SP Angel Morning View -Today’s Market View, Thursday 4th September 2025

Gold hits new peak in US trading as JOLT data pushes Treasury yields lower

MiFID II exempt information – see disclaimer below

Anglo American (AAL LN) – US$2.5bn disposal of residual interest in Valterra Platinum

Aris Mining (ARIS CN) – Soto Norte PFS

Desoto Resources* (DES AU) – 10,000m RC drilling programme kicks off in Guinea

Blencowe Resources (BRES LN) – Progress on the Orom Cross graphite project, Uganda

Empire Metals* (EEE LN) –  Interim results following period of derisking at Pitfield

Gem Diamonds (GEMD LN) – Letšeng mine life reduced in response to weakness in rough diamond markets

Kodal Minerals* (KOD LN) – Government grants export permit for spodumene concentrate from Bougoini project in Southern Mali

Many Peaks Minerals (MPK AU) – Drilling programme expanded at Ferké

Metals Exploration (MTL LN) – Robust gold prices help deliver record H1 free cash

Metals One (MET1 LN) – Potential treatment of uranium mine waste in Colorado

Mkango Resources* (MKA LN) – BUY– Commissioning of a study tripling magnet manufacturing capacity at HyProMag USA

Power Metal Resources* (POW LN) – Investment into blockchain-based mine finance platform

Savannah Resources* (SAV LN) – BUY, 16.7p – Barroso project update

Standard Lithium (SLI US) – Smackover Lithium announces SWA Project DFS

Teck Resources (TECK US) – Review sees increased focus on fixing QB sand drainage issues

Tungsten West (TUN LN) – Annual results confirm Hemerdon restart in late 2026

Zijin Gold International, a spin off from the larger Zijin Mining Group, may attract US$3bn in its IPO

Gold hits new peak of $3,579/t in US trading as JOLT data pushes Treasury yields lower

• Gold prices peaked yesterday at $3,579/oz in the spot market, breaking through April’s record highs.
• The move followed a meeting between BRIC countries which noted plans for an alternative financial system less reliant on the dollar.
• This coincided with news that India’s central bank has further bolstered gold reserves whilst reducing US Treasury exposure.
• Alongside this, concerns persist over Fed independence as Trump continues to pressure Fed governor Lisa Cook to resign.
• Elsewhere, concerns over fiscal profligacy had pushed long-dated yields to recent highs, coinciding with resurfacing concerns over sticky inflation.
• Yesterday saw US job opening data coming in below expectations, with focus now shifting to today’s ADP data and tomorrow’s NFP data.
• Rate cut expectations are increasing in the US, with a 25bp cut in September currently priced in.
• Any further weakness in US NFPs, currently forecast at 75k additions, is likely to push yields lower.
• The World Gold Council is also floating the idea of digital gold alongside its Q2/25 Gold Demands Trend report this week.

Copper ($9,915/t) holds higher ground as China imports hit one-year low

• Copper prices have held steady following the summer’s tariff-fuelled volatility.
• The spread between COMEX and LME has narrowed after Trump U-turned on tariffing copper concentrate imports to the US.
• Meanwhile, Reuters reports China’s net imports of refined copper fell to one-year lows in July.
• This is likely a reflection of increased competition with traders looking to ship metal into the US, to take advantage of the cross-Atlantic arbitrage.
• China data showed a significant jump in exported metal in the first half of this year as traders moved cathode onto US exchanges.
• The DRC is ramping up exports to China, supplying 820kt between January and July.
• Chinese imports of Russian copper have climbed 123%yoy.
• China’s imports of Zambian copper doubled ypy to 95kt.
• China imports at 2.2mt Cu were steady yoy.
• Scrap imports fell 1%yoy as US supply waned on reciprocal tariff introduction.

• Chinese equities (CSI 300) fell 3% this morning following hints from Chinese regulators at new measures to cool the market.
• US equity futures rose following weaker US jobs opening raising the potential for a rate cut from the Fed in September.

IGTV – The Future of Mining: Gold, Copper, Rare Earths & M&A:  https://youtu.be/-G59iOq6x2c?si=z4fVkyHNP9isbOTB

The News Forum – The Buck Stops Here: https://www.thenewsforum.ca/series/thebuckstopshere

Economics

US – Fed’s Beige Book shows ‘little or no change’ to economic growth over the past quarter.

• Consumer spending was ‘flat to declining’ with wages struggling to keep pace.
• Uncertainty caused by the wait for Tariff announcements caused many manufacturers and service companies to hold back on growth plans in the US.

