SAVANNAH RESOURCES (LON:SAV)
SECTOR – MINING
RATING – CORP*
MARKET CAP – £53.8m
CURRENT PRICE – 6.1p#
ANALYST – BARRY GIBB
Year-end Dec
2016A
2017A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
(1.8)
(2.8)
Adj. pre-tax Profit (£m)
(1.8)
(2.8)
Adj. EPS (p)
(0.46)
(0.53)
DPS (p)
-
-
Net Cash/(Debt) (£m)
0.7
1.2
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 Nomad and provides commissioned research coverage to Savannah Resources and therefore this information should be viewed as a Marketing Communication.
Appointment of Non-Executive Director
NORTHLAND VIEW
- Savannah Resources announced the appointment of Mr. James Leahy as an Independent Non-Executive Director with immediate effect.
- Mr Leahy brings more than 32 years' experience in financial services to SAV’s Board, having an extensive understanding of capital markets with a specialisation in commodities. In addition, Mr Leahy has executive experience having acted as Interim Chairman for Bacanora Minerals Ltd, a publically listed company and served on the boards of several listed and private companies. In these positions, he also sat on various committees ranging from audit and remuneration to AIM compliance and special Investigations. Mr Leahy will join Savannah's Audit and Risk Committee and Remuneration Committee.
Mr Leahy brings valuable experience to Savannah. He has worked in the international capital markets overseeing worldwide mining finance, origination and distribution projects, ranging from industrial minerals, coal, iron ore, precious metals, copper, diamonds, lithium, uranium, plantations, forestry and palm oil, during which time he undertook a number of different executive investment banking roles. Latterly gaining substantial experience as an Independent Director on the boards of several quoted and unquoted companies, he is positioned to make a valuable contribution to Savannah as it works to maximise value for shareholders. He is joining the Company at a busy time, with management expected to announce key programme milestones for its Mina do Barroso project ahead of completing a Feasibility Study in 2019, following which it expects to commence commissioning and production during H120. With the ambition of becoming Europe’s first significant spodumene lithium producer, ongoing Project drilling continues to deliver excellent results both in terms of grades and widths, which hold potential to further increase the Project’s Mineral Resource Estimate, enhance the mine’s scheduling flexibility and add to its overall LOM.
COMPANY DESCRIPTION
Savannah Resources is an energy metals group with copper-gold projects located in Oman, lithium projects in Portugal, and a operates a mineral sands project in Mozambique that is a JV with Rio Tinto
ACTIVE ENERGY GROUP (LON:AEG)
SECTOR – RENEWABLE ENERGY
RATING – CORP*
MARKET CAP – £14.5m
CURRENT PRICE – 1.4p#
ANALYST – MIKE JEREMY
Year-end Dec
2016A
2017A
Revenue (US$m)
-
-
No forecasts provided
EBITDA (adj) (US$m)
(2.20)
(5.24)
Rptd. Net Loss (US$m)
(4.66)
(8.60)
EPS (US$c)
(0.48)
(1.87)
DPS ($c)
-
-
Net Cash/(Debt) (US$m)
(5.5)
(13.3)
P/E (x)
N.M.
N.M.
Dividend yield (%)
-
-
EV/EBITDA (x)
N.M.
N.M.
SOURCE: Northland Capital Partners Limited estimates. #Priced at prior trading day close. *Northland Capital Partners Limited Acts as Nomad to Active Energy Group and therefore this information should be viewed as a Marketing Communication.
Yesterday: restoration of share trading, confirmation of timber permits
NORTHLAND VIEW
- Trading in shares of Active Energy recommenced at 13.30 on 26 November.
- In an update, the company confirmed that its subsidiary Timberlands International, via its local operating company Timberlands International (Newfoundland and Labrador) Limited, “was formally issued two five-year Commercial Timber Permits ('CTPs') for Forestry Management Areas 17 and 18 by the Ministry of Fisheries and Land Resources of the Crown Province of Newfoundland and Labrador (the 'Ministry') on Friday 23 November 2018”. The terms of the CTPs were confirmed: a five-year revolving renewal facility relating to a total Annual Allowable Cut ('AAC') of 100,000 cubic metres per annum, which equates to 500,000 cubic metres over five years.”
- Active Energy reported that the Ministry had approval to grant the CTPs on 16 November, but that Timberlands Newfoundland had not received the CTPs which still required its formal acceptance of certain standard CTP conditions; these were resolved and the process finalised on 23 November.
Active Energy’s subsidiary is now in possession of the Commercial Timber Permits it requires to provide feedstock for the Group’s stated CoalSwitch™ production strategy for the region; a satisfactory conclusion to what has been a lengthy process.
COMPANY DESCRIPTION
Active Energy Group (AEG) is an international, vertically-integrated forestry management and renewable resource energy provider. The group combines management of forestry resources with the commercial development of a proprietary solution (CoalSwitch™) to the integration of wood-based (biomass) fuel into existing coal-fired thermal power plants.
SECTOR – MINING
RATING – CORP*
MARKET CAP – £11.6m
CURRENT PRICE – 11.75p#
ANALYST – BARRY GIBB
Year-end June
2016A
2017A
Revenue (£m)
-
-
No forecasts provided
EBITDA (£m)
(1.0)
(0.7)
Adj. pre-tax Profit (£m)
(1.0)
(1.0)
Adj. EPS (p)
(1.7)
(1.7)
DPS (p)
-
-
Net Cash/(Debt) (£m)
(1.6)
(1.8)
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 and Broker to GCM Resources and therefore this information should be viewed as a Marketing Communication.
Entering a Significant MOU with PowerChina
NORTHLAND VIEW
- GCM Resources announced that it has agreed a memorandum of understanding (‘MOU’) with Power Construction Corporation of China (‘PowerChina’). This follows the company’s consulting agreement with PowerChina in October and subsequent receipt of a Power Plant Prefeasibility Report earlier this month.
- This MOU embodies the principles of a cooperative relationship between the two parties to develop the Company's proposed coal mine as well as power plants generating up to 4,000MW at the mine site. It also sets out the steps towards a future Joint Development Agreement, obtaining approval from the Government of Bangladesh and subsequent development of both the mine and power plants.
- The principal terms of the MOU include activities towards development are identified as being investment, planning, approval, financing, ownership, design, construction and operation of the proposed mine and power plants. The equity holdings of the coal mine and generating power plants will be agreed in a future Joint Development Agreement, whereby GCM shall assist PowerChina in providing technical and regulatory assistance in completing their feasibility and viability studies. GCM shall also permit PowerChina to form an investment consortium with other investors acceptable to GCM, while undertaking feasibility and viability studies. The MOU, which has a six-month validity, sets out a projected timeframe of concluding a Joint Development Agreement with the parties by 31 December 2018, and subsequently submitting a formal proposal to the Government of Bangladesh by 28 February 2019.
A highly prestigious partner lending significant credibility to GCM’s ambitions. PowerChina is a State-owned Key Enterprise of People's Republic of China and is a world-leading integrated engineering construction group; in 2018, PowerChina ranked 182nd among Fortune Global 500. This MOU moves GCM’s strategy, to present a holistic power solution to the Government of Bangladesh which can generate 6,000MW for the country, significantly forward. Together the two companies aim to deliver an acceptable world-class proposal.
COMPANY DESCRIPTION
GCM Resources is an exploration & development company that owns the 572mt Phulbari Coal to Power Project.