SP Angel Morning View -Today’s Market View, Monday 29th July 2024

Mining M&A likely to pick up as companies take advantage of depressed price levels

MiFID II exempt information – see disclaimer below

Altona Rare Earths (ANR LN) – Acquisition of Sesana copper-silver project in Botswana

Galileo Resources (GLR LN) – Drilling imminent on Western Foreland, Zambia

Guardian Metal Resources (Formerly Golden Metal Resources) (GMET LN) – Porphyry target at Pilot Mountain expanded following geological review

Power Metals Resources* (POW LN) – (Power Metals* holds a 51% stake in Guardian Metal Resources)

KEFI Gold and Copper* (KEFI LN) – Tulu Kapi debt funding update

Mkango Resources* (MKA LN) – Songwe Hill Rare Earths Project MDA secured

Resolute Mining (RSG AU) – Expecting to build on a solid H1 with a better 2^nd half as 2024 guidance is maintained

Tertiary Minerals* (TYM LN) – Soil sampling enhances prospectivity of Mupala Copper Project

Pan African Resources (PAF LN) – Operational Update and board change

M&A rumours continue with Teck vulnerable following coal division sale

• Bloomberg reported on Friday that Teck and Vale Base Metals are considering a merger.
• The article suggested that Vale ‘is currently studying options for a potential deal with Teck.’
• Vale would likely need backing from Saudi Arabia’s PIF fund, who hold a stake in the base metals division, to approve a merger.
• The report followed previous suggestions that Rio Tinto may be eyeing a run at Teck following its EVR Met coal sale to Glencore for a cash consideration of US$7.3bn.
• Anglo American is also rumoured to be a potential merger option for Teck.
• Teck has been building the QB2 copper expansion, producing 110kt Cu in 2Q24, up 71% yoy.
• The Company expects to produce 435-500kt Cu in 2024.
• Teck also holds the Red Dog zinc project, which expects to produce 565-630kt zinc concentrate in 2024.

Vanadium – New steel rebar standards are due to come into force on September 25 with guidelines introduced in 2018 to become mandatory replacing voluntary status before.

• 2018 standards included stricter requirements on production accuracy, fatigue performance, smelting and testing methods.
• The standard also included higher contents of steel strengthening agents like vanadium.
• Chinese traders are reported to seek a delay to new quality standards implementation effective date in an effort to have more time to dispose of existing non-compliant steel inventories.

Best selling EVs in Europe from H1 2024 – Chinese EVs sees strength growth

• In the first half of 2024, Europe’s EV market grew by 2% compared to the previous year, with nearly 950,000 EVs registered.
• The Tesla Model Y remained the best-selling EV despite a 26% drop in registrations, while the Model 3 saw a 37% increase.
• Chinese-made EVs, such as the Volvo EX30 and MG4, surged in popularity, with Geely Group and BYD significantly increasing their market presence.
• Volkswagen Group led the market with 178,000 units but saw a 14% yoy decline in volume.
• BMW Group increased its market share to nearly 10%, up from 7.5% last year.

Gold strengthens as Treasuries rally on rate cut expectations

• Gold prices have climbed over $2,390/oz having slid to the $2,350s/oz last week.
• Renewed Treasury buying followed Friday’s inflation data, which showed US inflationary pressures continue to wane.
• The 10-year rallied from 4.23% to 4.17% today.
• The dollar has bounced from recent lows as the Yen rally paused.
• Focus turns to labour data, with JOLTs numbers due on Tuesday and NFP due on Friday to give further insight into the health of the US labour market.
• Chinese buying has slowed in recent months, with bullion demand falling 6% yoy in 1H24 to 524t.
• Chinese jewellery demand is sliding, in line with recent luxury goods reports which show falling appetite from Chinese consumers.
• China bullion imports fell in June and elevated prices are reportedly weighing on buying.

Copper ($9,040/t) still weak despite sliding inventories as Codelco misses guidance

• Copper prices continue to hover around the $9,000/t mark, having eased from May highs of $11,000/t triggered by a COMEX short squeeze.
• Codelco saw production fall over 8% in the first half of this year following several disruptions and project delays.
• Shanghai copper inventories have fallen alongside the price of copper as downstream buyers take advantage of weaker prices.
• Aluminium fell overnight whilst Tin, nickel, lead and zinc all strengthened marginally.