• Many Districts see US import tariffs as a key driver for costs and therefore prices.
• The Minneapolis Fed President reckons a neutral Fed rate of ~3% still leaves room for further cuts over the next couple of years.
• Atlanta Fed President sees ‘price stability’ as the primary concern but also sees labor market slowing to allow easing of 25bp this year.
• Traders are now pricing in a 98% probability of a 25bp cut at the next FOMC meeting.
• US manufacturing may increasingly produce goods that were made in China but at higher costs partly due to the higher US cost base and partly because US companies tend to look for the maximum price the market can take.
• Historically, Chinese companies looked to produce a maximum number of goods at the lowest possible price to encourage strong sales growth and generate jobs.
• China appears to be changing its strategy of maximum local competition to become the lowest cost producers in the world to one of less competition, greater margins and higher output prices.

Eurozone – Producer Price Index rose 0.4% mom in July as energy prices rise

• Energy costs rose 1.5% mom in July
• PPI for intermediate goods fell -0.2%.
• Capital goods rose 0.1%
• Durable consumer goods rose 0.2%
• Non-durable consumer goods remained stable.
• Eastern European states saw the greatest price rises

Switzerland – August CPI falls -0.1% to 0.2% as Trump imposes 39% tariffs on imports from Switzerland

• Core CPI also fell 0.1% to 0.7% yoy in August .
• Domestic price growth slipped to 0.6% yoy in August from 0.7% yoy
• Imported prices also fell -1.3% yoy,vs -1.4% yoy in July.
• The market is not looking for the SNB return to negative interest rates just yet.
• Trump’s tariffs could kill off around $6.5bn of Swiss mechanical and electrical engineering exports into the US according to Swissmem (Reuters).
• We believe US tariffs are aimed more at the Swiss Pharmaceutical industry than luxury watches and other items but the US has also been unhappy with Swiss banking activities for many years.

Currencies

US$1.1656/eur vs 1.1627/eur previous. Yen 148.27/$ vs 148.82/$. SAr 17.717/$ vs 17.733/$. $1.343/gbp vs $1.336/gbp. 0.653/aud vs         0.652/aud. CNY 7.141/$ vs 7.147/$.

Dollar Index 98.27 vs 98.52 previous.

Precious metals:         

Gold US$3,540/oz vs US$3,534/oz previous

Gold ETFs 93.7moz vs 93.9moz previous

Platinum US$1,408/oz vs US$1,393/oz previous

Palladium US$1,142/oz vs US$1,136/oz previous

Silver US$40.9/oz vs US$40.8/oz previous

Rhodium US$7,300/oz vs US$7,325/oz previous

Base metals:   

Copper US$9,907/t vs US$10,006/t previous

Aluminium US$2,591/t vs US$2,614/t previous

Nickel US$15,180/t vs US$15,345/t previous

Zinc US$2,838/t vs US$2,883/t previous

Lead US$1,993/t vs US$2,003/t previous

Tin US$34,320/t vs US$34,900/t previous

Energy:           

Oil US$66.9/bbl vs US$68.8/bbl previous

• Crude oil prices fell on market speculation for OPEC+ supply additions and as the API estimated an unexpected w/w build of 0.6mb to crude (-3.4mb exp), as well as a 4.6mb draw to gasoline and 3.7mb build to distillate stocks.
• European energy prices also edged lower as EU natural gas storage levels increased 1.9% w/w to 78.3% full (vs 85.2% 5-Yr average) with aggregate inventory at 890TWh and all countries’ inventories now above 65% full.
• Media reports that ConocoPhillips announced plans to cut 20-25% of its workforce as part of a broad restructuring, with the majority of the employee and contractor reductions to occur this year. The Company had forecast a target of $500m in cost and capital savings in the first 12 months following the $17bn takeover of Marathon Oil last November.

Henry Hub Gas US$3.10/mmBtu vs US$2.99/mmBtu yesterday

Natural Gas €31.9/MWh vs €31.9/MWh previous

Uranium Futures $76.4/lb vs $76.2/lb previous

Bulk:   

Iron Ore 62% Fe Spot (cfr Dalian) US$115.1/t vs US$113.8/t

Chinese steel rebar 25mm US$457.0/t vs US$478.9/t

HCC FOB Australia US$185.0/t vs US$185.4/t

Thermal coal swap Australia FOB US$109.0/t vs US$109.8/t

Other:  

