W RESOURCES (LON:WRES)
SECTOR – MINING
RATING – BUY*
MARKET CAP – £28.2m
CURRENT PRICE – 0.52p#
TARGET PRICE – 1.2p
ANALYST –BARRY GIBB
Year-end Dec
2016A
2017A
2018E
2019E
Revenue (£m)
0.1
-
-
28.9
EBITDA (£m)
(0.6)
(0.5)
(0.7)
15.3
Adj. pre-tax Profit (£m)
(0.9)
(0.7)
(4.2)
7.7
Adj. EPS (p)
(0.0)
(0.0)
(0.1)
0.1
DPS (p)
-
-
-
-
Net Cash/(Debt) (£m)
(0.7)
(0.8)
(26.2)
(15.3)
P/E (x)
n.a.
n.a.
n.a.
3.8
Dividend yield (%)
-
-
-
-
EV/EBITDA (x)
(28.4)
(44.3)
(34.4)
1.6
SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited provides commissioned research coverage to W Resources and therefore this information should be viewed as a Marketing Communication.
La Parrilla Commences Tungsten & Tin Production
NORTHLAND VIEW
- W Resources has reported the early start-up of production of tungsten and tin concentrate at the La Parrilla mine in Spain as part of a planned staged build-up to full mine production in H119. Given currently firm tungsten and tin prices, advanced construction progress and management’s priority to execute a steady ramp-up in production, W has now commenced the first of a three stage production programme:
- Stage 1 - Commence concentrate production from existing concentrator using tailings feed. Production has commenced and is expected to reach 10-15 tonnes per month (‘tpm’) from November 2018.
- Stage 2 - Switch from tailings feed to higher grade crushed mine feed following completion of the La Parrilla crusher allowing an increase in production from Q119.
- Stage 3 - Commence production from the new large scale concentrator in Q219, With this final step, production is scheduled to steadily ramp-up to over 200 tpm at the end of 2019.
- Key plant design improvements to the current plant have been implemented with the aim of increasing existing plant feed capacity to 50 tonnes per hour and improve fine recoveries through segregation.
A significant step forward. Tungsten and tin prices have been sufficiently robust for the Company to move ahead with completion of the crusher in Q418. This in turn permits an acceleration of tungsten production from La Parrilla in three decisive steps. Management then plans to significantly lift production rates in the New Year with first crushed mine feed being fed to the existing concentrator. This in turn will pave the way for production from the new large scale concentrator in Q219. In other advancements, the Board also confirmed SRK Consulting (UK) Ltd has been appointed to complete the upgraded São Martinho gold deposit resource estimate which is now scheduled for completion in Q119.
COMPANY DESCRIPTION
W Resources is in the process of constructing the La Parrilla Tungsten Mine, located in Spain.
SKINBIOTHERAPEUTICS (LON:SBTX)
SECTOR – HEALTHCARE
RATING – CORP*
MARKET CAP – £18.7m
CURRENT PRICE – 15.8p#
ANALYST – LIAM GASCOIGNE-COHEN
Year-end Jun
2016A
2017A
2018A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
(0.0)
(0.7)
(1.0)
Adj. pre-tax Profit (£m)
(0.0)
(0.7)
(1.)
Adj. EPS (p)
(0.03)
(1.11)
(0.71)
DPS (p)
-
-
-
Net Cash/(Debt) (£m)
0.3
3.9
3.2
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 Joint Broker to SkinBioTherapeutics and therefore this information should be viewed as a Marketing Communication.
Commencement of final element of human study for SkinBiotix®
NORTHLAND VIEW
- SkinBio has begun the final element of its human study which is testing the cosmetic application of the SkinBiotix® platform, the Company’s proprietary skin-health technology, consisting of extracts taken from beneficial bacteria.
- The study comprises 120 volunteers with self-assessed 'dry skin', and aims to test the longer term moisturisation effects and impact on skin barrier function of the SkinBiotix® technology.
- Provisional results are expected to be available in December with the full readout expected in Q1-2019.
- SkinBio has already posted positive safety data from its skin irritation study (November 7th 2018). Out of 61 volunteers tested in short and long-term safety tests at multiple dosage levels only one subject experienced irritation.
Demonstrating the safety of Skinbiotix® in humans was a significant milestone for the commercialisation of the technology. The completion of this final element of the study is the next inflection point and positive data would provide further proof of efficacy, permit labelling of the cosmetic application as ‘dermatologically tested’ and be of substantial interest to potential commercialisation partners.
COMPANY DESCRIPTION
SkinBio Therapeutics is a preclinical healthcare company focusing on skin health.
THOR MINING (LON:THR)
SECTOR – MINING
RATING – CORP*
MARKET CAP – £11.5m
CURRENT PRICE – 1.7p#
ANALYST – BARRY GIBB
Year-end June
2017A
2018A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
(1.3)
(1.3)
Adj. pre-tax Profit (£m)
(1.3)
(1.2)
Adj. EPS (p)
(0.4)
(0.2)
DPS (p)
-
-