SP Angel Morning View -Today’s Market View, Tuesday 12th August 2025

China steelmaking feedstocks climb again on improving demand and China capacity crackdown

MiFID II exempt information – see disclaimer below

Arafura (ARU AU) – Non binding LOI from EFA

Atalaya Mining (ATYM LN) – Strong H1 results prompt upgrade to 2025 production guidance

Barrick Gold (B US) – Ongoing arbitration with Mali as Reko Diq drives growth focus

BeMetals* (BMET CN) – Drilling outlines the Nkala Zone and identifies additional mineralisation at Pangeni, Zambia

Blencowe Resources (BRES LN) – £290,000 conditional fundraising

Cleantech Lithium (CTL LN) – £4.3m equity raise

Cornish Metals* (CUSN LN) – Independent validation of company’s sustainability credentials

Franco Nevada (FNV US) – Boosting portfolio amid strong gold price environment

Goldstone Resources* (GRL LN) – AGM sees Angela List ejected from the board and an investigation into disclosure of confidential information by Bill Trew

Great Southern Copper (GSCU LN) – Additional geophysical results help target next phase of drilling at Cerro Negro, Chile

Jubilee Metals Group (JLP LN) – Circular describing plans for US$90m sale of South African operations

K92 Mining (KNT CN) – Solid results as focus on hitting 400kozpa via processing expansion

Lifezone Metals (LZM US) – $60m bridge loan facility

Rome Resource (RMR LN) – Exploration at Mont Agoma, DRC

Sayona Mining (SYA AU) – Piedmont merger vote delayed to 22 August

Thor Explorations (THX LN) –Segilola bolsters cash position as exploration focus continues

China steelmaking feedstocks climb again on improving demand and China capacity crackdown

• Iron ore prices rise on signs of improving demand from China.
• Chinese imports rose 2%yoy and climbed above monthly averages.
• Coking coal jumped 4.5% overnight amid continued sentiment improvements from China.
• Beijing has been cracking down on overcapacity, with reports of several operations seeing capacity cracked down.
• With Shanxi ordering some coal mines to reduce workdays from 330 to 276/year.
• Shanxi produces 50% of China’s coking coal.
• Mysteel reports that some steel mills in Tangshan have been ordered to halt operations towards the end of the month to support air quality.

Gold ($3,355/oz) Trump says there will be no tariffs on gold imports

• The statement caused gold prices to fall from $3,356/oz to $3,347/oz
• We are looking for gold to rise as manufacturers and jewellers stock ahead of Indian Diwali festival in October and Christmas.

Bitcoin rises towards record high at >120k today as Trump signs an executive order allowing 401(k) pensions to hold cryptocurrencies and other alternative assets

• The decision enables retirement accounts to hold cryptocurrencies should their asset managers choose to diversify into these areas.

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

Economics

US/China – President Trump signed an executive order extending the pause on potential tariff hikes affecting Chinese imports by another 90 days

• The extension prevents a scheduled surge in tariffs (potentially up to 145%) and provides additional time for negotiations.

India – Manufacturers and exporters panic as the prospect of 50% tariffs into the US renders exports uneconomic

• India is stuck between a rock and Russian hard place. The nation’s oil traders have made billions trading cheap Russian oil in the face of Western sanctions.
• But the extra 25% on tariff on goods from India means the government will have to stop Indian-based oil traders from buying Russian oil which now makes up 30% of their oil imports.
• While these traders will move offshore faster than a shark chasing a sea lion the Modi government will still have to convince Trump they have clamped down on the Russian oil trade.

UK – Jobs drop for six straight months in July with wage growth steady.

• Headcount dropped by 8k last month, on preliminary numbers from ONS.
• Payrolls were down 26k in June, a smaller than previously estimated decline (41k).
• Wage growth (ex bonuses) was unchanged at 5% in the three months to June.
• Jobless rate kept steady at 4.7%.
• The pound was little changed following the announcement while markets continuing to expect another cut not earlier than February next year.

