St Brides Partners Weekly Brief, Saturday 9th October 2021

As nightfall creeps up ever earlier on us and we begin to wake up in the dark, searching for the comfort of our warmest and cosiest clothing before leaving the house to brace the crisp mornings with jewel-toned leaves crunching underfoot, Autumn has clearly made itself known.

Although it comes year after year, the seasonal transition is always a sudden shock – iced lattes are replaced with pumpkin spice, the outdoor beer garden is foregone for a sofa by a roaring fireplace, and we pack up our shorts and sunnies not to be seen for another six months.

Our softest, and definitely not scratchy, blankets are returning to their rightful place on our laps after being discarded for the fan, whilst we wrap our hands around our favourite mug filled to the brim with a steaming hot concoction to warm us up from the inside as we settle into yet another season of this year and can only wonder what it will bring.

Client News

Caracal Gold plc (GCAT: LSE) welcomed an update on its ongoing exploration activities at its producing Kilimapesa Gold Mining and Processing Operations in Kenya, where it is advancing an initial shallow trenching programme on high priority targets on the newly targeted Southern Mineralized Zone ahead of the commencement of its planned RC and diamond drilling programmes later in the year. Highlight of the announcement include peak trench sample result of 40m at 4.85g/t gold including 7m at 7.6g/t from trench CART 0003 and individual samples of 1m at 15.08g/t; 1m at 14.09g/t and 1m at 12.89g/t in trench CART 0003.

Robbie McCrae, CEO of Caracal, said, “Our focus at Caracal is on rapidly delivering on our strategy of becoming a +50,000oz p.a. producer and building a JORC compliant resource base of +3Moz within the next 12-18 months. Whilst we will continue to increase production at our Kilimapesa Gold Mining and Processing Operations, in parallel with this we will be focused on our aggressive acquisition strategy and on our exploration activities on our mining and prospecting licenses at Kilimapesa where the potential to increase our resource base is significant.

Cora Gold Limited (AIM: CORA) announce the twelfth set of drill results from its largest ever +40,000m drill campaign at its Sanankoro Gold Project.  The Company focussed the drill campaign on both resource growth as well as infill drilling to convert existing Inferred resources to Indicated.  The drill results have continued to be extremely encouraging throughout the campaign with high-grade results in generally shallow oxide ore.

Highlights of these latest results included, at Zone B1: 73m @ 2.24 g/t Au from 83m in hole SC0555 and 22m @ 3.73 g/t Au from 117m in SC0556. Whilst at Zone A: 34m @ 3.06 g/t Au from 61m in hole SC0521 and 59m @ 1.28 g/t Au from 60m in hole SC0523.
Bert Monro, CEO of Cora, commented, “To have two more holes of over 100 gramme metres, taking the total number of +100 gramme metre holes to 13 in this drill campaign, is extremely exciting and also very encouraging as we approach an updated mineral resource estimate (‘MRE’).  The results continue to show good consistency of widths and grades in oxide ore which offers us further encouragement as we look towards the DFS which is already underway.”

Trident Royalties Plc (AIM: TRR) was pleased to note the recent announcement by Lithium Americas Corp. regarding positive progress at the Thacker Pass Lithium Project, in Nevada, USA. Trident holds a 60% interest in a gross revenue royalty 2 over the entirety of the Project.

Lithium Americas has also released a significant update to the Thacker Pass Mineral Resource Estimate – more than doubling the size of the MRE – and set out technical inputs to the ongoing Feasibility Study and Project timelines.

Adam Davidson, Chief Executive Officer of Trident commented:
“This latest update from Lithium Americas more than doubles to the lithium Resource estimate for Thacker Pass which has a very positive read through for Trident’s potential future earnings from this project, which is the largest lithium reserve in the United States.

The ongoing Feasibility Study is now considering an optimised mine plan targeting an initial Phase 1 of 40,000tpa lithium carbonate with a potential Phase 2 expansion to target total capacity of 80,000tpa lithium carbonate – a significant increase over the Pre-Feasibility targets of 30,000tpa and 60,000tpa for Phases 1 and 2 respectively. This comes at a time when LCE prices have more than doubled over the course of 2021. In addition, Lithium Americas reports the permitting process to be on track, with a final decision expected in Q1/2022 and with the planned pilot plant expected to become operational during H1/2022.”

