Petaquilla Minerals - producing gold miner in Panama

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Petaquilla Minerals - producing gold miner in Panama

Petaquilla Minerals (PTQMF) (PTQ) is an established gold mining company that operates a producing gold mine in Panama. The 100 percent owned Molejon gold mine reached commercial production in January 2010 and currently operates at the rate of approximately 3,000 tonnes per day.

In August 2011 Petaquilla announced the acquisition of Iberian Resources Corp. which brought to us developments stage projects in Spain.
http://www.petaquilla.com/

Market Cap:  $84.5 Million, Shares 221.9 Million

QUICK FACTS
Location: Panama
Type of Mine: Open Pit
FY 2011 Gold Production: 55,566 ounces at $557 Cash Cost per Ounce
FY 2012 Expected Production: 68,000 - 70,000 ounces
Nine months ended February 29, 2012
Net income: $18.4 million, increased by 170% compared to same period of fiscal 2011.
Gold poured: 50,277 ounces, increased by 29% compared to same period of fiscal 2011.
Gold stockpiled: 84,572 ounces, increased by 479% compared to same period of fiscal 2011.
Revenue: $70.3 million increased by 38% compared to same period of fiscal 2011.
Cash cost: per ounce of gold sold at $577, decreased by 14% compared to same period of fiscal 2011.
Operating profit: $26.8 million, increased by 123% compared to same period of fiscal 2011.
Three months ended February 29, 2012
Net income: $4.5 million, decreased by 49% and increased by 319% compared to previous quarter and the same period of fiscal 2011, respectively.
Gold poured: 14,163 ounces, decreased by 22% and increased by 10% compared to previous quarter and the same period of fiscal 2011, respectively.
Gold stockpiled: 84,572 ounces, increased by 32% and 479% compared to previous quarter and the same period of fiscal 2011, respectively.
Revenue: $18.8 million decreased by 26% and increased by 1% compared to previous quarter and the same period of fiscal 2011, respectively.
Cash cost: per ounce of gold sold at $633, increased by 13% compared to previous quarter.
Operating profit: $6.3 million, decreased by 40% and increased by 16% compared to previous quarter and the same period of fiscal 2011, respectively.
 

 

Edited by admin on 11/08/2014 - 06:19
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Petaquilla - some profile, commentary & opinion

The Gold Report Interview with Chris Marchese (4/13/12) "One of my favorite junior gold plays right now is a Canadian company with operations in Panama and development projects in Spain and Portugal called Petaquilla Minerals Ltd. Its main deposit is the Molejon gold mine in Panama, which reached commercial production in 2010 and has been ramping up production via several mill expansions ever since. It has been completely overlooked by the market even though it has one of the best production growth profiles out there, courtesy of its recent acquisition of Iberian Resources Corp. in August 2011. . .the company also benefits from Panama's tax policy, giving Petaquilla a projected effective tax rate of 25%. Petaquilla is also planning to spin out its wholly owned infrastructure arm as an independent entity. . .management owns more than 12%, followed by significant stakes by Sprott Asset Management, U.S. Global Investors and Libra Advisors. I've always considered having at least 5% management ownership a huge positive due to an obvious alignment of objectives." 

Chen Lin, What Is Chen Buying? (5/29/12) "Petaquilla Minerals Ltd. is one of my better ideas for summer trading. . .the company is likely to spin out the infrastructure play Panama Development and Infrastructure Ltd. (PDI) very soon. . .for a 100K low-cost producer, Petaquilla is extremely undervalued, plus you get PDI for free. . .the company also has huge expansion opportunities. . .the new guy, Andrew Ramcharan, is well known and well respected. He can potentially bring major institution coverage of the stock, which the company has none of right now. As an investor, you want to get into the stock before everyone hears about it."

more commentary and analysis on Petaquilla at: http://www.theaureport.com/pub/co/417

 

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PTQ on PSJ

http://pennystockjournal.blogspot.com/2011/07/petaquilla-minerals-ltd-ptqt.html

Pages%2Bfrom%2Bptq2011-ltd-dec23.jpg Petaquilla Minerals Ltd. - PTQ.t is a gold producer from the flagship Molejon Gold Project in Panama.
imagesCA7IKKXF.jpg

