Military industry also in focus!
”According to Vyhtinen, Endomines preliminarily estimates that its tungsten production could in the future be 0.5–2 percent of the world’s total tungsten production.”
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”Several banks, such as Citigroup and Bank of America, previously predicted gold prices to rise to as much as $3,000 per ounce and remain optimistic about gold.
The underlying factors are geopolitical uncertainty, potential central bank interest rate cuts, and investors’ interest in safe havens.
Gold demand is also supported by large central bank purchases and a weak US dollar.
According to some analysts, gold prices could reach new records, although the rise may be volatile at times.”
Not bad.
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Risks abound, as often in business. It generally holds true: if the price of a product for sale falls below the profitability threshold, it might be curtains, and it won’t be golden. Let’s also remember that in March 2019, the price of a gold ounce hovered around USD 1300, from which it has thus risen by approx. 130%. By my quick calculations, I deduce that there’s some way down to the profitability threshold, which, of course, doesn’t mean it’s the end of the world, etc. But for now: yay. As a curiosity, one can note that in 17 months, Endo’s stock price has soared by 450%. Not bad. Most people buy stocks to make a profit from them, not because the target company’s management is somehow wonderful or some other such nonsense. I guess. I myself bought far too early, 6½ years ago, and was down 70%. Now it’s already starting to make me smile. I’m still waiting to laugh. 
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Aapeli’s latest comments will surely be of interest in this thread.
On Monday, Endomines published mineral resource estimates as of the end of 2024 for both the company’s Finnish and US projects. In the updated estimates, Finland’s reserves rose quite clearly as expected, reflecting previously published reserve updates for the Southern Gold Line. Equally as expected, there were no changes in the reserves of the US projects. More detailed results can be read here.
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Nowadays, this section has changed and there’s a decline in visitors for one reason or another. But now I have to post a reply. What if there are plenty of opportunities? Consider what the stock price was when the US mines were bought, and then reflect that against the current situation. Price levels are in completely different spheres, at least double the current stock price… gold price was 1300 dollars per ounce, while now it’s knocking on 3100 dollar levels. What if things have permanently changed regarding the price of gold and money printing? Where would the printed money disappear to, and it will be allocated somewhere. Soon more debt will be taken for defense spending, or that’s what it’s called now. With what money will Ukraine’s reconstruction work then be done? As a starter, the EU is printing an additional 150 billion for defense spending. Now the US stock market is falling, Europe is interesting, interest rates have decreased, and the purchasing power of paper money has disappeared, partly due to inflation. Add to that the discussions about gold parity and the adjustments to the US central bank balance sheet with gold price valuations. Why are central banks constantly buying gold, meaning physical gold, and not any ETF papers? Now I’m already starting to smile.
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I didn’t quite understand all your points, if you were directing them at me? I noted what you did, i.e., the ounce price development 1300=>3000+. I’ve been sitting on my papers for 6½ years and I’m still sitting on them, which means I believe the uphill climb will continue, with some effort, of course, maybe even a big one. Bretton Woods, come back… Then we’ll be dancing on the tables.
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Because the company’s improved situation is in no way thanks to him.
It’s not worth expecting any news positively affecting the company’s cash flow from the US mines until Kyösti has managed to print all the shares he wants for himself (in this spring’s offering), and until the insider group has redeemed shares for themselves at a price of €3 from the summer 2023 VVK loans (in which the CEO himself is also involved). Their redemptions begin this summer and continue in the autumn.
Look at what the share price was when the US mines were bought and then reflect on the current situation.
The company’s market value was also half of what it is now. Also, the number of shares was half of what it is now. In practice, the benefit from the rise in gold prices has been diluted by Kyösti’s, the CEO’s, and other rascals’ VVK loans.
Furthermore, the then CEO of the company was a Trojan horse and made the deal prioritizing the seller’s interest. I fear that double the price was paid for said mines when they were bought, which means that today, one only gets the price that was paid for them back then.
If you subtract years of maintenance costs and investments made from that, it will result in a significant loss.
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Evli’s sum-of-the-parts calculation shows a share price of 13.2€ for Endomines at the current price. It’s unlikely to fall much below that, at least. Of course, more dilution is indeed expected in the spring. 
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You’ve done a great job persevering! 
I’ve also been around since 2021 and have already seen all sorts of things in that time.
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How was the company’s profit at that time and the structure of the balance sheet? Pampalo reserves? In itself, great trading volumes compared to previous figures. Of course, the largest owners have also taken a risk and invested in the company. Nowadays, it is difficult for small companies to get financing, and the owners have ensured this during the growth phase.
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Pampalo’s reserves have been hand-to-mouth year after year.
No profit was probably generated, nor expenses, when operations were halted. In America, there was bustling and wasting.
The balance sheet was always in mint condition when VVK loans and issues were made at a steady pace, just as they are now.
You don’t seem to see anything good in this company; what is clouding your judgment like this? It’s okay to be critical, of course, but your style is something else, isn’t it?
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I see two good things:
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The area where the company operates is most likely full of gold.
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The positive development of the gold price was visible a long time ago and it is evident that it will continue.
What I don’t like about the company is that its insiders also know the above-mentioned things, and they try to benefit from the situation to the maximum extent while minimizing their risks at the expense of other investors.
If the US mines are sold this spring, generating liquidity for the company, and with which the absurd VVK loans from two years ago are also paid off, then I will admit my misjudgment.
As for my style, I don’t see anything special in my critical approach. I have indeed seen this phenomenon from afar, and since everything continues to progress as I have suspected, it gives me no reason to change my view.
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Happy spring Friday everyone 
Just a quick note regarding VVK loans. I cannot comment on the history before 2022, as I was not part of our golden journey then. Since March 2022, the number of VVK loans has steadily decreased as more time has passed. The company’s situation in 2022 was completely different. Endomines’ operating profit in 2022 was a loss of -15.5 MEUR. The EBITDA was also negative at -6.4 MEUR. The company’s market value was probably around 25-30 MEUR by the end of 2023. The board had very, very, very few realistic financing options available. A financing option like LDA Capital was seen as detrimental to the company, and therefore it was abandoned.
VVK loans do not always lead to full conversion of shares. For example, in the conversion announced on February 21, only the loan principal was converted. It was decided that the interest would not be converted and would be paid in cash.
Generally, management’s investment in the company is intended to communicate commitment and belief in the company’s future. If the company were doing poorly, it would personally sting everyone who invested in it.
The change has been enormous. Now, in the 2024 financial statement release, the company’s EBITDA was a positive 5.8 MEUR and operating profit was a positive 2.6 MEUR. I am very grateful for the support of our owners. This support made the change possible. Without this support, we would not be in this situation. I believe that all our owners, employees, and partners will benefit from the change.
Kind regards,
Kari
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The European Commission is expected on Tuesday, March 25, to announce which projects it has selected as strategic projects under the EU’s Critical Raw Materials Act.
I would assume Endomines is included in that, and tomorrow we will get a press release about the matter.
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According to the map in the article, Endomines is not yet involved at this stage. Or did I misinterpret the map, or is it incomplete?
If you read the story, it says that the list is not public but the information has been obtained by asking companies directly. They either haven’t realized to ask Endomines or Endomines has not confirmed the matter to them.
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Endomines hasn’t managed to send the application yet, has it? The goal was probably within this month.
When will the EU Commission next process applications, meaning make decisions on these critical materials mines, or do they do it on a rolling basis in the order of application?
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Oh, the email’s automatic translator had made the announcement quite funny, but it’s actually correct. Anyway, 4513 ounces of gold in 3 months! 
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