Currencies

US$1.1640/eur vs 1.1657/eur previous. Yen 147.62/$ vs 147.60/$. SAr 17.736/$ vs 17.731/$. $1.345/gbp vs $1.346/gbp. 0.652/aud vs         0.652/aud. CNY 7.183/$ vs 7.182/$.

Dollar Index 98.27 vs 98.16 previous.

Precious metals:

Gold US$3,355/oz vs US$3,360/oz previous

Gold ETFs 92.5moz vs 92.1moz previous

Platinum US$1,329/oz vs US$1,319/oz previous

Palladium US$1,148/oz vs US$1,132/oz previous

Silver US$37.9/oz vs US$37.9/oz previous

Rhodium US$7,075/oz vs US$7,075/oz previous

Base metals:   

Copper US$9,780/t vs US$9,755/t previous

Aluminium US$2,610/t vs US$2,598/t previous

Nickel US$15,325/t vs US$15,260/t previous

Zinc US$2,837/t vs US$2,825/t previous

Lead US$2,005/t vs US$2,001/t previous

Tin US$33,950/t vs US$33,630/t previous

Energy:           

Oil US$66.8/bbl vs US$66.5/bbl previous

Natural Gas €33.0/MWh vs €32.8/MWh previous

Uranium Futures $72.0/lb vs $71.9/lb previous

Bulk:   

Iron Ore 62% Fe Spot (cfr Dalian) US$111.3/t vs US$110.5/t

Chinese steel rebar 25mm US$478.6/t vs US$478.8/t

HCC FOB Australia US$192.0/t vs US$192.0/t

Thermal coal swap Australia FOB US$112.8/t vs US$114.5/t

 Other:  

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

NdPr Rare Earth Oxide (China) US$73,506/t vs US$72,605/t

Lithium carbonate 99% (China) US$10,584/t vs US$10,289/t

China Spodumene Li2O 6%min CIF US$850/t vs US$825/t

Ferro-Manganese European Mn78% min US$1,005/t vs US$1,005/t

China Tungsten APT 88.5% FOB US$473/mtu vs US$473/mtu

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

Europe Vanadium Pentoxide 98% US$5.1/lb vs US$5.0/lb

Europe Ferro-Vanadium 80% US$23.5/kg vs US$23.5/kg

China Ilmenite Concentrate TiO2 US$275/t vs US$275/t

China Rutile Concentrate 95% TiO2 US$1,092/t vs US$1,093/t

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

Brazil Potash CFR Granular Spot US$362.5/t vs US$362.5/t

Germanium China 99.99% US$3,025.0/kg vs US$3,025.0/kg

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

EV & battery news

Company news

Arafura (ARU AU) A$0.20, Mkt Cap A$505m – Non binding LOI from EFA

• Export Finance Australia (EFA) issued a non binding conditional Letter of Interest for a potential further investment to progress the Nolans RE Project, NT.
• Potential investment may amount to $100m, Reuters reports.
• Details of the potential deal remain subject to negotiations including the completion of satisfactory due diligence.

Atalaya Mining (ATYM LN) 508p, Mkt Cap £673m – Strong H1 results prompt upgrade to 2025 production guidance