SP Angel rankings LSEG StarMine Award for most accurate forecasting in Reuters polls:

• No1 – Q2 Precious Metals and No2 – Q2 Base Metals. Our forecasting uses HI – not AI

SharePickers: Video: This has One of the Lowest Risk Profiles I’ve Seen For a Long Time: https://www.youtube.com/watch?v=0sT6ZZpMt6M

•         Podcast: https://audioboom.com/posts/8547593-john-meyer-this-has-one-of-the-lowest-risk-profiles-i-ve-seen-for-a-long-time

Economics

PMI data indicates overall economic expansion

• Growth in PMI Services, which is of greater significance in the Western world, continues to substantially outpace Manufacturing PMIs.
• European Services are broadly positive and we expect the Olympics to restore French Services PMIs to positive territory.
• Germany and France are leading EU Manufacturing PMIs into a dark place with severe ongoing contraction related to the war in Ukraine.
• Porsche had to cut production by 17,000 vehicles due to flooding at the Novelis aluminium mill in Switzerland. Novelis is owned by Hindalco Industries (India).
• BMW and Mercedes and also reported to have cut production. VW and Stellantis are also Novelis customers.
• UK Manufacturing PMIs continue to indicate growth against many predictions and may be a beneficiary of a degree of reshoring of manufacturing from China back into the Western world.
• The new Labour government is keen to promote growth to restore public finances and we suspect reh restoration of simple political stability will help.

 US – The Fed is to hold key rates unchanged at 5.25-5.50% this week with a cut in September now fully priced in.

• Markets are now increasingly leaning towards potential three cuts scenario before year end.
• Rate announcement is due Wednesday followed by employment numbers for July on Friday.
• Weekly Jobless Claims (Jul20/Previous week/Est): 235k/245k(revised from 243k)/238k
• Durable Goods Orders (%mom, Jun/May/Est): -6.6/0.1/0.3
• Durable Goods Orders ex Transport(%mom, Jun/May/Est): 0.5/-0.1/0.2
• Q2 GDP (%qoq annualised, Q2/Q1/Est): 2.8/1.4/2.0
• PCE (%mom, Jun/May/Est): 0.1/0.0/0.1
• Core PCE (%mom, Jun/May/Est): 0.2/0.1/0.2
• PCE (%yoy, Jun/May/Est): 2.5/2.6/2.5
• Core PCE (%yoy, Jun/May/Est): 2.6/2.6/2.5

Kamala Harris appears to be in with a chance despite Trump’s boost from surviving assassination

•  Odds suggest Harris is closing in on Trump’s lead

Canada – Bank of Canada cut interest rates by 0.25% to 4.5% marking their second cut

China – Markets will be closely following results of the Politburo meeting this week for cues on potential measures to shore up weak economic sentiment.

Coal fired generation falls below 60% for the first time

• Electrical power generation rose 2.4% to 2,793TWm

Venezuela – National Electoral Council declared Nicolas Maduro the winner of presidential elections that took place over the weekend.

• Maduro, 61, is reported to have secured 51.2% of the vote while opposition represented by Edmundo Gonzales Urrutia, 74, got 44.2%.
• Gonzales was running in place of Maria Corina Machado who won an opposition primary in October but was banned from standing by the government controlled Supreme Court in January.
• Opinion polls before the vote and quick counts on the day forecast a big opposition win, FT writes.

Ethiopia – The central bank will allow its currency, the birr, to float as the government is looking for $10.5bn in funding from the IMF and World Bank.

Currencies

US$1.0850/eur vs 1.0853/eur previous. Yen 153.50/$ vs 154.08/$. SAr 18.295/$ vs 18.271/$. $1.285/gbp vs $1.287/gbp. 0.655/aud vs 0.656/aud. CNY 7.254/$ vs 7.252/$.

