SP Angel Morning View -Today’s Market View, Thursday 17th October 2024

Gold marches higher despite stronger dollar traders ramp up bullish positioning

MiFID II exempt information – see disclaimer below

American West Metals (AW1 AU) – Storm Project drilling results

Aterian plc* (ATN LN) – Exploration license granted for Musasa lithium, tin, tantalum exploration license in jv with Rio Tinto in Rwanda

BHP Ltd (BHP LN) – Quarterly operational update as CEO’s trip to South Africa raises Anglo bid speculation

Capital Limited (CAPD LN) – Q3 sales rise but concluding contracts make rigs available in Egypt and Gabon

Centamin* (CEY LN) – Quarterly update shows sustained cash build as AngloGold acquisition looms

Oriole Resources* (ORR LN) – Corporate Restructuring boosts stakes in flagship assets

Orosur Mining* (OMI LN) – Approval for Anzá transaction

Premier African Minerals (PREM LN) – Zulu flotation plant update

Savannah Resources* (SAV LN) – Major local shareholder ups his stake

Gold ($2,681/oz) marches higher despite stronger dollar traders ramp up bullish positioning

• Gold prices have extended higher, sitting around record highs over $2,680/oz.
• Hong Kong officials stated plans yesterday to develop the region into a gold trading hub.
• The Hong Kong Chief Executive stated that ‘amidst the increasingly complicated geopolitics, our city’s security and stability gives us a clear edge as an attractive place for physical gold storage.’
• Gold is becoming increasingly popular with developing economies looking to diversify their foreign reserves, as seen in the huge builds by China, Russia and Turkey over the past few years.
• The BRICS summit begins next week, with de-dollarisation a key part of the agenda, hosted by Russia.
• Treasury yields began to slide again this week, having sold off from 3.66% on the 10 year to 4.12% in the wake of the Fed’s 50bp cut.
• The cut triggered renewed caution over inflation resurging, compounded by a stronger-than-expected NFP print for September.
• Further pessimism in China is likely supporting gold, with retail investors losing faith again in domestic equities following the recent jump and pullback.
• The Yuan has also weakened through October, following a sharp rally between July and the end of September.
• Chinese buyers are likely looking for alternative sources of capital protection, with gold seemingly the chosen asset class.

Copper ( $9,460/t) slides amid base metal sell-off on further China stimulus disappointment despite rise in unwrought copper imports into China

• Base metals are a sea of red this morning, with zinc down 2.7%, nickel down 2.4% and copper down 1.4%.
• The move further updates from Beijing on proposed measures to prop up the construction sector, which has been hit by oversupply.
• Quarterly results so far have seen majors downgrade/guide to the lower end of production, despite BHP which has benefited from higher Escondida feed grades.
• Iron ore is being weighed by production beats from Vale and similar pessimism triggered by Beijing’s cautious approach to stimulus.
• Both BHP and Rio are struggling to produce the quality from their West Australian operations and are suffering price penalties as a result.

Unwrought copper imports into China rose 15% mom to 479,000t vs 420,000 in August

• Copper imports rose 2.5% to 4.09mt for the year to end-September
• Copper concentrate imports rose 8.9% to 2.44mt and 3.7% for the year-to-date to 21.06mt

Freeport’s new copper smelter in Indonesia which was opened in June has suffered a fire.

• The fire will almost certainly delay the ramp-up to full production due in December.
• The smelter was due to produce around 650ktpa of cathodes from 1.7mt of copper concentrate.
• In theory Freeport may not be allowed to export the idled concentrate supply due to Indonesian restrictions.

Tin and tantalum – Concentrate supply out of Rwanda disrupted by rollout of ‘Inkomane’ traceability system

• This added to heavy rains in Myanmar which have also interrupted mining and concentrate smuggling across the border into China are disrupting smelter activity in the region.
• Sooner or later this may start to squeeze smelter supplies and warehouse inventory.

