SP Angel Morning View -Today’s Market View, Wednesday 25th June 2025

NATO expenditure commitments may be supported through Critical minerals

MiFID II exempt information – see disclaimer below

African Pioneer (AFP LN) – Award of Mining Licence in Namibia

Anglo Asian Mining* (AAZ LN) – BUY, 308p– AGM statement highlights JORC copper resource of 1mt contained copper and 400,000ox of gold

Arkle Resources* (ARK LN) – 2024 results describe Botswana exploration and identification of new prospect at Stonepark

Bezant Resources (BZT LN) – Mining Licence secured

ECR Minerals (ECR LN) – Interim results highlight next two months work in Queensland

Metals One (MET1 LN) – Colorado uranium exploration

Oriole Resources* (ORR LN) – Results from Mbe gold project in Cameroon

Predictive Discovery (PDI AU) – Bankan DFS

Tertiary Minerals* (TYM LN) – Konkola West Copper Project first drill hole stops at 2,712m in Zambia

Critical Minerals – Changing face of warfare and mines may help Canada meet US$109bn military commitment

• Canada should be able to meet part of its commitment for 5% GDP expenditure on its military though the mining and processing of critical minerals.
• “Mark Carney said Canada can meet a steep expected increase in its North Atlantic Treaty Organization obligations spending partly by leaning on the country’s bounty of critical minerals.” (Bloomberg)
• “For Canada that 5% comes out to about C$150 billion ($109 billion), he said, before clarifying “a little less than a third of that overall number is spending on things that quite frankly we’re already doing to build the resilience of our economy.”
• A 5% GDP commitment would be a significant lift from the 2% GDP previously pledged by Carney.
• The nature of warfare is changing, and a broad range of Critical minerals is now essential drones, satellites, jamming devices, tracking systems, cybersecurity etc.
• If the Cornish tin and tungsten mining industry is able to contribute to the UK’s NATO commitment this would be great news for Cornish Metals* (CUSN LN) and Strategic Minerals* (SML LN)

*SP Angel acts as nomad and broker to Cornish Metals* and Strategic Minerals*

Copper – Ongoing tightening of physical copper may be pared by the delivery of 30,000t of copper from three Chinese smelters

• Jiangxi Copper and Tongling Metals are said to be part of a group set to deliver 30,000t of copper against their hedges into LME warehouses across Asia over the next few weeks.
• Premiums for the immediate delivery physical copper have risen to $400/t over the price of 3-month futures as US premiums draw metal into US warehouses.
• These hedging positions are allegedly out-of-the money compared with the spot price of copper for immediate delivery.
• Copper smelters hedge the cost of concentrates to protect against significant price swings but the substantial backwardation could lead to losses if physical metal is not delivered in time.

Trade IG: Trading Experiences with Angeline Ong: Talk starts 2:16 into the video: 

Vox Markets: Mining Matters: https://www.voxmarkets.co.uk/articles/mining-matters-sp-angel-s-john-meyer-on-commodities-capital-and-change-7c82c6d/

Currencies

US$1.1595/eur vs 1.1585/eur previous. Yen 145.30/$ vs 145.21/$. SAr 17.728/$ vs 17.755/$. $1.362/gbp vs $1.357/gbp. 0.650/aud vs 0.650/aud. CNY 7.172/$ vs 7.177/$

Dollar Index 98.010 vs 98.044

Economics

Japan – BoJ board member comments the central bank must remain prepared to adjust rates

• Naoki Tamura rate hikes would be guided by evidence of sustained improvements in activity and inflation, stressing the need for without haste or delay.
• If the risks to inflation shift meaningfully to the upside or the likelihood of hitting the 2% target increases, the BoJ should be ready to act decisively.

