Metals One (MET1), which is advancing strategic minerals projects in Finland and Norway, announced that it has entered into a Binding Term Sheet in respect of the conditional acquisition of the entire issued share capital of FinnAust Mining Finland Oy from 80 Mile Plc (AIM: 80M).
The SPV holds certain licences comprising the Hammaslahti Copper-Zinc Project and Outokumpu Copper Project and in Finland. MET1 said “The strong demand and tightening supply dynamics in the copper markets have created an opportunity for Metals One as we already have boots on the ground in Finland and the ability to advance these projects efficiently and in the near-term, while allowing 80 Mile Plc to focus on its other activities.”
Comment: After the recent hefty fundraise, and even more heft share price rebound, it was not surprising that MET1 would get on with the job of an acquisition. The icing on the cake is that the deal is in MET1’s Finnish back garden.
Softcat (SCT), a leading UK provider of IT infrastructure products and services, announced its half year results for the six months to 31 January 2025. SCT reported continued double-digit growth of 12.1% in gross profit and 19.3% in gross invoiced income, reflecting broad-based success across technology areas and customers.
Comment: While its chosen area of operation may not be flavour of the month, it can be seen that SCAT is gathering momentum via its scalability.
Oracle Power (ORCP), an international project developer, announced the receipt of assay results for the first two Reverse Circulation (RC) drill holes of an 11 drillhole programme for 1,289 metres recently completed at the Northern Zone Intrusive Hosted Gold Project, located 25km east of Kalgoorlie in Western Australia. ORCP said “These initial results indicated that the Company and Riversgold Limited (ASX:RGL), its partner at Northern Zone, have successfully continued to probe the porphyry over an increasing footprint within the tenement area. The partnership is now undertaking further drilling to enhance its understanding of the project before proceeding with preparation of a Mineral Resource Estimate (MRE).”
Comment: Shares of ORCP have shown signs of recovery of late, something which now we are in the run up to a MRE is a process that should continue, any cheeky new fundraises notwithstanding.
CAP-XX (CPX), a global leader in the design and manufacture of supercapacitors and energy management systems, announces a change to the structure of its Board of Directors. After more than 12 years of service as Chairman, Pat Elliott has stepped down from that role but will remain as a Non-Executive Director. Dr. Graham Cooley, who has been a Non-Executive Director since June 2024, has assumed the role of Chairman.
Comment: Given his enthusiastic presence on X talking up CPX, it is not surprising that Dr Cooley steps up from being a NED, to being Chairman. It is clearly a badge of honour for CPX to have someone of his status at the company.
Ferrexpo (FXPO), a producer and exporter of premium iron ore pellets, announced its audited financial results for the year ended 31 December 2024. FXPO said “The 66% increase in annual production at an average realised prices 17% lower than last year, translated into a 43% increase in revenue. Overall, our C1 cash costs on a unit basis increased by 10% to US$83.9 per tonne. The main reason for the increase is the requirement to import electricity, sometimes at prices that are double the domestic price.”
Comment: FXPO shares have offering a white knuckle ride, or should it be a Russian Mountain ride,a state of affairs that looks as though it will continue for quite some time. Ideally they stay above the 200 day moving average at 68p, with dips towards this zone technical buying opportunities. This has been the case over the past few weeks.
Blencowe Resources (BRES) announced it has signed a non-binding MOU with Apollo Energy Systems Inc. regarding offtake of purified graphite sourced from its Orom-Cross Graphite Project in Uganda. BRES said “Following a successful marketing tour of the USA, this MOU is the first of several that we anticipate bringing to market near term. It builds on our initial agreement with Jilin, announced in 2024, to supply up to 15,000tpa large flake concentrate.”
Comment: The market gets a reminder, as if it needed it, of what a strong prospect BRES is in terms of Orom-Cross, and the interest in the project that there clearly is.
Wishbone Gold’s (WSBN) directors advise that that EGNR and Wishbone have agreed that it is not in the best interests of both parties to proceed with the transaction and accordingly the proposed merger will not proceed. Pursuant to this Anthony Moore has resigned from the board of Wishbone. In addition, and in order to strengthen the management team, David Lenigas has agreed to join Wishbone as a consultant. Richard Poulden has resumed his role as Chairman. WSBN said “The gold price is at near all-time-highs and our existing gold assets have been given a new lease of life, especially Red Setter which neighbours Greatland’s Telfer Southwest mine – this has changed the dynamics and interest in the area.”
Comment: Given the soaring gold price it is clearly sensible that WSBN sticks to / returns to its knitting, in the gold exploration space. The addition of small cap stock market legend, David Lenigas as a consultant, makes the offering all the more compelling.