Amazon to use mini-nuclear reactors for electric delivery vans

• Amazon has become the latest tech giant to embrace mini-nuclear reactors as the online retailer seeks to power a growing fleet of electric trucks and data centres.
• The company announced that is had led a £380m funding round in small modular reactor (SMR) technology being developed by US-based X-energy.
• Amazon believes the power generated from SMRs could be used to “meet the power needs for a growing global economy, and new needs like the electrification of the vehicle fleet and the power needs of artificial intelligence”.
• The logistics giant follow in the footsteps of Google, who recently acquired the first private mini-nuclear reactors, and Microsoft who have an agreement to restart a mothballed reactor in Pennsylvania.
• It has also agreed to support X-energy’s first project to build a 320MW SMR for a consortium of utility providers in Washington, along with more than five gigawatts of further schemes across the US by 2039 should that prove a success.
• Amazon have also said it has struck an agreement with Dominion Energy to look at building a 300MW SMR in Virginia.

This is Why Gold is Rising and It Will Probably Continue:

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

Economics

US – NY Empire State manufacturing index falls to -11.9 in October vs 11.5 in September

China – Housing ministry briefing fails to offer tangible support leading the equity market to fall

• The housing minister held a briefing along with officials from the central bank, Ministry of Finance and National Financial Regulatory Administration this morning (SCMP)
• Minister of Housing and Urban-Rural Development Ni Hong attended, along with officials from the People’s Bank of China, Ministry of Finance and the National Financial Regulatory Administration.
• Comments on the meeting indicate little substance and a degree of disappointment.
• Investors are looking for tangible support and for President Xi to reverse the decision to downsize loan sizes into the property sector.
• We suspect a portion of the $853bn debt swap package being arranged will find its way into supporting the completion of local property developments alongside support for new buyers.

ECB – The central bank is expected to announce a 25bp cut this afternoon taking the deposit facility rate to 3.25%.

EU – ZEW economic sentiment index 20.1 for October vs 9.3 in September

• Industrial production 1.8% in August vs -0.5% in July and 0.1% yoy in August vs -2.1% yoy in July

German – ZEW economic sentiment index 13.1 (3.6),

Currencies

US$1.0856/eur vs 1.0883/eur previous. Yen 149.75/$ vs 149.19/$. SAr 17.723/$ vs 17.587/$. $1.299/gbp vs $1.300/gbp. 0.668/aud vs 0.669/aud. CNY 7.126/$ vs 7.118/$

Dollar Index 103.64 vs 103.34 previous

Precious metals:         

Gold US$2,681/oz vs US$2,676/oz previous

Gold ETFs 83.7moz vs 83.5moz previous

Platinum US$1,001/oz vs US$1,002/oz previous

Palladium US$1,021/oz vs US$1,021/oz previous

Silver US$31.5/oz vs US$31.8/oz previous

Rhodium US$4,775/oz vs US$4,775/oz previous

Base metals:   

Copper US$9,469/t vs US$9,587/t previous

Aluminium US$2,550/t vs US$2,588/t previous

Nickel US$17,070/t vs US$17,325/t previous

Zinc US$3,007/t vs US$3,090/t previous

Lead US$2,073/t vs US$2,092/t previous

Tin US$31,755/t vs US$32,620/t previous

Energy:           

Oil US$74.0/bbl vs US$74.8/bbl previous

• Crude oil prices were flat as the API estimated a 1.6mb w/w draw to US crude oil inventories, versus market expectations for a 2.3mb build.
• European energy prices were stable as EU natural gas storage levels rose 0.4% w/w to 95% full (vs 91.9% 5-Yr average), with all countries over 91% full and aggregate storage now at 1,090TWh.
• US natural gas prices continue to trade lower on forecasts for warmer weather across the majority of the US weakening demand from power plants.
• Santos announced that the Moomba Carbon Capture and Storage (CCS) project has completed commissioning and is now online and storing CO2 in the Australian Cooper Basin depleted reservoirs at full rate, with capacity to reinject 1.7mtpa of carbon dioxide currently separated from natural gas at the Moomba gas processing plant.

Natural Gas €39.9/MWh vs €40.4/MWh previous

Uranium Futures $83.3/lb vs $83.0/lb previous

Bulk:   

Iron Ore 62% Fe Spot (cfr Tianjin) US$103.1/t vs US$105.8/t

Chinese steel rebar 25mm US$526.2/t vs US$525.9/t

HCC FOB Australia US$209.0/t vs US$211.0/t

Thermal coal swap Australia FOB US$146.8/t vs US$148.3/t

Other:  

