One of the best things about looking at small caps these days is that one does not have to obsess over Lockdowns, GDP and economic recovery. Instead, there is the wonderful world of CBD, blockchain and biotech to enjoy currently for those who are tired of natural resources.
Technology investor All Active Asset Capital (AAA)* continued to prove that the clue is in the name, at least in the triple AAA rating represented by its ticker code. Adding to the one year plus share price rise by another 5% was a TR1 from Candy Ventures, with the revelation of 9% through financial instruments. This came in the wake of the previous day’s announcement of 200m AAA options being granted at 50p.
Back in the mining space and it was Wishbone Gold (WSBN) which led the way as it revealed that the detailed high-resolution magnetic survey recently flown over the Company’s Red Setter Project has delineated multiple highly prospective magnetic targets over a much larger 3km x 1km area than previously interpreted. Chairman Richard Poulden said that Wishbone now planning a detailed IP to target sulphide mineralisation and prepare for the maiden drilling programme, with further updates upon finalisation of the program design. Shares of Wishbone rose 3%.
Sticking with a mining favourite and the Australia focus, in the form of Empire Metals (EEE). Here Mike Struthers, Director, said that there continue to be encouraging results from drilling at the Eclipse project, confirming the belief that there are multiple parallel vein systems present. He added that additional intersections of potentially economic mineralisation within 80m of surface indicate there is clear potential for a profitable open pit operation at Eclipse. The next phase of work is likely to include preparation of a JORC compliant resource estimate and pit optimisation studies.
Oil & gas was represented on the newswires by Canadian Overseas Petroleum (COPL), as the international oil and gas exploration and development company said that its previously announced US$65 million Senior Credit Facility was approved by the Investment Committee of the Lender, a US based Global Investment Firm. The company said this represents a significant positive step in the previously disclosed planned process of obtaining financing and completing the closing of its acquisition of Atomic Oil and Gas and its related entities.
While there was a slight cooling off for the blockchain / crypto brigade, with Argo Blockchain (ARB) closing at 280p after a 339p peak. That said, Bitcoin app Mode Global (MODE) continued its recent rally, stretching to 78p – above last month’s 77p high. Taking over from the larger companies was Upper Thames Holdings (UPPT), which has Richard “Wishbone Gold” Poulden as its Chairman. Earlier this week Upper Thames announced a move into the global blockchain space. The result so far for the company formerly known as PCG Entertainment has been a 39% jump in the share price to 8p.
One of the key requirements of a company new to the stock market is to engage with investors and deliver solid, significant newsflow. This is certainly what has been happening at Tirupati Graphite (TGR) over the past couple of months. The latest here at the specialist graphite producer and graphene developer is the commencement of its Stage II exploration and drilling programme across its primary flake graphite projects in Madagascar. Tirupati added that SRK Mining Services will oversee the Company’s Stage II Programme and update and upgrade its current Mineral Resource Statement for the Vatomina and Sahamamy Projects in Madagascar. Shares of Tirupati Graphite rose 3%.
Sharp rallies for shares off recent lows – the key reversal to the upside, can be decent near-term signs that a company is returning to favour. This looks to be the case as far as Amur Minerals (AMC), the nickel copper exploration and development company focused on the Kun-Manie project. Earlier this week Amur reported that the terms and conditions for the company’s Exploration and Mine Production Licence have been amended and registered with Rosnedra, the State Licencing Agency. The company said that a result of the impact of the Covid-19 pandemic and having extended the delivery dates for the Permanent Conditions TEO and the subsequent ensuing Mine Plan wherein detailed engineering for a full year for each, it is now fully assured on maintaining the integrity of the Detailed Exploration and Mine Production licence for Kun-Manie. Shares of Amur Minerals jumped 16%.
Finally, after pausing for breath for a couple of sessions, shares of international CBD group Zoetic (ZOE) rebounded 12% in the wake of the progress update at the start of the week and Share-Talk interview. It appeared that the recent bear assault on the company faded given the overall stock market enthusiasm for all this CBD, and the blow the lights out entrance onto the market by the “first London cannabis IPO” Kanabo (KNB). Shares of Kababo peaked at 51p versus their 6.5p float price, while MGC Pharma (MXC) bounced another 56%. MGC announced signed an exclusive master supply and distribution agreement with a leading European nutraceutical producer and distributor, Swiss PharmaCan for the sale and distribution of the Company’s food supplement ArtemiC™
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*The author owns shares in All Active Asset Capital (AAA).