Co recently had to re-file a technical report due to the BCSC. That is never good because, at a minimum,  the Co should know WTF its doing when reporting  NI 43-101 materials.  (of course the numbers were reduced) http://www.newswire.ca/fr/story/981087/petaquilla-minerals-ltd-to-file-revised-technical-report-for-lomero-poyatos

Co was profiled at $ .75 and due to a normal course issuer bid.  (A body needs to ask, right now, why Q1 bottom line was down 49%. over previous quarter)

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Petaquilla has a pretty strong production profile

With 9 month production at 50,277, Petaquilla seems to still be on track to reach it's stated FY 2012 target of 68,000 - 70,000 ounces. 

Petaquilla is adding a 4th ball mill at its flagship Molejon mine which is supposed to raise production capacity by approximately 30% starting in Oct 2012. (FY 2013)
http://www.kitco.com/pr/1267/article_06072012125610.pdf

All in all, it seems like Petaquilla has a pretty strong production profile going forward for a company with a small market cap.

Bill Matlack (Metals & Mining Analysts' Ratings & Estimates - Juniors)
gives Petaquilla a 1.0 rating (highest)
http://www.kitco.com/ind/matlack/jun052012_juniors.html

-----------------------------------------------
The technical report for Lomero - Poyatos in Spain was restated primarily due to the economic analysis not being sufficiently current. The open pit mining economic viability is out but the inferred resource estimates for underground mining is still intact and confirmed as I understand it.

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FY 2012 - Annual & 4th Qtr results - audio webcast

A few highlights:
Petaquilla reports gold equivalent oz production of 69,490 for FY 2012 (ended May 31).
Gross revenue for FY 2012 of $93.1 Million. Average realized gold price $1520.
Projected cash costs for 2013 expected to be $550 - $600 oz.
All required authorizations for Petaquilla's new mine in Spain have been received.

A replay of Petaquilla’s audio webcast with all the details will be available through July 27th. Visit:  http://services.choruscall.ca/links/petaquilla120627.html
 

Slide7.JPG

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PTQMF receives approval to buy back up to 4.7% of its stock

07/09/12 -- Petaquilla Minerals Ltd.(TSX:PTQ)(OTCBB:PTQMF) is pleased to announce that it has filed a notice with the Toronto Stock Exchange ("TSX") for, and received its approval to make, a Normal Course Issuer Bid ("NCIB") permitting the Company to purchase up to 17,000,000 common shares ("Shares"), representing approximately 4.7% of its public float. The Company has 221,863,781 Shares issued and outstanding, and a public float (calculated under TSX rules) of approximately 214,376,582 Shares, as at July 5, 2012.

Under its previous NCIB from July 4, 2011, to July 3, 2012, the Company purchased 2,563,000 of its Shares representing approximately 1.2% of its outstanding common shares as at July 5, 2012, for an average price of $0.47 per Share.

Definition of 'Normal-Course Issuer Bid - NCIB'

A Canadian term for a company repurchasing its own stock from the public in order to cancel it. In a normal-course issuer bid (NCIB), a company is allowed to repurchase between 5 and 10% of its shares depending on how the transaction is conducted. The issuer repurchases the shares gradually over a period of time, such as one year. This repurchasing strategy allows the company to buy only when its stock is favorably priced.

Read more: http://www.investopedia.com/terms/n/ncib.asp#ixzz208YG14ck

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Correction - buy back approval is for 7.9% of shares

Previous press release had a typo.
The correct percentage of float represented by the approval for Petaquilla to buy back up to 17,000,000 shares, is 7.9%, rather than 4.7%.

It would seem to be a distinct *positive* that Petaquilla is willing and able to buy back its shares when so many other juniors struggle with financing.

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Just to be clear ...

There is no OBLIGATION to purchase a single share.

A body might want to attempt to find out how many shares where actually retired from the LAST time these boyos were touting their share buyback.

I can say without reservation the LAST didn't help SP whatsoever, in fact it was before a significant SP decline. 

