SP Angel Morning View -Today’s Market View, Tuesday 3rd June 2025

Gold takes another leg higher on weak dollar, miners soar

MiFID II exempt information – see disclaimer below

AngloGold Ashanti (AU US) – Sale of Mineração Serra Grande Mine

Ariana Resources (AAU LN) – Deputy Chairman appointed

Artemis Resources (ARV LN) – Exploration plans for WA projects

Focus Xplore – formerly Katoro Gold (FOX LN) – 2024 results describe new focus on Canadian exploration

Ivanhoe Mines (IVN CN) – Progress on Kakula reopening

Kore Potash* (KP2 LN) – BUY, TP 4.4p – Term sheet update

Mkango Resources* (MKA LN) – US$750k commitment to invest in Lancaster Exploration covering working capital for the SPAC merger and NASDAQ listing

Rainbow Rare Earths (RBW LN) – Test work continues on REE processing and purification in South Africa

Robex Resources (RBX CN) – Advancing Kiniero construction and ASX IPO

Turaco Gold (TCG AU) – Drilling along strike from Jonction

URU Metals* (URU LN) – Zebediela project geophysics defines priority drill targets

Gold ($3,360/oz) takes another leg higher on weak dollar, miners soar

• Gold prices rallied again yesterday, touching $3,392/oz.
• The metal has subsequently pared some gains but seems to be enjoyed sustained upward momentum following a period of consolidation.
• US treasury yields have paused their sell-off, with the 10 year back to 4.4% after concerns over Trump’s Big Beautiful Bill and its impact on the US deficit.
• Meanwhile, the gold miners caught a bid yesterday, with the GDX (VanEck Gold Miners ETF) rising 6.2%.
• Kazakhstan is reportedly starting to boost Central Bank gold holdings, having been one of the largest sellers of gold in 2024.
• We suspect as long as Central Banks continue to add to gold in a bid to diversify their foreign reserve holdings, the longer the rally will be sustained.
• ETF investors in the west are yet to get euphoric about gold, despite its 106% rally since 2022 lows.
• ETF holdings sit well below both 2020 and 2022 levels, despite the rapid rise in spot prices.

Lithium prices continue to slide as West Australian producers refuse to cut output

• China spodumene prices are nearing 2021 lows at $610/t, with a continued ramp up in supply from Chine weighing on operations.
• The Chinese continue to produce likely below cost, in a bid to establish dominance in the downstream cathode sector.
• This is enabled by battery makers such as CATL holding large-scale spodumene and lepidolite operations, where losses are thought to be absorbed.
• New supply has recently come online in Mali, with both Bougouni and Goulamina.
• Pilbara Minerals, who operate one of Australia’s largest spodumene mines, Pilgangoora, has seen its share price slide 49% ytd.
• The Company’s CFO resigned yesterday as lithium prices took another leg down.
• SMM is reporting some cost pressures on Chinese lithium refineries, although note ‘continuous production ramp-ups at leading lithium chemical plants.’
• Warmer weather in salt lake regions is reportedly supporting increased output through May.

Conclusion: We continue to watch Mineral Resources closely as a likely Australian spodumene producer to further cut production. MinRes put Bald Hill into care and maintenance in December, but their Wodgina and Mt Marion operations are both likely loss-making at spot spodumene prices.

Copper – We’ve Never Seen This Before in the World: Video: 

Podcast: https://audioboom.com/channels/4099560-the-sharepickers-podcast-with-justin-waite

Currencies

US$1.1428/eur vs 1.4160/eur previous. Yen 142.70/$ vs 143.03/$. SAr 17.827/$ vs 17.914/$. $1.353/gbp vs $1.356/gbp. 0.646/aud vs 0.648/aud. CNY 7.191/$ vs 7.199/$

Dollar Index 98.84 vs 98.82

Economics

US – President Trump and his Chinese counterpart Xi Jinping may have a call this week, the White House said.