Cobalt LME 3m US$33,335/t vs US$33,335/t

NdPr Rare Earth Oxide (China) US$84,022/t vs US$84,088/t

Lithium carbonate 99% (China) US$10,223/t vs US$10,214/t

China Spodumene Li2O 6%min CIF US$860/t vs US$880/t

Ferro-Manganese European Mn78% min US$1,015/t vs US$1,015/t

China Tungsten APT 88.5% FOB US$528/mtu vs US$513/mtu

China Graphite Flake -194 FOB US$410/t vs US$410/t

Europe Vanadium Pentoxide 98% US$5.4/lb vs US$5.4/lb

Europe Ferro-Vanadium 80% US$23.7/kg vs US$23.7/kg

China Ilmenite Concentrate TiO2 US$270/t vs US$269/t

China Rutile Concentrate 95% TiO2 US$1,099/t vs US$1,098/t

Spot CO2 Emissions EUA Price US$65.1/t vs US$65.1/t

Brazil Potash CFR Granular Spot US$350.0/t vs US$350.0/t

Germanium China 99.99% US$3,075.0/kg vs US$3,075.0/kg

China Gallium 99.99% US$395.0/kg vs US$395.0/kg

EV & battery news

Toyota to build first European-made EV at Czech plant

• Toyota is set to build its first fully electric car at its plant in the Czech Republic.
• The Japanese automaker is expected to invest €680m to expand the facility to build the EV.
• The investment includes a government subsidy of up to €64m earmarked for a battery assembly facility.
• The expansion will create 245 new jobs at the plant, which currently manufactures the Aygo X and Yaris Hybrid with annual capacity around 220,000 vehicles.
• No details were disclosed about the specific EV model or when production will start.
• The move aligns with plans to launch nine fully-electric Toyota and Lexus models in Europe in 2025 and 2026.

BYD cuts 2025 sales target amid slowing growth

• BYD has reduced its 2025 sales target by around 16%, lowering it to 4.6m vehicles from the previous 5.5m goal.
• In the first eight months of the year, the company had achieved only 52% of its original target and despite sales ramping up towards the end of the year
• Production in August dropped 3.8% yoy to 353,090 units, marking the first consecutive monthly decline since 2020.
• Domestic sales have fallen for four straight months, down 14.3% in August.
• The company also recorded its first quarterly profit decline in over three years, with a 30% drop amplifying investor concerns.

Company news

Anglo American (AAL LN) 2,288p, Mkt Cap £27bn – US$2.5bn disposal of residual interest in Valterra Platinum

• Anglo American reports the sale of the Group’s residual 19.9% interest in the former Anglo American Platinum now known as Valterra Platinum, which demerged from Anglo American at the end of May.
• The disposal, via an accelerated bookbuild, raised proceeds of ~US$2.5bn and completes the demerger which saw the disposal of 51% of Valterra in May.

Aris Mining (ARIS CN) C$12.6, Mkt Cap C$2.5bn – Soto Norte PFS

• Colombian-focused gold miner Aris reports PFS results from Soto Norte, where they hold a 51% interest.
• The study envisages a 3,500tpd plant (750tpd dedicated to community miners) for a 22 year LOM.
• Reserves of 20.3mt at 7g/t Au for 4.6moz.
• Average annual gold production over LOM envisaged at 203koz.
• CAPEX estimated at $625m.
• AT NPV5 of $2.7bn ($2,600/oz Au) for IRR of 35% and $3.6bn at $3,200/oz for 42% IRR.
• LOM AISC of $534/oz Au.
• The mine will produce a concentrate that will be exported for international refining.
• Ore transported to plant via rope conveyor to reduce traffic, dust and spillage.

Desoto Resources* (DES AU) A$0.21, Mkt Cap A$36m – 10,000m RC drilling programme kicks off in Guinea

• Guinean gold explorer Desoto report exploration results and the start of a 10,000m RC drilling programme.
• At Dadjan, Desoto has completed two trenches 250m apart to boost understanding of the 3km gold mineralised zone.
• Channel sample highlights include:
  • 6m at 1.17 g/t Au (including 2 m at 2.1 g/t Au)
  • 2m at 1.82 g/t Au (including 1m at 3.24 g/t Au)
  • 2m at 3.95 g/t Au
  • 4m at 0.76 g/t Au (including 2m at 1.2 g/t Au)
• Rock chip sample highlights include 18.4g/t Au, 3.4g/t Au and 1.8g/t Au.
• The Company will begin RC drilling at Dadjan in mid-September.
• At Tole, spot rock chip sampling from artisanal workings returned highlights of: 5.56 g/t Au and 2.34 g/t Au.
• Three trenches have now been completed and assay results are pending.
• At Timabakouna, a 5,000m RC drilling programme will begin upon completion of the programmes at Dadjan and Tole.
• An infill soil sampling programme is underway at the Project, where previous drilling includes:
  • 18m @ 11.8 g/t Au from 48m incl. 1m @ 78.84 g/t Au from 50m and 3m @ 40.4 g/t Au from 62m
  • 4m @ 10.6 g/t Au
  • 1m @ 54.1 g/t Au from 5m

