SP Angel . Morning View . Thursday 13 01 22
Copper prices rise on mine disruption
Anglo Asian Mining* (Anglo Asian Mining PLC (AIM:AAZ, OTC:AGXKF) ) 111p, Mkt Cap £126m – FY21 production ~65koz GE, in line with guidance, with first processing of Vejnaly stockpiles demonstrating high gold recoveries
Atalaya Mining (AIM:ATYM, TSX:AYM) (Atalaya Mining (AIM:ATYM, TSX:AYM)) 418.5p, Mkt Cap £555m – Production record for 2021 and 2022 production guidance
Aura Energy* (Aura Energy Ltd (ASX:AEE, AIM:AURA)) 16p, Mkt Cap £67m – Appointment of acting CEO
Beowulf Mining* (Beowulf Mining PLC (AIM:BEM)) 14.98p, Mkt Cap £125m – Minister of Trade and Industry to take a decision on Kallak magnetite mine after first week in February
Caerus Mineral Resources (Caerus Mineral Resources PLC (LSE:CMRS)) 18.25p, Mkt Cap £9m – Outlines plans to focus on the Trouli area during 2022
KEFI Gold and Copper* (KEFI Gold and Copper PLC (AIM:KEFI)) 0.71p, Mkt Cap £18m – All resolutions passed at the General Meeting
IGTV: IG Outlook 2022, China new year, winter Olympics may see metals prices soften: (12/01/2022): https://youtu.be/vNqDh74zW5I
VOX Markets: 12/01/22: https://audioboom.com/posts/8011559-john-meyer-on-china-s-factory-shut-downs-plus-news-from-bluejay-beowulf-atlantic-lithium
interactive Investors: FTSE 100 favourite stock: https://youtu.be/BomNRQJt-YA. 2022 outlook: https://youtu.be/SxMPiPEc_Rg
Three small-cap mining share tips for 2022: https://www.youtube.com/watch?v=9xvA_3UXXYQ&ab_channel=interactiveinvestor
*SP Angel almost invariably acts as nomad or broker or nomad and broker to companies mentioned in the above videos and podcasts.
We speak more about these companies as we have a good understanding of their business and can talk with a greater degree of confidence. As ever, however, it should be noted that our views do not take into account the circumstances and needs of any particular investor or investor type. So enjoy the talks, but please do your own research, including other companies not mentioned by us but operating in the same areas, and get professional advice where appropriate.
Gold regains momentum on highest inflation since 1982 as US dollar weakens
Gold hit a high of $1,828/oz before paring gains to $1,823/oz.
US consumer price inflation rose 7% in 2021, its largest 12-month gain since 1982 exceeding forecasts by ~0.5%.
The US dollar and gold prices are reacting to expectations for slower and lesser rises in US interest rates this year.
Copper climbs to two-month peak as supply concerns mount and US dollar weakens
Shanghai copper prices hit $11,233/t this morning with copper touching its highest level since October at $10,072/t.
Shanghai inventories are low at 29kt, nearing their decade low of 27kt in December.
LME inventories are down 66% from August highs to 80.3kt.
Teck Resources is facing a strike at its British Columbia project, adding to supply concerns.
Iron ore nears 3-month high as Brazilian miners suffer from heavy flooding
Iron ore has climbed to $131/t, its highest in 3-months.
Major miners including Vale have halted operations in major mining state Minas Gerais, which produces 40% of Vale’s total output.
Iron ore futures have climbed 50% since mid-November.
The supply disruption parallels a major restocking period in China before the Lunar New Year.
We expect iron ore prices to pull back as China slows down steel production for the Spring Festival and Winter Olympics
Steel works and other factories in Hubei and areas which might affect air quality for the Olympics will be closed or slowed for the games.
Dow Jones Industrials +0.11% at 36,290
Nikkei 225 -0.96% at 28,489
HK Hang Seng -0.09% at 24,381
Shanghai Composite -1.17% at 3,555
Economics
US – Fed Chairman comments helped lift equities.
The move was inevitable. Nobody wants to kill the recovery out of Covid-19 and restarting industry to compete against Chinese imports and restore the balance of payments deficit is an ongoing challenge
The US dollar softened helping metals prices higher despite some negative headwinds in the form of likely lower demand out of China due to their extended Spring Festival and Winter Olympic break.