Precious metals:         

Gold US$3,328/oz vs US$3,324/oz previous

Gold ETFs 90.3moz vs 90.0moz previous

Platinum US$1,314/oz vs US$1,296/oz previous

Palladium US$1,067/oz vs US$1,066/oz previous

Silver US$35.9/oz vs US$36.0/oz previous

Rhodium US$5,425/oz vs US$5,425/oz previous

Base metals:   

Copper US$9,703/t vs US$9,721/t previous

Aluminium US$2,567/t vs US$2,573/t previous

Nickel US$15,015/t vs US$14,910/t previous

Zinc US$2,701/t vs US$2,697/t previous

Lead US$2,035/t vs US$2,016/t previous

Tin US$32,540/t vs US$32,750/t previous

Energy:           

Oil US$68.2/bbl vs US$68.7/bbl previous

• Crude oil prices slid further as President Trump indicated support for Iranian exports and the API estimated a 4.3mb w/w draw (-0.6mb exp) to crude and 1mb draw to distillate, offset by a 0.8mb build to gasoline stocks.
• European energy prices were flat as France’s nuclear generation fell 4% w/w to 62% of 61.4GW maximum capacity as EDF curbed nuclear output due to the rising temperature of the Rhone River that is used for cooling.

Natural Gas €35.9/MWh vs €35.9/MWh previous

Uranium Futures $78.3/lb vs $77.8/lb previous

Bulk:   

Iron Ore 62% Fe Spot (Singapore) US$94.6/t vs US$94.5/t

Chinese steel rebar 25mm US$459.5/t vs US$459.4/t

HCC FOB Australia US$179.0/t vs US$179.0/t

Thermal coal swap Australia FOB US$111.9/t vsUS$112.9/t

Other:  

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

NdPr Rare Earth Oxide (China) US$62,068/t vs US$61,865/t

Lithium carbonate 99% (China) US$8,146/t vs US$8,081/t

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

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

China Tungsten APT 88.5% FOB US$418/mtu vs US$418/mtu

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

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

Europe Ferro-Vanadium 80% US$24.3/kg vs US$24.4/kg

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

Global Rutile Spot Concentrate 95% TiO2 US$1,687/t vs US$1,687/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$2,925.0/kg vs US$2,925.0/kg

China Gallium 99.99% US$400.0/kg vs US$400.0/kg

Company News

African Pioneer (AFP LN) 0.78p, Mkt Cap £1.8m – Award of Mining Licence in Namibia

• African Pioneer reports the receipt of a Mining Licence for its 85% owned Ongombo copper/gold project in Namibia.
• Executive Chairman, Colin Bird, welcomed the award of the licence, which is valid until 23^rd March 2045, and said that it “marks a significant milestone for African Pioneer, enabling us to transition from permitting into project execution”
• The project hosts an ‘Indicated’ mineral resource of 23mt at an average grade of 0.95% copper and 0.24g/t gold amenable to “low-cost, open-pit mining … [which Mr. Bird said] … puts us on a fast-track path toward production”,

Anglo Asian Mining* (AAZ LN) 162p, Mkt Cap £185m – AGM statement highlights JORC copper resource of 1mt contained copper and 400,000ox of gold

BUY – 308p

• The Company released an AGM statement ahead of the meeting later today highlighting the restart of full production at Gedabek and strong growth pipeline.
• FY24 production of 16.8koz GE was reduced by the temporary suspension of the agitation leach and flotation processing circuits for much of last year.
• Net debt increased by $4.4m to $14.7m at the year-end as the team focused on careful cash management during the period.
• Maiden JORC mineral resources were prepared at Xarxar (25mt at 0.48% Cu) and Garadag (285mt at 0.31% Cu) copper properties.
• Total Group JORC compliant mineral resources currently stand at over 1mt contained copper and 400koz gold.
• The team secured access to Demirli with the mine expected to production in 2H25.
• Maiden production was reported at a higher grade underground Gilar Gold/Copper Mine in May this year.
• The Company highlights the commissioning of Gilar and planned start-up of Demirli with no equity dilution.

