Weekly Brief 9th April

After a blissful four days off over bank holiday weekend, we come to the end of a second short week feeling (hopefully) well rested.

Those that had the willpower to give up their vices over the 40 days of Lent can now go back to enjoying their no-longer-guilty pleasures, and we continue to work our way through the Easter bunny’s treats – if you had the self-control to not eat a chocolate shop’s worth over the weekend, that is! We can breathe a collective sigh of relief at starting the weekend, and a second that we have been assured that we have hit no speed bumps on our roadmap. The clouds are starting to clear away both figuratively and literally, with the first phase of restrictions lifting just in time for bank holiday weekend and the short but very welcome heatwave, giving us our first taste of summer and freedom. From the start of next week begins the next pitstop: restaurants and pubs will open their outdoor spaces, and non-essential shops will open their doors. For those that managed to nab a rare booking over the next few weeks it will be a welcome change from our same four walls, and with the shops available again we will no longer see our postman more than our own families. We can look forward to shortly being sat in a beer garden and reuniting with our friends and families – no longer on a screen but now in 3-D! Spring has clearly sprung now that we are experiencing sunglasses-worthy weather, and those brave enough are donning shorts, giving us the ray of sunshine that we need on our way back to normal life.

Client News 

Prospex Energy’s (AIM: PXEN) 17%-owned Selva Malvezzi Gas-Field has received full environmental approval from the Italian Government. This paves the way for the submission, by the operator, of an application for a full production licence from the Economic Development Ministry in Q2 2021. In tandem with the permitting process, development and preliminary work has commenced at the field.  Management believes production at Selva at an initial rate of up to 150,000 cubic metres/day will generate annualised revenues several times greater than Prospex’s historic annual corporate costs and will therefore help fund further low risk exploration and development opportunities across its Italian and Spanish projects.

Jangada Mines Plc (AIM: JAN) announced the two additional drill results of the second phase drilling programme at its wholly owned Pitombeiras Vanadium Project in Brazil. The 2,000 metre diamond drilling programme which began in October of last year aims to evaluate the structural corridor associated with known VTM mineralisation at all three deposits. The drill results indicate the deposit area remains open for resources expansion and have intersected VTM mineralisation whilst other workstreams continue to be advanced.
Moreover, Jangada released its annual results for the 18 months ended 31 December 2020. The Pitombeiras Vanadium Project’s development was progressed significantly during the period as Jangada looks toward fast tracking the project to production in order to realise its full potential. The investment in ValOre Metals Corp has yielded positive results during the 18 months and, after selling down part of the initial investment, Jangada now holds a 17.23% interest in its share capital. Fodere Titanium Limited, in which Jangada made the decision to take a 3.6% interest in, is rapidly advancing the commercialisation of its environmentally sustainable and innovative technology and is in ongoing discussions with industrial offtakers. Finally, the reported total comprehensive profit attributable to Jangada for the reporting period totalled $3.9 million.

Katoro Gold Plc (AIM: KAT) reported the results from the recently completed RAB drilling programme targeting nickel and PGM at the Haneti Project, in which Katoro holds a 65% ownership interest. The recent results achieved their primary objective by confirming previous exploration work and confirm the next step in the exploration strategy for the project of proceeding with diamond drilling. Katoro are currently planning and designing a follow up diamond drilling programme.

FastForward Innovations Ltd (AIM: FFWD) noted that the sale of its investee company EMMAC Life Sciences to Curaleaf Holdings Inc has successfully been completed after its announcement in March. As part of the transaction, FastForward sold its entire interest in EMMAC for £5m in cash which has now been completed and received, forming a significant return on the original investment. The proceeds will be used to invest in new exciting opportunities.

Dekel Agri-Vision‘s (AIM: DKL) Q1 production update was among the best the Company has reported in the eight years its 100% owned Ayenouan palm oil project in Cote d’Ivoire has been operational.   Highlights include record monthly crude palm oil production volumes in March 2021, which at 6,895 tonnes is 9% higher than March 2020, the previous best month; a 27% and 26% increase in Q1 CPO production and sales to 15,327 tonnes (Q1 2020: 12,081 tonnes) and 13,921 tonnes (Q1 2020: 11,047 tonnes) respectively; and a 20% increase in average realised CPO prices to €794 per tonne.  The excellent all-round performance means Dekel is on track to deliver a material uplift in its H1 2021 financial results compared to last year.

Vast Resources Plc (AIM: VAST) announced the appointment of Ruben Fernandez as Underground Mine Manager at the Baita Plai Polymetiallic Mine. Bringing over ten years of experience to the role, Fernandez joins the new full time expert management team on site in order to implement and execute the new upgraded mine plan over the course of 2021. His technical expertise and requisite skills will prove invaluable in the increased mechanisation as part of the development of the mine plan.
Additionally, Vast released the new mechanised mine plan for the Baita Plai Polymetallic Mine. Highlights from the presentation include no further funding for capex required to implement the new plan, and a net revenue forecast of $17.2m for the period of 1 April 2021 – 30 April 2022, which is to be built considerably in the following years. The upgraded mine plan was made possible with the employment of a mechanised approach to mining to produce a pre-concentrate to feed to the mills. This comprehensive mine plan represents a benchmark for Vast to deliver on as Baita Plai is expanded.
Trident Royalties Plc (AIM: TRR) announced the pre-completion meeting for the Pukaqaqa Royalty Package acquisition from Orion Resource Partners has been held and its completion has now occurred. Trident had entered into a binding agreement to acquire the package of existing copper royalties over the project in December 2020 for a total consideration of US$3m. The completion of the transaction further increases Trident’s copper exposure.

Contango Holdings Plc (AIM: CGO) has triggered its inaugural incentivisation package to remunerate directors and key senior employees and consultants as part of its strategy to prioritise cash into developing operations and value accretive transactions. The company has issued approximately 7.3% of the enlarged fully diluted share capital to the senior team.

Kibo Energy (AIM: KIBO) announced that MAST Energy Developments Plc is to list on the Official List of the London Stock Exchange by way of a standard listing on 14 April 2021, under the ticker MAST. MED is a 100% subsidiary company of Kibo and a 100% holding company of Sloane Developments Ltd. Following a raising in excess of £5 million, MED will rapidly build production and strengthen its position in the UK renewable energy space after its listing.

Cora Gold Limited
(AIM: CORA) released the results of the re-analysis of samples from the drilling carried out in Q4 2020 at the Dako II permit, which neighbours its Sanankoro Gold Project. The bottle roll analysis that has been carried out builds on the fire assay analysis from January 2021 and is a more representative assay, which has generally delivered significantly enhanced results in terms of intercept widths and grades. Dako II has even more potential with over 3km of surface mineralisation to still be drilled with the hopes to see it become part of the future resources and mine plan for Sanankoro.

You may have missed… 

Register to view Trident Royalties’ (AIM: TRR) latest investor presentation on Investor Meet Company’s platform.

See Vast Resources’ (AIM: VAST) upgraded mine plan for the Baita Plai Polymetallic mine presentation and full Q&A session on Investor Meet Company.

In the news this week… 

Data from an early stage clinical trial for an HIV vaccine is returning promising results.

Gas car sales in Norway are falling, as electric car sales taking over with 54% of the market share.

The first space hotel is set to begin construction in 2026 – a three and a half day stay at the luxury hotel fetches a $5 million price tag.

A 3,000 year old lost ancient Egyptian city has been discovered.

Read the full obituary of His Royal Highness The Prince Philip, Duke of Edinburgh.

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