These announcements can be PR exercises and absolutely nothing more.  Not saying so here but more research could suggest it.

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Interesting "comment" from John Woods

I have not too much respect for Stockwatch and/or John Woods as a rule. So ...

Perhaps this Co should inquire as to his curious headline. Observe ...

"Petaquilla talks Molejon, omits 2012 P&L from NR"

http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aPTQ-1974287&symbol=PTQ&region=C

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2.5m @ .47

1.2% of O/s last time.

Just had to read the posts I suppose. My bad.

Thats about $1.3m worth.

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Gold Producers in the Catbird Seat: Jay Taylor

Gold Producers in the Catbird Seat: Jay Taylor  | Jul. 18, 2012
http://www.businessinsider.com/gold-producers-in-the-catbird-seat-jay-taylor-2012-7
Excerpt from the interview:
Jay Taylor: Petaquilla Minerals Ltd. (PTQ:TSX; PTQMF:OTCBB; P7Z:FSE) is my top pick right now. It is very undervalued; selling around $0.38/share. It expects to produce 100 Koz this year, mostly from growth in its Panamanian project. It also has high-grade deposits in Spain and Portugal.

Petaquilla expects to spin off an infrastructure subsidiary that will build roads and operate power plants in Panama. That is a little dividend for investors, but I just like its long-term growth prospects.

TGR: Management owns about 12% of the company, and Eric Sprott is an investor. Those are usually good signs, but why is a gold producer selling for $0.38/share?

JT: There is some short-term debt on the balance sheet. Petaquilla has produced about 50 Koz gold/year. If it gets to 100 Koz, as it projects, and maintains its quarterly reports, I think Petaquilla can do extremely well.

TGR: It projects 70 Koz gold in its guidance for 2012.

JT: It has bigger numbers in mind for 2013, and has the projects to make it happen in Spain and Portugal, as well as expansion in Panama

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Sprott = Pffft

I just detest when sheeple point to Sprott as a GOOD thing.

That is a matter of opinion and in this opinion those dopes a) have a hand in virtually everything and b) are often as much, or far more, dead freakin wrong than the average public type.

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@ Stoxxman

Let me carefully rearrange TGR's question from the Jay Taylor interview (above) so you will understand that no one is specifically singing Sprott's praises here.

TGR: Why is a gold producer selling for $0.38/share when Management owns about 12% of the company, and Eric Sprott is an investor? Those are usually good signs.

The core question is why is this gold producer selling for .38/share.

I understand that you probably have good reasons or cause to vent at Sprott but please note, I am trying (in a small way) make a contribution to TF Metals with this dedicated thread on Petaquilla Minerals. 
So, a tirade against Sprott (or his fans) is not significantly relevant or contributory, is it?

For anyone interested, I stumbled upon a Petaquilla message board at Investorshub that currently has a very *lively* discussion of all the goings on at this Panama gold producer. Here is the link:  http://investorshub.advfn.com/boards/read_msg.aspx?message_id=77686245  Folks are posting frequently and many are very well versed with this miner.  Check it out.

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Touchy aren't you ?

See now I have seen the dead wrong Paid touts many times and the last time we discussed a stock here was the truly horrid Fire River Gold scam.

You can tout chit here all you like and truly if you are offended by legitimate debate and questions you should go somewhere else to find suckers.

The folks here are a damn sight smarter than you friend. Take the ones that aren't with you. HA Ha Ha

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Inmet Mining Announces 37% Premium Offer for Petaquilla Minerals

Inmet Mining Announces 37% Premium Offer for Petaquilla Minerals Ltd.

TORONTO, CANADA--(Marketwire - Sept. 5, 2012) - Inmet Mining Corporation (IMN.TO) ("Inmet") today announced that it intends to make an offer ("Offer") to acquire all of the outstanding common shares of Petaquilla Minerals Ltd. ("Petaquilla"). Inmet is prepared to offer C$0.48 in cash or .0109 Inmet shares for each Petaquilla common share (or a combination thereof) implying a total equity purchase price of approximately C$112 million. Subject to Petaquilla's cooperation through a transaction supported by Petaquilla's Board, in addition to the above consideration, Inmet would permit Petaquilla to proceed with a spin-out (the "Spin-out") of Petaquilla's assets in Spain (the "Lomero-Poyatos Assets") to Petaquilla shareholders.

