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Cadence Minerals (KDNC) listed on Aim, Aqse 

Precious Metals Investment Company


Cadence Minerals is an early-stage mining industry focused investment company with a portfolio of minority stakes in both listed and unlisted exploration and development assets.  The objective is to invest  and  advise  undervalued mineral projects with substantial upside potential through exploration and development  to ultimately a  producing mine.

Key Points

  • Its portfolio is principally in energy transition metals financial mainly Rare Earths and Lithium.
  • The 30% stake in Amapá, an Iron Ore project in Brazil has completed the Pre-Feasibility Study could be licensed by the end 2024.
  • It also holds a 30% stake in Sonora which owns a group of lithium projects in Mexico where a change in legislation has impacted prospects, perhaps only in the short term.
  • Its rare earth and lithium exposure is attractive as there is strong structural demand.
  • There is a  5.8% stake in Aim listed  European Metals Holding  who are progressing.
  • Acquired to 1.9% of Hastings, a Perth rare earths company in exchange for shares at a premium to NAV.
  •  It holds 8.7% of ASX listed Evergreen which has hard rock lithium.

Growth Drivers- the focus is on accelerating Amapá timelines.

Amapá, project is the most advanced and Kirian Morzaria, the CEO stated in an interview with Zak Mir 06/10/2023, that it  ‘could be’ producing cashflow in between 12-15 months.

Morzaria has spoken in various interviews regarding his target of bringing a JV strategic partners to co – develop this project and had mentioned he wanted it done this year.

The stock market has not factored into the value of KDNC that Amapá could attract an MOU, JV or Strategic partner which would accelerate the value realization.

The completed Pre-Feasibility Study established that the Amapá project has potential to deliver a 5.28 Mtpa (dry) iron ore operation with strong cash flow including a post-tax NPV of US$949m

Cadence has chosen a mezzanine debt arrangement as bridge towards realising value at Amapá.

Aim listed European Metals (RMH) plans to supply 29,386 tpa lithium hydroxide into the European battery market at low cost and progress is being made.

Interims June 2023 RNS 29th Sept

Total group assets increased from £21.64m in December to £25.79m at June’s Interims

Portfolio value is £9.74m compared to £5.2m

Unrealised losses of £1.2m compared to £4.1m

Net cash is cir. £0.5m with G&A (general and administrative expenses) of £0.79m and a commitment to reduce costs.


  • Small Investment funds are out of favour.
  • The portfolio valuation has been volatile although the losses and gains are mainly non-cash items.
  • An investment company has on going funding needs for G&A, as well as investing to advance its assets.



There are in-depth research notes suggesting in ‘better times’, the portfolio could be a multiple of the current market value.  Any dilution from the funding needed to get there could be insignificant compares to the potential upside. So it seems an opportunity to invest or wait until the better times!

Data Bank

List Aim   Comment
Price 5.55p (5.3p-5.8p)  
MKt Cap £10m  
Share in Issue 180.97m  
Group NAV 14.2p Discount to NAV 61%
Portfolio Value 5.4p  
Warrants/Options 2.5m/ 7.2m 20p
Net Cash (Debt) Net Cash £0.5m  
Next Results Finals December  
Last Results Interims June Opp Loss £2.3m (£5.1m)
Last Funding £3.5m at 20.5p Placing Feb 2022
Highest Salary £274,477 K Morzaria
IPO Founded 2002  
Shareholders   Hargreaves Lansdown 12.2%

Interactive Investor 8.5%

Hargreaves (VR) 7.94%

Barclays Direct 7.5%




Company Value June 2023 Value June 2022
European Metals 5,207 4,882
Evergreen Lithium 2,738  
Hastings Tech Metals 1,570  
Charger Metals 187 301
Eagle Mountain 20 37
Mont Royal 12 19
Miscellaneous 5 5
Total 9,740 5,244


Kirian Morzaria, CEO holds a B.Eng. from the Camborne School of Mines and an MBA (Finance). He has over 25 years of experience in the mineral resource industry, both in operational and management roles. The first four years of his career were spent in exploration, mining and civil engineering, after which he was involved in the acquisition, recommissioning and eventual sale of the Vatukoula Gold Mine. Kiran was appointed as CEO of Cadence in 2015, is a Non-Exec Director of European Metals Holdings and a Non-Executive Director of UK Oil & Gas Plc.