*SP Angel acts as Nomad and Broker for Anglo Asian Mining

Arkle Resources* (ARK LN) 0.5p, Mkt Cap £2.8m – 2024 results describe Botswana exploration and identification of new prospect at Stonepark

• Arkle Resources reports a €2m loss for 2024 (2023 – €0.3m loss) and a closing cash balance of ~€27,000.
• In his remarks to shareholders Chairman, John Teeling, comments on an active exploration campaign in Botswana and the recently announced drilling results from its 22.4% owned Stonepark Zinc Project in Ireland.
• In Botswana, lithium bearing brines have been identified “over the entire 837sq km of our two licences” with analysis in Australia showing that all 20 samples submitted contained lithium “though grades were low”.
• Mr. Teeling explained that “Of potentially far greater significance are good grades of magnesium which until recently complicated lithium recovery. New technology, Direct Lithium Extraction (DLE), is showing great promise … [in the use of] … ”membranes to extract the magnesium prior to extracting the lithium”.
• The company’s partner, Group Eleven, drilled 4 holes on the Stonepark project in 2024 identifying the ‘Kilteely Prospect’ where “Further drilling will be undertaken”.
• Existing resources at Stonepark are “5.1 million tons of 11.3% combined lead and zinc”.
• Today’s announcement confirms that it has not renewed its Irish gold licences in the Avoca area althouth it is maintaining its “gold licence in the Meeneragh area of Donegal” where previous drilling has “shown good potential”.

*SP Angel acts as Nomad and Broker to Arkle

Bezant Resources (BZT LN) 0.03p, Mkt cap £4.7m – Mining Licence secured

• Bezant Resources reports that it has been granted a Mining Licence, valid until 31^st Match 2040, for its 70% owned Hope & Gorob copper and gold project in Namibia.
• The Hope & Gorob project hosts an ‘Indicated’ resource of 10mt @ 1.89% Cu & 0.31g/t Au and Bezant Resources and is expected to use of ore-sorting and pre-concentration technology to enhance the economic returns of development.
• Executive Chairman, Colin Bird, thanked the Ministry of Mines & Energy “for their confidence in awarding the Hope and Gorob mining licence … [and confirmed that the company’s future] … actions now are totally implementation based and we will advise shareholders on the framework of the Project and key operating parameters together with approximate timelines”.

ECR Minerals (ECR LN) 0.23, Mkt Cap £5.1m – Interim results highlight next two months work in Queensland

• ECR Minerals reports an after-tax loss of £0.40m for the six months to 31^st March 2025 (2024 £0.45m loss) and a closing cash balance of £0.87m.
• The company highlights operating progress including:

• • The “recent drilling project … [of 4 holes totalling 570m] … at Bailieston” in Victoria which was completed within budget and “extends the known gold-bearing mineralisation from the high-grade antimony intercept in historic hole BH3DD019, where 32% Sb was previously reported”; and
  • The recently announced mobilisation of a drilling rig to the Blue Mountain project in Queensland to test the extent of alluvial gold and where the company plans bulk sampling and “prototype wash plant testing to demonstrate recovery and revenue potential”; and
  • The planned 1,500m percussion drilling campaign at Lolworth in Queensland in July and August; and
  • The “Maiden diamond drilling campaign at Tambo, Victoria with best drill intercepts of 0.15 metres @ 24.10 g/t Au, 0.15 metres @ 10.6 g/t Au, 0.40 metres @ 8.51 g/t Au, 0.35 metres @ 1.47 g/t Au and 0.15 metres @ 1.42 g/t Au”.

