Cadence Minerals Plc (LON:KDNC) received a fillip today from Bacanora Minerals Ltd (LON:BCN), in which it owns a 9% stake.
Bacanora’s Sonora project in Mexico can become one of the world’s foremost lithium deposits, said chief executive Peter Secker after a definitive feasibility study valued it at more than one billion dollars.
The study confirmed the favourable operating costs for a 35,000 tonnes per annum battery grade lithium carbonate operation, he said.
That was enough to send Cadence’s shares 22% higher to 0.37p.
Cadence Minerals holds roughly 9% of the equity in Bacanora Minerals and 30% of the Mexalit and Megalit joint venture companies; Mexalit is the owner of the El Sauz, El Sauz 1, El Sauz 2, Fleur and Fleur 1 mineral concessions and these concessions form part of the Sonora lithium project as assessed in the feasibility study.
"These results confirm the potential of the Sonora project to become a significant producer of battery grade lithium for the emerging industries of electric cars and advanced energy storage,” declared Kiran Morzaria, the chief executive officer of Cadence.
“Together with Bacanora's existing off-take agreement, Bacanora is now moving onto the development phases of the project and we look forward to its continued progress towards production," he added.
READ Bacanora Minerals predicts Sonora will be major lithium producer as study values it at US$1.25bn
Shares in Bacanora were up 1.7% at 94.05p.
Forbidden Technologies in another rethink
The strategy update from the new chief executive officer of Forbidden Technologies plc (LON:FBT) did not go down at all well.
Shares in the cloud-based video-editing platform operator slumped 28.6% to 4.375p as chief executive Ian McDonough revealed that results for this year will be below those of last year.
McDonough said a high profile proof of concept trial with a major UK broadcaster, mentioned in a stock market release of April this year, has not been renewed.
McDonough, who has opted to replace most of the company’s sales and marketing times, claimed these were “exciting times at Forbidden Technologies” as he unveiled plans to turn th3e company's fortunes around.
With the shares having halved in the last year, it is the sort of excitement long-suffering shareholders could do without.
Plant Impact up for sale after Brazilian blow
Plant Impact PLC (LON:PIM) has put itself up for sale after one of its major customers in Brazil signalled plans to de-stock.
The crop productivity specialist said that Bayer CropScience (BCS), which has the exclusive rights to market the UK company’s flagship soya bean product, Veritas, would not be able to conclude a new contractual arrangement until the first quarter of next year at the earliest.
Worse still, BCS said it would not be able to meet its commitments within the existing purchasing plan, as it needs to accelerate destocking activities.
Should BCS not meet its minimum purchase volume commitments by the end of March next year Plant Impact could terminate its agreement with BCS and find an alternative distribution partner.
The shares lost three-quarters of their value in double-quick time this morning as the company announced it is pursuing all strategic options, including a sale of the company.
With a market capitalisation of £2.54mln, the company could be bought with pocket change by most chemicals companies.
With the company indicating it would require further funding of around £7mln before April of next year, the acquisition cost moves closer to £10mln.
Reach for the sky! Avanti soars after debt-for-equity swap proposal
Avanti Communications Group PLC (LON:AVN) looks to have secured its future, but it means debt holders will take a major stake in the satellites launcher.
The shares went moon-bound, rising 17.55 to 7.49p, after the debt-laden company unveiled details of its proposed restructuring.
The group plans to slash its debt by converting a chunk of it to equity, resulting in the issue of roughly 2bn new shares.
Immediately following the debt-for-equity swap, Solus Alternative Asset Management would hold roughly 41.5% of the enlarged share capital, which ordinarily would require Solus to make a general offer for the existing issued share capital not already held by it; Avanti intends to seek the prior approval of the Takeover Panel to waive this requirement.
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Zotefoams gets a bounce from partnership with Nike
Plastic foam materials specialist Zotefoams Plc (LON:ZTC) hot-footed it higher in early deals after announcing a strategic partnership with Nike to develop “footwear technology”.
