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Turner Pope Investments | AIM Shares | Growth Companies & Small Cap, London

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Date: 16/02/2024

Orosur has announced a modest fundraise of £0.50m (gross) through an equity placing priced at 2.95p/share, together with a grant of one unlisted warrant (‘Warrant’) at 50% premium for every Placing share subscribed (together the ‘Placing’). With cash-in-hand of c.US$1.7m (c.£1.4m) at end-January 2024, the Group was already more than able to fund its corporate overhead into 2025. The additional funds, however, will enable it to complete its move away from the primarily passive phase it assumed since 2018 (during which exploration funding was provided through its major JV partners), to become an active explorer once again. Given that the uncertainty generated amongst the international mining community following the appointment of Gustavo Petro’s left-wing administration in 2022 has now largely receded, amid surging support for more right-leaning and more investment-friendly opposition parties, the timing looks good. Improved sentiment toward funding early-stage mineral exploration across Colombia, appears set to coincide with Orosur reclaiming 100% control of its flagship Anzá Gold Project (the ‘Anzá Project’).

Date: 15/02/2024

N4P has released a further, highly encouraging update from its ongoing in vitro siRNA research work. This demonstrates a strong beneficial effect on cellular inhibition from combined loading of EGFR (epidermal growth factor receptor) and PLK1 (Polo Like Kinase 1) onto the same Nuvec® nanoparticle, compared to single-dose siRNA when tested in PC9 lung cancer cells. The effect was seen to increase over time up to 48 hours in a number of repeat experiments, heightening each time according to the amount of siRNA applied. This news of course closely follows the Group’s 7 December 2023 release that also confirmed Nuvec®’s ability to be loaded with and concurrently deliver two (or more) different siRNA known to inhibit relevant oncology targets without changes to size or charge, which are two essential parameters for successful cellular uptake. Taken together, these results suggest forthcoming clinical validation could rapidly elevate Nuvec® and/or the Group’s LipTide® platform (which was recently secured through its Nanogenics Limited acquisition) into potentially lucrative third-party licensing/partnering opportunities.

Date: 05/02/2024

Aptamer has provided a first half trading update to 31 December 2023 in which it warns that the current year revenue target of £3m it set with release of its full year results to 30 June 2023 is now expected to be missed. Clear progress has nevertheless been registered since the Group confirmed its £3.6m (gross) fund raise and boardroom changes on 31 July 2023. Presently, it has over £1.4m of signed deals being processed through its laboratories along with c.£1.5m of pipeline opportunities considered to be at an advanced stage while, somewhat further out, two longer-term deals with big pharma could potentially crystalise into ongoing strategic relationships with c.£6m of value. The principal issue appears to be one of timing. Aptamer’s customer base is one that cannot be hurried, although the extent of high-level interaction encompassing a wide range of industry leaders through to smaller sector innovators suggests it is not a case of ‘if’ but ‘when’ more sizeable uptake of its highly specialised services gets underway.

Date: 16/01/2024

Microsaic confirms its acquisition of certain assets and intellectual property of the Modern Water business (the ‘Acquisition’) previously operated by the now delisted DeepVerge plc, the successful undertaking of a conditional equity fundraise (the ‘Revised Fundraise’) of c.£2.1m (gross) at 1.25p/share (representing a c.70% discount to the equivalent pre-consolidation closing mid-market price on 30 June 2023) and its restoration to trading on AIM. The net proceeds of the Revised Fundraise will be used to support the Group’s working capital needs as enlarged by the Acquisition as well as to fund the £100,000 consideration for the Acquisition. The assets being acquired include equipment for laboratory-based manufacturing of bio-reagents and the IP/rights to its water-related testing operations, but exclude the subsidiary’s voltammetry technology and facilities. Microsaic is also expected to discharge all intra-company debt (sum to be formally verified, although TPI estimates the outstanding sum owed by DeepVerge remains in excess of £1.3m) as part of the consideration for the Acquisition.