Dollar Index 104.29 vs 104.34

Precious metals:         

Gold US$2,391/oz vs US$2,369/oz previous

Gold ETFs 82.6moz vs 82.4moz previous

Platinum US$945/oz vs US$933/oz previous

Palladium US$905/oz vs US$907/oz previous

Silver US$28.00/oz vs US$28/oz previous

Rhodium US$4,650/oz vs US$4,650/oz previous

Base metals:   

Copper US$ 9,048/t vs US$9,073/t previous

Aluminium US$ 2,268/t vs US$2,273/t previous

Nickel US$ 15,725/t vs US$15,820/t previous

Zinc US$ 2,669/t vs US$2,654/t previous

Lead US$ 2,083/t vs US$2,034/t previous

Tin US$ 29,560/t vs US$29,465/t previous           

Energy:           

Oil US$81.4/bbl vs US$82.3/bbl previous

• The US Baker Hughes rig count rose by 3 units w/w to 589 rigs last week (-75 or 11% y/y), with oil rigs up 5 to 482 units (-57 y/y) and gas rigs down 2 to 101 units (-27 y/y) as the Canadian rig count gained 14 to 211 units.

Natural Gas €32.5/MWh vs €32.5/MWh previous

Uranium Futures $82.4/lb vs $82.0/lb previous           

Bulk:   

Iron Ore 62% Fe Spot (cfr Tianjin) US$101.5/t vs US$99.1/t

Chinese steel rebar 25mm US$503.8/t vs US$505.7/t

Thermal coal (1st year forward cif ARA) US$147.3/t vs US$115.0/t

Thermal coal swap Australia FOB US$139.0/t vs US$138.3/t

Coking coal Dalian Exchange futures price US$203/t vs US$205.0/t

Other:  

Cobalt LME 3m US$26,625/t vs US$26,625/t

NdPr Rare Earth Oxide (China) US$50,108/t vs US$50,124/t

Lithium carbonate 99% (China) US$11,235/t vs US$11,238/t

China Spodumene Li2O 6%min CIF US$950/t vs US$950/t

Ferro-Manganese European Mn78% min US$995/t vs US$995/t

China Tungsten APT 88.5% FOB US$325/mtu vs US$325/mtu

China Graphite Flake -194 FOB US$470/t vs US$470/t

Europe Vanadium Pentoxide 98% 4.9/lb vs US$5.0/lb

Europe Ferro-Vanadium 80% 25.95/kg vs US$26.25/kg

China Ilmenite Concentrate TiO2 US$315/t vs US$315/t

China Rutile Concentrate 95% TiO2 US$1,385/t vs US$1,386/t

Spot CO2 Emissions EUA Price US$66.4/t vs US$66.9/t

Brazil Potash CFR Granular Spot US$297.5/t vs US$297.5/t

Germanium China 99.99% US$2,095.0/kg vs US$2,095.0/kg

China Gallium 99.99% US$435.0/kg vs US$435.0/kg

Battery News

Government unveils nearly $2bn in funding to retool American auto factories

• The US government has awarded $1.7bn in grants to support EV manufacturing, aimed at creating thousands of union jobs.
• This funding, part of the Inflation Reduction Act, will assist companies like General Motors, Fiat-Chrysler, Volvo, and Harley-Davidson in developing EV parts across eight states.
• The initiative focuses on electric motorcycles, school buses, hybrid powertrains, and heavy-duty truck batteries, with a commitment to ensuring job and community benefits.
• This move is part of President Biden’s broader climate agenda, with an emphasis on reducing transportation-related emissions.

LGES considers switching European focus to BESS as EV demand stagnates

• LG Energy Solutions is considering shifting to BESS ‘Battery Energy Storage Systems’ production due to declining EV battery demand, driven by high prices and reduced state subsidies.
• The Polish plant, which generates 40% of the company’s global revenue, anticipates a significant drop in earnings.
• This move aligns with Poland’s government plans to subsidize storage units, aiming to reduce coal dependence.

Nissan cuts production at top Japan facility

• Nissan will cut planned production by a third at its top Japanese plant this month as it struggles with weak US demand.
• The Japanese automaker has cut its full-year outlook after it was forced to offer deep discounts in the US, its largest market.
• Nissan doesn’t offer hybrid models in the US and therefore hasn’t benefitted from recent upswing in demand from U.S. consumers for hybrids as enthusiasm around EVs has cooled.