• Atalaya Mining reports that strong Q2 and H1 operating performance has delivered record quarterly and H1 EBITDA of €55.1m and €107.6m respectively (2024 €26.4m & €36.7m).
• Profits amount to €29.6m and €60.1m for the quarter and half year (2024 – €14.5m and €16.1m).
• Atalaya has declared an interim dividend of €0.044/share (2024- €0.0362/share) payable in October.
• The financial performance reflects six-month production of 27,466t of copper at a cash cost of US$2.23/lb and at an all-in-sustaining cost (AISC)of US$2.78/lb resulting from improved grades and plant performance treating ~8.2mt at an average grade of 0.42% copper (H1 2024 – ~7.8mt averaging 0.33% copper)
• Comparable 2024 performance showed production of 22,249t of copper at a cash cost of US$2.93/lb and at an all-in-sustaining cost  of US$3.19/lb.
• The company indicates confidence in the continuing deliverability of the improved H1 operating performance by upgrading its full year production and cost guidance to between 49-52,000t of copper production (previously 48-52,000t) at a lower cash cost of US$2.60-2.80/lb (formerly US$2.70-2.90/lb) and an AISC of US$3.10-3.30/lb (previously US$3.20-3.40/lb).
• “Updated guidance for FY2025 non-sustaining capital investments is €29 – 37 million, down from €58 – 82 million … [as waste stripping costs for San Dionisio are reallocated to cash costs and into AISC and] … certain expenditures related to the road relocation and the Proyecto Masa Valverde access ramp” are deferred into 2026.
• Expected 2025 exploration expenditure has been increased to €8-12m (from €6-8m) reflecting work at “Proyecto Masa Valverde, the San Antonio deposit and the earn-in commitments with MPS in Sweden”.
• CEO, Alberto Lavandeira, said that “Good production and cost control have resulted in quarterly and half year records for EBITDA, and our net cash position has further improved … [to €70.1m] … thanks to strong free cash flow generation”.
• Mr. Lavandeira confirmed that “Activity is increasing at our various copper growth projects. At San Dionisio, mining is accelerating following the environmental authorisation in May 2025. At Masa Valverde, we recently announced notable drilling results for the high-grade copper zones, which are expected to be the focus for initial development”.
• He said that, at Touro, “we have received many positive reports from the different administrative bodies related to the environmental impact review, and we remain confident of a positive outcome in the coming months”.

Conclusion: Strong and consistent H1 production and financial performance has prompted Atalaya Mining to raise its full year production guidance and reduce its cost expectations.  Capital cost guidance for the full year has been lowered to reflect allocation of waste removal costs at San Dionisio to operating costs and a rescheduling of some expenditure at Proyecto Masa Valverde into 2026. Exploration costs are expected to be higher than previously indicated.

Barrick Gold (B US) $23, Mkt Cap $39bn – Ongoing arbitration with Mali as Reko Diq drives growth focus

• Barrick sold 770koz over the quarter, producing 797koz.
• AISC reported at $1,684/oz, down from $1,629/oz prior quarter.
• Copper production of 59kt, up from 44kt prior quarter.
• Copper AISC reported at $2.9/lb, down from $3.06/lb.
• Revenue up 18%qoq at $3.7bn, with EBITDA of $1.7bn, up 24%.
• CAPEX up 12% at $934m.
• Free cash flow reported at $395m.
• EPS at 0.46/share, up 34% qoq.
• Net debt fell to ($73m) from $623m prior quarter.
• $268m paid via share buybacks alongside a $0.15/share dividend.
• Growth Projects:
  • Aiming to double existing mineral resources at Fourmile by year end via 34,000m drilling
  • Reko Diq development ongong with construction ramping up targeting 240kt Cu and 297kt Au pa from 2028 and 460kt Cu and 520koz Au from 2043.
  • Down plunge extensions identified at North Mara, expected to support growth above depletion.
  • Lumwana expansion ongoing.
• Mali Update:
  • Recorded net loss of $1,035m on the loss of control of Loulo.
• Guidance:
  • 3,150-3,500koz Au at AISC of $1,460-1,560/oz AISC.
  • 200-230kt Cu at AISC of $2.8-3.1/lb.

Conclusion: An improved quarter operationally from Barrick’s US hub is somewhat offset by continued overhang of arbitration procedures in Mali and financing discussions for the Company’s flagship development project, Reko Diq.