Date: 21/12/2023

Ironveld has released its final results for the 12 months ended 30 June 2023. While these detail financial and operational progress very much as expected for the period, yesterday’s Chairman’s Statement also confirmed negotiations to secure direct institutional funding are now well advanced. Expected to close in early 2024, this will enable much needed new investment in Group operations, including additional capital equipment at the Rustenburg smelter facility, which presents the best opportunity to maximise value through its substantial magnetite ore resource being processed into higher value metal products, specifically high purity iron (‘HPI’), high purity iron powders (‘HPIP’), vanadium slag and titanium slag. Meanwhile, following his appointment as Executive Chairman in early November, Dr John Wardle took the decision to preserve available cash by removing existing rented electrical generators with a view to replacing them with similar capacity, dual-fuel units on hire purchase early in 2024; leaving the smelter temporarily on a care & maintenance basis, which should deliver annualised savings of c.ZAR 40 – 50 million (£1.7 – £2.1 million).

Date: 18/12/2023

Nuvec®’s viability as a novel drug delivery system has taken a further step forward, with confirmation of its successful oral administration loaded with a DNA plasmid for ovalbumin. The oral route is significantly preferred by pharmaceutical groups and practitioners for both systemic and local drug delivery. Prospective advantages for those seeking to utilise the Group’s unique silica nanoparticle technology for drug and therapeutic developments targeting multiple diseases, include safety, good patient compliance, ease of ingestion and pain avoidance, etc. Moreover, coming shortly after N4P’s 7 December 2023 announcement that confirmed Nuvec®’s ability to be loaded with and concurrently deliver two (or more) different siRNA known to inhibit relevant oncology targets without changes to size or charge, which are two essential parameters for successful cellular uptake, forthcoming clinical validation presents potential for rapid elevation into lucrative third party licensing/partnering opportunities for both this and/or the Group’s LipTide® platform (which was recently secured through the Nanogenics Limited acquisition).

 

Date: 14/12/2023

Following yesterday’s market close, ValiRx announced a conditional equity placing plus conditional Directors/PDMR subscription (together ‘the Placing’) to raise c.£1.61 million (gross), through the allotment of new ordinary shares to new and existing holders at an issue price of 6p each. In addition to the Placing, the Group is also undertaking a separate conditional Retail Offer (the ‘Retail Offer’) to existing shareholders via the Bookbuild platform to raise up to £0.25 million (gross) at the same price (being a 23% discount to 12 December 2023’s closing), taking the total fundraising to as much as £1.86m (gross). The Board is seeking the necessary shareholder approval for issuance of the Placing Shares and Retail Offer Shares at a General Meeting scheduled for 4 January 2024. Dealings in the newly issued Shares are expected to commence, on or around 8 January 2024. The net proceeds of the Placing will be used both to accelerate exploitation of assets acquired from Imagen Therapeutics and to advance the Group’s preclinical product pipeline.

Date: 07/12/2023

N4 Pharma has released an update on its ongoing in vitro double-loaded siRNA research work. It is investigating the ability of Nuvec® nanoparticles to be loaded with and concurrently deliver, two different siRNA known to inhibit relevant oncology targets. Through application of multiple different constructs, it has demonstrated that such loading can be undertaken without changing the size or charge of Nuvec®, which are two essential parameters for successful cellular uptake. While the in vitro findings did highlight the complex nature of multiple pathway targeting, including an apparent reduction in knockdown of EGFR (epidermal growth factor receptor), it is significant that reduction in cell viability was always retained. As such, Nuvec® is demonstrating a highly innovative and much needed approach to more effective cancer treatments by reducing the ability for tumour escape.

Date: 29/11/2023

On the 24th November Distil, the premium drinks brands owner, conditionally raised £0.765m (gross) through a Placement and Subscription of new shares (together the ‘fundraising’) priced at 0.35p per Placing Share (the ‘Issue Price’).

Perhaps anticipated following publication of interim results on 12 October, which detailed cash reserves as of 30 September 2023 down to just £321,000, the fundraising is intended to provide working capital to enable Distil to service customers with stock throughout the busiest time of the year, as well as support increased promotion of its brands at point of sale. It will also provide an important springboard for growth planning through to the end of March 2025, which comprises the opening of the Blackwoods gin experience at Ardgowan, consumer brand activation at key events, development of premium line-extensions, limited-edition bottlings, and the launch of a new-to-world brand in an emerging category, which could take the business into an exciting new space for capturing sales.