EV fires less common than in ICE vehicles

• Despite misconceptions, studies suggest that EV fires are rarer than those in gas-powered vehicles.
• EV fires do pose unique challenges due to thermal runaway and the need for specialised extinguishing methods.
• A Swedish report found fires in cars powered by internal combustion engines occurred 20 times more often than in EVs using data from 2022.
• The global EV market, valued at $388bn in 2023, is projected to exceed $950bn by 2030, driven by increased production, government investment in infrastructure, and decreasing prices.

Buy-now-pay-later driving EV growth in Kenya

• M-Kopa has rapidly become the largest financier of EVs in Kenya, significantly contributing to the country’s growing EV market.
• The company, known for its buy-now-pay-later model, expanded into EV financing in 2022, partnering with major EV manufacturers and ride-hailing platforms like Bolt.
• This financing model has enabled many gig workers to afford electric bikes, reducing their operating costs.
• However, M-Kopa’s high interest rates have raised concerns, as customers can end up paying significantly more than the initial cost of the EVs.

 Company News

Altona Rare Earths (ANR LN) 1.62p, mkt cap £2.6m – Acquisition of Sesana copper-silver project in Botswana

• Altona Rare Earths report the exercising of an option to acquire 85% of the Sesana copper-silver project in Botswana from Ignate African Minerals (Pty) Ltd.
• Airborne magnetic data shows a ~10km long section of the contact along the D’Kar and Ngwako Pan formations within the northern part of the Tenement.
• This is seen as a offering potential for the discovery of new copper-silver deposits underneath the Kalahari sand cover.
• “Activities pertaining to environmental and administrative processes in Botswana have started, and plans are being made to start exploration activities in due course.”
• Board changes: Audrey Mothupi is stepping down after 3 years on the Board.
• Kristoffer Andersson has been appointed as a non-executive director.
• Andersson is an economist with extensive experience in the renewable energies, mining, commodity trading and natural resources sectors, as well as investment banking in emerging markets in Latin America and Africa.
• Kristoffer is currently the CEO of Ironveld Plc and co-founded Ashmont Resources Corp, a private company focusing on mineral assets in Colombia.
• General Meeting: Altona will hold a GM on Tuesday 20 August 2024.
• The company published a prospectus on 19 July which enabled the company to list a further 6,248,759 Shares on the LSE to meet certain funding obligations.
• Cedric Simonet subscribed for 1,000,000 shares and Louise Adrian subscribed for 2,500,000 shares with a further 1,834,000 new Shares in lieu of deferred cash salary payments for certain Directors at 2.5p/s
• Altona also holds the Monte Muambe rare earths project in Mozambique.

Galileo Resources (GLR LN) 1.18p, Mkt Cap £14.3m – Drilling imminent on Western Foreland, Zambia

• Galileo Resources reports that it is mobilising a drilling rig this week for an initial 700m programme on its 52,083 hectares 28001-HQ-LEL licence in the ‘Western Foreland’ along the Angolan border in northwest Zambia.
• The licence is located along strike from “the Kamoa – Kakula mining complex in the DRC and adjacent to a substantial exploration licence area across the border in Angola acquired by Ivanhoe Mines which is targeting further extensions of the Western Foreland”.
• Drilling is intended to test “potential redox front targets where suitable combinations of adjoining lithology have created the correct environment for copper deposition” and whether the geological environment at Kamoa Kakula, located “about 100 miles northeast of our activities” extends into NW Zambia.
• Galileo is earning a 65% interest in the project in a joint-venture with a local Zambian company, Cooperlemon Consultancy.

Conclusion: Initial drilling to test the possibility of a similar geology to the Kamoa Kakula deposit in the DRC starts shortly in northwest Zambia.  We await news as the drilling progresses.