BeMetals* (BMET CN) – C$0.083, Mkt cap C$18.9m – Drilling outlines the Nkala Zone and identifies additional mineralisation at Pangeni, Zambia

• Yesterday, BeMetals reported that its recently completed core-drilling programme at its Pangeni project in western Zambia “has outlined and defined the continuity of the Ingwe shoot and Nkala Zone copper mineralization”.
• The drilling has also identified “encouraging geological and alteration relationships with anomalous copper intervals” beneath shallow cover in hole D8-C1 which targeted a relatively low tenor aircore copper anomaly located around 1km from the Nkala Zone in an area designated the Nkala northwest target.
• Drilling has shown the WSW trending Ingwe Shoot, which is “developed within the … [1.4km long] … Nkala Zone copper mineralization … [is] … 600 metres long, 14 to 23 metres thick, and 250 to 350 metres wide”.
• Yesterday’s announcement quotes an independent technical review of the Pangeni project by the highly regarded expert geologist, Dr. Richard Sillitoe, which says that “It is now clear that the Nkala Zone, including its Ingwe shoot, is a significant greenfield copper discovery – the first in Zambia for several decades”.
• Dr. Sillitoe says that, subject to additional drilling the Nkala Zone and the Ingwe Shoot “has the geological potential to attain meaningful scale”.
• He is also reported saying that “the promising geological relationships observed in drill hole D8-C1 also emphasize the potential for additional copper-mineralized bodies under the shallow Kalahari sand cover at the Pangeni Copper Project”.
• Drilling at the Central Target, east of the Nkala Zone showed “multiple shallow intervals of anomalous copper … [in hole CT5] … with 11.20 metres at 0.18% Cu, including 4.33 metres at 0.32% Cu, suggesting potential near-surface mineralization that warrants follow-up”.
• Explaining that the Pangeni mineralisation is “sedimentary rock-hosted and bears many hallmarks in terms of style, width, grade and geology of deposits that are currently mined in the Domes Region of the Zambian Copperbelt … [CEO, John Wilton said that the recent drilling has] … helped to further define the trend and continuity of both the Ingwe shoot and Nkala Zone copper mineralization discovered by the Company’s exploration team.
• The “Company and its technical partners are now reviewing the data and planning the next optimum steps for the Project”.

Conclusion: Recent drilling at Pangeni in western Zambia has demonstrated the continuity of the Nkala copper zone over 600m and shown it to be between 14 to 23 metres thick, and 250 to 350 metres wide.  The drilling has also intersected shallow mineralisation around 1km north of Nkala which will need follow-up work in the future.

*An SP Angel analyst holds shares in BE Metals

Blencowe Resources (BRES LN) 4.13p, Mkt Cap £15m – £290,000 conditional fundraising

• Blencowe Resources, which is progressing the Orom Cross graphite project in Uganda, reports that it has conditionally raised £290,000 by placing 7.25m shares at a price of 49/share representing ~2% of the enlarged capital.
• “The Placing was undertaken by Tavira Financial Limited, and was limited to two existing investors, including the Company’s largest shareholder, RAB Capital Ltd”.
• The funds “will be applied to settle in full a legacy capital gains tax charge of approximately £342,751 along with existing cash resources”.
• Settlement of the Ugandan tax liability, which was incurred by the project’s previous owners, is expected to “remove any hurdles to discussions with project financiers”.
• Executive Chairman, Cameron Pearce, welcomed the “continued support from our shareholders, particularly RAB Capital, in this small capital raise, which addresses a long-standing legacy tax matter that we inherited from the acquisition in 2019”.
• He said that resolution of the legacy tax issue allows the company to focus on its work to advance the project and where “Our recently completed drilling campaign exceeded expectations, and we look forward to releasing the first in a series of assay results shortly. These will feed into what we anticipate will be a material JORC upgrade”.

Conclusion: Settlement of a long-standing tax issue should leave the company free to advance its technical work at Orom Cross and to pursue financing discussions for the project.