• Two have not spoken since January and a direct line of communication would be considered as a welcome step in the direction of a potential resolution to trade tensions.

China – Private business activity gauge unexpectedly slipped into a contraction territory in May as US tariffs start to bite.

• That was the weakest reading since 2022.
• The measure came in much weaker than the official gauge that also posted a sub-50 reading but not as low (49.5).
• Caixin Manufacturing PMI (May/Apr/Est): 48.3/50.4/50.7

Japan – BOJ Governor Kazuo Ueda hinted that the central bank may continue to slowdown purchases next fiscal year.

• The existing plan is for reducing bond purchases by JPY 400bn per quarter through March.
• The central bank started its quantitative tightening last summer amid signs of accelerating inflation after more than a decade of loose monetary policy.
• Meanwhile, the latest 10y bonds auction showed stronger demand bringing a temporary relief with yields falling 2.5bp to 1.48%.

Eurozone – Inflation numbers are due later today with expectations for the headline measure to continue to come down (2.4% May v 2.7% April).

• Markets are pricing in a 25bp reduction in ECB rates this Thursday with at least one more cut later this year.

Ukraine/Russia – Russian delegation offered a long memorandum post a second round of direct negotiations for both a ceasefire and ending the war.

• Demands included lifting of sanctions, withdrawal of Ukrainian troops from only partially occupied territories, international recognition of Russian sovereignty over four eastern regions and Crimea, as well as other limitations on foreign military help, number of Ukrainian troops etc.
• Instead of an outright 30-day unconditional ceasefire, Russia offered a series of smaller localised truces across the front lines to allow for the collection of corpses.

Gabon – The government introduced an export ban on unprocessed manganese from 2029. (Reuters)

• Eramet operating the Moanda Mine, the world’s largest, saw its share sell off yesterday.
• The stock was down 5% on Monday and is trading more than 1% lower this morning.
• Manganese ore segment reflecting 3^rd party sales generated €1.1bn in sales in FY24 while total revenues from manganese segment including alloy sales generated €2.0bn turnover or ~60% of the Group’s revenues.

Holland – Dutch government collapses as Geert Wilders withdraws his party’s support from coalition

• “Wilders had issued a blunt ultimatum to coalition partners last week: sign on to a sweeping 10-point anti-migration plan or risk the coalition’s collapse.“
• “Schoof’s government no longer commands a majority, likely triggering new elections and plunging Dutch politics back into uncertainty.” (Euractiv)

UK – Fund flows into small company funds have taken off as investors move out of government bonds

• “Funds invested in tech stocks and UK small companies jumped significantly last month, while government bond-focused funds failed to make returns amid tremors in the Treasury market.” (CityAM)
• Funds are following the two best performing sectors:

• • Tech funds rose +9% in May
  • UK smaller companies funds returned +7.3% in May
  • FTSE has risen 6% YTD
  • FTSE Smallcap index <1% YTD

• Agreement by a series of major funds to raise investment of their funds to 10% from ~2% currently of discretionary pension funds into UK private growth companies has added to the momentum
• The legal definition of a ‘private’ company includes companies listed on AIM which could see significant inflows from the new agreement.
• The agreement known as the ‘The Mansion House Accord’ looks set to reverse a long-term trend in investing UK pension funds overseas.
• Four of the five worst performing fund sectors focused on government bonds with UK index linked gilt funds losing 2.8% in May and US government bond funds losing another 1.8%.

US – China violated Tariff agreement it reached on tariffs with US officials in Geneva several weeks ago with US according to Trump

• China has also been slow to restore access to rare-earth minerals according to a US Trade Rep (asiafinancial.com)
• Direct anecdotal evidence from a REE product consumer in the UK supports this view.

