SNR intends to develop, own and manage natural resource extraction enterprises in southern Africa. SNR will concentrate, initially, on managing the development of and the investment in the Elitheni Mine, in the Gubahoek/Macubeni area of the Eastern Cape. Further opportunities both in South Africa itself and elsewhere in the southern part of the continent will be followed up as they arise. The company’s main country of operation is the Republic of South Africa.
06/02/12
Statement regarding IDC04/01/12
Change of Broker28/11/11
Unaudited interims for 6 months ended 31 Aug 201130/09/11
Total Voting Rights22/09/11
Holding(s) in Company
19/10/11
In an interview with Proactive Investors, chief executive David Nel explained that SNR is in dialogue with many potential funding partners, looking at a combination of debt, equity and forward sales of coal.
25/08/11
The company has bolstered its plans to supply coal from its Elitheni coal project in South Africa with a new £1.9 million share placing. Its largest shareholder - Cooch 1095 Ltd - is acquiring all 10 million shares issued in the placing, which was priced at 19 pence a share - a 38 per cent premium to yesterday's closing price of 13.75 pence.
04/04/11
The company this morning unveiled the eagerly anticipated first off-take deal, with Lugano-based Trasteel. SNR says more will follow.
24/03/11
The last six months have seen shares in Strategic Natural Resources (LON:SNRP) more than double in value. Today the South African coal miner unveiled plans that should help reveal its true potential: a US$2.5 million drilling campaign designed to significantly increase the coal resource base.
21/03/11
Strategic Natural Resources was dubbed an ‘unknown gem’ of the micro-cap market by Evolution Securities, which this morning initiated coverage of the company with a buy recommendation. Veteran mining analyst Charles Kernot values the shares at 49 pence each. The bullish circular had an instant effect on SNRP, which advanced 2.12 pence, or 11 per cent to 20.88 pence a share.
06/02/12
Strategic Natural Resources updates on Elitheni development14/12/11
Strategic Natural Resources advance on coal supply deal in South Africa28/11/11
Strategic Natural Resources on track to deliver first coal orders by spring19/09/11
Strategic Natural Resources receives balance of £600,000 for placing; Brennan becomes non-exec direc25/08/11
Strategic Natural Resources announces £1.9 mln placing to bolster plans for Elitheni coal project
20/10/2011
06/04/2011
05/04/2011
01/12/2010
27/08/2010
Strategic Natural Resources PLC (“SNR”) was established on 5 October 2004 as a vehicle to develop, own and manage natural resource extraction enterprises in Southern Africa.
As its first project, SNR acquired control of Elitheni Coal in the Eastern Cape some 200 miles north east of Port Elizabeth. The principal assets of Elitheni are a new order mining right over 92 km2 as well as new order prospecting rights over an additional 1,700 km2 for coal which it holds in the Eastern Cape, South Africa.
History
The first mines near Molteno and Indwe were opened in 1864 and 1877. The annual coal output from these mines reached a peak between 1900 and 1904 when production averaged 176,000 tonnes per annum. With the discovery of large deposits of coal in the former Transvaal and Natal Provinces closer to where major industrial development had commenced, production declined sharply in 1917 and ceased altogether in 1948. However, the Directors believe that, with the development of CFB Combustion Technology as well as local advancements in boiler combustion and increasing electricity prices large scale mining in this area is now economically viable. A coal mine based in the Eastern Cape will fuel the growing demand for heat, power and steam in South Africa.
Elitheni coal and its licences
Elitheni has increased its prospecting rights area in the Eastern Cape province of South Africa by more than 2,000% from the initial Phase 1 and Phase 2 area of 9,283.80ha, granted in 2005, to practically 184,000ha today. The 184,000ha has been demarcated into Phases 1, 2, 3, 4 and 5. The latter having been named Project Indlovu. Full and exclusive new order mining rights have been obtained on Phase 1&2 (92 km2 area) and full and exclusive new order prospecting rights exist on the remaining Phases 3, 4 and 5 areas. New order prospecting rights give the holder the exclusive right to apply for and obtain mining rights over the area held.
