Helix Exploration (HEX), the helium exploration and development company focused on helium deposits within the ‘Montana Helium Fairway’, announced the completion of drilling at the Darwin #1 well at the Rudyard project area in Montana. HEX said the Darwin #1 well at the Rudyard Project has significantly surpassed initial expectations. Helium gas shows measured by mass spectrometer reached a peak of 1,312 ppm, approximately 250 times the concentration found in ambient air. It was proceeding with a triple-combo wireline to further delineate its potential reservoir. With testing also ongoing at Ingomar, it was poised to evaluate our second well concurrently, marking an exceptionally active and promising period for the Company.
Comment: HEX remains tantalisingly close to the big win the market has been waiting for. Judging by today’s RNS there is not long to wait for the big reveal / discovery.
Tirupati Graphite (TGR), the specialist flake graphite company and supplier of the critical mineral for the global energy transition, announced progress on potentially meeting and supporting its financial requirements through a pre-production trade finance arrangement and provides an update in continuation to its previous RNS. TGR said it was glad to have initiated a relationship with the Middle Eastern Sovereign Fund with whom it has been working for a comprehensive and long-term resolution of its current and growth financial needs. The trial deal forms a stepping stone, the success of which shall strengthen its position in finding prudent solutions to its financial requirements; a key consideration that the Company has kept in mind in its efforts to protect the interests of its existing shareholders.
Comment: While it may still be a very hard road ahead, there is a decent glimmer here for TGR as it touts Middle Eastern cash. Certainly, if it arrives, it would be just in the nick of time.
eEnergy (EAAS), the leading digital energy services provider, announce its successful appointment to the NHS Commercial Solutions Sustainable Estates Framework Agreement. This appointment allows eEnergy to further support the UK’s public sector in its mission to reduce carbon emissions and achieve substantial energy savings across NHS Trusts. EAAS said its appointment to the NHS Commercial Solutions Framework Agreement is a significant milestone for eEnergy. It was proud to be partnering with NHS Trusts at a time when energy efficiency has never been more critical. Its success in the education sector, where we have saved millions in energy costs, is a testament to the positive impact we can make for the NHS.
Comment: Given that Labour’s public sector / Marxist tyranny looks like it is here to stay, any private companies that can milk the bloated public sector look set to have their day in the sun. EAAS should reap the benefit of its NHS gravy train news in spades.
DG Innovate (DGI), the advanced research and development company developing pioneering solutions in sustainable mobility and energy storage, provided an update on recent developments regarding the Company’s energy storage activities. DGI said while a great deal of focus has been placed on the ongoing commercialisation efforts for its novel Pareta® e-drive technology, the energy storage team have been working diligently on sustainable anode materials to disrupt the current battery supply chain. It was extremely excited by the potential demonstrated to date and firmly believe that DGI can be an integral part of delivering greener batteries for the energy transition.
Comment: It has indeed been all about Pareta for DGI in the past. What will be interesting going forward is whether the move towards the current stock market rock and roll – energy storage, will move the share price dial.
Altona (REE), a resource exploration and development company focused on critical raw materials in Africa, announced that it has been notified that on 11 and 12 November Cedric Simonet and Louise Adrian, both Directors of the Company, purchased 899,999 and 1,027,016 ordinary shares of 1 pence each in the Company respectively.
Comment: The prospect of production, quicker than the market had been expecting, and the latest director buying should be enough to ensure that the latest rebound for the shares from 1.1p should be a lasting low for the shares.
Sovereign Metals Limited (SVML) announced that it has successfully completed the mining trials stage of its Pilot Mining and Land Rehabilitation Program (Pilot Phase) at the Kasiya Rutile-Graphite Project in Malawi (Kasiya). SVML said it was pleased with the results of the mining trials at the test pit and now look forward to the rehabilitation demonstration stage, with backfilling of the pit already underway. Its findings from this Pilot Phase are constantly improving our understanding of Kasiya and how to optimise operations at this genuine Tier 1 project.
Comment: SVML continues to deliver the regular, significant newsflow that the market demands, and this is feeding through to the share price which is just shy of the highs of the year. One would expect an acceleration towards the end of this year in the share price towards 50p.
Blencowe Resources (BRES) announced that it has commenced the 6,700 metre resource drilling programme, marking the final major workstream required for the completion of the Definitive Feasibility Study for the Orom-Cross graphite project in Uganda. BRES said it was confident this programme will significantly extend its JORC Resource and Reserve base and it will be working closely with its technical partners to deliver the best results possible in the shortest timeframe, feeding directly into the DFS. It was especially excited to be drilling a new deposit which may ultimately deliver further higher grade tonnes into our project. Higher production volumes will make a substantial difference to the NPV within the DFS modelling.
Comment: While the market has been obsessing about funding, despite the contribution of US Government grants, BRES is getting on with the job as far as its DFS. One would expect the bear trap this week below 3.5p this week to market the rebound point for the shares.