Cleantech Lithium (CTL LN) 5.4p, Mkt Cap £6m – £4.3m equity raise

• The Company conditionally raised £4.3m to advance its Laguna Verde Lithium Project in Chile.
• 86m new shares to be issued at 5p, representing a 26% discount to the last closing price.
• The Company will need shareholder approval to increased authorisation regarding ~64m new shares (General Meeting expected 29 August).
• Each new share will include one warrant (6p exercise price).
• New shares represent ~46% of the enlarged share capital.
• In addition, the Company is launching a retail offer for subscription to £250k worth of stock by existing shareholders (timetable will be announced separately).
• Proceeds to be used to complete initial payments for additional 30 licenses in the Laguna Verde Lithium Project (Chile), final payments for the Laguna Verde PFS, DLE technical work and general working capital.
• Separately, the Company announced yesterday that it agreed to extend maturity on the outstanding loan (~£3.1m as of August).
• Repayment was extended to 30 June 2026, from 15 August 2025.
• The loan is convertible into shares at the placing price (5p), will be repaid with a 12% premium on redemption and is secured over assets.
• The loan is also subject to a condition that the Company enters into a streamlined CEOL (permitting) process for Laguna Verde by 31 January 2026 (otherwise, the Company will need to engage an M&A investment bank to look at certain strategic options).

Cornish Metals* (CUSN LN) 7.45p, Mkt Cap £95m – Independent validation of company’s sustainability credentials

• Cornish Metals has announced that it has received an inaugural ‘A’ rating on its corporate and project credentials from the independent ratings entity, Digbee.
• The report, which is available in full at https://cornishmetals.com/sustainability/digbee/ confirms that:

• • “ESG priorities are embedded in the Company’s strategic planning and governance structures” and that
  • “significant investment from Vision Blue Resources and the UK National Wealth Fund (together holding over 55%) … [reflects] … strong market and public-sector confidence in its responsible tin production model and long-term alignment with the UK Critical Minerals Strategy”; and that
  • The company’s South Crofty mine project “incorporates underground mining, reuse of existing infrastructure, backfilling of tailings, use of renewable electricity, and commissioning of a high-efficiency Water Treatment Plant, demonstrating active efforts to reduce greenhouse gas emissions, surface disturbance and water pollution”.

• Jamie Strauss, founder and CEO of Digbee, commented that “The successful completion of the Digbee sustainability assessment underscores Cornish Metals’ belief that responsible mining is not only the right approach, but a critical differentiator.
• Mr. Strauss said that Digbee’s assessment “not only validates Cornish Metals’ current performance but also reflects its clear vision for continuous improvement – proving that mining can be both a driver of economic opportunity and a trusted partner in protecting and enhancing the communities and environments in which it operates”.
• Cornish Metals explains that resumption of tin production at South Crofty will provide Europe and North America with its only primary tin production – a mineral commodity designated ‘Critical’ in multiple jurisdictions because of its use “in almost all electronic devices and electrical infrastructure”, and will reduce reliance on production from China, Myanmar and Indonesia.
• CEO, Don Turvey, welcomed the validation of Cornish Metals’ approach and said that the company recognises that “there is always room for improvement, and we will be taking Digbee’s points of feedback onboard as we continue to develop our environmental, social and governance practices”.

Conclusion: Digbee’s rating provides independent validation of Cornish Metals’ approach to the resumption of tin production at South Crofty.

*SP Angel acts as Nomad and Broker. An SP Angel analyst formerly worked in the South Crofty tin mine in the 1980s and holds shares in Cornish Metals

Franco Nevada (FNV US) $176, Mkt Cap $47bn – Boosting portfolio amid strong gold price environment

• Gold royalty company Franco Nevada reports revenue of $369m from 112koz GEOs sold in their quarterly results.
• $430m in operating cash flow reported, and $247m in net income.
• Franco reports $160m in cash.
• Ramped up production from Cote, Porcupine and Tocantinzinho to support increased output into 2H25.
• Acquisitions:
  • 1% NSR on AngloGold’s Arthur project from Altius for $250m.
  • 1.62% on Gold Quarry mine for $10.5m.
  • 7.5% NSR on Cote Gold Mine (IAMGold) for $1,050m.
  • 4.25% NSR for $300m on Discovery Silver’s Porcupine Complex.
• Cobre Panama:
  • Government approved shipment of 121kt copper concentrate in May.
  • Suspended arbitration process against Panamanian government.