Date: 26/10/2023

Clearly demonstrating confidence in its business opportunity going forward, Ironveld’s largest shareholder, Tracarta Limited (in which current Non-Executive Director Dr John Wardle has a beneficial interest), agreed to cornerstone a fundraising (the ‘Subscription’ or ‘Fundraising’) at 0.278p/share (‘the Subscription Price’), representing a 23.5% premium to yesterday’s closing mid-price. TPI has procured orders for a further £550,000 from existing shareholders on the same terms, taking total gross proceeds to £1m. Conditional upon shareholder approval, subscribers will also be issued with warrants to subscribe for new ordinary shares at a price of 0.29p. Following the Subscription, Dr John Wardle will assume the role of Executive Chairman of the Group, with Giles Clarke remaining as a Non-Executive Director.

Date: 18/10/2023

Zephyr has provided an update on its State 36-2 well, along with details of a farm-in agreement in the proven Salt Wash Field in Grand County, Utah. Further to January’s well control incident, recent operations at State 36-2 have not resulted in what the Board considers to be sufficient recoveries of damaged tubing to justify continuation of the ongoing well work costs versus those estimated to instead redrill. Having already considered such an outcome, discussions had commenced with its insurer some weeks back to assess the multiple alternative options for realising the significant potential productivity of the reservoir at this location. Following a detailed review, management has now elected to proceed with a ‘twinned’ well from an adjacent location on the same drilling pad.

Date: 18/10/2023

Nanoco has released final results for its year ended 31 July 2023. Delivering strong revenue growth and a substantially reduced adj. LBITDA for the period as anticipated in its Trading Update of 8 August 2023, with hedged litigation proceeds fully underpinning the Group’s transition from an R&D first mover to a leading producer of QD materials in the short term, Nanoco appears to have reached an important inflection point. Having committed to return £33-40 million (or approximately 10p-12p/share) to shareholders from part of the second tranche payment due in February 2024 (net US$71.75 million), the c.£20 million retained by the Group is being directed to accelerating development of higher performing second-generation materials, funding an IP licensing programme and becoming debt free, as it progresses toward commercial production.

Date: 16/10/2023

In accordance with its strategy of securing high quality mineral exploration opportunities in key jurisdictions, Orosur has signed a joint venture (‘JV’) agreement to explore a number of exploration licences across Nigeria (‘the Project’) that it considers to be highly prospective for lithium mineralisation. Having examined options to enter the lithium space for over two years, the Board chose to dismiss initial opportunities focussed on Andean brines and Brazilian pegmatites that had become particularly competitive with correspondingly high entry costs, in favour of more recently identified Nigerian prospects which, to a large extent, offer a geological mirror image of the pegmatite fields in northeastern Brazil. Importantly, the local team of its Nigerian JV partner, Jurassic Mines Ltd (‘Jurassic’), complements the long-standing relationships and experience gained in the territory by Orosur’s executives, which should ensure alignment with several key geological and logistics experts, thereby minimising immediate upfront investment and addition to overheads.

Date: 29/09/2023

Utilising its available unissued headroom, N4 Pharma has raised £0.35m (gross) new funding through an equity placing priced at 1.0p/share. Ensuring no distraction of existing resources destined for ongoing Nuvec® work, this will pay for the acquisition of a 71.25% stake in UK-based Nanogenics Limited (‘the Company’), which reduces to 63.75% upon management’s future vesting of shares for meeting key strategic milestones, along with a £50k 2-year discretionary loan (at base rate). As a result, N4P will now assume responsibility for overseeing completion of preclinical development for the Company’s lead candidate, ECP105, over the coming 12– 15 months, while also moving its proprietary non-viral delivery technology, LipTide® , toward validation. Having already recorded positive preliminary data for delivery of siRNA using LipTide® , with efficacy in vivo for prevention of glaucoma surgery failure, N4P’s Directors believe this could lead relatively rapidly to first-in-human clinical trials.

Date: 29/09/2023

Zephyr has released its interim financial report for the six months ended 30 June 2023. Detailing financials very much in line with expectations, investor focus remains the significant new capital invested both into the Williston assets and the Paradox project during the period. Initial returns from this are expected to be seen in Q4 2023 when the Slawson wells come online for the first time, followed in due course by the Group’s first sustained revenues from the Paradox project as it completes and ties-in its recently drilled wells. While progress on the latter has been hindered by State 36-2’s well control incident, the Board remains confident that this was in fact an illustration of the overall project’s significant and larger production potential. With respect to this, over US$3.7 million has been collected from its insurer to date, with full coverage for potential future work including additional costings for a sidetrack or re-drill of the original well from the same pad.