*An SP Angel analyst holds shares in Desoto Resources

Blencowe Resources (BRES LN) 4.5p, Mkt Cap £15m – Progress on the Orom Cross graphite project, Uganda

• Blencowe Resources, which is working on a Definitive Feasibility Study (DFS) for the Orom Cross graphite project in Uganda, reports the appointment of a South African based “corporate advisory firm with deep expertise in structuring project finance solutions for African mining developments”, WaterBorne Capital, to assist.
• Today’s announcement confirms the previously announced potential interest of a range of “funding partners, including” the:
  • “US International Development Finance Corporation (“DFC”) – provider of a US$5.0 million technical assistance grant for the DFS and retaining first right of refusal to participate in full project financing” ; and
  • The “African Finance Corporation (“AFC”) –… [which ]… signed a Letter of Intent in 2025 expressing interest in both and debt and equity participation to deliver Orom-Cross into production”; and
  • “African commercial banks – with strong experience in mining finance, now in discussions as part of the wider project funding strategy” as well as;
  • “UK Government-linked institutions – with potential support under critical minerals frameworks”
• “where WaterBorne Capital’s expertise will be valuable in structuring solutions”.
• Executive Chairman, Cameron Pearce, described the appointment as “a critical step for Orom-Cross … [and explained that] … WaterBorne Capital brings both the technical expertise and the network across Africa … [to deliver the] … due diligence and financial modelling process required by international lenders”.
• Brett Levick of Waterborne Capital said that “From a financing perspective, Orom-Cross offers a uniquely attractive profile for debt providers: low upfront capex, substantial existing infrastructure that reduces execution risk, national grid hydropower for reliable low-cost energy, and a long-life resource of premium graphite that supports strong cashflows”.

Conclusion: The appointment of a specialist finance advisor parallels the continuing work to update the mineral resource estimate and advance the project DFS at Orom Cross.

Empire Metals* (EEE LN) 80p, Mkt Cap £552m –  Interim results following period of derisking at Pitfield

1. Empire Metals, developer of the Pitfield titanium project in Western Australia, reports interim results to 30^th June 2025.
2. The Company has made good progress in derisking Pitfield, with metallurgical testwork suggesting a 99.25% TiO2 product is feasible.
3. Empire is targeting the delivery of a maiden MRE in the coming weeks, having highlighted lab-scale flowsheet results suggesting recoveries of 65-75%.
4. The maiden MRE is expected to trigger project evaluation, alongside pilot testing as the Company begins engagement with end-users for product certification.
5. Empire is also exploring the opportunity to tap into the titanium sponge market via Pitfield’s high-grade product potential.
6. Management highlights China controls c.70% of global titanium sponge supply, whilst the US imports 95% of their total demand.
7. Empire raised £4.5m in May 2025 and reports a cash position of £6.3m as of 30^th June.
8. Administrative expenses over the six month period reported at £1.65m.

*SP Angel acts as nomad and broker to Empire Metals

Gem Diamonds (GEMD LN) 4.39p, Mkt Cap £9.4m – Letšeng mine life reduced in response to weakness in rough diamond markets

• Gem Diamonds’ results for the six months to 30^th June 2025 show an attributable loss of US$11.7m after an impairment charge of US$10.7m on goodwill on the carrying value of its Letšeng mine in Lesotho (H1 2024 – attributable profit US$2.1m).
• EBITDA for H1 2025 is reported at US$2.6m (H1 2024 – US$19.1m) on revenue of US$45.4m (H1 2024 – US$78.0m).
• The company explains that the impairment charge arises from a review of the “recoverable amount of Letšeng … [in] … prevailing market conditions, current diamond prices and exchange rates”.
• The financial results reflect the production of 44,360 carats of diamonds from the Letšeng mine in Lesotho during the six months to 30^th June 2025 (H1 2024 – 55,873 carats).
• As previously announced, the mine is responding to the pressures of the international rough-diamond market “compounded by a weak US dollar and ongoing US tariff uncertainties” by a short-term reduction of waste mining and mining additional high value ore from the Satellite Pipe ore along with workforce rationalisation involving scaling back numbers by around 20% and a reduction in corporate costs.
• In the longer term, reductions in the volume of waste removal is expected to shorten the mine life “from 2039 to 2035 … [although annual] … throughput of approximately 5.0 million ore tonnes has been maintained”.
• CEO, Clifford Elphick, confirmed that the “industry continues to face significant challenges. Sustained pricing pressure, softer demand in key markets, ongoing macroeconomic and geopolitical uncertainty, and tariff uncertainties in respect of India, combine to create difficult trading conditions”.
• Mr. Elphick explained that “H1 2025 production targets were achieved, however, revenue decreased significantly. In response, key decisions to adapt the mine plan to reduce costs, necessitated the unfortunate retrenchment of 240 employees at Letšeng”.