Guardian Metal Resources (Formerly Golden Metal Resources) (GMET LN) 32p, Mkt Cap £34m – Porphyry target at Pilot Mountain expanded following geological review

Power Metals Resources* (POW LN) 17.5p, Mkt cap £19m – (Power Metals* holds a 51% stake in Golden Metal Resources)

1. Guardian Metal Resources (formerly Golden Metal Resources) reports that an expert geological consultant specialising in porphyry copper mineralisation, Dr. Lawrence Carter, has reviewed results from its Pilot Mountain project in the Walker Lane mineral belt of Nevada.
2. Dr. Carter’s review has concluded that “the porphyry system architecture at Pilot Mountain could be much larger than original expectations” and consequently, the company has now staked “an additional 16 new claims … at Pilot Mountain to secure the now expanded and mapped hydrothermal footprint associated with the Porphyry South target, and further magnetic and induced polarisation (IP) geophysical survey lines have been completed over the Project to help with drill targeting”.
3. The review has shown “Multiple outcropping but previously unidentified levels of a mineralised porphyry system … within various fault blocks across the Pilot Mountain property, including phyllic and potassic alteration zones. New copper shows at surface were also identified across the Porphyry South target area”.
4. Review of the core from the recently completed drillhole PM24-002 “has confirmed the intersection of 385.1m of porphyry style mineralisation and alteration from immediately beneath overburden at 22m to 407.1m end of hole (EOH)”.
5. The company confirms that Dr. Carter is “working with the Guardian Metal technical team to plan next stage drilling and exploration across the two main porphyry targets now identified within the Project”.
6. Welcoming the review’s findings, CEO, Oliver Friesen, said that “is now clear that the underlying porphyry plumbing system, that we originally believed could exist at Pilot Mountain, could be much bigger than originally thought”.

*SP Angel acts as Nomad and Broker for Power Metals

KEFI Gold and Copper* (KEFI LN) 0.6p, Mkt Cap £38m – Tulu Kapi debt funding update

• The Company received a preliminary approval from African Finance Corporation (AFC), a project co-lender along with Eastern and Southern African Trade and Development Bank (TDB), for the Tulu Kapi debt funding.
• The approval follows site visits during July by security consultants of co-lenders.
• Final approvals from AFC are expected in the next month or so.
• TDB granted final approvals earlier that were ratified by its Board in February.
• Secured debt from development banks account for $190m of $320m total.
• The Company reiterated targets for the first drawdown on syndicate funding in October allowing the start of development works.

Conclusion: The Company is moving closer to securing development bank funding for $190m of $320m total capex with targets for the first drawdown in October reiterated.

*SP Angel act as Nomad and Broker to KEFI Gold and Copper

Mkango Resources* (MKA LN) 6.7p, Mkt Cap £14m – Songwe Hill Rare Earths Project MDA secured

• The Company signed the Mining Development Agreement (MDA) with the Malawi government for the Songwe Hille Rare Earths Project.
• The MDA outlines fiscal terms of the mining license including:
  • 5% royalty on gross revenue;
  • 30% corporate tax rate;
  • 10% government free carry;
  • Exemption from customs and excise duties;
  • 10y stability period;
  • 10y tax loss carry forward period.
• The announcement marks a major milestone in development of the upstream part of the Mkango business following two years of negotiations.

Conclusion: The government signed the Mining Development Agreement with the Company outlining main fiscal terms of the mining license that seem reasonable when compared to other selected mining regimes in Africa.

*SP Angel acts as nomad and broker to Mkango Resources

Resolute Mining (RSG AU) 32.05p, Mkt Cap £679m – Expecting to build on a solid H1 with a better 2^nd half as 2024 guidance is maintained