Inflation accelerated to the quickest pace in nearly four decades setting stage for monetary policy tightening, Bloomberg reports.
The increase was driven by higher house prices and used vehicles with food costs also contributing.
Energy prices that were a key driver of inflation in 2021 fell last month.
St Louis Fed Bank President James Bullard, an alternate 2022 FOMC member, suggested that four interest rate increases may be warranted this year.
“I actually now think we should maybe go to four hikes in 2022… if we get a couple of rate-hike moves under out belt during the first part of this year then we’ll be in better shape,” Bullard told the Wall Street Journal.
Separately, Cleveland Fed Bank President Loretta Mester, also an alternate member this year, and Atlanta Fed Bank head Raphael Bostic, non voting member, backed hiking rates as soon as March.
CPI (%yoy): 7.0 v 6.8 in November and 7.0 est.
Core CPI (%yoy): 5.5 v 4.9 in November and 5.4 est.
China – GDP growth expected to slow to 5.2% from 5.5% previously expected according to Reuters poll
China is expected to ease monetary policy to maintain a level of growth that is less than the 8% GDP growth seen last year
Inflation if forecast to be 2.2% in 2022 vs 2.1% in 2023 allowing the PBoC room to maneuver.
China PPI was 10.3%yoy (12.9%).
Chinese port congestion intensifies on stringent Covid protocols
Shanghai port, the world’s largest, is seeing increasing congestion as ships re-route from Ningbo.
Ningbo has suspended various trucking services at its major port following a Covid outbreak. (Bloomberg)
A queue of ships has also formed at Shenzhen port, a major technology hub, and major freight port Dalian has started mass testing.
Delays in China are expected to impact port congestion in Europe and the US.
China – Property developers are again under pressure on the news that lenders are tightening funding for real estate projects through local government financing vehicles.
At least five state-run banks have imposed new restrictions this year on loans to weaker LGFVs seeking to buy land and develop new real estate projects, Bloomberg reports.
China detected omicron case in second port city adding to concerns of a wider outbreak at Beijing’s doorstep, Bloomberg reports.
At least one person has been identified to have the more transmissible omicron variant in Dalian (7m population).
The patient showed no symptoms but tested positive after returning from college in Tianjin, where at least 137 other cases were detected yesterday.
Japan – Japan will allow medical workers who have been identified as close contacts of omicron to avoid quarantine amid shortages of staff in healthcare.
Previously, staff had to go on a 14-day quarantine.
People will be able to continue working as long as the pass daily tests.
Tokyo raises Covid alert to second highest as Omicron variant seeps through the city
France – People arriving from the UK will no longer need an essential reason to enter France from Friday as long as they are vaccinate, the French government said.
The administration decided restrictions were no longer required since the omicron variant was now widespread in both countries.
UK property valuation firms forced to take on valuation compliance officers after conflicts of interest review
The Royal Institution of Chartered Surveyors, has accepted a series of recommendations for improving standards from a review (The Times).
Property valuation is dominated by a relatively small number of surveying firms, with potential conflicts of interest particularly when hired to assess the value of a fund manager or property company assets while also charging fees for other consultancy services.
The move is likely to inject a more measured approach to property valuations for property portfolios and borrowing.
Saudi Arabia – The government looks for $170bn worth of mining investment by 2030.
Saudi Arabia is hoping to auction a significant number of its copper and zinc deposits by March as the country hopes to diversify away from oil.
The deposits in question contain an estimated 26mt of copper and zinc reserves.
The Saudi mining minister is hoping to utilise the need for key minerals he sees are ‘becoming more and more essential for the advancement of manufacturing, energy’ and EVs.
The Minister hopes the kingdom’s GDP contribution from the mining sector to hit $64bn annually by 2030, 4x higher than today’s $17bn.
Saudi’s state miner Maaden has stated it plans to invest a ‘huge amount’ of capital into battery metals.
Currencies
US$1.1472/eur vs 1.1365/eur yesterday. Yen 114.41/$ vs 115.41/$. SAr 15.303/$ vs 15.479/$. $1.374/gbp vs $1.364/gbp. 0.731/aud vs 0.721/aud. CNY 6.359/$ vs 6.364/$.