Conclusion: Weak H1 financial results reflect challenging market conditions and prompt Gem Diamonds to introduce cost saving measures, including major reductions in workforce numbers, and amend its operating plan reducing the life of the Letšeng mine.

Kodal Minerals* (KOD LN) 0.40p, Mkt Cap £80m – Government grants export permit for spodumene concentrate from Bougoini project in Southern Mali

(Hainan Mining holds a 51% stake in KMUK which holds the Bougouni Lithium Project in Mali with Kodal holding 49%. Mali will hold 35% of the jv company with KMUK)

(Kodal Minerals Plc now, effectively, hold 49% of 65% of the Bougouni project with Mali holding 35% through LMLB and 65% of LMLB held by the Kodal jv with Hainan Mining within KMUK)

• Kodal Minerals reports the receipt of an export permit for spodumene concentrate from the Bougouni Lithium Project in Southern Mali.
  • “The export permit is approved for an initial 125,000t of spodumene concentrate subject to the continuation of final administrative steps for the export process “
  • “The letter was authorised by the Ministry of Mines and signed by the Minister of Mines, Professor Amadou Keita.“
• The permit letter specifies the following conditions:
  • Pricing is based on the SMM ‘Shanghai Metal Market’ reference price for spodumene. The government has the right to verify and correct prices.
  • “Granting of the transportation contract directly to Malian transport companies in accordance with the provisions of Law No. 2023-04 l of August 29, 2023, related to local content in the mining sector.”
  • “Payment of taxes, duties, and levies stipulated by the applicable regulations.”
• Kodal also confirms the Off-Take Agreement with Hainan utilises SMM reference pricing.
• Management also confirm the Bougouni project has signed a transport contract with a leading Malian transport company for the export of material from site to the port location in Côte d’Ivoire.

Conclusion: Its been a long time coming but Kodal can now start to export its substantial >45,000t stockpile of spodumene concentrate to port for shipment to China once the final administrative processes have been completed.

The mine can deliver some 10,000t per month of spodumene concentrate in line with the offtake agreement with Hainan

*SP Angel acts as financial advisor and broker to Kodal Minerals.

Many Peaks Minerals (MPK AU) A$0.92, Mkt Cap A$121m – Drilling programme expanded at Ferké

• Many Peaks reports drilling results from its Ferké Gold Project in Cote d’Ivoire.
• 11 diamond drill holes from extensional and infill drilling reported.
• Company notes additional down-dip extensions suggest ‘increasing gold grades with depth along a 65m to 92m true width-zone of gold mineralisation from surface to 300m.’
• Highlights include:
  • FNDC053: 17m at 2.7g/t Au from 142m
  • FNDC055: 103m at 1.24g/t Au from 103m
  • FNDC067: 85m at 3g/t Au from 296m
  • FNDC069: 37m at 1.9g/t Au from 418m
• Two rigs currently active on site with drilling now expanded to 18,500m from 6,000m.
• 55 holes over 16,500m now drilled, with 21 holes pending assays.
• 58 RC holes over 6,673m of reconnaissance RC drilling now pending analysis.

Metals Exploration (MTL LN) 12.75p, Mkt Cap £377m – Robust gold prices help deliver record H1 free cash