The Offer (not including the Spin-out) represents a 37 percent premium to the closing price of the Petaquilla common shares on the Toronto Stock Exchange as at September 5, 2012 and a premium of 30 percent to the 20-day volume weighted average price. Assuming all Petaquilla shareholders receive Inmet shares, Inmet would issue approximately 2.5 million shares (approximately 3.5% of Inmet's shares pro forma the transaction). Full details of the Offer will be included in the formal offer and take-over bid circular to be filed with securities regulatory authorities and mailed to Petaquilla shareholders.

Inmet believes that the Offer is extremely attractive to Petaquilla shareholders for the following reasons:

-- It represents a substantial premium, and provides flexibility to select

consideration in the form of cash or Inmet shares

-- The Spin-out, if supported by Petaquilla's Board, would allow Petaquilla

shareholders to retain potential upside of the Lomero-Poyatos Assets

-- It provides a significantly more viable alternative to the debt

financing proposed by Petaquilla management given Petaquilla's financial

condition

-- Inmet is an established operator and developer with a strong record of

corporate responsibility, governance, environmental management and

generating shareholder returns

-- It will enhance environmental compliance and commitment to sustainable

employment in Panama

-- It contains minimal conditions

Inmet is developing the US$6.2 billion Cobre Panama copper-gold porphyry project, Panama's largest ever mine development and a significant contributor to Panama's economy. Inmet intends to continue operating Petaquilla's Molejon gold mine, which is adjacent to Cobre Panama, applying its expertise as an experienced, well-regarded operator. Inmet believes that providing the Molejon workforce with an opportunity to transition into the Cobre Panama operation after the exhaustion of the Molejon deposit will be an important factor in our commitment to sustainable employment.

The Offer will be fully financed and will not require approval by Inmet shareholders. The Offer will be open for acceptance for at least 35 days following the mailing of the circular and will be subject to customary conditions, including acceptance by holders of at least 50.1% of Petaquilla's

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PTQ += Good Times

Rock we seem to be in the same plays.  I bought this 2 weeks ago for $0.38 a share.  I sold half at $0.59 yesterday and will hold the rest.  What other picks do you like?  I also bought Golden Star Resources yesterday at $1.50.  They are producing a lot of gold at $1100 an ounce and at these prices they are making lots of money. :)

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Stupid is, is what stupid does...

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Petaquilla up 7% on Day 2 after being up 63% on Day 1

Takeover offer heats up!
The following post is from Lojiko  an assistant (moderator) on the PTQ message board on InvestorsHub. http://investorshub.advfn.com/boards/board.aspx?board_id=9883
This is a VERY active message board for anyone interested in following blow by blow this takeover offer for Petaquilla from Inmet.
Apparently there is an existing agreement in this mining region where Petaquilla gets ownership of land/deposits  that holds more Gold value than Copper value.  Primarily copper deposits go to the much larger Inmet.  As the price of Gold goes up..............
Additionally, Inmet plans/needs to expand and needs certain concessions from Petaquilla to do so.
_______________________________________________________
"See those dotted lines. Those are proposed roads ... they all cross PTQ land.



However, I don't think this is about roads. I think this is about stipulations in the MPSA agreement that gives PTQ any deposit that is 50%+ gold, by value. Inmet potentially loses a lot of its copper deposits the higher the PoG rises. Notice how Botija Abajo/Brazo, Valle Grande, etc are all on INMET'S land - heck, Molejon is on Inmet's land - but they're OUR deposits. It's because of that stipulation ... we get any deposit that is 50%+ gold by value."



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Article in PANAMA AMERICA today 10 09 2012

Inmet offer made on Petaquilla lost appeal

Article in PANAMA AMERICA today 10 09 2012

The proposal is 48 cents per each of the 221 million shares held by Petaquilla Gold. The mining company's shares were valued last week surpassing the offer.