Commodity News
Precious metals:
Gold US$1,827/oz vs US$1,818/oz yesterday
Gold ETFs 97.9moz vs US$97.9moz yesterday
Platinum US$979/oz vs US$970/oz yesterday
Palladium US$1,899/oz vs US$1,905/oz yesterday
Silver US$23.18/oz vs US$22.74/oz yesterday
Rhodium US$16,400/oz vs US$16,900/oz yesterday
Base metals:
Copper US$ 9,946/t vs US$9,876/t yesterday
Aluminium US$ 2,959/t vs US$2,978/t yesterday
Nickel US$ 21,960/t vs US$22,040/t yesterday
Zinc US$ 3,537/t vs US$3,563/t yesterday
Lead US$ 2,334/t vs US$2,325/t yesterday
Tin US$ 41,200/t vs US$41,300/t yesterday
Energy:
Oil US$84.5/bbl vs US$83.8/bbl yesterday
Brent oil rose towards US$85/bbl in early trading today, supported by tight supply and hopes that rising coronavirus cases and the spread of the Omicron variant will not derail a global demand recovery
OPEC supply additions are running below their allowed increase under a pact with allies due to a lack of capacity in some countries
Major economies have avoided a return to severe lockdowns, even as coronavirus cases soar
Federal Reserve Chairman Jerome Powell said the economy of the US, the world's biggest oil consumer, should weather the current COVID-19 surge with only "short-lived" impacts and was ready for the start of tighter monetary policy
Data from the American Petroleum Institute (API), however painted a weaker picture on fuel demand, with a smaller decline in crude stockpiles than expected and bigger builds than expected in gasoline and distillate inventories
Crude stocks fell by 1.1MMbbls for the week ended 7 January
After days of unrest in Kazakhstan, during which the government declared a state of emergency, Russia has sent in paratroopers to quash the uprising
The protests began in Kazakhstan's oil-rich western regions after state price caps on butane and propane were removed on New Year's Day
OPEC's output in December rose by 70,000bopd from the previous month, versus the 253,000bopd increase allowed under the OPEC+ supply deal which restored output slashed in 2020 when demand collapsed under COVID-19 lockdowns
US energy firms kicked off the new year by continuing to add oil and natural gas rigs after increasing the rig count in 2021 after two years of declines.
In the UK, people being hospitalised with COVID-19 were generally showing less severe symptoms than previously
Natural Gas US$4.704/mmbtu vs US$4.371/mmbtu yesterday
The European weather model shifted “decidedly colder” overnight, a development that was “clearly capturing market sentiment” in early trading today, according to Bespoke Weather Services
Concerns that Nord Stream 2 pipeline will not operate this winter season comes as the new German chancellor Olof Scholz said his government would do everything possible to make sure natgas flows continue through Ukraine and not the latest Russian to German undersea pipeline
Last month, German energy regulators suspended Nord Stream 2's certification process
The US has also sanctioned companies affiliated with the pipeline's construction
On top of the geopolitical uncertainties, mixed with tight natgas supplies across Europe, some of the lowest in a decade, a new 14-day weather forecast shows cooler than average weather, which will boost natgas demand
Uranium UXC US$46.50/lb vs $46.50/lb yesterday
Bulk:
Iron ore 62% Fe spot (cfr Tianjin) US$131.5/t vs US$128.1/t
Chinese steel rebar 25mm US$744.9/t vs US$741.8/t
Thermal coal (1st year forward cif ARA) US$93.0/t vs US$93.0/t
Thermal coal swap Australia FOB US$178.0/t vs US$176.3/t
Coking coal swap Australia FOB US$408.0/t vs US$392.0/t
Other:
Cobalt LME 3m US$70,500/t vs US$70,500/t
NdPr Rare Earth Oxide (China) US$142,309/t vs US$139,843/t
Lithium carbonate 99% (China) US$49,140/t vs US$48,159/t
China Spodumene Li2O 5%min CIF US$2,690/t vs US$2,660/t
Ferro-Manganese European Mn78% min US$1,830/t vs US$1,813/t
China Tungsten APT 88.5% FOB US$315/t vs US$315/t
China Graphite Flake -194 FOB US$805/t vs US$805/t
Europe Vanadium Pentoxide 98% 8.8/lb vs US$8.8/lb
Europe Ferro-Vanadium 80% 32.95/kg vs US$32.95/kg
China Ilmenite Concentrate TiO2 US$389/t vs US$389/t
Spot CO2 Emissions EUA Price US$93.0/t vs US$90.5/t
Brazil Potash CFR Granular Spot US$810.0/t vs US$830/t - Lithuania state railway halts Belarus potash transport agreement
The Lithuanian state railway has ended an agreement to transport potash from state-owned producer Belaruskali.
