Premier African Minerals (LON:PREM) – SPECULATIVE BUY*: RHA/Zulu update
Market Cap: £15m; Current Price: 2.4p
Funding to commence its Zulu Lithium and Tantalum project
- Raised £450k (2p/share plus 1.35m warrants at 3p/share) to finance commencement of early development at its Zulu Lithium and Tantalum project. The fund raising was the result of an unsolicited approach.
- From Yesterday; First shipments this month
- Initial concentrate grades have exceeded expectations.
- First commercial shipments expected to take place 17/07/2015.
- Minor plant upgrades to increase throughput.
- Positive results from supplementary water drilling campaign.
- Plant nearing steady state production as optimisation and fine tuning continues.
NORTHLAND CAPITAL PARTNERS VIEW: Positive developments at both the Zulu and the RHA projects for Premier African Minerals with the Zulu funding and the RHA plant producing an initial fines concentrate with grades as high as 70% WO3 and regularly above 67% WO3. Importantly, Prem has also now secured all necessary RHA permits and contracts for exporting its product and the first shipment of concentrate is expected this month. Another positive development, that is likely to lead to further upside, is that the downstream concentration circuits appear to have excess capacity beyond the designed 16t per hour capacity of the crushing circuit at the front end. As a result, Prem is expecting to include some modifications to plant, for a nominal cost, within the next 30 days to improve the crushing efficiency and allow better use of the downstream equipment. This could increase the total volumes through the plant but also increase the percentage of higher grade fines.
MediaZest (LON:MDZ) – CORP: Board appointment
Market Cap: £2.9m; Current Price: 0.28p
FD appointed
- Andrew Last has been appointed as an Executive Director and as Finance Director with immediate effect. He joined MediaZest last October.
- James Abdool, currently Group Sales Director, will step down from the board as of 31st August 2015. He will continue to work on current projects and clients in the interim and may continue to work with MediaZest on a consultancy basis.
- Geoff Robertson will remain as CEO and will assume overall responsibility for the Group sales effort. MediaZest has appointed a senior new business development executive who will join this month.
Formation Group (LON:FRM) – CORP: Profit share agreement
Market Cap: £16.5m; Current Price: 7.5p
From yesterday: Profit share agreement on residential conversion
- Profit share agreement with Sunbel Development and Pinnacle Developments in relation to a development property at Cromer Court, 9-19 Streatham High Road, London, that is being converted from office space into 98 residential units.
- Under the terms of the agreement, Formation has advanced to Sunbel £2.4m to continue work that started in June 2014. The loan is non-interest bearing but Formation will receive 40% of the net profit arising on the development. Payments of the various costs and profit share will be made once 95% by value of the units have been sold.
- David Kennedy and Patrick Kennedy, CEO and NED of Formation, are directors of Sunbel and Pinnacle and hence the transaction is considered related party.
- As at 7th July, the majority of the units had been reserved and it is anticipated that approximately half will be completed by the end of August 2015 and the balance by the end of September.