• Commenting on financial events, ECR Minerals reports the A$225,000 sale of land in Victoria and highlights the “Ongoing programme to seek to realise value from historic accumulated tax losses of over A$75 million either by sale to a third party or by application to ECR’s proposed production plans” as well as the completion, in December, of a £950,000 fundraising.
• Chairman, Nick Tulloch, explained that the “development of Blue Mountain gives ECR, for the first time in its history, a clear line of sight on revenues and, with the prevailing strength in the gold price, a meaningful expectation of value”.
• He clarified that the “next two months in particular marks a pivotal moment for ECR.  Our work in Queensland got underway this week and in the immediate term our eyes are on Blue Mountain where we are carrying out a shallow drilling programme and wash plant prototype testing to determine the process for moving to large scale alluvial mining at the project”.

Conclusion: Drilling and bulk sampling at Blue Mountain is expected to clarify the revenue potential of alluvial gold over the next two months.

Metals One (MET1 LN) 22.3p, Mkt Cap £42m – Colorado uranium exploration

• Metals One reports that its exploration in the Uravan belt of Colorado has started “in anticipation of completion of the acquisition of Uravan, including award of the 10-year exploration leases”.
• The company says that, based on information retrieved from the USGS “and other archived exploration data” its Phase 1 exploration “has been significantly expanded to incorporate a wider review area, extending from an initial one-mile radius to three miles”.
• The work will focus on “the Morrison Formation, are known to host uranium-vanadium mineralisation within the Uravan Mineral Belt – the most productive uranium district in U.S. history”.
• MetalsOne also comments on a “potential second target within the Chinle Formation, located approximately 1,200 feet below surface. The Chinle Formation is recognised across the Colorado Plateau as a prolific uranium host and will be investigated further in future exploration phases”.
• Initial exploration will aim to “validate historical data and provide a modern geologic and geophysical baseline ahead of a potential Phase 2 drilling programme later in 2025”.

Conclusion: Exploration is underway on MetalsOne’s Colorado uranium project in the Uravan belt with a secondary, deeper, potential target identified.

Oriole Resources* (ORR LN) 0.22p, Mkt Cap £8.6m – Results from Mbe gold project in Cameroon

(Mbe is 90% held by Oriole Resources)

• Oriole Resources report further results from the Mbe gold project in Cameroon.

• • 2.00m at 3.21g/t Au from 149.00m, including 1.00m at 6.03g/t Au
  • 6.35m at 0.52g/t Au from 3.80m, including 2.00m at 1.03g/t Au
  • 1.00m at 3.24g/t Au from 128.10m

• Phase 1 drilling is now >70% complete with 4,918.90m drilled in 16 holes
• Results for holes MBDD014 to MBDD017 are due in Q3
• Sub-surface mineralisation is confirmed > 200m of strike with a vertical depth of 290m.
• The team are working towards a JORC Exploration Target estimation for the MB01 prospect which should be published in Q3.

*SP Angel acts as Broker to Oriole

Predictive Discovery (PDI AU) A$0.38, Mkt Cap A$990m – Bankan DFS

• The Company released DFS on the Bankan Gold Project in Guinea.
• Highlights of the study include:

• • ~250kozpa average production over 12.2y LOM
  • AISC US$11,057/oz
  • Mine mineral inventory 54.5mt at 1.86g/t for 3,260koz
  • Open pit includes 43.7mt at 1.39g/t
  • WO ratio of 1.9x
  • Underground includes 10.8mt at 3.77g/t
  • Underground to be accessed via a decline and start to supply plant feed from year one at ~1.0-1.5mtpa in parallel with open pit
  • Throughput 4.5mtpa using conventional CIL plant
  • Gold recoveries 92.8% (75microns P80)
  • Development capex $463m (including $34m in contingency)
  • Sustaining capex $209m
  • Post tax NPV5 and IRR of US$1.6bn and 46% at $2,400/oz gold price
  • Post tax NPV5 and IRR of US$2.9bn and 73% at $3,300/oz gold price

• Updated mineral reserves 51.6mt at 1.78g/t for 2,953koz including

• • OP domain of 43.7mt at 1.39g/t for 1,951koz
  • UG domain of 7.9mt at 3.95g/t for 1,002koz.