Power Metal Resources (POW), the London-listed exploration company with a global project portfolio, updated the market on forthcoming exploration activities within its uranium-focused joint venture of Power Metal’s entire portfolio of uranium licences with UCAM Ltd. POW said it had a substantial budget committed to exploration, it believed, in fact, the second largest currently being deployed in the Athabasca Basin area. In order to maximise its chances of discovery, it will continue to undertake the necessary sampling and surveying work before it commences drilling, which it currently anticipates will be in late February/early March of next year.
Comment: POW’s progress on the uranium front should be enough get the stock back off the floor of the 2024 range, especially considering the valuation continues to ignore the great bull run in significant holding Guardian Metal (GMET).
Touchstone Exploration Inc. (TXP) reported financial and operating results for the three and nine months ended September 30, 2024 and updated 2024 guidance. TXP siad it achieved average quarterly production of 5,211 boe/d (75 percent natural gas), a 54 percent increase relative to 3,391 boe/d produced in the third quarter of 2023 (60 percent natural gas), reflecting a full quarter of natural gas production from the Cascadura field, slightly offset by Cascadura natural gas and associated liquids natural declines. TXP said it remains committed to financial discipline and maximizing value from its portfolio of development and exploration assets. Its primary near-term strategy is to increase cash flow through the development of the Cascadura field.
Comment: As today’s initial stock market reaction shows, TXP continues to be a frustrating play for holders, not deserving at least to be back near the share price lows of the year.
Just Eat Takeaway.com (JET)), announced that it has entered into a definitive agreement to sell Grubhub Inc. to Wonder Group, Inc. for an enterprise value of USD650 million. The sale of Grubhub to Wonder will increase the cash generation capabilities of Just Eat Takeaway.com and will accelerate its growth. This deal delivers the right home for Grubhub and its employees.
Comment: With the Aquis (AQX) takeover earlier this week for over £200m, and today’s $650m disposal, it appears that there is finally some decent cash swilling around the stock market.
KEFI (KEFI), the gold and copper exploration and development company focused on the Arabian-Nubian Shield since 2008, provided an update regarding the Company’s Gold and Minerals SLA joint venture in Saudi Arabia. KEFI said it believes it is in the best interests of KEFI shareholders to remove the outstanding exploration liabilities with a consequential reduction in the Company’s stake in GMCO. KEFI has made it clear that the priority for its capital is to now optimise shareholder value via majority-owned projects.
Comment: Just when one thought that KEFI was running out of excellent sounding jam tomorrow updates, it delivers a new one. The shares remained marooned in the same range which has presided for most of the year.
Tatton Asset Management (TAM), the investment management and IFA support services group, today announces its interim results for the six-month period ended 30 September 2024. Group revenue increased 23.7% to £21.660m (Sep 2023: £17.506m). Adjusted operating profit1 up 22.8% to £10.894m (Sep 2023: £8.872m). TAM said it has delivered record net inflows of £1.8bn in the first half of the year, which is an exceptional achievement for Tatton and it could not be more delighted. Its record organic net inflows driven by our strong proposition, consistent investment performance and market leading service have underpinned our performance in this period.
Comment: Shares of TAM are up 34% so far this year, and off the back of the latest update we should expect a breakout to new highs. This is especially the case given the tough environment the company is in.
Cordel Group (CRDL), the Artificial Intelligence platform for transport corridor analytics, announced two new contracts. CRDL said these two contracts, both with new customers, are entry points into what we hope will evolve to network-wide delivery with Aurizon in Australia and Southeastern in the UK. It was confident that its automated scanning and analysis will provide a compelling business case for Aurizon, while the Southeastern contract will demonstrate Cordel’s ability to provide measured outputs that are not currently available to new train designers and specifiers, extending its range of services.
Comment: Shares of CRDL have already staged a decent recovery so far this year, and the double contract win announced today appears to be more than enough to keep the momentum building.
Gulf Marine Services (GMS), a provider of self-propelled, self-elevating support vessels for the offshore energy sector, is pleased to announce the award of a new contract for one of its vessels operating in the Middle East. It was delighted to have secured this contract at an improved day rates for one of its small-class vessels. This confirms the continuous demand for all the vessel classes it operates.
Comment: Having traded rather higher earlier in the year, the latest contract win goes well with the latest rebound in the stock. That said, one would suggest GMS shares now deserve to be on the right side of the 20p level.
Dowlais Group (DWL), the specialist engineering group focused on the Automotive sector, provided a trading update for the ten-month period to 31 October 2024. The Group has delivered performance in line with expectations and its full year outlook remains unchanged. DWL said it continued to execute well on its strategic priorities, with a continued focus on delivering operational efficiencies and commercial recoveries.
Comment: After being down nearly 50% so far this year, it could be that the latest update at least delivers a decent pause in the downtrend, especially given the way the group has performed in line with market expectations
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