Conclusion: Franco Nevada has been playing catch up with Wheaton in this gold bull market given the major impact of Cobre Panama’s suspension on earnings. The Company has a strong growth profile recently bolstered by its $1bn purchase of the 7.5% GMR on IAMGold’s Cote project, expected to produce 360-400koz of gold in 2025.

Goldstone Resources* (GRL LN) 0.32p, Mkt Cap £3m – AGM sees Angela List ejected from the board and an investigation into disclosure of confidential information by Bill Trew

• Goldstone Resources report the results of its unusually interesting AGM yesterday.
• Angela List received just 19% of the vote for re-election and was duly ejected from the board by shareholders.
• Angela list is reported to be under scrutiny in Ghana for false claims according to Ganaweb.com. Ms List has been accused of making false claims to mislead the market according to sources at BCM International. It is alleged according to Ghanaweb.com Ms List embezzled ~US$10m from BCM Ghana where she is a director and the Ghanaian Times allege that The Economic and Organised Crime Office are investigating Adamus Resources Limited, where Ms List is CEO.
• The rest of the resolutions passed including the re-appointment of Dr Orrie Fenn with 96% of the vote and the appointment of Campbell Smyth as a director with 63% of the votes.
• The AGM also passed a resolution for authority to allot up to 475m new shares representing 50% of the company’s issued share capital. However, the vote in favour was not high enough to allow such shares to be issued on a non pre-emptive basis for cash.
• Investigation:
  • During the meeting, “former Chairman, Bill Trew, disclosed certain confidential information regarding the Company, in relation to, inter alia, an offer received by the Board in April 2025, which had been unequivocally rejected by the Board for a number of reasons.
  • The Company has commenced an investigation into how this confidential information was obtained by Mr Trew.
• Production:
• Goldstone, operates the Homase gold mine in Ghana which produced ~213.7oz in July represents lower than planned production due to current low grade ore being mined.
  • “The Company notes that it is in ongoing discussions with potential funding partners and, to the extent needed, will convene a further General Meeting in due course to allow shareholders to vote on increasing the Board’s share issuance authorities.”
• Goldstone reported an operating loss of US$2.1m for 2024.
• The company’s CEO, Emma Priestly, recently confirmed and detailed new operational improvements at the Homase gold mine along with enthusiasm to review exploration targets at the Akrokeri Underground Mine, which remains a core asset within our longer-term development strategy.

Conclusion:  Goldstone has been mired in management disputes for some time. We hope the ejection of Ms List from the board will now enable the board to work towards the benefit of shareholders.

*SP Angel acts as Broker to Goldstone Resources

Great Southern Copper (GSCU LN) 2.65p, Mkt Cap £15m – Additional geophysical results help target next phase of drilling at Cerro Negro, Chile

• Great Southern Copper reports that the final analysis of its recently completed ground geophysics survey has identified additional copper/silver targets south of the historic Mostaza copper/silver mine in its Cerro Negro project area in Chile.
• Induced polarisation (IP) work, previously reported at an interim stage of the interpretation has shown areas of high chargeability coinciding with copper/silver mineralisation intersected in earlier drilling (particularly in hole DD-007) extending the anomalous trend over 2.5km south of the old mine “consistent with the trend of the Mostaza Fault Zone” and with earlier rock chip sampling results.
• The results “identify priority untested targets for Phase III drilling” which is expected to start in late August.
• In April this year, Great Southern Copper announced that hole DD-007 had intersected 33m at an average grade of 1.96% copper and 60.6g/t silver from a depth of 87m including 3.58m averaging 5.21% copper and 318.2g/t silver from 88m depth and 5.00m averaging 5.90% copper and 99.2g/t silver from 115m depth.
• CEO, Sam Garrett, explained that the “geophysical anomalies confirm and correlate with earlier geochemistry and gradient array IP results indicating potential for a mineral trend of up to 2.5km south of the Mostaza mine which remains open”.
• He said that the geophysics confirms “the post-depositional structural complexity of this deposit and  suggest geophysics will be a critical tool to assist with directing future drill programmes and ultimately understanding the complex architecture of the deposit”.