The government stated that the agreement breaches national security. (Reuters)
Lithuania is a US ally and a major critic of Belarus and Lukashenko.
Analysts expect private rail operators to take some of the Belarussian business despite US sanctions.
Battery News
US to hold record offshore wind lease auction
The Biden administration has announced they will hold the largest offshore wind auction in the US, for sites off the coast of New York and New Jersey.
The Bureau of Ocean Energy Management (BOEM) will hold an offshore wind auction for the New York Bight next month, which could lead to up to 7GW of new offshore wind capacity.
The lease sale will take place on 23rd February, with six areas available for offshore wind developers to bid for – the most areas ever offered in a single auction.
It will be the first auction to be held under the Biden-Harris administration, which set a target of 30GW of offshore wind capacity by 2030.
The announcement comes just days after New York Governor, Kathy Hochul, announced $500m for offshore wind development and said the state would launch its next offshore wind energy procurement in 2022, expected to result in at least 2GW of new projects.
Earlier this year, the US launched a study to identify a domestic supply chain for offshore wind and facilitate the acceleration of the offshore wind industry.
Toyota hybrids to adopt solid-state technology
Toyota’s hybrid vehicle range is likely to adopt solid-state battery technology by 2025 according to the companies Chief Scientist, Gill Pratt.
“Our plan is to commercialise [solid-state batteries] in the first half of this decade, and we are on track to do just that," Mr Pratt said.
The automotive industry sees the development of solid-state batteries as a key step towards faster charging times, extended lifecycles, improved safety, and longer range in electric vehicles, but the technology is currently too expensive for production.
Toyotas plan to integrate the technology in hybrids will help balance the cost of the battery.
“In hybrid vehicles…, firstly, the battery pack is smaller so it’s less sensitive to cost, and second, the amount of cycling that goes on in a hybrid vehicle for the battery is actually a tougher test,” explained Mr Pratt.
Further details about which models and where solid-state hybrids might be available.
Company News
Anglo Asian Mining* (Anglo Asian Mining PLC (AIM:AAZ, OTC:AGXKF)) 111p, Mkt Cap £126m – FY21 production ~65koz GE, in line with guidance, with first processing of Vejnaly stockpiles demonstrating high gold recoveries
BUY – TP under review
Q4/21 production totalled 15.9koz GE (Q4/20: 16.6koz GE) including 11.6koz gold, 0.7kt copper and 39koz silver (Q4/20: 13.5koz gold, 0.7kt copper and 33koz silver).
Gold dore sales totalled 13.2koz at an average realised price of US$1,825/oz net of PSA (Q4/20:18.1koz US$1,884/oz).
Concentrate sales amounted to 4.1kt and generated US$8.9m in sales net of PSA (Q4/20: 4.2kt and US$6.3m).
FY21 production amounted to 64.6koz GE, in line with annual guidance for 64-72koz GE, and included 48.7koz gold, 2.6kt copper and 155koz silver (Q4/20: 56.9koz, 2.6kt copper and 123koz silver)
Lower gold output was largely driven by lower processed grades at the agitation leaching plant (~1.7g/t in FY21 v ~2.2g/t in FY20) partly compensated by higher output at heap leaching and flotation circuits.
The team carried a site visit to the newly restored Vejnaly Contract Area in the Zangilan district of southwestern Azerbaijan assessing an option to reopen an existing underground mine and process the material at the Gedabek site.