The Company was admitted to AIM on 7th August 2007 on the basis of a resource under Elitheni’s control of approximately 15 million tonnes of coal in the Phase 1 and Phase 2 areas. Golder Associates, SNR's competent person has, in a recent updated competent persons report (the "Updated CPR"), confirmed an increase in Elitheni's resources from 97.2 million tonnes to 150.3 million tonnes, comprising, 45.6 million tonnes measured resource, 45.5 million tonnes indicated resource and 59.2 million tonnes inferred resource. The additional drilling undertaken in relation to the Updated CPR spans an area of circa 3,000 ha. The area drilled to date represents less than 3% of the total area available for drilling. Roughly 179,000 ha of Elitheni's total rights area remains available for further assessment by Golder Associates.
Having all rights in hand to commence production, the Company has commenced 2010 with plans to fast track mine development and market penetration with first supplies to local industrial clients commencing in the first quarter 2010.
Richard Henry Ringrose Latham, Chairman
Richard Latham was appointed Chairman of Northern Petroleum Plc in 1999 and his career has been closely tied to the energy industry. He holds a MBA degree from Cranfield University and has spent most of his working life in the City - initially as an investment manager and for 27 years with companies in the upstream oil and gas industry. He was formerly deputy chairman of Aberdeen Petroleum Plc, chairman and managing director of Claremount Oil and Gas Limited and a non-executive director of Atlantis Resources Limited, a company listed on the London and Toronto stock exchanges.
As Chairman, Richard will Chair the Board of Directors and ensure that they provide proper direction and leadership. He will ensure compliance with the rules of the AIM Market of the London Stock Exchange. He will also Chair the remuneration committee.
David John Nel, aged 39, Chief Executive
David Nel has focused his career since the early 1990's, on opportunities within the natural resources industry in South Africa. After obtaining a Masters degree in Commerce from the University of Johannesburg, David spent several years in a senior management position with global business consulting firm Accenture, advising some of the world's largest mining houses. Through this, David gained experience in the conceptualisation, development, implementation and management of various large scale consulting solutions for mining companies such as Xstrata, De Beers and Goldfields. In addition, David has spent over seven years as the General Manager of Coalnet in South Africa, a resources development company which led to the establishment of Elitheni Coal, SNR's primary asset today.
David is wholly committed to Elitheni and to SNR. As Chief Executive Officer of SNR, David will be responsible for the mobilization and implementation of all SNR projects. David has also been the commercial director and COO of Elitheni Coal since 2006 and is well acquainted with all operational aspects of SNR’s projects. As CEO, David will be responsible for steering the new direction of SNR as well as implementation of all strategy both investment and operational for the company.
Jeremy Peter Metcalfe, Communications Director
Jeremy Metcalfe has a track record as a financier, marketer and promoter. He has hands on experience of the extractive minerals market having managed public companies including the chairmanship of Minmet plc, Connary Minerals plc, Crediton Minerals plc and Tiger Resource Finance plc which were engaged in the exploration and production of gold, base metals and diamonds in Brazil, Portugal, Peru, Dominican Republic, Honduras and the UK. He has arranged the funding, purchase and sale of a number of gold related projects in Europe and West Africa including the early funding of Golden Prospect plc (since renamed Ambrian Capital plc) and of Tiger Resource Finance plc, a successful mining finance house. He has a wide experience of running a number of businesses, latterly in the public sector commencing in 1994.
Barry William Nel, Commercial Director
Barry Nel is the founder of Elitheni and is involved in the South African coal and energy supply sector. He was a founder of Trans Tugela Coal (Pty) Ltd in 1976 which was South Africa’s first independent coal mining operation. The business grew to three medium sized collieries and captured 35 per cent. of the Natal industrial coal market. He formed Coalnet in 1990 to focus on joint ventures with coal users such as the successful joint venture between Coalnet and Vakbel of Turkey, which involved exporting 2.5Mt of South African coal to Turkey.
Since 1999, Barry has committed himself and all his resources to the full time task of establishing Elitheni. As well as being an Executive Director of SNR Barry is Chairman of Elitheni Coal Pty Ltd. His main responsibility will be to ensure the smooth running of the Elitheni coal exploration and the eventual mining of the coal once the extraction licence has been granted. He will also work closely with the CEO to define and develop other coal and energy related projects in South Africa and southern Africa.