Production plant Petaquilla Gold, located in the district of Donoso, from which are extracted 7000 ounces of gold per month.

Rafael E. R. Berrocal (Rafael.berrocal @ epasa.com) /

PANAMA AMERICA
FIGURES AND OFFER FOR MINING PROJECT

221 million shares outstanding has Petaquilla Gold, Petaquilla Minerals subsidiary.

114 million represents the total Inmet offer on Petaquilla Gold.

110 is the billion turnover this year expected to reach Petaquilla Gold.

Inmet Mining, based in Canada and owns copper granting Donoso, Panama, has hit the market with a hostile bid to take 100% of the shares of the gold mine of Petaquilla Gold, which has so far bookings projected through 2025.

30% of these shares are held by Panamanian investors.

Inmet bid 48/100 for each of the 221 million shares held by its subsidiary Petaquilla Minerals in Panama, Petaquilla Gold. That is, $ 114 million for the entire operation of Petaquilla Gold, which compares with the value of gold produced by the mine in a year.

The surprise bid sent shares of Petaquilla Gold up on the Toronto Stock Exchange 6.8% between Thursday and Friday, and escalations of 38/100 to 62/100, well above the price proposed by Inmet.

Sources involved in the sector argue that buying interest in Petaquilla Gold is becuase this company has the concession of several areas in the district of Donoso needed to be developed by Inmet copper, through its local subsidiary Minera Panama.

Petaquilla Minerals commented on Inmet's hostile bid, warning that its shareholders have yet to receive a formal proposal and said that the attempt to purchase does not include the gold award in Spain.

"Petaquilla Minerals Ltd. is in the process of evaluating the announcement of Inmet and we have asked our shareholders to take no action until the company has reviewed the formal offer when it is filed," said the gold mine.

The mine production reached 7,000 ounces per month. This year its estimated to generate more than $110 million in gold.

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Petaquilla announces preliminary operating and financial results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 19, 2012) - Petaquilla Minerals Ltd.   (TSX:PTQ)(OTCBB:PTQMF) announces its preliminary operating and financial results for its Molejon gold mine, located in Panama. Currency is reported in United States dollars unless otherwise indicated.

Molejon Mine Preliminary Operating and Financial Highlights for First Quarter of Fiscal 2013
-- Gold ounces mined: 33,475 - increased by 6% compared to previous quarter
-- Gold equivalent production sold: 17,597 ounces - increased by 13% compared to previous quarter
-- Gold ounces stockpiled as at August 31, 2012: 112,266 - increased by 17% compared to the end of previous quarter
-- Gold production inventoried: 4,691 ounces - increased by 35% compared to previous quarter
-- Revenue: $25.5 million - increased by 6% compared to previous quarter
-- Cash cost per ounce of gold sold: $550 - $600
-- Cash position as at August 31, 2012: $12.5 million - increased by 4% compared to the end of previous quarter

During the first quarter of Fiscal 2013 Petaquilla sold 17,230 ounces of gold and 24,300 ounces of silver representing sales of $25.5 million and $0.5 million, respectively. Cash cost per ounce of gold sold during the first quarter of Fiscal 2013 ranged from $550 - $600, as originally anticipated.

The Company delivered to Deutsche Bank AG, London Branch ("Deutsche Bank") 4,455 ounces of gold and 24,300 ounces of silver, in accordance with forward gold and silver purchase agreements. As anticipated, the Company intends to offer, on a private placement basis, $210 million aggregate principal amount of senior secured notes due in 2017. The notes will be secured by a lien on certain of the Company's subsidiaries' assets (other than the assets of the Company's infrastructure subsidiaries and any unrestricted subsidiaries). Petaquilla intends to use some of the proceeds of this offering to terminate its obligations under its existing prepaid forward minerals contracts. By selling gold and silver at the prevailing spot prices, the Company anticipates that it will realize significant increases in its sales prices.