Date: 23/09/2023

Having reset its accounting reference date and year end to 31 December, eEnergy has released its unaudited interim accounts for the 12 months to 30 June 2023. Very much in accordance with its Trading Update of 27 July 2023, the Group delivered strong 50% revenue growth over the period driven by new contract wins. Significantly, cost management enabled a 90bp improvement to Energy Service’s gross margins despite inflationary pressure and changing mix for its rapidly expanding eSolar & eCharge offerings. Net debt increased by £3.3m largely due to a £5.2m increase in working capital that was driven by net accrued revenues (representing future contracted cash due), repayment of legacy (non-trade) liabilities and a reduction in the provision for earn-out consideration related to the acquisition of Utility Team. This was mitigated, however, by various management actions and initiatives, limiting the net increase in trade working capital to just £1.3 million.

Date: 20/09/2023

Seeking to satisfy interest from existing non-UK shareholders who could not be contacted in time to participate in the Group’s August 2023 fundraise, Aptamer has raised a further £310,772 through the issue of 28.3m new ordinary shares by way of a subscription and a placing by Turner Pope (‘the Fundraise’). Priced at 1.1p/share, a full 10% above the level achieved last month, the Group was able to take advantage of demand from other existing shareholders while utilising only its remaining net authorised unissued share capital. The Fundraise included a subscription by Dr Adam Hargreaves, one of Aptamer’s non-executive directors, as a result of which he now holds 4.81% of the Group’s enlarged issued share capital, while keynote life sciences investor, Nicholas Slater, now stands at 5.57%.

Date: 18/09/2023

Ironveld was unexpectedly hit by a power supply shortfall at Rustenburg during July and August. This occurred when the two refurbished furnaces, Argon Oxygen Decarburization (‘AOD’) converter and Granulator were simultaneously brought on stream for the first time. In line with its plan to remain independent of South Africa’s failing power grid, which routinely imposes extended power outages as part of ESKOM’s ‘load shedding’ strategy, new diesel generators have since been installed and are now supplying the facility as planned. They will also provide capacity sufficient to operate the third furnace, that is now expected to be commissioned in October. Recognising that it would have been uneconomic to attempt production of high purity iron (‘HPI’) during this time, management instead opted to preserve cash resources, while also undertaking test work in expectation of securing a cash-generative short/fixed-term and quantity contract from a third party for processing during its plant shutdown.

Date: 01/09/2023

Ironveld has announced certain amendments to the funding and operational structure of the DMS Magnetite operation currently being established at the Group’s mining area. JSE-listed Sable Exploration and Mining Limited (‘SEAM’, JSE: SXM), via a subsidiary company Sable Platinum Holdings (Pty) Limited (‘SPH’), will now enter the joint venture (‘JV’) that was originally formed equally between Ironveld Mining (Pty) Limited (‘Ironveld Mining’) and Pace SA (Pty) Limited (‘Pace’) on 27 January 2023, as its new funding partner. SPH will advance all necessary funding of approximately ZAR 15 million (approximately £650,000) for establishment of an initial quick-start 10,000tpm capacity plant, with the option to fund future expansions in capacity depending on the project’s success. Once SPH’s capital has been repaid, ownership of the joint venture will then become IPace Pty Limited (‘IPace’): 50% and SPH: 50%.

Date: 24/08/2023

ValiRx has released its half year report to end-June 2023, along with an update covering significant post period events. Highlights from a busy year to date included not only the launch of the Group’s wholly owned subsidiary, Inaphaea BioLabs, which recorded its first external sales just two months later, along with the acquisition of Imagen Therapeutics’ scientific assets plus the signing of collaboration agreements with Physiomics, OncoBone and Agility Life Sciences, whose complementary capabilities build-out its tCRO® concept. The inclusion of such one-off operational and investment activities kept first half cash burn at a relatively high level, taking the period-end cash position to c.£0.89m, since when the Board has been managing its resources in the most efficient manner with a view to reducing monthly outgoings while maintaining momentum over the remainder of 2023 with additional balance received post period in the form of R&D tax credits.