Cobalt LME 3m US$24,300/t vs US$24,300/t

NdPr Rare Earth Oxide (China) US$59,991/t vs US$59,919/t

Lithium carbonate 99% (China) US$9,893/t vs US$9,905/t

China Spodumene Li2O 6%min CIF US$750/t vs US$750/t

Ferro-Manganese European Mn78% min US$985/t vs US$985/t

China Tungsten APT 88.5% FOB US$340/mtu vs US$340/mtu

China Graphite Flake -194 FOB US$445/t vs US$445/t

Europe Vanadium Pentoxide 98% 4.6/lb vs US$4.6/lb

Europe Ferro-Vanadium 80% 24.55/kg vs US$24.55/kg

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

China Rutile Concentrate 95% TiO2 US$1,298/t vs US$1,300/t

Spot CO2 Emissions EUA Price US$63.9/t vs US$63.9/t

Brazil Potash CFR Granular Spot US$277.5/t vs US$277.5/t

Germanium China 99.99% US$2,875.0/kg vs US$2,875.0/kg

China Gallium 99.99% US$455.0/kg vs US$455.0/kg

Battery News

GM enters JV with Lithium Americas with $625m investment

• Lithium Americas has announced that General Motors will contribute $625m to their new joint venture for developing the Thacker Pass project in Nevada.
• GM will acquire a 38% asset-level ownership stake in Thacker Pass for $625m, which includes $430m of direct cash funding to support the construction of Phase 1 and a $195m letter of credit facility.
• Earlier this year, the US Department of Energy planned to lend Lithium Americas up to $2.26bn to build the Thacker Pass lithium project, which holds enough of the battery metal to build 1 million EVs annually.

Stellantis sales down 20% as auto group struggles with electrification transition

• Global shipments by Stellantis brands in the three months to the end of September fell 279,000 to 1.14m compared with the same period in 2023.
• The decline in sales was seen most drastically in North America where shipments were down 36%, down 171,000 vehicles to 299,000.
• Stellantis has warned of a build-up of unsold vehicles in the United States where its brands include Jeep and Dodge.
• In Europe, Stellantis have been vocal around its belief that the forced transition to EVs is coming too fast for the company and that it faced a vicious circle of fines for not hitting zero-emission targets while facing the prospect of having to sell vehicles at a loss in an attempt to get toward the targets and reduce the fines.
• The company has also had to recently issue a recall on 50,000 hybrid SUVs globally over a brake pedal defect.

Company News

American West Metals (AW1 AU) A$0.1, Mkt Cap A$48m – Storm Project drilling results

• The Company released drilling results from the ongoing programme at the Storm Project on Somerset Island, Nunavut.
• Selected results from the Chinnok deposit included
  • Drill hole SR24-068 (infill) 42.7m @ 3.1% Cu, 4g/t Ag from surface, including, 1.5m @ 7.1% Cu, 6g/t Ag from 25.9m;
  • Drill hole SR24-080 (infill) 35.1m @ 2.7% Cu, 5.8g/t Ag from 22.9m including 9.2m @ 7.3% Cu, 15.3g/t Ag from 27.4m and 3.1m @ 3.9% Cu, 5.5g/t Ag from 38.1m;
  • Drill hole SR24-081 (infill) 29m @ 2.6% Cu, 4.3g/t Ag from surface including 3.1m @ 11.1% Cu, 1.5g/t Ag from 1.5m downhole and 4.6m @ 4.8% Cu, 5.7g/t Ag from 21.6m
• The deposit remains open down dip and along strike.
• Selected results from the Cyclone deposit included:
  • Drill hole SR24-117 (infill) 16.8m @ 1% Cu, 4g/t Ag from 15.2m and 33.5m @ 1.5% Cu, 8.5g/t Ag from 35.1m including 3.1m @ 6.9% Cu, 23g/t Ag from 54.9m.
• Assays from remaining Cyclone holes are xpected in the next 2-4 weeks.
• Drilling was designed both to upgrade and expand the resource at the Storm Project.
• Maiden Storm MRE was released January 2024 estimating 17.5mt at 1.17% Cu in total resource including 4.9mt at 1.26% Cu in the Indicated category.
• Chinook MRE is all inferred with 2.2mt at 1.47% Cu.
• Cyclone MRE includes 4.9mt at 1.26% Cu in Indicated and 7.2mt at 1.20% Cu in Inferred.