Alba Mineral Resources plc (AIM: ALBA) put out an update on its development plans at the Clogau-St David’s Gold Mine. Drilling campaigns completed by Alba over the past 12 months at Clogau have successfully identified new development opportunities, both along strike and down dip of areas of known historic gold production.

In summary, two clear targets have been defined for near-term development: the Llechfraith Payshoot and the Main Lode System Extension. Alba is looking forward onto the next steps of development, which include, settle detailed engineering plans and budgets, secure contractors and obtain regulatory consents.

Scotgold Resources Limited (AIM: SGZ) provided an update on mine production and processing performance at the Cononish Gold and Silver Project in Scotland, during September 2021.

Phil Day, Chief Executive Officer, said: “The operational turnaround at Cononish continues to gain pace and we are really encouraged by the performance of the mine and the overall improvement in our production profile.  Importantly, September marked our second month where production revenues exceeded operational costs and we are confident that we are now on the correct growth trajectory to realise the full potential of Cononish.”

The Company produced 62 tonnes of gold concentrate during September up from 50 tonnes in August 2021 (a circa 24% increase), making September the second consecutive month where production revenues exceeded operational costs.

Tirupati Graphite plc (LSE: TGR) entered into a research collaboration agreement with the Department of Material Sciences and Engineering at Monash University, Victoria, Australia to develop commercial applications for a range of graphene products in raw and recycled polymer nanocomposites and dispersions. The research is focussed on enhancing thermal, electrical, and mechanical properties of various polymers and preparation of dispersions for developing a range of commercial products: graphene dispersions, conductive / high strength polymers, plastic railway sleepers, smart skin & performance coatings, and recyclability. 

SEED Innovations Ltd (AIM: SEED) announced a further investment of £150,000 in investee company, South West Brands Limited, pioneering multi-brand consumer goods group developed specifically for the CBD industry focusing on the health & wellness segment. The Investment is by way of a second 12-month, 8% Convertible Loan Note as part of a funding round by SWB to raise £300,000. The Investment takes the total amount invested by SEED in SWB to date to £450,000.

South West Brands is making great progress with two recent consumer brand launches: LoveMeMeMe, a healthcare brand who produce and market all vegan and cruelty free self-care products with CBD ingredients; and FEWE, the world’s first full cycle-care brand that is dedicated to helping women understand the science behind the female monthly cycle.

SEED also provided an update on investee company, Yooma Wellness, which has completed the acquisition of Vertex Co., Ltd., a Tokyo-based wellness business with its own range of proprietary wellness products.  In line with Yooma’s strategic plan, the acquisition strengthens its current operating subsidiaries portfolio, enhances its range of product lines, expands both its distribution network and customer base, and provides access to the Japanese and wider Asian markets. SEED has a holding of 4,427,609 ordinary shares in Yooma representing approximately 4.5% of Yooma’s issued share capital.

You may have missed… 

Listen to Andrew Monk and Paul Renken from VSA Capital in discussion about Caracal Gold and Cora Gold.

CEO of Trident Royalties, Adam Davidson, presents on Proactive’s One2One Forum.

CEO of Emmerson Plc Graham Clarke and Director Hayden Locke spoke on Zak Mir’s Traders Café.

Listen to Alba Chairman, George Frangeskides, and COO and Senior Geoligist , Mark Austin, answer a Q&A hosted by Vox Markets

In the news this week… 

Historic England is offering virtual flights over ancient landscapes that will allow users to see landscapes from England’s past.

Senate votes to raise the USA debt limit until December.

NHS England announces a deal for life-changing sickle cell treatment.

AstraZeneca Covid vaccine arrives in Antarctica, read here: AstraZeneca Covid vaccine arrives in Antarctica – BBC News

World’s first malaria vaccine to be rolled out across Africa.

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