Commodities

BP is entering a new phase in its history, with it having drawn a line under the costly oil spill of 2010. Its valuation and yield have appeal in my view within a sector that remains generally undervalued. Therefore, I feel that now is the right time to buy BP and that 2017 could be…

Perhaps the most surprising price movement since the US election has been that of gold. Following a spike to $1,321 per ounce on election night, the precious metal has fallen back to around $1,220 per ounce. That’s surprising because Donald Trump’s election win brings a high degree of uncertainty. He plans to implement major economic,…

Shares in Sirius Minerals have rightly suffered a major pullback over the past few days, and many private-investor enthusiasts for the stock have been badly burned. The trouble with Sirius is that there is a lot of questionable analysis out there in the public domain right now. Here’s my attempt at setting the record straight……

Since BHP Billiton (LON:BLT) relies on its oil division for 29.6% of its EBITDA, the uncertain outlook for oil leaves me negative on its medium-term future. Hopes were raised regarding the oil price last month when OPEC declared that it had struck a deal to freeze output. Brent rallied in the aftermath and many investors…

Owning Centamin (LON:CEY) as part of a diversified portfolio of shares looks like a sound move given the uncertain outlook for the global economy. One of the big success stories of 2016 has been the rising price of gold. It started the year at $1,061 per ounce and now trades 18.3% higher at $1,255 per…

The key misconception behind the chat board ‘projections’  for Kibo MIning is a failure to understand the disconnect between a ‘project’ and the company ‘owning’ it. But this also stems from a failure to understand the concept of a project’s net present value (NPV). These commentators (and even the house broker’s headline – before hiding…

Here is an update with particular mention of where Kibo Mining and Ncondezi Energy have got to, and a repeat tutorial on how not to value such companies. If their projects go ahead, either company could see their shares reach a few multiples of current levels. By how much isn’t easy to determine, especially for…

My taking a profit on a small proportion of my stake in SolGold after its spurt to 12p following Newcrest International’s offer to buy 10% at 6p per share is looking silly now that the shares are touching 18p – after what looks like a mini-buying stampede today. And after dithering when to get back…

Those who followed me into Solomon Gold, at 3p in March and at 7p two weeks ago, have a short term dilemma. What to do now that the shares have briefly touched 14p and today have bounced off a 10p chart level (but at low volume). Solomon Gold – 10 days to 9th September 2016…