Precious metals:

Gold US$3,357/oz vs US$3,355/oz previous

Gold ETFs 88.3moz vs 88.3moz previous

Platinum US$1,062/oz vs US$1,053/oz previous

Palladium US$992/oz vs US$978/oz previous

Silver US$34.1/oz vs US$33.6/oz previous

Rhodium US$5,375/oz vs US$5,500/oz previous

Base metals:

Copper US$9,540/t vs US$9,614/t previous

Aluminium US$2,437/t vs US$2,469/t previous

Nickel US$15,455/t vs US$15,379/t previous

Zinc US$2,669/t vs US$2,656/t previous

Lead US$1,965/t vs US$1,975/t previous

Tin US$30,695/t vs US$30,304/t previous 

Energy:

Oil US$64.8/bbl vs US$64.1/bbl previous

• Brazil’s Mines and Energy Minister has proposed new measures, which include selling oil exploration licences and a review of the reference prices used to calculate oil taxes, to help the government meet its fiscal targets.
• OMV has sold its 5% stake in Abu Dhabi’s Ghasha ultra-sour offshore gas field development to JV partner Lukoil for $494m, in line with the company’s strategy to reposition as a Europe-focused energy player.

Natural Gas €35.1/MWh vs €34.4/MWh previous

Uranium Futures $71.7/lb vs $71.6/lb previous 

Bulk:   

Iron Ore 62% Fe Spot (Singapore) US$95.2/t vs US$96.6/t

Chinese steel rebar 25mm US$467.6/t vs US$469.5/t

HCC FOB Australia US$184.0/t vs US$189.5/t

Thermal coal swap Australia FOB US$106.5/t vs US$103.0/t 

Other:  

Cobalt LME 3m US$33,700/t vs US$33,251/t

NdPr Rare Earth Oxide (China) US$60,908/t vs US$60,086/t

Lithium carbonate 99% (China) US$8,163/t vs US$8,601/t

China Spodumene Li2O 6%min CIF US$610/t vs US$655/t

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

China Tungsten APT 88.5% FOB US$408/mtu vs US$397/mtu

China Graphite Flake -194 FOB US$420/t vs US$425/t

Europe Vanadium Pentoxide 98% US$5.1/lb vs US$5.2/lb

Europe Ferro-Vanadium 80% US$24.8/kg vs US$24.4/kg

China Ilmenite Concentrate TiO2 US$289/t vs US$287/t

Global Rutile Spot Concentrate 95% TiO2 US$1,465/t vs US$1,465/t

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

Brazil Potash CFR Granular Spot US$365.0/t vs US$365.0/t

Germanium China 99.99% US$2,825.0/kg vs US$2,825.0/kg

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

Battery News

EV batteries 20% cheaper across 2024

• Prices for lithium-ion battery packs fell 20% in 2024, the largest drop since 2017, according to a study from the International Energy Agency (IEA).
• Cheaper batteries mean more affordable EVs, which, alongside charging infrastructure is viewed as the main barrier to mass adoption.
• China’s dominance has continued to increase – it is responsible for 80% of the world’s battery production and saw the greatest decrease in battery cost across the year.
• The same study also shows Europe saw a 90% growth in LFP battery usage, but the US saw usage remain at around 10%, due to anti-China tariffs.

Clarios planning $1bn plant in US to shore up critical mineral supply

• Clarios, a US-based global manufacturer and recycler of low-voltage batteries, plans to invest up to $1bn to build a US critical minerals processing and recovery plant.
• The project aligns with the Trump administration’s goal to boost the domestic metals supply chain and responds to China’s export ban on critical minerals.
• The planned facility would extract metalloid antimony from used batteries collected across the US to bolster domestic battery production.

Company News

AngloGold Ashanti (AU US) $47.4, Mkt Cap S23bn – Sale of Mineração Serra Grande Mine

• AngloGold Ashanti has sold its interest in the Mineração Serra Grande Mine(MSG) operation.
• Aura Minerals will pay a cash consideration of $76m on closing, and AngloGold.
• AngloGold will also receive deferred payments of 3% NSR over the current MRE at MSG.
• AngloGold notes MSG is one of their smaller operations and highest cost, and the sale supports their focus on ‘capital allocation, operating efficiencies and the optimisation of their portfolio.’
• MSG holds a processing plant with 1.5mtpa capacity, and an MRE of 1.08moz at 3/14g/t Au, producing 80koz in 2024 and 86koz 2023.

