asx rrl Regis Resources LTD

^^

2.75 looks likely to me now, but fearing lower.
With $3 gone, the chances of 2.50 - 2.25 area have obviously become stronger. Opening price has gapped down two days in a row.
Bit of a stampede out of goldstocks.
What's affecting me as much as the RRL chart is the GDX etf chart - RRL being a component of GDX.

GDX weekly
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Big variable for me now is the probability of a US rate rise and impact on pog.
Its been at about 80% stince before the election but if Yellen quits or there is any other black swan that reduces this probabilty dramatically, gold and gold stocks will bounce back hard. (of course if rates rise in december itll be another big drop for the pog)
 
So 2.75 gone, been as low as 2.66 today, trying to hold back the buy finger.
2.50 seems possible. Even lower?
Not bad for a proven low cost producer that expanded its ore reserves 22% net of depletion fy16. Convincing in-mine and near-mine exploration potential. Paid a 13c ff dividend fy16, which is 4.8% yield on current bid. Fair bet that dividend will increase this year.
 
RRL made it down to almost 2.30
My target for adding was 2.25
Made a bullish monthly hammer candle for December which might have marked the LOW, but cant be sure of course. Its not technically uptrending yet.

The Van Eck etfs (predominantly GDXJ and GDX) announced a slightly increased holding today: 18% substantial holder of RRL - 90m shares, up from 17%.

RRL 5 yr monthly
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Not a bad Dec Quarterly by the looks. Cash and bullion held increased by $26m, with $7m productive exploration done and after $10m spent on new mine development.

Q2 gold production 80,090 ounces at AISC of A$951/oz
7% higher than Q1 (74,612 oz)
Production run rate in upper half of FY17 guidance as Garden Well and Rosemont grades
improve and Gloster comes on line
AISC below lower end of FY17 guidance
Cash-flow from operations $64.5m for Q2 (Q1: $59.6m)
Cash and bullion holdings $129.7m (Q1: $103.1m)
>$26.6m increase after high spend on growth capex - Gloster & Erlistoun
Continued strong drill results at Tooheys Well - reserve estimate expected in Q3
Further encouraging extensional (open pit & u/g) drill results at Rosemont
Drilling continuing at Rosemont South and Rosemont Main underground
Major infill drill programme underway at McPhillamys strong results to date
Pushing project towards PFS

Disclosure: holds
Sentiment: buy if it gets below 2.50 again.
 
Replaced the whole of its fy17 mining reserve depletion with this maiden reserve addition at Tooyeys Well.
As you can read, its a hop skip and jump from the Garden Well operating plant and the discovery cost of these additional reserves was $24/oz. Moreover the milling of this particular reserve will bump production and lower cost a little as the ore grade is higher than current feed to the mill.

Don't waste your shots on garbage explorers or developers yet to build a plant or make a profit. If you believe we're in a gold bull, buy proven companies that are debt free, with cash, that are not only profitable producers but prospering explorers taboot #RRL #NST
 

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