While a technical study is underway with the potential restart of the operation in H2/22, the Company processed ~11kt of stockpiled Vejnaly ore grading 3.91g/t in Q4/21.
The ore contributed 1.3koz to total production suggesting the feed is amenable to agitation leaching with ~95% gold recoveries achieved.
The Company is also planning to release an updated MRE for the recently discovered Zafar copper/gold deposit in Q1/22.
Current Zafar MRE stands at 8.5mt at 0.60% Cu and 0.30g/t Au for 51kt copper and 82koz gold (8.2mt in the Measured and Indicated category).
Closing cash balance stood at US$37.5m (Q4/20: $38.8m) after accounting for a US$5.2m interim dividend payment in Nov/21 and a ~$2m investment in Libero Copper & Gold in Dec/21.
The Company agreed a strategic investment in Libero Copper & Gold in Dec/21 taking a 19.9% (US$4.9m) stake in the TSX-V listed explorer that holds and has the option to acquire a number of copper exploration properties in North and South America including Mocoa in Columbia, on the world’s largest undeveloped Cu/Mo deposit.
9.9% of Libero was acquired immediately with the remaining 10% to be acquired following the approval of the TSXV which is expected in Q1/22.
FY21 free cash flow is reported to come in within the guided US$10-15m range.
The Company held no bank on its balance sheet as of year end and ~US$2.1m in leases as of H1/21.
Conclusion: FY21 delivered in line with guidance with first ore processed from Vejnaly newly restored area (11kt at 3.91g/t). The Company is assessing a potential to restart underground operations at Vejnaly in H2/22. Separately, the team is planning to release an updated Zafar MRE in Q1/22 followed by reserves later this year on course for first production in 2023 potentially further diversifying the feed to the Gedabek processing complex. Gedabek underground mining rates picked up further albeit at lower grades. In general, FCF is expected to come in the US$10-15m in 2021 reflecting lower production as well as industry wide inflationary pressures covering >$10m in dividends paid out last year. The Company remains debt free with ~$38m in the bank as of YE21 offering capacity for multiple organic and acquisitive growth opportunities.
*SP Angel act as Nomad and broker to Anglo Asian Mining
Atalaya Mining (Atalaya Mining (AIM:ATYM, TSX:AYM)) 418.5p, Mkt Cap £555m – Production record for 2021 and 2022 production guidance
Atalaya Mining reports that, following production of 13,885t of contained copper during the final quarter of 2021, it produced a new annual record total of 56,139t of copper in 2021 exceeding both the previous record of 55,890t set in 2020 and the company’s updated guidance target of 54-56,000t, issued in October 2021, which replaced the pre-existing guidance range of 52-54,000t.
The announcement provides guidance for copper production in the range 54-56,000t for 2022.
The 2021 production record resulted from the processing of 15.8mt of ore (2020 – 14.8mt) at an average grade of 0.41% copper (2020 – 0.45%) at an improved recovery rate of 86.01% (2020 – 84.52%).
During 2022, Atalaya Mining expects to increase mined ore production by 2mt to 15.5mt (2021 – 13.5mt) and reduce waste removal by approximately 700,000t to 23.4mt. Grades are expected to be “slightly higher than in 2021 owing to pit sequencing” and “plant optimisation initiatives … are expected to further support copper production.”
The company confirms that the “All-in Sustaining Costs ("AISC") for 2021 are expected to be slightly below the lower end of the revised 2021 cost guidance … [US$2.50-2.65/lb] … due mainly to the U.S. dollar strengthening against the Euro and higher copper tonnes produced” and will publish the detailed costs in March when it publishes its financial results.
The company confirms that “NI 43-101 compliant technical reports for the San Dionisio and San Antonio deposits are being finalised and will be released in the coming weeks” . Atalaya says that “a substantial portion of the resources at San Dionisio are potentially mineable by open pit and further polymetallic mineralisation could be exploited using underground mining methods at both San Dionisio and San Antonio.”.
Exploration of the Masa Valverde project continues to yield “Positive drilling results … within broad intervals of massive and stockwork type polymetallic sulphide mineralisation at both Masa Valverde and Majadales” and “will be incorporated into the NI 43-101 compliant report for Proyecto Masa Valverde that is currently being prepared by CSA Global and expected during Q1 2022”.