Ariana Resources (AAU LN) 1.03p, Mkt Cap £20m – Deputy Chairman appointed

• Ariana Resources reports the appointment of Mr. Michael Atkins as Deputy Chairman.
• Mr. Atkins is described as having “extensive international experience, having worked in more than 15 countries across Africa (including Botswana, Zimbabwe, Ghana, Cameroon, Djibouti, and South Africa), North America (the USA and Canada), Southeast Asia, China, and Europe (Germany, Switzerland, Sweden, and the UK)” at Board level in “numerous listed Australian companies”.
• He was “Founder and Executive Chairman of Gallery Gold Ltd … [where] … he was responsible for the acquisition of the Galane Gold Project in Botswana … [which] … is also situated in the same Zimbabwe Craton as Ariana’s Dokwe Project” and operated as a 100,000oz pa gold producer
• Managing Director, Dr. Kerim Sener, welcomed the appointment and said that Mr. Atkins’ “extensive corporate network and residing in Australia will be invaluable in Ariana’s ASX dual-listing, and his specific experience operating successful mining companies, particularly in southern Africa, is impressive”.

Conclusion: The appointment of an experienced Australian director with African mining experience bolsters Ariana’s management team ahead of the dual-listing on the ASX.

Artemis Resources (ARV LN) 0.28p, Mkt Cap £7m – Exploration plans for WA projects

• Artemis Resources has outlined plans for its Carlow and Titan exploration projects located near Karratha, WA and at its Cassowary potential IOCG (iron-oxide-copper-gold) target around 450km east of Kalgoorlie.
• Work is expected to start in the September quarter.
• At the Carlow project, the company plans ~3,800m of diamond drilling to investigate “potential for significant extensions to the Carlow Mineral Resource which contains 374koz gold and 64,000t copper and to provide samples for metallurgical test work and further studies”.
• According to the company’s website, the Carlow project area currently hosts a resource of 8.74mt at a gold equivalent grade of 2.5g/t totalling ~700koz on a gold equivalent basis.
• The drilling campaign, comprising 5-6 holes spaced at 200m in an “~600m long zone along strike from Carlow East … [and in a] … >1500m long zone below Carlow West and Carlow East (above the Regal Thust)”.
• Managing Director, Julian Hanna, explained that the exploration is “aimed at growing the scale of the Carlow Project and technical studies required to move Carlow towards possible feasibility and early development stages”.
• At Titan, exploration using an “Infill gravity survey to confirm 4 gravity anomalies (G1-G4) in an area of surface gold occurrences and strong brecciation within ~2km wide interpreted thrust zone … [as well as reverse-circulation drilling] … to test the G1 anomaly and wider ultramafic/sediment sequence which hosts elevated gold in recent drilling”.
• Mr. Hanna said that the relatively inexpensive RC drilling at Titan “will initially test a near-circular ~400m wide gravity anomaly (G1) with small outcrops of brecciated and sheared chert which returned assays up to 41.4g/t gold”.
• Artemis Resources confirms that it expects the application for a 330km² exploration licence at Cassowary to be granted in September and that its initial programme will be spearheaded by a gravity survey to help identify drilling targets in an area believed to have potential for IOCG mineralisation associated with the >5km wide Cassowary Intrusion lying beneath around 250-300m of overlying Eucla Basin sediments.

Conclusion: Artemis Resources outlines an exploration programme for its WA projects due to start in the September quarter.  We expect the combination of drilling and geophysical exploration will generate news later this year.