Zotefoams, a leader in cellular material technology, will supply high-performance foam materials exclusively to Nike, within the footwear industry. The foams, which are designed for footwear, can be formulated to specific customer needs and are superior in performance, consistency, quality and purity to foams produced by other methods, according to Zotefoams.
The shares were up almost 15% to 461p on the news.
Exclusive: London-listed satellite group Avanti Communications to unveil $550m debt-for-equity swap plan tomorrow. https://t.co/A36ZFVyMZa
— Mark Kleinman (@MarkKleinmanSky) December 12, 2017
Proactive news headlines:
Europa Oil & Gas Holdings PLC (LON:EOG) has identified the potential for more than 2.5 trillion cubic feet of gas in its exploration area, in the Slyne basin, adjacent to Ireland’s Corrib field. Corrib is Ireland’s largest producing offshore gas field, with significant infrastructure to shore, and the AIM quoted explorer is assessing the nearby area for new discoveries.
Ortac Resources Ltd (LON:OTC) has increased its stake in Casa Mining to 84.7% from roughly 45% at the time it announced its offer last month. To date, Ortac has issued 66.55mln shares to Casa shareholders, and potentially another 33.45mln could be issued if it ends up with 100% of Casa.
Savannah Resources Plc (LON:SAV) has found some of the highest grades of lithium oxide ever seen in Europe from its latest drilling programme in Portugal. Significant intersections of lithium mineralisation were crossed from a shallow drilling programme at Mina do Barroso, which Savannah now describes as outstanding deposit.
Bacanora Minerals Ltd’s (LON:BCN) Sonora project in Mexico can become one of the world’s foremost lithium deposits said chief executive Peter Secker after a definitive feasibility study valued it at US$1.25bn. The study confirmed the favourable operating costs for a 35,000 tonnes per annum battery grade lithium carbonate operation, he said.
Keywords Studios PLC (LON:KWS), the technical services provider to the global video games industry, is on the acquisition trail again – this time in Eastern Europe. It has acquired Sperasoft Inc and Sperasoft Studio LLC for US$27mln from the founders, all of whom will remain with the business.
BATM Advanced Communications Ltd’s (LON:BVC) software development subsidiary, Telco Systems, has partnered up with Tokyo firm Trend Micro to launch a cybersecurity solution for deployment across virtual networks.
Chariot Oil & Gas Limited (LON:CHAR) confirmed it is working to take advantage of the current historically low costs for deep-water well drilling, as it advances towards an expected March 2018 spud for the Rabat Deep exploration well offshore Morocco. “Having previously taken advantage of the low seismic acquisition rates, Chariot is now focusing on the supply and demand dynamics of the deepwater drilling rig market..
Curzon Energy Plc (LON:CZN) has updated on its operations at the Coos Bay coal bed methane project, in Oregon, where clean-out works have now been completed for three of five wells in the programme. Work has now begun on the fourth well and it is expected that the fifth will be complete in the coming weeks. Thereafter, it is anticipated that each of the wells will be put on production testing.
Interim results from India-focused generator OPG Power Ventures PLC (LON:OPG) confirmed what the market had been primed to expect: that a strong operational performance had been offset by higher seaborne coal prices. It is said its designation as a ‘captive’ producer of electricity to the industrial sector in Gujarat ‘reaffirms’ the company’s business model there and should strengthen its cash flow.
Stratex International plc (LON:STI) said the resource statement from Thani Stratex Resources for the Anbat gold project in Egypt has been tweaked after being released to the market prematurely. That said, the inferred mineral resource remains unchanged at 209,000 ounces at 1.11 grams per tonne. The material change to the original resource estimate relates to the conceptual pit optimisation. The revised statement can be viewed here.
Anglo Pacific Group plc (LON:APF) (TSX:APY), the London and Toronto listed royalty company, has announce that Canaccord Genuity has been appointed as its Joint Corporate Broker with immediate effect. Canaccord will work alongside the company's other brokers, BMO Capital Markets and Peel Hunt.