• Reporting interim results, Metals Exploration highlights record positive free cash flow of U$70.7m for the six months to 30^th June 2025 (H1 2024 – US$46.4m).
• EBITDA of US$72.3m (H1 2024 – US$47.2m) results from the production of 40,985oz of gold at the Runruno mine in the Philippines at a cash cost of US$839/oz and all-in-sustaining cost of US$1.189/oz (H1 2024 – 42,535oz at a cash cost of US$780/oz and AISC of US$1.066/oz).
• CEO, Darren Bowden, identified the “diligence and dedication” of the operating team and the “current favourable gold price environment” as important factors in achieving “record free cashflow and strong revenues from our operations at Runruno”.
• Despite the previously announced production disruption arising from cyanide contamination from illegal mining upstream of Runruno, the company confirms that “no amendment to the Company’s FY2025 production forecast is required, albeit the expectation is that the final outcome will be towards the lower end of the forecast range of 70,000 – 75,000 ounces”
• Today’s announcement confirms, however, that “Updated forecasts have confirmed that mining operations at Runruno will cease in Q4 2026”.
• Mr. Bowden confirmed that an induced polarisation (IP) geophysical survey is underway at the Dupax exploration licence around 20km from Runruno “in parallel with a 2,500 metre drill programme … [and that the]… ” discovery of an economic resource at Dupax could result in the extension of ore processing operations at Runruno”.
• Also in the Philippines, exploration drilling programmes “for three key initial target areas of the Abra project have been designed, and are expected to commence in Q1 2026”.
• Commenting on progress at the La India project in Nicaragua where initial gold production is expected “by Q4 2026”, Mr, Bowden said that although “La India was previously outlined as having a 2.2 million oz gold resource by Condor. The Board believes there is significant upside potential through a combination of an expansion of existing Mineral Resources and potential new discoveries”.
• He confirmed that Metals Exploration “has committed to a minimum 40,000 metre drill programme within the next five years to further explore the potential of the La India district”.
• “Under the terms of the Condor takeover, the Condor Contingent Value Right … holders will potentially receive further consideration should drilling on the Condor exploration tenements increase the gold resource base above 3.158 Moz within the five year period after the first drill was mobilised to the La India project site”.

Conclusion: Robust gold prices and production have helped deliver record free cash flow in H1 2025. Remedial measures to address cyanide contamination from illegal mining at Runruno leave 2025 production guidance is maintained towards the lower end of the published 70-75,000oz guidance range. Metal Exploration also identifies potential to expand the mineral resource base at La India in Nicaragua.

Metals One (MET1 LN) 3.95p, Mkt Cap £32m – Potential treatment of uranium mine waste in Colorado

• MetalsOne reports that its 75%-owned Standard Minerals, which owns the Radium Mountain and Wedding Bell uranium claims in Colorado, has agreed a Term Sheet with DISA Technologies “to evaluate and, if successful, treat historically abandoned uranium mine waste dumps and recover saleable uranium”.
• Today’s announcement explains that DISA’s patented High-Pressure Slurry Ablation (“HPSA”) system is applicable to treat “surface dumps of previously partially mined and aggregated material”.
• In addition, the process offers “significant improvements to the local environment and watersheds by removing on average 90% of the uranium and radium-226 content from the waste as evidenced by a treatability study DISA completed with the U.S. Environmental Protection Agency”.
• The Term Sheet allows Standard Metals “to be paid a Gross Revenue Share of saleable uranium and other critical mineral concentrates recovered from waste dumps at the Colorado Projects … [without incurring] … capex or opex” costs.
• Chairman, Craig Moulton, said that the agreement with DISA “creates a pathway for Metals One to potentially generate revenue from our U.S. uranium portfolio”.
• He described DISA as “global leaders in materials upgrading, and … [said that] … their patented HPSA process is a breakthrough, non-chemical technology … to remediate abandoned uranium mine waste”.

Conclusion: Subject to successful testing and the execution of a binding agreement, MetalsOne has identified a potential route to commercialise historic uranium mine waste and deliver environmental rehabilitation on its Colorado projects.

Mkango Resources* (MKA LN) 40p, Mkt Cap £124m – Commissioning of a study tripling magnet manufacturing capacity at HyProMag USA

BUY

• A concept study has been commissioned for a potential HyProMag USA expansion in rare earth permanent magnet recycling facilities in Reno, Nevada and Williston, South Carolina.
• The study to be carried by US-based PegasusTSI and Canada-based BBA USA.
• Study will assess design, capex (AACE Class V), infrastructure, environmental aspects, logistics, and additional HPMS processing capacity to support up to four new magnet production lines.
• The project will incorporate advanced design of the HyProMag USA facility located in Fort Worth, Texas.
• Expansions to be planned to run in parallel with the phased ramp up of the Fort Worth HPMS facilities.

Conclusion: HyProMag USA (CoTec/Maginito JV, MKA 40% effective interest) is studying further capacity growth options beyond Texas leveraging off modular expansion design of HPMS facilities. The Concept Study is well timed with strong rare earth price momentum and US government support. Once the project runs commercially at capacity delivering magnet material to customers at the required specification, we would expect an acceleration in staged expansions of the process in the US as well as Europe and Asia. At that point, we would not be surprised to see recycling business attracting interest from other industry participants.