Zenith Energy (ZEN), the listed international energy production and development company, is pleased to announce that it has completed a private placement in Norway. The Placement has raised an aggregate total amount of approximately £1,543,000. The proceeds of the Placement will be used to provide immediate additional funding for the potential acquisition of near-term electricity production assets currently being evaluated by the Company.
Comment: It can be seen that ZEN is already looking beyond prospective multimillion-dollar arbitration wins against Tunisia, and onto life after this tsunami of cash is in its coffers, with the focus on electricity production.
Rainbow Rare Earths (RBW) announced its unaudited results for the six months ended 31 December 2024. RBW said “Rainbow’s processing technology is unlocking a low-cost and responsible supply of magnet REE from phosphogypusm, starting with Phalaborwa in South Africa, followed by Uberaba in Brazil, and with other global opportunities longer-term. These projects have an inherently different cost structure to traditional rare earth mining projects, providing economic resilience to the rare earth price cycle.”
Comment: Although REEs are critical to the world, and RBW has received US funding, the share price has fallen sharply over the month, indicating that the company has not thus far been able to get these key messages across to investors.
Celadon Pharmaceuticals (CEL), a UK-based pharmaceutical company focused on the development, production and sale of breakthrough cannabis-based medicines, provided an update on its funding. The Directors confirmed that the Company has not received the funds requested by the Company under its £1.95m utilisation request, and has resolved to instruct the Company to drawdown a further £2m from its Committed Credit Facility.
Comment: While there is always a frisson of excitement as to whether CEL will get paid or not, the issue here is not so much whether it will get funding, but why it still needs so much and so regularly? It would be cheaper to run the NHS.
Ondine Biomedical (OBI), a global leader in light-activated antimicrobial technologies, announced that patient recruitment has commenced in an intensive care unit (ICU) pilot study at Royal Columbian Hospital (RCH) in New Westminster, British Columbia. Treating patients in intensive care units (ICUs) with Ondine’s Steriwave® nasal photodisinfection technology would significantly expand the market opportunity for Steriwave.
Comment: We have further confirmation, as if we needed it, on the strength of the prospects of Steriwave. The more that the company spreads its offering in terms of trials and studies, the better the prospect of this technology becoming part of the medical mainstream.
CyanConnode Holdings (CYAN), a global leader in narrowband Radio Frequency smart mesh networks, is pleased to announce that its substantial shareholder Axia Investments Limited is providing the Company with a £5 million unsecured loan to support near-term opportunities to grow the business.
Comment: Perhaps one of the thing that kept a lid on the CYAN share price was the market wondering how well the company was funded for growth? It would appear now that we have the answer.
AFC Energy (AFC), a leading provider of hydrogen power generation technologies, announced the launch of “Hy-5” through its Hyamtec brand, the world’s first containerised, portable, cracking module capable of producing up to 500kg/day for delivery from 2026.
Comment: Fighting talk from AFC, and perhaps great prospects, if one can see past the repeat of 2023’s £17m loss.
Filtronic (FTC), a leading provider of high-performance RF, microwave, and mmWave components and subsystems for the defence and space markets, is pleased to announce a significant development in its strategic partnership with SpaceX. The partnership has been expanded to enable an increased allocation of business to Filtronic, deepening the collaboration between the two companies.”
Comment: Given the lovey-dovey nature of the FTC / Starlink relationship, one would not only urge the companies to get a room, but also wonder why SpaceX does not just take over FTC.
Shepherd Neame (AQSE:SHEP), Britain’s oldest brewer and owner and operator of high quality pubs in Kent and the Southeast, today announces results for the 26 weeks ended 28 December 2024. This has been a strong period for the Company with good profit growth over the prior year and we have been building steady momentum in the last 12 months. SHEP said “As a result of the Budget, we now face new, and unwelcome, cost increases in national living wage and national insurance, and will adapt accordingly. We plan to mitigate the majority of these costs over the next 18 months through a mix of price increases and cost efficiencies.”
Comment: It may be the case that the government still has not received as much criticism as it deserves for the wilful business destroying autumn budget, ahead of what will no doubt be an equally wilful business destroying spring budget. The worst part though may be the double talk / denial of what is being done. That said, this should ensure that there will never be another Labour government.
Disclaimer & Declaration of Interest:
The information, investment views, and recommendations in this Zaks Traders Cafe interview are provided for general information purposes only. Nothing in this interview should be construed as a promotion or solicitation to buy or sell any financial product relating to any companies under discussion or referred to or to engage in or refrain from doing so or engage in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the commentator but no responsibility is accepted for actions based on such opinions or comments. The commentators may or may not hold investments in the companies under discussion.