Focus Xplore – formerly Katoro Gold (FOX LN) 0.05p, Mkt Cap £1.0m – 2024 results describe new focus on Canadian exploration

• Reporting 2024 financial results Focus Xplore announces a loss of £0.58m (2023 – £0.61m loss) and a closing cash balance of £6,549.
• In his report to shareholders Chairman, Sean Wade, describes “Focus Xplore’s move into uranium exploration with the acquisition (through staking) of the White Pine Uranium Project in September 2024… followed up its broader identification of critical mineral opportunities across Ontario”.
• Mr. Wade confirmed that “Activities are currently underway across the bulk of the Company’s newly acquired exploration assets in Ontario … as the Company sets out to deliver on a significant set of exploration and discovery goals”.
• The Chairman confirmed that “funds going forward will be focused on our assets in Canada. As a consequence, the Board decided to cease further investment in Tanzania”.
• He also said that the company “successfully secured a total of £307,500 in financing during March and April 2025 demonstrating support for Focus Xplore’s new strategic direction and its potential to deliver shareholder value”.

Conclusion: Confirmation that focus has switched from Tanzania to advancing Canadian exploration projects.

Ivanhoe Mines (IVN CN) C$10.9, Mkt Cap C$14m – Progress on Kakula reopening

• Ivanhoe reported yesterday an update on their Kamoa-Kakula operation, where seismic activity has impacted mining.
• The Company expects underground mining to restart later this month on the western side of the mine, which is dry and pumping at 1,000l/s.
• Eastern operations at Kakula expected to restart on dewatering, with a two-stage plan to dewater the mine.
• Stage One was reportedly completed yesterday, boosting underground pumping to 4,400l/s.
• Stage Two will see the installation of surface-mounted pumps and dewatering infrastructure, with installation expected within 90 days.
• Company notes Phase 1 and 2 concentrators are operating at 50% of combined capacity, processing ore from surface stockpiles.
• Phase 3 concentrator unaffected and Kamoa underground operations unaffected.
• Management plans to provide restart plans and geotechnical assessments next week.

Kore Potash* (KP2 LN) 3.5p, Mkt Cap £170m – Term sheet update

BUY – TP 4.4p

CLICK FOR PDF

• The Company continues to negotiate the draft non binding Term Sheet with the Summit Consortium for the Kola Potash Project funding.
• The negotiations are expected to conclude shortly.
• The team is planning to make a further announcement (presumably with details of the proposal) once negotiations complete.

*SP Angel acts as Nomad and Broker to Kore Potash

Mkango Resources* (MKA LN) 17.7p, Mkt Cap £57m – US$750k commitment to invest in Lancaster Exploration covering working capital for the SPAC merger and NASDAQ listing

BUY

• Lancaster Exploration, a wholly owned subsidiary of Mkango agreed US$750k working capital funding in the form of convertible debt.
• A $750k note purchase agreement is with one sponsor (F-4 Note Investor) and an affiliate of the other sponsor (BCE Note Investor) of Crown PropTech Acquisitions.
• Lancaster has agreed to issue and sell two convertible promissory notes ($500k to BCA and $250k to F-4).
• Drawdowns on the funding is subject to a number of conditions.
• $500k of such commitment has been deposited in escrow with release pending the signing of a definitive business combination agreement for the SPAC merger and certain approvals by the TSX-V.
• $250k of such commitment is to be invested pending the filing of a registration statement on Form F-4 with the U.S. Securities and Exchange Commission.
• Notes will have a one year maturity and carry a 12% interest after their respective issuances.
• Funding to be used to complete Lancaster SPAC merger and its listing on NASDAQ.
• Lancaster would own Mkango’s upstream (Songwe Hill, Malawi) and mid stream (Pulawy Separation Plant, Poland) projects, with the Company’s HyProMag recycling business not forming part of the merger.