Airborne geophysical exploration of the Proyecto Riotinto Este area located “immediately east of Proyecto Riotinto and along the same structural and stratigraphic setting” is reported to be largely complete and the anomalies identified “will be followed up with drilling as soon as drill permits are obtained”.
At Proyecto Touro in northern Spain, measures to address historic water issues related to historic mining are underway and the company expresses confidence that its approach to the environmental concerns of “local and regional stakeholders” will be fruitful in securing a positive response “ahead of the public consultation period that will commence once the Environmental Impact Evaluation is submitted for the new project”.
As recently announced, Atalaya is to construct a plant to enhance recoveries of copper, zinc, lead and precious metals from complex ores at its Proyecto Riotinto site using an electrochemical process known as E-Lix.
The phase1 plant, which is estimated to cost €12m, is expected to have the capacity to “produce between 3,000 to 10,000 tonnes of copper or zinc metal per year depending on the ratio of copper to zinc in the concentrate feed”. It is expected that “the plant will be fully operational, including commissioning, in 2022”.
CEO, Alberto Lavandeira, explained that the company has “much to look forward to in 2022 with the advancement of our projects and exploration activities” and starts the year “with a proven operational track record, a range of exciting optimisation workstreams and a strengthened portfolio of growth opportunities”.
He acknowledged that “challenges lie ahead, particularly in relation to unprecedented energy costs” but asserted that “Atalaya is well positioned to navigate any current uncertainty while still investing in its portfolio of growth projects owing to its strong balance sheet”.
Conclusion: Atalaya continues to deliver record copper production from its Proyecto Riotinto while progressing further expansion opportunities through its exploration in southern Spain, the advancement of Proyecto Touro in northern Spain and the implementation of the E-Lix technology to enhance recoveries from complex ore types.
Aura Energy* (Aura Energy Ltd (ASX:AEE, AIM:AURA)) 16p, Mkt Cap £67m – Appointment of acting CEO
Aura Energy has confirmed the appointment of a long serving employee and the company’s principal metallurgist since 2018, Dr. Will Goddard, as acting CEO in a non-board capacity.
Dr. Goddard “was responsible for delivering the Tiris Uranium Scoping and Definitive Feasibility Studies, and the Häggån Uranium Scoping Study” and is described as having “over 20 years of experience in geometallurgy, mineral processing and hydrometallurgy across a wide range of commodities”.
The company confirms that it is continuing efforts to recruit a “board level Managing Director & CEO during H1 2022” following the management restructuring which saw the previous incumbent, Peter Reeve, stepping aside to “apply his extensive exploration experience to advancing Aura's gold assets held by Achaean Greenstone Gold”.
Non-executive Chairman, Phil Mitchell, said that “We look forward to working with Dr Goodall in his role as acting CEO and continuing to advance Aura towards expansion and production”.
*SP Angel acts as Nomad and Broker to Aura Energy
Beowulf Mining* (Beowulf Mining PLC (AIM:BEM)) 14.98p, Mkt Cap £125m – Minister of Trade and Industry to take a decision on Kallak magnetite mine after first week in February
Press reports in Sweden indicate the Minister of Trade and Industry, Karl-Petter Thorwaldsson, has announced he will make a decision on a possible mine in Gállok / Kallak will come after the first week in February.
The Sami Parliament has been given a deadline of 2nd February to issue an opinion on the UNESCO statement on the impact on the Laponia World Heritage Site.
Karl-Petter Thorwaldsson will then make a decision on the issue in the near future.
Unesco have previously opined that it a a mine in Kallak will not threaten the world heritage.
In October 2017 the Minister of Trade and Industry, Mr Damberg said "With regard to World Heritage issues, a legal examination has been made which has established that no legislative changes are required."
Thorwaldsson recently said in a speech: “Mining not only means that you take the mineral to the surface in one place, but it also creates fantastic opportunities for other jobs around the industry. There are even those who claim that the whole reason why Sweden is leading in other industrial activities, such as trucks and cars, is our fine mineral supply and that they saw early on the need to refine the minerals into finished products, such as trucks, drills, and everything we do in our big, nice companies.”.