The Molejon plant expansion in Panama, including the installation of a fourth ball mill, third thickener and second retained circuit, along with the expansion of leach tanks and CIP tanks have progressed apace during the first quarter of Fiscal 2013. The Company anticipates the commissioning of this new equipment during the second quarter of Fiscal 2013. The new equipment will enhance plant throughput capacity at Molejon by 1,100 tonnes per day and increase production capacity by approximately 30%.

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SEPT 20 INMET MINING STILL OUT TO ACQUIRE PETAQUILLA MINERALS

INMET MINING REITERATES INTENTION TO MAKE OFFER TO ACQUIRE PETAQUILLA MINERALS TORONTO, Canada: Inmet Mining Corporation (IMN-TSX) today reiterated its intention to make an offer (the “Offer”) to acquire all of the outstanding common shares of Petaquilla Minerals Limited (Petaquilla Minerals) as announced on September 5, 2012. Inmet notes that in an announcement yesterday Petaquilla Minerals indicated it is proceeding with a proposed offering on a private placement basis of US$210 million aggregate principal amount of senior secured notes due 2017. Inmet’s intention to make the Offer is subject to a number of conditions including that Petaquilla Minerals not complete the proposed US$210 million or other debt or equity financings. Inmet anticipates that its formal offer to acquire Petaquilla Minerals will be mailed to Petaquilla Minerals’ shareholders within the next two weeks. About Inmet Inmet Mining Corporation is a Canadian-based global mining company that produces copper and zinc. Inmet has three mining operations: Çayeli (Turkey), Las Cruces (Spain) and Pyhäsalmi (Finland), and an 80 percent interest in the Cobre Panama development project, currently in construction. For Additional Information, Please Contact: Flora Wood, Director, Investor Relations +1 416 361 4808 Inmet Mining Corporation Suite 1000 330 Bay Street Toronto, Canada M5H 2S8 Tel: (1) 416-361-6400 Fax: (1) 416-368-4692 www.inmetmining.com

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PANAMANIAN GOVERNMENT AFFIRMS PETAQUILLA’S RIGHTS

PANAMANIAN GOVERNMENT AFFIRMS PETAQUILLA’S RIGHTS TO LAND SOUGHT BY INMET

Vancouver, BCOctober 22, 2012: Petaquilla Minerals Ltd. (“Petaquilla” or the “Company”) announced today that the National Authority of Land Administration (“ANATI”) of the Government of Panama issued Resolution No. ADMG-026 dated October 18, 2012, denying certain requests by Minera Panama, S.A. (“MPSA”), a subsidiary of Inmet Mining Corporation, relating to Petaquilla’s concession rights.

On April 27, 2010, MPSA applied to ANATI to lease from the Government of Panama over 7,500 hectares of land adjacent to the Cerro Petaquilla Concession (on which MPSA plans to develop its Cobre Panama project). This application includes lands falling within Petaquilla’s San Juan and La Esperanza concessions, which MPSA has represented to the Government of Panama are critical for the development of its Cobre Panama project.
In responding to MPSA’s application, with input from the Panamanian National Directorate of Mineral Resources, ANATI ruled on certain key issues, including:  in order for MPSA to exercise the privilege provided to it in the 1997 Petaquilla Law, Contract Law No. 9, to obtain from the Government of Panama a lease of lands, it is a precondition that such lands be available for lease;
 lands that are subject to the mineral concession rights of third parties are not available for lease;
 certain of the lands sought by MPSA are subject to the prior mineral concession rights of Petaquilla; and
 consequently, MPSA is not entitled to the lease it has requested from the Government of Panama relating to lands subject to Petaquilla’s concession rights.

In its ruling, ANATI directed MPSA to negotiate with Petaquilla for a friendly agreement for access to such lands, failing which MPSA’s sole alternative would be to pursue a resolution through private arbitration with Petaquilla, as provided for in the Petaquilla Law 9.
Rodrigo Esquivel, President of Petaquilla, stated, “We are pleased that yet another Panamanian governmental agency has confirmed Petaquilla’s position on its rights to concessions adjacent to Inmet’s Cobre Panama project, and look forward to engaging in a constructive dialogue with Inmet, as directed by ANATI, for a resolution of all such matters that is in the best interests of all parties involved, including Petaquilla and its shareholders.”

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