent stabilisation for Orosur Mining (OMI) on its daily chart, this is probably the minimum that would be expected in terms of a bumping along the bottom experience in the wake of the painful meltdown for the shares seen in March to May from 45p plus to below 10p.
Following Shareprophets teaming up with spreadbetting company ETX, I have entered a charity Christmas trading challenge with Tom Winnifrith. I haven’t spreadbet before and tend to focus on longer-term investments but, for a good cause, here goes…
Shareprophets can reveal that infamous bear raider Evil Knievil has acquired a near disclosable stake in AIM listed Orosur Mining (OMI) after buying heavily at c7p. The shares are now 9.875p valuing Orosur at £7 million but Knievil (the alias of Simon Cawkwell) argues that on a break-up basis the gold producer is worth $30 million.
AIM and Canada-listed, South American focussed gold producer and explorer, Orosur Mining (OMI) has announced it has commenced drilling of an initial 3,000 metres to test the highest priority targets at its Anillo gold-silver prospect in Chile, with this expected to conclude by late June and analytical data to become available during July-August.
AIM and Canada-listed, South American focussed gold producer and explorer, Orosur Mining (OMI) is a company I followed from 2010 on a website I formerly wrote for.
I recommended shares in AIM and Canada listed Orosur Mining (OMI) – which operates the only producing gold mine in Uruguay (San Gregorio) and has additional exploration acreage in Uruguay and Chile – in May 2010 at 24.25p on t1ps.com, the website I left in September 12 years after I founded it . The shares currently trade at 40.5p