SECTOR: MINING
PREMIER AFRICAN MINERALS (LON:PREM)
SECTOR – MINING
RATING – SPECULATIVE BUY*
MARKET CAP – £10.9m
CURRENT PRICE – 0.16p#
Year-end Dec
2015A
2016A
Revenue ($m)
0.1
0.2
No forecasts provided
EBITDA ($m)
(6.1)
(4.9)
Adj. pre-tax Profit ($m)
(7.9)
(5.6)
Adj. EPS (c)
(0.1)
(0.2)
DPS (c)
-
-
Net Cash/(Debt) ($m)
(6.2)
(8.9)
P/E (x)
-
-
Dividend yield (%)
-
-
EV/EBITDA (x)
-
-
SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited provides commissioned research coverage to Premier African Minerals and therefore this information should be viewed as a Marketing Communication.
Loan from Director
NORTHLAND VIEW
- Premier African Minerals has entered into a US$300,000 loan from a Company that is owned by a Trust of which George Roach, Chief Executive Officer & Executive Chairman of Premier African Minerals, is a beneficiary.
- The non-interest bearing Loan has a maturity of 60 days.
- The Loan carries an implementation fee of US$15,000 (5%) and a redemption fee of US$15,000 (5%). The Loan is not convertible, nor does it include share-based repayment or warrants.
- The Loan is secured against the Company's shareholding of 6,128,822 shares in ARC Minerals and Prem has agreed to underwrite any reasonable shortfall following the sale of the Arc shares.
- The Company has agreed not to draw-down against any equity or equity-linked financing facilities, until such time as the Loan has been repaid.
George Roach continues to financially support the Company. These funds are to provide additional working capital while the Company seeks to complete the negotiations currently underway in respect of both the Zulu Lithium Project and the RHA Tungsten Project.
COMPANY DESCRIPTION
Premier African Minerals is a multi-commodity exploration and development company with assets located across Africa. Its holds a 49% operator interest in the RHA Tungsten Mine, and 100% interest in the Zulu Lithium Project, both located in Zimbabwe.
SECTOR – MINING
RATING – CORP*
MARKET CAP – £4m
CURRENT PRICE – 0.265p#
ANALYST – DR RYAN D. LONG
Year-end Dec
2016A
2017A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
(3.2)
(1.2)
Adj. pre-tax Profit (£m)
(3.2)
(1.2)
Adj. EPS (p)
(0.5)
(0.1)
DPS (p)
-
-
Net Cash/(Debt) (£m)
0.1
0.8
P/E (x)
-
-
Dividend yield (%)
-
-
EV/EBITDA (x)
-
-
SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited acts as Nomad to Edenville Energy and therefore this information should be viewed as a Marketing Communication.
FY18 Results
NORTHLAND VIEW
- LBT during FY17 reduced to £1,186,928 from £3,164,396 in FY16.
- Net cash increased to £804,281 in FY17 from £112,634 in FY16.
- From 01/01/18 to 24/05/18 c.20,634t of run-of-mine coal has been processed, producing 5,665t of washed coal and 9,285t of fine coal. 3,101t of processed coal have been shipped and the Company is in receipt of orders that, in aggregate, total more than the currently stockpiled washed coal.
2017 saw Edenville Energy transition from an exploration company to producing coal for trail orders from the Rukwa Coal Project, located in Tanzania. Since the start of this year the Company has been producing and selling coal for trail orders and is working to secure long-term supply contracts. The Company is aiming to break even and achieve a cash flow positive position on the receipt of additional orders and is targeting 8,000t to 10,000t of production per month by the end of 2018.
COMPANY DESCRIPTION
Edenville Energy is moving the Rukwa Coal Project towards near-term production alongside advancing its Coal to Power Project.
SECTOR – MINING
RATING – CORP*
MARKET CAP – £6.2m
CURRENT PRICE – 0.4p#
ANALYST – DR RYAN D. LONG
Year-end Jun
2016A
2017A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
0.0
(0.3)
Adj. pre-tax Profit (£m)
0.0
(0.3)
Adj. EPS (p)
0.0
(0.0)
DPS (p)
-
-
Net Cash/(Debt) (£m)
0.3
(0.1)
P/E (x)
-
-
Dividend yield (%)
-
-
EV/EBITDA (x)
-
-
SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited acts as Nomad and Broker to Altona Energy and therefore this information should be viewed as a Marketing Communication.
MOU for Pyrolysis Technology
NORTHLAND VIEW
- Altona Energy has signed a non-binding MOU with GCAT Energy Group to negotiate terms for Altona to invest in the equity of a joint venture company formed to exploit GCAT’s pyrolysis technology. Also, Altona expects to be granted a licence to use this technology in other specific projects, including the Arckaringa Coal Project.
- GCAT owns a licence to use a patented pyrolysis technology and it intends to use as part of the development of a waste recycling project, located in Spain.
Altona Energy is seeking to diversify with its potential investment into GCAT Energy Group. GCAT’s pyrolysis technology converts carbon matter into syngas, carbon black, naptha and diesel. The technology is also expected to be suitable for the conversion of thermal coal into these outputs.
COMPANY DESCRIPTION
Altona Energy is seeking to develop the Arckaringa Coal Project, located in South Australia.