Conclusion: Geophysical results have provided improved insights into the area south of the Mostaza mine and helped refine the targets for the next phase of drilling which is due to start later this month.

Jubilee Metals Group (JLP LN) 3.05p, Mkt cap £93m – Circular describing plans for US$90m sale of South African operations

• Jubilee Metals has issued details of the planned US$90m disposal of its South African chrome and platinum group metals (PGM) operations ahead of a shareholder meeting to approve the transaction which is timetabled for 28^th August.
• The company says that the transaction “which represents a 6.0x multiple on the FY2024 EBITDA of the assets being sold …[is] … a compelling opportunity for the Company to realise value from its Chrome and PGM Operations”.
• Disposal of the South African businesses “repositions Jubilee within the copper sector with significantly greater investor recognition and valuation multiples as compared with chrome and PGMs” and shifts the centre of gravity of its operations to Zambia which “presents a highly attractive platform for growth underpinned by strong copper market dynamics, expanding resource potential and meaningful economic upside”.
• “The circular, which includes financial information on the Transaction, can be found at https://jubileemetalsgroup.com/circulars/”.

Conclusion: Shareholders will have the opportunity to discuss the planned sale of the South African operations at an meeting on 28^th August.

K92 Mining (KNT CN) C$14.9, Mkt Cap C$3.6bn – Solid results as focus on hitting 400kozpa via processing expansion

• PNG gold producer K92 reports quarterly results.
• The Company produced 34.8koz Au, 1.5mlb Cu and 43koz Ag, up 43%yoy at 83koz AuEq.
• Production supported by increased feed grades at 8.3g/t Au, 0.55% Cu.
• AISC fell to $1,408/oz, net of by-product.
• Revenue up 102%yoy at $96m, net income reported at $39m, operating cash flow reported at $47m, EBITDA at $60m.
• Cash position raised to $124m, despite CAPEX.
• Management commissioned the 1.2mtpa stage 3 expansion process plant and has spent 86% of growth CAPEX on Stage 3 and 4 expansions.
• Stage 4 is expected to boost production over 400kozpa from 300kozpa in stage 3.

Conclusion: K92’s management team have taken the Kainantu mine in Papua New Guinea from discovery to production and are now systematically expanding operations to 400kozpa.

Lifezone Metals (LZM US) US$4.6, Mkt Cap US$366m – $60m bridge loan facility

• Taurus Mining Finance provided US$60m bridge loan facility to for development of the Kabanga Nickel Project, Tanzania.
• The bridge loan provides near-term liquidity to sustain project progression while securing long-term funding.
• Funds to be used for early works and infrastructure development ahead of Final Investment Decision (mid-2026).
• 9.25% interest, 2.25% arrangement fee, 2.5% pa undrawn fee, secured by project assets, maturity July 2027 (+6 mo. option), 2.5m warrants issued to Taurus ($5.42 exercise price, 5y expiry);
• July 2025 FS envisaged US$942m development capex for a 3.4mtpa concentrator.
• Kabanga FS is based on 18y LOM producing 52.2mt at 1.98% Ni, 0.27% Cu and 0.15% Co.
• 902 kt Ni, 134 kt Cu, 69 kt Co; NPV8 AT $1.58bn, IRR AT 23.3%; AISC $3.36/lb Ni (payable, net of by products).
• Study used $8.49 per pound nickel, $4.30 per pound copper, and $18.31 per pound cobalt.