*SP Angel acts as nomad and broker to Mkango Resources

Power Metal Resources* (POW LN) 18p, Mkt cap £20m – Investment into blockchain-based mine finance platform

• Power Metal Resources, the exploration project incubator, has made a significant investment.
• POW has agreed to acquire 49% of Kingia, a Dubai-incorporated company, for £3m.
• The acquisition will take the form of £1m in cash for 35%, with an option to boost this to 49% for a further £2m.
• Kingia, to be renamed Minestarters, intends to establish an ‘institutional-grade, blockchain-enabled Decentralised Finance Tokenisation Platform’ for mine venture financing.
• The process:
  • Investors buy Minestarters tokens
  • The funds are placed in a secure treasury
  • Treasury funds exploration and development projects
  • Successful projects return capital via royalties, equity, streams, debt instruments etc
• 120m of fixed supply will be issued, with 90m sold and 30m retained by Minestarters.
• POW suggests 10 early-stage mining projects will be targeted initially.
• The platform will offer regulated and compliant investment opportunities in the exploration and development space.
• The blockchain-enabled platform will march ‘vetted projects with global capital.’
• The targeted audience will be be a blend of institutions and retail investors.
• Minestarters is headed by Marcel Nally, a geologist and co-founder of Moxico Resources, and Ian Freeman, who brings experience in technology ventures and regulatory environments.
• Minestarters will also explore tokenised royalties, streaming rights, off-take partnerships and convertible instruments to provide to investors.
• For more information, follow the LINK

Conclusion: Power Metals is cashed up following the sale of its remaining holding in GMET for £13.6m in cash. As a result, management is seeking opportunities for capital allocation to support growth ambitions. The investment in Minestarters provides Power Metal shareholders with exposure to the rapidly growing US$25bn real-world-asset tokenisation market within the wider mine finance sector in which POW’s management specialises. The platform is expected to open previously untapped pools of capital through which to fund early-stage exploration and development opportunities. The opportunity to tokenise financial instruments including royalties and streaming agreements also provides an interesting angle for future development, given their growing role in mine financing. Minestarters has a targeted goal of gaining a 15% share of the $100bn global mining finance industry by Year 5.

*SP Angel acts as Nomad and Broker for Power Metal Resources

Savannah Resources* (SAV LN) 3.8p, Mkt Cap £96m – Barroso project update

BUY – 16.7p

• The Company released an update on development progress of the Barroso Lithium Project, Portugal.
• The team reports that access to parts of the C-100 License Area required for geotechnical drilling was delayed.
• The Company expected to secure easement requiring final government approvals over the summer.
• The approval process is ongoing but is now expected to conclude 4Q25 following the nation’s municipal elections that are scheduled for 12 October.
• As a result, DFS timing has ben changed to 1H26 from YE25.
• Maiden production is now expected in 2028 from the end of 2027 targeted before.
• The team to provide a more detailed update on the Project timeline once the easement is granted.
• Updated MRE and Exploration Targets following the latest drilling programme to be published in the coming weeks.
• Revisions for 16km bypass road agreed with EIA resubmission targeted for October.
• Internal haul roads design nearly complete with HV power line design submitted for approval.
• Other DFS related workstream including mining, metallurgy and tailings among other things are progressing on schedule.
• The project is endorsed by AICEP, nation’s trade and investment agency, through Permanent Committee for Investor Support (CPAI).
• The team engaged a project finance advisor to assist with Barroso funding options.
• Regular community engagement activities carried strengthening regional presence.
• Lithium prices staged a strong recovery over the last several months on reports of lithium production curtailments in China and robust ongoing demand (EV 10.7m +27%yoy Jan-Jul 2025).
• Spodumene prices hit over $1,000/t in August, up 60% since May lows.

Conclusion: Slippage in DFS and maiden production timing due to land access delays is unfortunate, although, the team continues to progress other workstreams on schedule further de risking the project ahead of environmental permits application, FID and funding. MRE and Exploration Target updates are expected to show project growth potential while a recovery in commodity prices lifts sentiment in the lithium space.

*SP Angel acts as Nomad and Broker to Savannah Resources

Standard Lithium (SLI US) $2.9p, Mkt Cap $592m – Smackover Lithium announces SWA Project DFS

• The Company released a DFS on the South West Arkansas DLE Project, Arkansas.
• Project DFS highlights include:
  • Initial phase production 22.5ktpa LCE
  • 20+ year LOM
  • Cash OPEX $4,516/t; all-in OPEX $5,924/t.
  • Capex $1.45bn.
  • NPV8 AT $1.28B and IRR AT 18.2% ($22,400/LCE).
  • Four well pads envisaged supporting 12 supply and 10 injection wells.
  • The Project is owned by Smackover JV (Standard Lithium/Equinor 55%/45%).
  • M&I Resource: 1.18mt LCE @ 442mg/L.
  • Total Reserves: 709kt LCE @ 348mg/L.
• Development timeline estimated at 34m from FID.
• FID targeted for YE25.
• Maiden production targeted for 2028.

