Yesterday after the close, Wildcat Petroleum (WCAT), a company targeting investment opportunities in businesses and assets within the upstream sector of the petroleum industry issued a clarifying statement. On 6 November 2023, Mandhir Singh, Chairman and CEO of the Company, gave an interview with Directors Talk which has subsequently been reproduced on social media. Mr Singh regrets some of his comments and now accepts that they may have be misconstrued and wishes to clarify the following statements: For clarity the FCA has not been advising the Company as to what he can say about its crypto/blockchain plans. The current position is that no blockchain activities and token offerings will take place before the Company has implemented its investment strategy to acquire an upstream oil and gas asset and it has published a prospectus in line with its Listing Rule obligations.
Comment: One of the characteristics of life on the stock market, especially in 2023, is that in the (unlikely) event that one’s shares go up, there usually has to be a speeding ticket RNS, or in the case of WCAT, a mea culpa. Whether or not revealing potential crypto / blockchain plans was the reason for the recent sharp share price rise is a moot point, given how long ago the interview was released. A more likely explanation is that the overhang associated with the recent placing had been churned through.
Also after the close yesterday, Reabold (RBD) announced that, following its announcement on 14 November 2023 noting material deficiencies in the purported requisition notice from Pershing Nominees Limited on behalf of several beneficial shareholders, a new requisition notice from Pershing, which now owns, in aggregate, approximately 8.17% of the Company’s issued share capital on behalf of 13 beneficial shareholders, has been received by Reabold.
Comment: It is interesting that that over the past few weeks shares of RBD have rallied some 50% off their 2023 lows, in the wake of the latest iteration of the requisition saga.
Neometals (NMT) announced that it has received firm commitments from sophisticated, professional and institutional investors for its placement raising approximately A$9.0 million (approx. £4.7 million.) NMT thanked shareholders for their support during the development and commercialisation of its lithium-ion battery recycling technology through its Primobius joint venture with SMS group. Neometals is looking forward to Primobius delivering its maiden plant to Mercedes-Benz and growing its revenue base and forward order book for plants supplied under technology licensing business models. This raising ensures that its flagship business is funded to deliver its current and anticipated future purchase orders, whilst continuing the commercialisation of our other projects through partnerships and technology licensing.
Comment: Given what an a la mode area NMT is, the recent weakness in the share price has been something of a head scratcher. Perhaps with the fund raise out of the way, the market can focus on the obvious fundamental momentum here.
Longboat Energy (LBE), an emerging full-cycle E&P company active in Norway and Malaysia, provided an operational update. LBE said the timing of its entry into the SE Asia region has been excellent given the exceptionally active M&A market. It is excited about the many and varied opportunities available to it and with its highly experienced team and excellent relationships.
Comment: Shares of LBE are now far enough off their 32p July peak to suggest that along with the latest news there may be some fresh interest as we head into the last few weeks of 2023.
Jersey Oil & Gas (JOG), an independent upstream oil and gas company focused on the UK Continental Shelf region of the North Sea, announce that it has agreed to farm-out a 30% interest in the Greater Buchan Area licences to Serica Energy (UK) Limited. Upon completion of the Serica Farm-out, JOG will have a 20% interest in the GBA licences and a full carry on the capital expenditure required to bring the Buchan field into production. JOG said it is thoroughly delighted to announce the farm-out transaction with Serica Energy. Not only does it bring a further high-quality partner into the joint venture, but it unlocks exceptional value for the Company and delivers upon its overall objectives for the GBA farm-out strategy. The transaction provides JOG with multiple cash payments, but most importantly, a fully funded 20% working interest in the Buchan redevelopment project, transforming the Company and providing it with the springboard from which to realise long term shareholder value.
Comment: While JOG clearly has its fans, it has been a frustrating stock given the persistent selling in the stock through the 200p level. Hopefully today’s news is definitive enough to blow the cobwebs off the last of the bears.
Cambridge Nutrition (CNSL), the specialist medical diagnostics company, announced its unaudited interim results for the six months ended 30 September 2023. Revenue increased 44% to £4.9m (H1 2022: £3.4m). Gross margin increased to 62.7% (H1 2022: 54.0%), largely due to production efficiencies & product mix. The company said the first half of this year delivered encouraging performance in both financial and operational terms. It is particularly reassuring to see improvements in the operational side of the business yielding tangible results. It continues to build a new foundation as a standalone business and believe it has the right strategy and vision to build on a leadership position in the exciting market of personalised health and nutrition.
Comment: Shares of the company formerly known as Omega Diagnostics have rallied some 50% in recent weeks, perhaps if only on the basis that the pandemic baggage associated with ODX has finally been laid to rest.
Chaarat Gold (CGH), the AIM-quoted gold mining company, announced the completion of the 2023 drilling programme in the Karator oxide gold prospect. The company said it was very pleased to see the completed Karator drilling programme return encouraging intercepts. The intercepts confirm excellent exploration potential, as to add significant high quality oxide gold resource Tulkubash Heap Leach project, which is located only 2km to northeast.
Comment: A slightly different RNS from CGH today, as perhaps most in the market regard the company as more of a producer than an explorer.
Firering (FRG), an exploration company focusing on critical minerals, is pleased to announce that it will be presenting and exhibiting at the Mines and Money @Resourcing Tomorrow conference on the 28 – 30 November 2023.
Comment: There are now plenty of London listed lithium plays to choose from. Firering looks to be ready to get back in the saddle in terms of touting its wares to investors, especially after last month’s announcement that it has commenced Part 2 of its auger drilling campaign at its flagship Atex Lithium-Tantalum Project, in Côte d’Ivoire.