07/07/2023

Helium One Global (HE1), the primary helium explorer in Tanzania, provided a rig update in relation to the company’s contractual relationship with SOFORI taking into account today’s announcement by Noble Helium (ASX: NHE). The company has previously issued a number of deadlines to SOFORI but continues to have concerns about the lack of operational and contractual progress required under the terms of the non-binding LoI and, pursuant to legal advice received by the Company, have issued SOFORI with a rectification notice. HE1 said whilst frustrating that a definitive contract has not been signed, we continue to work with SOFORI with a view to fulfilling their obligations under the LoI. In the meantime, it has commenced its civils work at site in order to ensure it can expedite drilling Operations as soon as possible once it has a rig secured.

Comment: Although perhaps a bump in the road, today’s announcement reminds us that the dog days of summer 2023 are not the best for a company revealing delay, misses or simply confessing to be frustrated.

Caspian Sunrise (CASP), the Central Asian oil and gas company, announced its audited final results for the year ended 31 December 2022. Revenue: up 72% at $42.9 million (2021: $25 million). Profit after tax for the year $9.9 million (2021: Loss after tax for the year $5.5 million). Cash at bank: $3.7 million (2021: $0.4 million). The company confirmed that the suspension of the company’s shares will be lifted at 7:30am on 07 July 2023.

Comment: Caspian returns to market with a bang in the sense that all the main fundamental metrics have turnaround around in a significant way. In normal conditions such a transformation would be greeted in a very positive way, despite last month’s revenue and dividend warning.

Vast Resources (VAST), the AIM-listed mining company, announces that it has raised £1,701,000 gross at a price of 0.35p. The company said the net cash raised from the Placing will be used for working capital and to ensure the Company can meet its current corporate obligations both in Romania and at corporate level, applied to bridging any unforeseen operational related costs as well funding further expansion capital costs, and the ongoing drilling programme and mine development costs at the Company’s Baita Plai Polymetallic Mine in Romania.

Comment: While most small caps have already raised for the summer, VAST most likely confounds its fans with another placing. It should be the case that this is the last of the placings the company has served up, but of course there are no guarantees in this game.

Renalytix (RENX) announced new clinical data demonstrating that KidneyIntelX in vitro prognostic use was associated with post-test actions that led to sustained improvements in both type 2 diabetes and chronic kidney disease health through 12 months.  The results are from the evaluation of 2,317 patients being followed in a large real-world evidence (RWE) study in New York City. RENX said it is at an important inflection point in the overall understanding and management of kidney disease progression in the type 2 diabetic patient population.  Precision based tools such as the KidneyIntelX assay provide a patient-level biological assessment of (DKD) disease potential for which population-based algorithms based on standard clinical variables will never be able to achieve.

Comment: RENX is consolidating in share price terms since its FDA win last month. Today’s news keeps the company in the limelight in a positive way, ideally a driver for a fresh leg to the upside for the stock.

Quadrise (QED), the supplier of innovative energy solutions, announced its intention to conduct a placing at a price of 1.25 pence to institutional and other investors to raise gross proceeds of not less than £1.0 million. Shore Capital and VSA Capital Limited are acting as joint bookrunners and placing agents in connection with the Placing.

Comment: Last month QED said it was resuming its paused project in Morocco at the next available opportunity, following the arrival of its necessary parts and spares. Presumably, today’s raise in high summer is to push this venture along.  This is a worthy woke cause that has been on the cusp of closing deals to take it to break even for a few years- that’s not to say it will do it this time, but patience may be needed. The book closes on 12th July.

WANdisco (WAND), confirmed that settlement of the Fundraise and Admission are now expected to take place on 25 July 2023 subject to, among other things, the passing of the resolution at the general meeting of the company convened for 24 July 2023. A total of 47,528,517 New Ordinary Shares are expected to be issued by the company at the Offer Price of 50p raising gross proceeds of $30 million. The suspension of the Ordinary Shares to trading on AIM be lifted at 7.30 a.m. on 25 July 2023 with Admission of the New Ordinary Shares to follow at 8.00 a.m. on the same day.

Comment: It will of course be interesting to see how one of the more high profile stock market car crashes of recent times in the UK resolves itself on its return. Presumably, those entering the fray at 50p will be hoping that lightning will not strike twice.