Rome Resource (RMR LN) 0.3p, Mkt Cap £17m – Exploration at Mont Agoma, DRC

• Rome Resources confirms that recent drilling at its Mont Agoma exploration project in its Bisie North exploration project in the eastern DRC has “encountered tin and copper mineralisation at both newly identified zones in addition to deeper extensions of known zones”.
• A new zone of tin mineralisation “encountered at drill hole MADD030, was confirmed by drill hole MADD030A which returned 18 metres of mineralisation with a maximum grade of 2.4% tin measured by the XRF analyser”.
• The company also says that “Drill hole MADD032 encountered a copper intercept measuring 13 metres, with the XRF analyser” with more than “9 metres of tin within a higher-grade, 13 metres wide zinc zone – interpreted as the continuation of the main zone of mineralisation at depth”.
• Although XRF results are not usually considered as reliable as full assays and are regarded as ‘indicative’ “Assays for a six further drill hole samples are expected in 2 to 3 weeks and will be included in the forthcoming MRE”.
• The company says that “significant copper intercepts are expected to add to the growing polymetallic resource at Mont Agoma in connection with the ongoing work associated with the Company’s maiden mineral resource estimate (“MRE”)” and photographs included in today’s announcement show drill core from hole MADD032 containing “Significant visible copper mineralisation”.
• Rome Resources confirms that it is working alongside its consultants, MSA, “to complete geological modelling and resource work incorporating the latest lithological, structural and assay data from the ongoing drilling campaign”.
• Explaining that the recent drilling has “helped refine the structural model for Mont Agoma … [Rome Resources says that it] … indicates that a major fault has offset the tin zone, effectively repeating it to the east of the main zone. This structural model suggests the potential to double the mineralised strike, if confirmed by two planned holes”.

Conclusion: As drilling progresses at Mont Agoma it is clarifying the geological interpretation and identifying potential to expand the extent of known mineralisation.

Sayona Mining (SYA AU) A$0.03, Mkt Cap A$335m – Piedmont merger vote delayed to 22 August

• Piedmont adjourned the Special Meeting to approve the Sayona/Piedmont after coming short of 50% required quorum.
• Piedmont reports that only 47% shares were present for the vote.
• Of those present overwhelming majority voted in support of the merger (97.8%).
• New date is set for 22 August 2025.
• The Company previously adjourned the meeting on 31 July to 11 August.
• Due to the merger delay, Sayona’s Subscription Agreement with RCF has been extended to December 31 2025.
• Originally, the agreement was to expire on August 19 2025.
• RCF to subscribe for additional 1.2bn new options (A$0.032 exercise price).
• If fully exercised, these options would provide approximately AU$38 million in additional capital.

Thor Explorations (THX LN) 46p, Mkt Cap £302m –Segilola bolsters cash position as exploration focus continues

• Nigerian gold producer Thor reports quarterly results to June 30^th.
• The Company produced 22.8koz and sold 25.9koz over the period at an average price of $3,187/oz.
• AISC reported at $915/oz.
• Revenue reported at $83m, 1H25 revenue reported at $147m.
• EBITDA reported at $60.3m, with 1H25 EBITDA reported at $104m
• Net profit reported at $52m, with 1H25 net profit at $86m.
• Net cash reported at $53m, up from $25m prior quarter.
• Segilola Mill feed grade at 3.1g/t Au with recoveries at 93% and 238kt ore processed.
• Segilola exploration ongoing, as the Company works on developing near mine drill targets to extend Segilola life.
• 4,418m drilled at Segilola over 12 holes to test depth extensions.
• Company to release MRE at Segilola by end of 2025.
• At Douta in Senegal, Baraka 3 resource to be incoporoated into Douta resource in Q3 or Q4.
• Aiming to scale up Douta project size for PFS, with a 500koz oxide resource at start of mine life, currently expected to meet targets.
• Drilling ongoing at the Company’s Cote d’Ivoire assets, with 3,000m programme ongoing and airborne magnetics underway before an additional 6,000m drilling programme.

Conclusion: Thor’s management team remains focused on extending the mine life at Segilola by drilling for deeper exensions of current mineralisation. Alternative growth plans involve Douta in Senegal, where they are aiming to deliver a PFS and additional 500koz of oxide mineralisation. Guidance maintained at 85-95koz Au at AISC of $800-1,000/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 employees may have previously held, or currently hold, shares in the companies mentioned in this note.

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