*SP Angel acts as Nomad and Broker to Beowulf Mining
Caerus Mineral Resources (Caerus Mineral Resources PLC (LSE:CMRS)) 18.25p, Mkt Cap £9m – Outlines plans to focus on the Trouli area during 2022
Caerus Minerals has provided a review of its Cypriot projects and its plans for 2022.
The company says that, following the “Conclusion of the first Jubilee Metals Group ("Jubilee") Joint Venture” it plans to progress the Trouli project with process plant design and the “commencement of mine development” while “Following up on the encouraging new gold 'grab' and drill assays with the objective of proving-up of additional copper-gold mineral resources along the 1.5km of extension between” Trouli and Kokkinapetra.
At Kalavasos, the objective is to generate an initial JORC-compliant mineral resource estimate based on dump material and progress the metallurgical test work in association with Jubilee with a similar agenda for the Mala and St Nicholas projects.
At Anglisides, Caerus plans a “Preliminary Economic Assessment ("PEA") in parallel with diamond drilling and metallurgical test work to determine whether Anglisides represents a high-grade satellite Resource for central treatment at the Troulli plant or a stand-alone operation”.
CEO, Martyn Churchouse, said that the “intention in 2022 is to quickly build our Cyprus Resource base with JORC Resources declared at multiple sites with an initial focus on Troulli, its' extensions and satellites”.
KEFI Gold and Copper* (KEFI Gold and Copper PLC (AIM:KEFI)) 0.71p, Mkt Cap £18m – All resolutions passed at the General Meeting
All resolutions at the General Meeting held earlier today were passed allowing the Company to complete the £6.4 equity raise first announced 21 Dec/21.
371.8m new shares along with 393.1m warrants (1.6p exercise price and a two year exercise period) will now be issued.
Separately, the Company reiterated its readiness to start development works at the Tulu Kapi gold project once security situation in Ethiopia allows to proceed.
In Saudi Arabia, the team is focused on completing Hawiah PFS later this year and secure the Mining License for the Jibal Qutman Gold Project.
*SP Angel act as Nomad and Broker to KEFI Gold and Copper
No.1 in Copper: “The winner of the 2020 Fastmarkets Apex contest for copper was the team at SP Angel comprising John Meyer, Sergey Raevskiy and Simon Beardsmore, with an accuracy score of 93.8%”
No1. In Gold: “SP Angel’s trio took the top spot for the gold price prediction throughout the year, with an accuracy score of 97.59%”
The SP Angel team also ranked 1st in Palladium, 3rd in Tin and 5th in Silver in the fourth quarter of 2020
Analysts
John Meyer – John.Meyer@spangel.co.uk – 0203 470 0490
Simon Beardsmore – Simon.Beardsmore@spangel.co.uk – 0203 470 0484
Sergey Raevskiy –Sergey.Raevskiy@spangel.co.uk - 0203 470 0474
Joe Rowbottom – Joe.Rowbottom@spangel.co.uk - 0203 470 0486
Sales
Richard Parlons –Richard.Parlons@spangel.co.uk - 0203 470 0472
Abigail Wayne – Abigail.Wayne@spangel.co.uk - 0203 470 0534
Rob Rees – Rob.Rees@spangel.co.uk - 0203 470 0535
Grant Barker – Grant.Barker@spangel.co.uk – 0203 470 0471
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*SP Angel are the No1 integrated nomad and broker by number of mining brokerage clients on AIM according to the AIM Advisers Ranking Guide (joint brokerships excluded)
+SP Angel employees may have previously held, or currently hold, shares in the companies mentioned in this note.
Sources of commodity prices
Gold, Platinum, Palladium, Silver
BGNL (Bloomberg Generic Composite rate, London)
Gold ETFs, Steel
Bloomberg
Copper, Aluminium, Nickel, Zinc, Lead, Tin, Cobalt
LME
Oil Brent
ICE
Natural Gas, Uranium, Iron Ore
NYMEX
Thermal Coal
Bloomberg OTC Composite
Coking Coal
SSY
RRE
Steelhome
Lithium Carbonate, Ferro Vanadium, Tungsten, Spodumene, Ferro-Manganese, Graphite
Asian Metal