Edward Cox Finance Director and Company Secretary
Edward has extensive experience with SME’s and early stage companies and has held a number of senior roles, including as Chief Executive and Finance Director in a range of quoted and unquoted companies. He qualified as a Chartered Accountant with Thomson McClintock (London) and obtained his MBA from Manchester Business School in 2001. He has particular expertise in southern Africa having grown up in South Africa and Zimbabwe from where he returned in 2001 after spending four years in the horticulture services business. He has considerable experience in international trade having been finance director for a leading London commodity broker which trading extensively in West Africa amongst other locations.
Bertus Steenkamp - Technical Director
He started his Working Career as an Anglo Coal Student in 1986 to 1990 when he completed his Higher National Diploma in Coal Mining. He later joined Rand Mines in 1991 as Planning Engineer where he occupied various positions in the Technical, Opencast Mining and Underground Sections of the Mine.
His first appointment as Mine Overseer in 1992, after obtaining his Mine Manager’s Certificate at age 25, was followed by his appointment as Production Manager at Delmas Colliery in 1995. During the course of his stay at this mine, he later had the responsibility for Total Management of the Underground Mine (3 shafts). He joined Grinaker-LTA during 2000 and up to 2003 he occupied various senior positions within the Contract Mining – Coal Division at Grinaker-LTA Mining Contracting before being appointed as Director-Coal Operations on the Main Board of Grinaker-LTA Mining Contracting during 2003. He occupied this position, being responsible for marketing, contract negotiations, contract management, tendering, strategic planning etc, up to March 2008 when he resigned to build his own dream – Belton Mining.
The Company, 2 years later, has developed into a diverse Mining Company (Level 6 - BEE) with its Mining Services Section focussing on Contract Mining and Engineering Capital Projects and Refurbishments, while a subsidiary company, Ducanet, focuses on Procurement Services. Furthermore, the company also acquired various levels of ownership in vast range of Prospecting and Mining Rights including Coal, Diamonds, Gold, Manganese, Platinum and other minerals. A Mauritian based Consulting Company (Belmin Consulting Limited) was also established to service International clients with Technical and Consulting Services.
Robert Myles Randal MacDonnell M.S.I, (Randal), Non-Executive Independent Director
Randal MacDonnell was a Partner of Laurie Milbank & Co Stockbrokers, stockbroker partnership for 16 years until it was taken over by Chase Manhattan Bank (subsequently JPMorgan Chase & Co.) in 1985. He was head of the institutional equity department raising money for underwritings, placings and rights issues, as well as conducting normal stock exchange business. In 1986 he was appointed a Director of Chase Manhattan Securities Limited where he remained for four years. He subsequently became a director of Credit Lyonnais Securities Limited and in 1994 was appointed a Director of Kleinwort Benson Securities Limited primarily dealing with small companies. Prior to becoming a member of the London Stock Exchange in 1965 he was commissioned in the 9th/12th Royal Lancers. He is currently a non-executive director of PipeHawk plc.
He is the senior independent Non-Executive Director; principally his role is to ensure that all shareholders are treated fairly and honestly by the Board.
Phumelele Stone Sizani
Mr Sizani has committed most of his life to fighting apartheid in South Africa and was imprisoned on Robben Island with Nelson Mandela, for 5 years. He completed his schooling in prison and subsequently obtained a Master of Arts degree from the University of East Anglia in the UK. From the 1980s Mr Sizani was politically active through various organisations, including the Port Elizabeth Youth Congress, the African Food and Canning Workers Union and the Eastern Cape, United Democratic Front.
Since the end of the apartheid he has been an active member of the ANC. He was Chairman of the Eastern Cape Branch from 2006 to 2009. He is currently Member of Parliament in the National Assembly. Mr Sizani has a number of business interests, including Rapitrade 644 (Pty) Ltd, SNR’s Black Economic Empowerment partner.