• Resolute Mining reports production of 90,787oz of gold at an all-in-sustaining cost of US$1,402/oz during the 3 months to 30^th June (Q2 – 2023 84,372oz at a cost of US$1,489/oz).
• The Q2 results bring the total H1 production to 167,140oz at an average cost of US$ 1,442/oz (H1 2023 – 176,631oz at an average cost of US$1,469/oz) and prompts the company to maintain its full year guidance for 2024 in the range of 345-365,000oz at an all-in-sustaining cost of between US$1,300-1,400/oz.
• Confirmation of the guidance ranges suggests that production and cost performance should improve through the remainder of the year.
• The quarterly gold reflects the processing of ~1.52t of ore at an average grade of 2.19g/t gold improving on both the preceding quarter (Q1 2024) which processed 1.45mt at an average grade of 1.94g/t gold and on the equivalent Q2 in 2023 (1.46mt at an average of 2.17g/t gold).
• The Syama operation in Mali contributed 55,599 (~61%) of the total gold with 41,930oz as a result of processing sulphide ores and 13,669oz from treating oxide ores with the remaining 35,188oz produced at the Mako mine in Senegal.
• In addition to cashflow from its operations, which CEO, Terry Holohan described as “extremely strong”, the company also received “A$30m from … [the first tranche cash payment from its restructured Gold Price Contingent Promissory Note from the sale of the Ravenswood Gold Mine in Q1 2020] … with a further A$20m expected in Q3 this year.
• The company reports a 30^th June cash/bullion balance of US$143m which Mr. Holohan described as an increase of “$63m over the Quarter” with “further cash build throughout H2 as both sites are scheduled to produce more ounces than in H1 and as we expect to continue to benefit from spot gold prices”.
• This leaves the company in what Mr. Holohan described as its “strongest position in a long time with net cash at 30th June of $96.6 million”.
• Mr. Holohan confirmed that extending the operational life of the Mako mine is a priority for Resolute Mining with drilling at “both the nearby Tomboronkoto and Bantaco exploration projects”.
• Infill reverse-circulation and diamond-drilling at Tomboronkoto is continuing with an update to the current 10.4mt resource at an average grade of 1.2g/t gold containing 403,000oz “expected to be published in Q3 2024”.
• Drilling operations “at the Mansala Prospect in Guinea which commenced in late 2023 were concluded in Q2 2024 … [with an] … initial Mineral Resource for Mansala … expected in Q3 2024”.

Conclusion: Resolute Mining is maintaining its production and cost guidance for 2024 following a strong H1 performance and expectations of a stronger H2. Exploration in Senegal and Guinea is expected to result in mineral resource estimates later in the year.

Tertiary Minerals* (TYM LN) 0.11p, Mkt Cap £3m – Soil sampling enhances prospectivity of Mupala Copper Project

• Tertiary provides an update on its Mupala Copper Project, which lies in the Kabompo Dome region in Northwestern Zambia.
• The Zambian Domes region hosts numerous producing operations, including First Quantum’s Trident operations.
• Tertiary has collected 684 soil samples over a 300m x 300m offset grid.
• Infill soil sampling was also conducted, using 150m x 150m areas targeting anomalous copper-in-soil.
• The Company has identified a 1,800m x 600mx anomalous zone, with peak copper values of 422 ppm using xPRF.
• This anomalous zone is reportedly coincident with previous anomalies defined by Mwinilunga Mines in the 1969s.
• The anomalous zone stretches over to the boundary with Anglo American and Arc Minerals’ JV, where Anglo is earning into the project with up to $88.5m.
• Samples will be sent to the laboratory for geochemical analysis.

*SP Angel acts as Nomad and Broker to Tertiary Minerals

Pan African Resources (PAF LN) 28.6p, Mkt Cap £540m – Operational Update and board change

• Pan African report an update of operations.
• Gold production up 6.2% to 186koz for the FY24 vs 175.2koz FY23. Average gold price for reporting period at $2,021/oz.
• AISC for the period at $1,350/oz.
• Production weighed by delay in commissioning at Evander 8 underground operations, also weighing on unit costs.
• Improved ore flow expected in the coming weeks.
• Mogale Tailings Retreatment Project expects first gold pour in December 2024, expected to be completed below budget.
• MTR expected to produce 60kozpa at AISC below $900/oz over 21 years.
• Net debt at $106m for the period end, up from $22m in FY23.
• PAF’s financial director intends to retire from 30^th September 2024 but will continue as consultant.
• The Company continues to invest in renewable energy infrastructure.

No.1 in Base Metals: SP Angel mining team awarded No 1. ranking for Base Metals forecasting in LSEG Quarterly Starmine Award for Reuters Polls Q1 2024

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

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

SP Angel                                                            

Prince Frederick House

35-39 Maddox Street London

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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.

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