Veltyco Group plc (LON:VLTY) – CORP*: Change of Adviser
Market Cap: £17m; Current Price: 24.5p
Appointment of Northland Capital Partners Ltd. as Nomad & Broker
Veltyco Group plc announced the appointment of Northland Capital Partners as Nominated Adviser and Broker to the company with immediate effect.
NORTHLAND CAPITAL PARTNERS VIEW: Veltyco Group plc is a marketing and promotion company, active in the online sports betting, online casino, online lottery and online binary options markets. The Company refers customers to online betting, casino, lottery and binary options brands and in return generates a share of the revenues generated by the operators.
Premier African Minerals (LON:PREM) – CORP: Circum Minerals update
Market Cap: £7m; Current Price: 0.38p
From yesterday: Mining licence expected before the end of the year
Circum Minerals, a company in which Premier African Minerals holds 2,000,000 shares (2%), has updated shareholders on progress at the Danakil Potash Project, located in Ethiopia.
The optimised post-tax NPV10 is US$2.1bn and the IRR is 26% for the Danakil Project. Mining licences negotiations are well advanced and are expected to be completed before the end of the year.
Morgan Stanley is running a process to find a strategic partner for Circum and/or provide a liquidity alternative to shareholders. As part of this, the Company is considering a potential floatation.
NORTHLAND CAPITAL PARTNERS VIEW: The Government of Ethiopia recently declared a six-month state of emergency following a wave of violent protests in the Oromia and Amhara Region where ethnic groups feel marginalised by the Government. This has slowed Circum Minerals process for finding a strategic partner, but Circum has a number of options for realising shareholder value, which will be a major development for Premier African Minerals that holds 2,000,000 shares. The recent funding of the Yara Project, which is smaller than Danakil Project, at a value of US$200m sets a benchmark. This is equivalent to US$2 per Circum share suggesting an implied valuation of Prem’s interest of US$40m, though given Danakil’s size the valuation could be even higher.
Alexander Mining (LON:AXM) – CORP: Accudo Metals update
Market Cap: £1.96m; Current Price: 0.21p
From yesterday: Positive initial laboratory test work
Accudo Metals has advised Alexander Mining that the initial laboratory hydrometallurgical test work on the AmmLeach® technology has been completed.
The reports are yet to be fully reviewed but Accudo reports that the AmmLeach® technology leached copper from the copper oxide and transition zone ore at good recovery rates.
Accudo is reviewing the proposed work programme for a scoping study and expects to make a decision on where to complete a scoping a scoping study in the near future.
NORTHLAND CAPITAL PARTNERS VIEW: Another positive development for Alexander Mining with the initial leaching tests appearing to have been a success, though the reports have not yet been fully reviewed. The next step towards commercialisation of Alexander Mining’s AmmLeach® technology would be the completion of a scoping study by Accudo Metals, this would be a major milestone for Alexander Mining if it proceeds.