Tertiary Minerals* (TYM LN) 0.031p, Mkt Cap £1.6m – Konkola West Copper Project first drill hole stops at 2,712m in Zambia

(Kobold Metals is earning into a 70% stake in Tertiary’s Konkola West Copper Project in Zambia though the drilling of two >2,000m deep holes)

CLICK FOR PDF

• Tertiary Minerals report progress on drilling by by KoBold Metalsat at its Konkola West Copper Project Zambia.
• KoBold has the right to earn into 70% of the Project by drilling two drill holes for a minimum of 2,000m (for further details see below and the Company’s news release dated 19 December 2023).
• KoBold is targeting the potential continuations of mineralisation seen at Musoshi, Lubambe and Konkola Mines, all world-class deposits, which hosted >775mt grading 2-3% copper.
• KoBold’s large and high-grade Mingomba copper project is also located approximately 5km to the northeast of the Project.
• KoBold has drilled its first hole to 2,711m where it has been terminated due to technical difficulties ahead of its targeted Ore Shale horizon.
• This is probably the deepest hole ever drilled on the Zambia Copperbelt.
• Assays for part of the hole from 107.9m to 1837m and 2,664m to 2,711.6m have been received
• Remaining assays 0m to 107.9m and 1,837 to 2,664m are expected from the external laboratory shortly.
• Visible copper mineralisation returned anomalous copper values correlating with the observed visual estimates of chalcopyrite and bornite:

• • 0.295% (2,950ppm) copper over 1.05m from 232.23m – 233.28m,
  • 0.105% (1,050ppm) copper over 25m from 2,670m – 2,695m

• “Geochemical data is being used to further the understanding of fluid dynamics, aiding stratigraphic correlation, and characterize alteration within the target sedimentary basin.”
• Drill hole KWDD002, started on 26 March 2025 targeting down-dip extensions of known mineralisation and is targeting a depth of over 2,000m.
• Navigational drilling is being used to control drilling deviations due to the depth of the holes with good progress to-date.
• The second hole has intersected expected geology as planned and is thought to be in the Upper Roan Subgroup which lies above the targeted Lower Roan Subgroup.
• Under the Earn-in Agreement, KoBold is required to complete two holes and a minimum 2,000m of drilling within 18 months of signing the Earn-in Agreement.
• Tertiary Minerals and its local partner, Mwashia Resources Limited, have agreed with KoBold to extend the 18-month agreement by a further six months eg. To 17 December 2025 to allow time to compete the second hole and receive data and assays.

*SP Angel acts as Nomad and Broker to Tertiary Minerals

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

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

SP Angel                                                            

Prince Frederick House

35-39 Maddox Street London

W1S 2PP

*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.

DISCLAIMER

This note is a marketing communication and comprises non-independent research. This means it has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of its dissemination.

This note is intended only for distribution to Professional Clients and Eligible Counterparties as defined under the rules of the Financial Conduct Authority and is not directed at Retail Clients.

This note is confidential and is being supplied to you solely for your information and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published in whole or in part, for any purpose.

This note has been issued by SP Angel Corporate Finance LLP (‘SPA’) to promote its investment services. Neither the information nor the opinions expressed herein constitutes, or is to be construed as, an offer or invitation or other solicitation or recommendation to buy or sell investments. The information contained herein is based on sources which we believe to be reliable, but we do not represent that it is wholly accurate or complete. All opinions and estimates included in this report are subject to change without notice. It is not investment advice and does not take into account the investment objectives and policies, financial position or portfolio composition of any recipient. SPA is not responsible for any errors or omissions or for the results obtained from the use of such information. Where the subject of the research is a client company of SPA we may have shown a draft of the research (or parts of it) to the company prior to publication to check factual accuracy, soundness of assumptions etc.

Distribution of this note does not imply distribution of future notes covering the same issuers, companies or subject matter.

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