*SP Angel acts as nomad and broker to Mkango Resources

Rainbow Rare Earths (RBW LN) 11p, Mkt cap £71m – Test work continues on REE processing and purification in South Africa

• Rainbow Rare Earths report progress from ongoing laboratory test work in South Africa and trade-off studies for cost optimisation at Phalaborwa.
• The in-house laboratory has been running for three months and is focussing on:

• • Trade-off study for the primary leaching circuit, which represents ~80% of forecast total costs for Phalaborwa
  • Recovery rate maximisation and impurity rejection in the initial CIX ‘continuous ion exchange’ circuit
  • Optimisation of the purification process for the mixed rare earth feed ahead of final separation.

• Optimisation to deliver lower costs on:

• • Power,
  • Reagents,
  • Labour

• In-house lab is cheaper and offers faster turnaround of assays and bench scale results than other facilities. The lab has been working for three months.

• • The lab has a ICP-MS (Inductively Coupled Plasma – Mass Spectrometer) to enable the immediate assay results.
  • Rainbow will use the results of the trade-off studies and test work to provide the optimal process flowsheet in order to finalise the definitive feasibility study (“DFS”)

• Capital cost optimisation:

• • Reduced residence times – by replacing low-temp 30˚c leach circuit with a two-stage higher temperature leach circuit
  • Mechanical vs hydraulic reclamation of the phosphogypsum
  • On-site sulphuric acid plant vs acid supplied from a third party
  • Third-party power vs Eskom power supply

• Maximisation of rare earth recovery and impurity rejection

• • Production of a high grade, low impurity feed stream to the separation process is key to achieving separated rare earth oxides of the desired purity level.
  • CIX is seen as the primary process to recover the rare earths from the leach solution.
  • CIX is expected to reduce impurities and produce a low impurity feed stream for separation.

• Early testing:

• • Early ion chromatography separation tests are underway to establish its performance under various configurations.

• REEs: Western shortage of rare earths for permanent magnets.
• Not only is Trump saying that China is dishonouring its agreement on REEs but we know a UK manufacturer which is hugely concerned at a lack of REEs for magnets for their motors.
• REE Pricing:

• • China NdPr Rare Earth Oxide (China) US$60,908/t (Asianmetal.com)
  • China: Neodymium $75.0-75.5/kg FOB China (Asianmetal.com)
  • US:  Strategic Metals Invest indicates the current price of Neodymium is $94.90/kg
  • China: Praseodymium $86-89/kg FOB China (Asianmetal.com)
  • US:  Strategic Metals Invest indicates the current price of Praseodymium is $96.9/kg per kg.

Conclusion:  Rainbow are working hard to optimise and refine their process for the extraction of critical REEs in South Africa.

We look forward to further positive news on recovery rates, operating costs, refined purity levels etc…

Robex Resources (RBX CN) C$3.5, Mkt Cap C$882m – Advancing Kiniero construction and ASX IPO

• West African producer and developer Robex reports production and a wider update.
• The Company’s Nampala mine in Mali produced 12.9koz over the quarter at an AISC of C$2,342/oz.
• Robex retains guidance for 46-48koz at <$2,000/oz AISC over 2025.
• Sustaining CAPEX for Nampala at C$24-28m over 2025, alongside stripping costs of C$20-24m.
• Net loss reported at C$29m, whilst the company paid down the Taurus Royalty over the quarter.
• Robex is set to raise A$120m in its ASX IPO, which will support the development of Kiniero, cover financing costs and support working capital requirements.
• Robex reiterates first gold guidance for Kiniero in 4Q25, with financing costs also supported by a US$130m debt facility from Sprott.
• Kiniero Project Overview:

• • Historic Mine with 968koz reserves, 1,481koz resource
  • Robex upgrading capacity to 4.1mtpa gravity/CIL plant, US$160m CAPEX.
  • 9.5 year LOM processing 1.09g/t for 90kozpa at $980/oz AISC.
  • Recoveries expected at 92% for oxides and laterite, 89% for transitional, and 86% for fresh ore.