Aterian plc* (ATN LN) 47.5p, Mkt Cap £5.7m – Exploration license granted for Musasa lithium, tin, tantalum exploration license in jv with Rio Tinto in Rwanda

(Rio Tinto jv has the option to invest US$7.5m in two stages to earn up to 75% in the HCK lithium and tantalum hard rock prospect in Rwanda)

(Rwanda: Aterian holds an effective 100% stake in the Musasa Mining Licenses plus a 70% interest in Kinunga Mining Limited which holds the HCK licence alongside HCK Mining Company Limited which has a 30% interest.)

(Botswana: Aterian also holds a 90% in Atlantis Metals which holds its licenses in Botswana). (Morocco: Aterian holds 100% on all licenses held in Morocco)

• Aterian report the granting of the Musasa Exploration Licence within Musasa Mining Limited.
• The company currently hold 85% of the Musasa license and have agreed to acquire the remaining 15% from the Kuaka Cooperative in exchange for past consideration provided by the Company, including the provision of water reticulation assets to Kuaka’s small-scale processing facility.
• Aterian are working closely with Rio Tinto on the HCK-1 project lithium, tantalum and tin project in Rwanda where drilling will determine the grade, quality, type and purity of any spodumene-bearing lithium mineralisation.
• Rio Tinto Minerals Development Limited have a partnership agreement with The government of Rwanda to collaborate in mineral exploration activities and potential mineral development and mining operations for lithium, tin, tantalum, tungsten and associated metal deposits in Rwanda.
• Eastinco Limited, a 100% owned subsidiary of Aterian which holds a Rwandan mineral trading licence, has temporarily suspended all secondary trading activity at its operations in Kigali.
• The suspension is due to significant issues with the ongoing rollout of the new ‘Inkomane’ online mineral traceability platform.
• The Inkomane platform is managed and operated by a third party, and is designed for managing mine workers, taxation, traceability, and inspections in the mining sector.
• The slow rollout of the system has restricted trading activity across the market in Rwanda where participants registered on the new system are able to apply for mineral tags required for trading and mineral exports.
• Eastinco was asked in July by the Rwanda Government to negotiate terms for a much larger mineral exploration licence for the Musasa project area in Rwanda.
• Aterian currently have three projects in Rwanda:
  • HCK – 70% interest held by Eastinco, 30% held by 3^rd party HCK Mining.
  • Dynasty – 50% interest held by Eastinco and 50% held by Dynasty Construction
  • Musasa – 85% interest held by Eastinco and 15% held by Kuaka Cooperative
• Rio Tinto have the option to invest US$7.5m in two stages to earn up to a 75% interest in the licence.
  • Stage 1 exploration expenditures of US$3m over two years to earn a 51% interest in the Licence.
  • Stage 2 exploration expenditures of US$4.5m for the following three years to earn a further 24% interest in the licence.
  • Rio Tinto are also contributing cash of US$300,000 over Stage 1 and Stage 2.
• Rio Tinto Exploration have an option to include any of the three into their joint venture exploration programme with Aterian.

Conclusion:  The consolidation of the Musasa license is good news for Aterian. Slow of trading within Eastinco Limited will hopefully not last long.

*SP Angel acts as Broker to Aterian Plc

BHP Ltd (BHP LN) 2,181p, Mkt cap £110bn – Quarterly operational update as CEO’s trip to South Africa raises Anglo bid speculation

• BHP produced 64.6mt of iron ore, down 7% qoq but up 2% yoy.
• Iron ore guidance retained at 255-265.5mt.
• Realised pricing over the quarter fell to $80/t, significantly lower than benchmarks, suggesting grade and quality from the Pilbara is suffering, similar to Rio’s report yesterday.
• Negotiations with Brazilian State and Federal Governments continue in Brazil over settlement obligations, with negotiations ongoing.
• WAIO unit costs guided at $18-19.5/t.
• Copper production fell 6% qoq but rose 4% yoy to 476.3kt.
• Copper guidance unchanged at 1,845-2,025kt for FY25.
• Escondida production strong on higher feed grades of 1% and as higher-grade ore mined. 2025 feed grade expected over 0.9%. Unit costs guided at $1.3-1.6/lb.
• Spence production fell as expected on maintenance, whilst south Australian production up on Crusher 2 commissioning and higher throughput.
• Company entered an agreement with Lundin Mining for Filo Corp, which they ‘consider to be one of the most significant global copper discoveries in decades.’
• Coal production fell 8% qoq and 19% yoy to 4.5mt, with FY25 guidance unchanged at 16.5-19mt.
• Company notes ‘signs of stabilization in our steelmaking coal business’, with qoq production up 20% when factoring in Blackwater and Daunia divestments.
• Nickel production down 15% qoq and 3% qoq to 19.6kt.
• Jansen potash project now 58% complete.
• Exploration expenditure at $104m for the quarter.

