Capital Metals (CMET), a mineral sands company approaching mine development stage at the high-grade Eastern Minerals Project in Sri Lanka, provided a Project update. CMET said over the past six months, the Company has been focused on establishing a development plan which significantly reduces the circa $30m stage 1 capex from the May 2022 Preliminary Economic Assessment, whilst expediting cashflow.
Comment: One could almost smell that a decent update was on its way from CMET, given the way that the volatility had died down in the shares near the recent support levels. A $30m capex reduction should be regarded by definition as a big deal.
Georgina Energy (GEX) provided an update on the successful completion of a preliminary site inspection at Hussar EP513 completed by the Company and its consultants. GEX said its preliminary site visit to EP513 was highly successful, with all of its objectives achieved and multiple successful results. Georgina continues on its path focused on re-entering Hussar and bringing Mt Winter to pre-drill as part of its program to develop low-risk helium, hydrogen and natural gas projects in Australia.
Comment: The longer that GEX continues to deliver decent, business as usual updates such as today’s, the less impact the crackpot / swivel-eyed shorting inspired comments from the blogging bunker will have on the company and its share price.
Seascape Energy (SEA), an E&P company focused on Southeast Asia, announce a fundraising to follow on from the successful conditional farm-out of a 42.5% participating interest in the Block 2A Production Sharing Contract to INPEX CORPORATION. The Fundraising raised gross proceeds of £2.0 million at an issue price of 35 pence. SEA said “Whilst we are today announcing an important transaction in the farm-out of Block 2A offshore Sarawak, we are simultaneously announcing a small fundraising. This funding will ensure that the Company is able to close the farm-out deal, work on our DEWA project and continue to work on new opportunities, without stressing the balance sheet.”
Comment: It is not surprising that SEA is taking advantage of its recent share price rise to raise more cash, albeit a modest amount. Ideally, the shares actually rise after this close to the money placing given the prospects for the farm-out deal.
Metals Exploration (MTL) noted yesterday’s announcement by Condor Gold (CNR) and confirms that it is in advanced-stage discussions with the Board of Condor regarding a possible offer. Metals Exploration further announces that it has entered into an unsecured bridging term loan facility for the sum of £5.5 million (c.US$7.0 million) with Drachs Investments No. 3 Limited in connection with the Possible Offer.
Comment: Given the way that CNR has had the for sale sign hanging over it for an extended period, one wonders what has taken MTL so long to make its move? Perhaps just waiting for the gold price to soar enough to make a deal a no brainer. Oh and by the way, well done to all those who have been buying shares of CNR in recent days, presumably off the back of excellent charting coverage in the Bulletin Board Heroes.
Goldstone Resources (GRL) announces that the CLN issued to Blue Gold International Limited announced on 27 January 2023 was due for redemption on 30 November 2024. The CLN is unsecured and the total outstanding balance including accrued interest as at 29 November 2024 was £2.7m.
Comment: GRL shares were rallying ahead of today’s news, as if expecting a positive result on the CLN. Perhaps some investors may still be banking on a positive result in the next week?
Orosur Mining (OMI) announced an update on the progress of exploration activities at the Company’s flagship Anzá Project in Colombia. Assays from first drill hole (PEP012) of new drilling program at Pepas received. PEP012 returns exceptional result of 66.75m @ 5.64g/t Au, from surface. Second hole of program (PEP013) completed, with rig about to commence the third hole (PEP014)
Comment: It was always the case that Anzá could and should have been able to be a company maker for OMI, and today’s update underlines this. One would expect the shares to finally break out of their recent 2p-6p trading range for 2025.
Thor Explorations (THX), a West African-focussed minerals exploration and mining Company, announced further positive results from the initial proof-of-concept drilling programme that targets the down-plunge potential beneath the current Segilola open pit extents. THX said it was encouraged by the latest additional positive results that have been received from the “proof of concept” drilling programme. This programme targeted projections of the Segilola ore body below the current open pit design and has been successful in intersecting high grade mineralisation in the majority of the holes drilled below the pit.
Comment: There is ongoing appreciation of CEO Segun Lawson as a safe pair of hands at THX, something which we are reminded of with RNS, given how difficult operating in THX’s geography is. Clearly any RNS mentioning high grade mineralisation continues to help the cause.
Ferro-Alloy Resources (FAR), the vanadium producer and developer of the large Balasausqandiq vanadium deposit in Southern Kazakhstan, announced a strategic update following the successful carbon black substitute (CBS) product marketing study and the sale of a fourth tranche of the Company’s Kazakhstan Exempt Offer Bond Programme with a nominal value of US$5 million. FAR said the successful raising of US$5m by the issue of bonds enables us to refocus all our efforts on expediting and optimising the feasibility study, including the piloting of the carbon black substitute we announced on 21 November. The bulk of the feasibility study is now complete and we expect to be able to announce several updates over the next few months before completion during the second quarter of 2025.
Comment: Given that its vanadium strategy was not exactly loved and adored, it can be seen that FAR is certainly singing from the rooftops regarding the merits of CBS. It will be worth keeping an eye on the company to see how much the market re-rates the new angle.
Tavistock (TAVI) confirmed that it has now received, in full, the £22.0 million of initial cash consideration for the disposal of its network of self-employed registered individuals to wealth management firm The Saltus Partnership Holdings LLP, subsequent to the announcement of the transaction in early October 2024. This follows the successful completion of the Company’s planned reduction of its network of third party appointed representative firms and enhances the Company’s working and development capital, creating a favourable springboard for growth.
Comment: Shares of TAVI have doubled from multi-year lows in September, underlining the way that its rejigged strategy is being appreciated by the market, and could yet deliver decent upside.
BATM (BVC), a provider of real-time technologies for networking solutions and medical laboratory systems, announce that it has received orders under an existing framework agreement to provide a Tier 1 Communications Service Provider with its Edgility edge virtualisation platform and accompanying hardware. The orders are worth a minimum of $2.4m over a three-year period.
Comment: BVC appears to announce substantive new contract orders on a regular basis, and while the £70m market cap seems decent, we are yet to see the type of rally in the stock the company perhaps deserves.
Power Metal Resources (POW), the London-listed exploration company with a global project portfolio, provided a corporate update on the uranium-focused joint venture with UCAM Ltd involving Power Metal’s portfolio of uranium licences, and to provide a further exploration update for the Drake Lake-Silas Uranium Project. POW said it was very pleasing to be able to further update shareholders on the progress at Drake Lake-Silas, as it closes in on its most prospective targets. It was also very pleased to announce the name of the JV company, Fermi Exploration Ltd, which it was sure is going to become a very well-known name in the world of uranium exploration.
Comment: POW clearly sees its uranium angle as a leading part of its portfolio, and it is pleasing that alongside this, helped along by director buying, the share price has started to respond positively of late.
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