Teck Resources (TECK US) $34, Mkt Cap $16.5bn – Review sees increased focus on fixing QB sand drainage issues

• Canadian miner Teck is undertaking a comprehensive operations review.
• The Company will delay the sanctioning of major growth projects as it aims to deliver steady-state operations at QB.
• QB has been suffering with slow sand drainage, impacting the tailings management facility.
• The Company will raise the tailings dam wall and increase its crest height by building additional rock benches.
• Teck will also modify the cyclone facility to improve fine and ultra-fine removal currently limiting sand drainage rates.
• They are also exploring coarser grind sizes in the mills and refining sand placement techniques.
• The Company is in the process of validating an ‘executable mine plan and optimising performance across the mine, plant and port.’
• Guidance will be updated before Teck’s Q3 results.

Tungsten West (TUN LN) – 10.25p, Mkt cap £21m – Annual results confirm Hemerdon restart in late 2026

• As it moves towards a resumption of production at the Hemerdon mine, Tungsten West reports an attributable loss of £21.9m for the year to 31^st March 2025 (2024- £9.7m loss).
• The company highlights the results of its “Development and Economic Plan and completion of the Feasibility Study for Hemerdon” which demonstrates a “clear and manageable approach to bring the Project back into production”.
• The company confirms that based on a price of US$400/mtu for the baseline ammonium paratungstate (APT) price and US$32,500/t tin a US$93m investment generates an after-tax NPV_7.5% of US$190m and IRR of 29% from the production of an average of 332,000 metric tonne units (mtu) of tungsten trioxide and 462t of tin annually over an 11-year period of mining followed by an additional 4 years processing of stockpiled material “and an additional 12 years of on-going premium aggregate sales”.
• Today’s announcement highlights the recent rise in APT prices “to above $500/mtu … following China’s implementation of significant tungsten export restrictions in February 2025”.
• In his letter to shareholders, Chairman, Stephen Harrison, confirms “decisive and meaningful steps towards reopening the Hemerdon tungsten and tin mine … [and that] … we expect to restart mining and processing operations in late 2026”.
• Mr. Harrison elaborated on the global context of the tungsten market saying that “export restrictions imposed by China … [cause] … an extremely limited supply of tungsten currently being exported from China. As a result, there is a significant and increasing gap between Western world demand and supply of tungsten … [and explained that this] … growing imbalance of supply and demand has further improved our project economics”.
• CEO, Jeff Court, outlined improvements to the process plant including “a new, fit for purpose front-end crushing and screening circuit, a crushed ore stockpile providing buffer from the front-end to the down-stream processing, ore sorters to select higher value material for down-stream processing, installation of new gravity separation process modules and a full plant refurbishment and enhancement”.
• Mr. Court explained that the “next important stage of progressing the project is securing the right funding package for us to make the re-start plan a reality, and undertaking targeted work packages to ensure a streamlined transition to construction as soon as practicable after funding becomes available”.
• Echoing his chairman’s comments on the strategic significance of the Hemerdon mine in a tungsten market dominated by China, Mr. Court also noted the support of the European Commission and of the United States’ Export-Import Bank (EXIM) which “further cement Hemerdon’s position as being key part in the global critical metals supply chain to both Europe and the U.S”.

Conclusion: Restart of Hemerdon expected late next year as western economies increasingly recognise the strategic role of a secure tungsten supply outside China

Zijin Gold International, a spin off from the larger Zijin Mining Group, may attract US$3bn in its IPO

• That would make it the world’s second largest this year after CATL $5.3bn IPO in May  (Bloomberg).
• Zijin IPO may come as early as this month with the size raised from $2bn previously considered.
• The raise comes at record high gold prices with bullion trading over $3,500/oz.

LSE Group Starmine awards for 2025 / 2024 commodity forecasting:

No.1 in Precious Metals: SP Angel mining team awarded No 1. ranking for Precious Metals forecasting in LSEG Annual Starmine Award for Reuters Polls for Q1 2025

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

No.2 in Base Metals: SP Angel mining team awarded No 2. ranking for Base Metals forecasting in LSEG Annual Starmine Award for Reuters Polls 2024

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

Arthur Parish – Arthur.Parish@spangel.co.uk – 0203 470 0476

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

George Krokos – george.krokos@spangel.co.uk – 0203 470 0486

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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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