Conclusion: BHP sees steady production from their iron ore and copper operations, with Escondida benefiting from higher feed grades. Iron ore pricing realization is being penalized by presumed lower quality, mirroring what Rio Tinto reported yesterday. BHP expects copper demand to grow 70% by 2050, hitting 50mt. Growth projects visible in Jensen, now 58% complete, and the acquisition of Filo Corp in Argentina alongside Lundin Mining. In terms of further inorganic growth, we note speculation that BHP is angling for another run at Anglo American, with CEO Mike Henry reportedly in South Africa, meeting government officials.

Capital Limited (CAPD LN) 83p, Mkt cap £163m – Q3 sales rise but concluding contracts make rigs available in Egypt and Gabon

• Capital Drilling report a substantial 17.6% yoy and 5% qoq rise in revenue in Q3 to $93.7m.
• Mining sales also rose to $19.3m from $18.0 a year earlier
• MSALABS sales held steady at $10.5 though this was 4.5% lower than the $11m seen in Q2.
• The drill fleet of 126 rigs in Q3 compares with 127 rigs in Q2.
• Fleet utilisation rose to 76% from 72% in Q2.
• Average utilised rigs also rose to 96 from 91 in Q2
• The average revenue per rig rose to $210,000 for the quarter vs $207,000 in Q2 and $179,000 a year earlier.
• Egypt: Finalisation of a waste mining contract means surplus rigs are now available in the Sukari area.
• Unfortunately, we suspect the current mineral licensing regime in Egypt is not conducive for new entrants and the rigs will either remain unused or move out of Egypt
• Gabon: Fortescue Mining have moved to “focus more on resource definition and project feasibility and less on early mining works.“ and have given notice to conclude Capital Drilling’s contract early.
• Drilling will continue on resource definition at Belinga but new rigs in transit will be diverted elsewhere.
• MSALABS (MSA Labs): Delays to the ramp up of the new lab in Nevada are now done.
• It will be interesting to see how well the new  PhotonAssay^TM testing is taken up.
• Investments: The group sold its entire stake in Predictive Discovery to Perseus for $31.2m.
  • “The agreement with Perseus also included a call option and profit share arrangement in the event of a takeover or subsequent sale by Perseus”
• The team invested ~$0.9 m in Sanu Gold Corp alongside AngloGold Ashanti a ~10% stake.
• Capital has been awarded an air core drilling contract across Sanu Gold’s Daina and Diguifara properties in Guinea.
• The total value of investments now stands at $30.9m at end-September down from $47.8m at end-June.
  • “Along with the proceeds from the disposal of our shareholding in Predictive Discovery, the portfolio recorded investment gains (realised and unrealised) of $15.0m in Q3 2024.”
• Key holdings are: WIA Gold, Leo Lithium, Asara Resources and Sanu Gold.
• Guidance: revenue guidance remains at $355-$375m;
• CAPEX: guidance remains $70-$80m;
• Outlook is for revenue growth from driven by the ramp-up of operations, particularly at Nevada Gold Mines.
• The ending of drilling contracts in Egypt and Gabon will have some impact.
• Guidance for sales from MSALABS is cut to ~$45m due to delays in the ramp up of the significant contract with Nevada Gold Mines.

Conclusion:  Capital Drilling makes much of its sales from large-scale drilling contracts for larger producing companies. We expect this activity to remain strong driven by higher gold prices. Subdued iron ore, base metals and a relatively weak fund raising environment for junior mining companies is limiting expenditure on smaller sites though we are told “tendering activity remains robust across the Group”. Inflation must remain a concern though lower fuel prices should help to reduce the cost of operating rigs in the field.