Turaco Gold (TCG AU) A$0.54, Mkt Cap A$488m – Drilling along strike from Jonction

• Cote D’Ivoire explorer Turaco has reported drilling along strike from their 610koz at 2.1g/t Au Jonction MRE.
• Drilling was conducted 2km north of Jonction, on the same controlling contact position, at a target called Toilesso.
• Highlights from the  drilling included:

• • TOLDD0002: 5m @ 3.66g/t gold from 141m
  • TOLDD0004: 25m @ 1.75g/t gold from 126m
  • TOLDD0005: 3m @ 4.04g/t gold from 98m
  • TOLDD0006: 10m @ 1.94g/t gold from 109m
  • TOLDD0013: 3m @ 6.67g/t gold from 45m
  • TOLDD0016: 6m @ 4.24g/t gold from 112m

• The drilling added to historical intercepts at shallower depths, including:

• • HWRC002: 20m @ 3.67g/t gold from 20m
  • HWRC010: 17m @ 2.45g/t gold from 57m
  • TOL-09-96: 7m @ 4.43g/t gold from 35m
  • HWRC011: 12m @ 3.99g/t gold from 82m
  • HLRC003: 9m @ 3.61g/t gold from 24m

• Company also reports scout drilling results identifying new anomalous zones and mineralisation, including 7m at 1.56g/t Au from 126m, suggesting another potential mineralised shoot 400m south of Jonction.
• Gradient array IP surveys have delineated the continuity of the primary controlling structure at Jonctoion, suggesting ‘several km of undrilled prospective strike.’
• A third diamond rig has been added to focus on geotechnical drilling at Woulo Woulo, Jonction and Anuiri to support the ongoing PFS.

Conclusion: Turaco is aiming to build on their 3.6moz MRE for the wider Afema and see Jonction and Begnopan as supporting this ambition.

URU Metals* (URU LN) 4.67p, Mkt cap £2.5m – Zebediela project geophysics defines priority drill targets

• URU Metals report the definition of four drill targets on the Zebediela polymetallic project for the definition of further copper, nickel and platinum group metals.
• Results from an independent 3-D inversion of high-resolution aeromagnetic and Falcon™ airborne gravity data has highlighted new areas for drilling.
• Geofocus (Pty) Ltd has refined the conduit-style sulphide model and has identified a number of areas where they see potential for accumulated massive sulphide mineralisation.
• The targets are within the known Uitloop intrusion
• Targets 1 & 2 have coincident gravity–magnetic anomalies directly beneath parallel lobes of the Uitloop chonolith, interpreted as feeder conduits where massive sulphides could pond.
• Modelling indicates dense zones from ~100 m to >800 m below surface, significantly deeper than historic drilling.
• This may prove to be a vertically stacked, feeder-pipe architecture with similarities to the nickel-producing Uitkomst Complex.
• 3-D VOXI inversion of aeromagnetics shows:
• A magnetically defined ultramafic channel with some dense gravity highs where ore forming processes predict massive nickel, copper and PGE sulphide pools.
• Richard Montjoie, VP Exploration, commented:

• • “The new 3-D inversion dramatically sharpens our view of the Zeb plumbing system. We now have discrete, dense and magnetic bodies exactly where a conduit-fed nickel sulphide deposit should sit. With four priority drill targets along with the possibility of adding EM data for even finer resolution, means that we are positioned for the most exciting test of the project’s potential to date.”.

• Please see the official RNS for a more detailed reasoning of the geological thought process behind the selection of the four priority drill targets

*SP Angel acts as Nomad and Broker to URU Metals

LSE Group Starmine awards for 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 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

SP Angel                                                            

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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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Where the investment is traded on AIM it should be noted that liquidity may be lower and price movements more volatile.

SPA, its partners, officers and/or employees may own or have positions in any investment(s) mentioned herein or related thereto and may, from time to time add to, or dispose of, any such investment(s).

SPA is registered in England and Wales with company number OC317049.  The registered office address is Prince Frederick House, 35-39 Maddox Street, London W1S 2PP.  SPA is authorised and regulated by the UK Financial Conduct Authority and is a Member of the London Stock Exchange plc.

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