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Nominated Adviser and Joint Broker in the UK
Allenby Capital Limited
Suite 4, Claridge House
32 Davies Street
London W1K 4ND
Joint Broker
Evolution Securities Limited
100 Wood Street
London EC2V 7AN
Joint Broker
SP Angel Corporate Finance LLP
35 Berkeley Square
London W1J 5BF
Competent Person
Golder Associates Africa (Pty) Limited
Thandanani Park
Matuka Close
Halfway Gardens
Midrand 1685
South Africa
UK Solicitors
Memery Crystal LLP
44 Southampton Buildings
London WC2A 1AP
Attorneys to the Company (South Africa)
Werksmans Attorneys
155 - 5th Street
Sandown
Johannesburg 2146
South Africa
Registrars
Computershare Investor Services PLC
PO Box 82
The Pavilions
Bridgwater Road
Bristol BS99 7NH
Auditors and Reporting Accountants
Grant Thornton UK LLP
Grant Thornton House
Melton Street
London NW1 2EP
Public Relations
Financial Dynamics
Holburn Gate
26 Southampton Buildings
London
WC2A 1PB
Telephone: 0207 8313113
Registered Office and Business Address
Suite 4
Claridge House
32 Davies Street
London
W1K 4ND
Tel: 020 3328 5668
Physical Address of Elitheni Coal (Pty) Limited
Kings Court
Buffelsfontein Road
Office 1
First floor
Walmer Heights
Postal Details
P.O.Box 211177
The Fig Tree
6033 Port Elizabeth
South Africa
Tel: 041 368 9650
Facsimile : 041 368 9651
Total AIM Securities in issue
The total number of AIM securities in issue 109,103,333
Percentage of shares not in public hands
The percentage of SNR PLC shares not in public hands is 52.06%.
Identity and percentage of significant shareholders
| Identity | Shares | As Percentage |
|---|---|---|
| Cooch 1095 Ltd | 26,473,000 | 22.23% |
| Southern Cape Corridor Power (Pty) Limited (a) | 14,100,000 | 11.84% |
| The Tudor BVI Global Portfolio L.P. - LBPB Nominees Ltd | 8,883,333 | 7.46 |
| Sterling Trust Limited | 7,500,000 | 6.30% |
| Credit Suisse Securities (Europe) Limited | 6,800,000 | 5.71% |
The Tudor BVI Global Portfolio L.P - LBPB Nominees Ltd has voting rights over 2,083,333 ordinary shares and an economic interest in 6,800,000 ordinary shares
Director's Shareholdings (not in public hands)
| Identity | Shares | As Percentage |
|---|---|---|
| Barry William Nel, Commercial Director (a) | 14,100,000 | 11.84 |
| Jeremy Peter Metcalfe, Communications Director (b) | 2,972,672 | 2.50% |
| Richard Henry Ringrose Latham, Chairman (c) | 2,901,111 | 2.44% |
| Robert Myles Randal MacDonnell M.S.I, Non-Exec Indep. Dir. (d) | 156,585 | 0.13% |
| Edward Cox | 75,000 | 0.06% |
| Andy Brennan | 30,000 | 0.03% |
| David John Nel, Chief Executive (a) | 15,000 | 0.01% |
(1) 2,500,000 of these shares are held by a company, Cayzer Continuation PCC Limited - Cell 3512 for the benefit of R H R Latham and some are held in a nominee account with Redmayne Nominees Limited.
(2) Holding includes 89,235 shares owned by R M R MacDonnell's wife, Mrs E MacDonnell.
(3) Holding includes 15,600 shares owned by J P Metcalfe’s wife, Mrs C Metcalfe and some shares are held in a nominee account.
4) B W Nel and D J Nel are trustees of the Southern Cape Corridor Trust (“the Trust”). B W Nel is not a beneficiary of the Trust, although his children including D J Nel, are beneficiaries. The trust owns 78.5% and D J Nel owns 20% of the shares in Southern Cape Corridor Power (Pty) Ltd which in turn owns 14,100,000 shares in the Company.
Number of securities held in treasury
There are no securities held in treasury.
There are no restrictions on the transfer of securities.
This page was last updated on 22nd August 2011
Updated from Strategic Natural resources website 24.10.11
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