Centamin* (CEY LN) 160p, Mkt Cap £1.85bn – Quarterly update shows sustained cash build as AngloGold acquisition looms

• Centamin reports 3Q24 production results.
• Company produced 132koz Au, up 30% yoy and 10% qoq, with ytd production now sitting at 356koz.
• Open pit material mined at 30mt, with ore mined at 5.9mt at 0.83g/t Au.
• Underground mining stood at 254kt over the quarter, at grades of 3.86g/t.
• Ore processed up 8% yoy to 3mt, with average feed grade at 1.43g.t Au, up 14% yoy and 20% qoq.
• Gold recovery reported at 89.1%, up 1% yoy and 2% qoq.
• Average realised gold price for the quarter at $2,459/oz, up 28% yoy and 5% qoq.
• AISC reported at $1,256/oz, down 1% qoq and yoy, whilst cash costs reported at $766/oz, down 13% yoy and qoq respectively.
• CAPEX over the period reported at $70m.
• Adjusted free cash flow at $103m, vs $12.4m same period last year and $32.4m prior quarter.
• Production guidance retained at 470-500koz.
• Cash costs guided to upper end of $700-850/oz range on waste being reclassified as ore, reallocating stripping costs from sustaining CAPEX to cash costs.
• AISC guided unchanged at $1,200-1,350/oz.
• CAPEX guidance unchanged at $215m.
• Doropo FID expected 1H25.

*A member of the SP Angel research team holds an interest in Centamin shares

Oriole Resources* (ORR LN) 0.35p, Mkt cap £14m – Corporate Restructuring boosts stakes in flagship assets

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• Oriole have executed a corporate restructuring to increase their beneficial interests in their Mbe and Bibemi gold projects in Cameroon.
• Oriole has signed non-binding HoTs with their local partners to buy their existing equity positions in the Bibemi and Mbe licences for $39k and $100k respectively.
• One completion of the transactions, Oriole’s beneficial interest in the Bibemi and Mbe licences will increase to 90%.
• The local partners’ interests will move to NSR royalties, alongside receiving 5% of any further BCM milestone payments as outlined in the January agreements.
• This will see Oriole as an equal partner to BCM upon completion of the full funding in line with the earn-in agreements, with both parties holding 50% interests.
• Oriole’s current interest in Bibemi and Mbe stands at 82.25 and 80% respectively.

*SP Angel acts as Broker to Oriole Resources

Orosur Mining* (OMI LN) 2.9p, Mkt Cap £6.2m – Approval for Anzá transaction

(Anzá 100% indirect ownership proposed)

• Orosur Mining reports that it has received approval for its reacquisition of Anzá from the TSX.V.
• Management will now progress to technical completion of the Transaction, before beginning field activities.
• Anzá is a gold exploration project previously held in JV between Newmont/Agnico Eagle.

*SP Angel acts as Nomad and Broker to Orosur Mining

Premier African Minerals (PREM LN) 0.05p, Mkt Cap £19m – Zulu flotation plant update

• The company released an update on performance of the Zulu Lithium Mine flotation plant.
• A review of reasons behind inconsistent grade and recovery at the spodumene flotation plant showed that issues are related to inadequate reagent dosing of reagents and excessive residence time of the feed in the cleaning circuit.
• Adjustments to the reagent dosing should improve recoveries while a reduction in the residence time should minimise the flotation of gangue minerals.
• The team is planning to order new parts for the cleaning stage to reduce residence times.
• New parts are expected to cost less than $50k with fabrication to take ~6 weeks.
• The Company highlighted the alternative option offered by a Chinese EPCM firm to provide new flotation facility remains.
• The team warned that results of proposed improvements will be only be known once the Zulu plan is fully commissioned and brought into commercial production.
• Timing on the latter remains uncertain.

Savannah Resources* (SAV LN) 4p, Mkt Cp £87m – Major local shareholder ups his stake

BUY – 18.1p

• Mario Ferreira increased his interest in the Company to 9.1%, up from 8.6%.
• Ferreira acquired 9m shares taking total holding to ~197m.

*SP Angel acts as Nomad and Broker to Savannah Resources

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                                                            

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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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MiFID II – Based on our analysis we have concluded that this note may be received free of charge by any person subject to the new MiFID II rules on research unbundling pursuant to the exemptions within Article 12(3) of the MiFID II Delegated Directive and FCA COBS Rule 2.3A.19.

A full analysis is available on our website here http://www.spangel.co.uk/legal-and-regulatory-notices.html. If you have any queries, feel free to contact our Compliance Officer, Tim Jenkins (tim.jenkins@spangel.co.uk).

SPA research ratings – Based on a time horizon of 12 months: Buy = Expected return of more than 15%, Hold = Expected return between -15% and +15%, Sell = Expected return