Weekly Brief 21st January

We have made it through the first few weeks of January and things are on the up and up again. 

The ‘Plan B’ restrictions the government imposed in early December appear to have finally paid off: the peak has come and gone and with the wave of infections slowing during Plan B’s reign, we are now reaping the rewards. Yesterday, it was announced that the ‘Work from Home’ guidance would be lifted, as would multiple other restrictions over the coming weeks. The days are starting to get longer too; summer is inching ever nearer at a steady pace – adding an extra 3 minutes of sunlight every day (yes, really!). It is still frosty January, admittedly, but with the green shoots like the few we are beginning to see, we eagerly await the brighter days and return to the office with a healthy dose of optimism.  

Meanwhile, the FTSE has fallen by 1% as the market took a hit after a week of turbulence. The tech-heavy Nasdaq in New York also took a hit, while UK retail sales dropped by 3.7% during the December period. Elsewhere, Russia has proposed a ban on cryptocurrency mining and usage on its territory – meaning Bitcoin tumbled a whopping 40% since its record highs in November last year.  

 

Client news 

BlueRock Diamonds PLC (BRD: AIM) provided its Q4 2021 and FY 2021 production update. The diamond producer reported a steep rise in production, revenues and grades increase significantly and a 41% increase in carats sold during FY’21 and the final quarter. The diamond market has remained buoyant throughout the year with prices returning to levels above those of 2019, resulting in revenue more than doubling in 2021 versus 2020.   

BlueRock Executive Chairman, Mike Houston, said, “The new plant was fully operational in December and is running at close to design capacity now that a full complement of staff is back working after the mine was obliged to shut down most operations in late December due to the Omicron outbreak.  Q1 production is always lower due to the impact of the wet season, but we are encouraged by the much-improved performance of the new plant to date.  I anticipate much of Q1 2022 will be used to make minor refinements on the plant and focus on sustaining production at the increased volumes.” 

Bluerock anticipates Q1 2022 production to be materially higher than Q1 2021 (Q1 2021: 86,005 tonnes sorted) and announced a planned sale of 2,200 carats during January, including two larger stones of 8.9 and 6.8 carats valued at over US$50,000 each. 

 

Caracal Gold plc (LSE: GCAT) released a new corporate presentation for Q1 2022, which is available on its website: www.caracalgold.com. 

GreenRoc Mining plc (AIM: GROC) published a new corporate presentation on the Company’s website at www.greenrocmining.com. 

 

Contango Holdings Plc (LSE: CGO) announced that it will hold an Annual General Meeting of shareholders of the Company, at 88 Wood Street, 13th Floor, London, EC2V 7DA and virtually by electronic means, on 9 February 2022 at 10 am. 

 

SEED Innovations Ltd (SEED: AIM) announced the latest update by its portfolio company, Yooma Wellness, a global vertically integrated wellness platform that develops and markets a portfolio of CBD and wellness brands. Yooma announced that Boots, Britain‘s leading health and beauty retailer, will be stocking MYO Plant Nutrition brand (‘MYO’) in over 800 stores. The UK-based, 100%-plant built, nutrition business was acquired by Yooma in March 2021 and currently has its products available in Holland & Barrett, Selfridges, Lloyds Pharmacy and Amazon.  

MYO Plant Nutrition is an exceptional example of how Yooma’s buy-and-build strategy creates shareholder value. Yooma acquired MYO in March 2021, due to the growing market demand for plant-based protein supplements, with a global market size estimated at US$4.3 billion in 2020, projected to grow at a CAGR of 7.2% during 2021-2026. 

 

Oracle Power PLC (AIM:ORCP) updated the market with the following statement from its CEO, Naheed Memon, with respect to developments during Q4 2021: 

“Over the course of 2021, we have been focused on our objective of creating scale and diversification in our portfolio to establish Oracle in the international power and resources sector. I am therefore pleased with the progress we have made throughout this year in achieving this goal and we have ended the last quarter of 2021 on a strong note. We now hold a diversified portfolio with multiple high growth divisions, with the support from two state-owned Chinese enterprises and a highly supportive strategic shareholder. Oracle is developing two highly prospective gold projects in Western Australia, pursuing power and gas generation in Pakistan, and is poised to become a front runner for the clean energy movement in Pakistan by developing a green hydrogen production facility. We are very confident that our growing portfolio of assets and interests will generate significant returns for our stakeholders.” 

To read the remainder of the CEO statement please see: http://www.oraclepower.co.uk/investor-relations/regulatory-news/  

CEO Naheed Memon will also provide a shareholder Q&A. Further details will be made available on the company’s website on 25 January. 

 

Europa Oil & Gas (Holdings) plc (EOG: AIM) updated the market on the positive conclusions of a study conducted by ERCE into its 30%-owned Wressle oil field in the UK, which pointed to a significant uplift in production oil volumes – provided certain conditions were met. Europa holds a 30% working interest alongside Egdon Resources (30% and Operator) and Union Jack Oil (40%). 

Simon Oddie, CEO of Europa, said: “This result clearly demonstrates the significant potential of the Wressle well and the rates that can be achieved from the Ashover Grit reservoir alone. The Operator is now advancing plans to allow production of the well to meet its full potential as soon as possible and also with the development of further resources in the Wingfield Flags and Penistone Flags reservoirs, which underpins our excitement on Wressle”. 

 

Trident Royalties Plc (TRR: AIM) announced that its Non-Executive Directors agreed to apply a portion of their annual fees to the subscription for ordinary shares of the Company, as previously set out in the 2020 Annual Report. 

Also this week, Trident appointed Stifel Nicolaus Europe Limited as a joint corporate broker alongside Tamesis Partners LLP.  

 

In case you missed it 

CEO, Kirk Adams of  Greenroc Mining Plc, hosted a well-attended investor presentation on investment opportunities for critical minerals in Greenland – and the minerals explorer’s plans  on Wednesday. 

Proactive also held an interview with Seed Innovations’ investee company Yooma Wellness this week.  

Proactive also spoke to Europa Oil and Gas CEO, Simon Oddie, about the potential for greater production volumes at its producing Wressle oil field in the UK.  

 

In the news this week 

Rockstar, Meat Loaf – singer of one of the most successful albums of all time, ‘Bat Out of Hell,’ has died 

Liz Truss, Foreign Secretary, tells President Putin to step back as tensions rise between Russia and Ukraine  

The Tonga Tsunami has caused immense damage, but a Volcanologist believes everything about the eruption is “off the scale weird…”  

Bank stocks are falling, yet the interest rates are climbing  

A four-day work week pilot launches in the UK with 30 businesses taking part  

With 17th January dubbed as ‘Blue Monday’, read the top tips from ‘happy experts’ on beating the blues 

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