Date: 23/08/2023

The Group’s GraftBio® division has signed a manufacturing services agreement (the ‘Agreement’) with a prominent partner (‘the Partner’) in the Israeli pharmaceutical market. The unnamed customer has an innovative product whose manufacturing requires deep-seated understanding of and experience with polymers. Following a recent, successful, pilot scheme, Graft Polymer has been contracted by the Partner to produce its patented haemostatic powder at its now fully operational production facility in Slovenia, under which it will assume the role of lead contract manufacturing organisation (‘CMO’). This represents an important step in the expansion of the Group’s overall bio-product proposition. Having achieved its first operating cashflow positive month during 2022, on the back of GraftBio®’s receipt of a commercial-scale drug delivery order from MGC Pharmaceuticals Limited (LSE: MXC), the Group’s ability to find technical solutions, for what have previously been considered intractable problems, through innovation and collaboration is clearly its unique selling point.

Date: 31/07/2023

Plugging a near-term funding gap, Aptamer Group has announced its successful raising (the ‘Fundraise’) of £3.6m (gross) through an equity placing (the ‘Placing’) priced at 1.0p/share. TPI acted as Broker in relation to this Fundraise and has been appointed as Corporate Broker.

Targeting cash neutrality within two years. Today’s Fundraise follows the Board’s 5 May 2023 warning that full year revenues were expected to fall materially below FY2021/22. Although this shortfall was in part down to slippage of anticipated contractual work into the current financial year, the Group belatedly recognised that its cost base had become inflated in expectation of further contracts and projects which did not materialise.

Date: 26/07/2023

Consistent with the message provided to shareholders in June’s interim results statement Actual Experience, in conjunction with a large US channel partner, confirmed on Monday the securing of a second order for its Digital Workplace Management Platform (‘DWMP’) within 9 months of its commercial launch. The customer, an unnamed major global healthcare enterprise, selected ACT’s newly offered DWMP Light option, through which it entered a shorter-term engagement as a means of baselining its current digital ecosystem ahead of a major transformation programme. The contract value amounts to £135k in revenue for a 6-month project although, in expectation of delivering a positive digital experience, management anticipate discussions during this period will subsequently result in the phased international deployment of its complete system.

Date: 19/07/2023

ValiRx’s wholly-owned subsidiary, Inaphaea BioLabs Limited (‘Inaphaea’, ‘the Company’) has signed its first Master Services Agreement and Project Statement of Work (‘the Project’) with a UK-based biotech company. Representing a landmark event for the Company, which only completed the fitting-out and staffing of its new laboratory in MediCity (Nottingham) a month ago, this suggests Inaphaea may have identified an underserved market opportunity for provision of independent cell-based experiments and services for customers which, in turn, should also facilitate a reduction in external testing costs for the Group’s in-house studies, including VAL301 and Cytolytix CLX001.

Date: 12/07/2023

Subject to shareholder approval, IIG has yesterday proposed cancellation of trading on AIM and admission to trading on the London Stock Exchange’s (‘LSE’) Specialist Fund Segment (‘SFS’). Taking place in conjunction with the conditional appointment of a new keynote Non-Executive Chairman, namely Sir Nigel Rudd, the Board is also proposing a series of transformative measures (‘the Proposals’) including the adoption of a new investment policy, the granting of general authority to allot Ordinary Shares and disapplication of statutory pre-emption rights. As part of this corporate action, IIG intends to provide Qualifying Shareholders with the ability to realise some or all of their shareholding in the Company through a proposed Tender Offer under which up to c.12.9 million would be purchased by Placees procured by Turner Pope at a price of 5.25 pence per Ordinary Share.

Date: 10/07/2023

Zephyr has released an update covering various operations at its flagship Paradox Project in the Paradox Basin, Utah (the ‘Paradox project’). Significantly, this confirms satisfactory progress continues to be made with respect to the State 36-2 LNW-CC well, with continuing expectation that it will deliver a production test in the near-term. The Board also notes that payment of initial invoices submitted to the Group’s insurer with respect to last April’s well control incident, amounting to c.US$0.8m have been received, with additional claims now being submitted on a regular basis. A further positive is that Zephyr’s recent application for a portion of the additional leased acreage it acquired on 25 August 2022 to be included within a larger Expansion/Contraction amendment of the White Sands Unit (the ‘WSU’) has now been granted, resulting in an amended federal unit with an upgraded and manageable land position.

Date: 05/07/2023

Orosur has released an update on the progress of exploration activities at its Ariquemes Tin Project (‘Ariquemes’ or the ‘Project’) in Brazil. Following completion of a regional stream sediment program across the entire licence area, which successfully mapped large zones of tin and niobium anomalism, the Company has now decided to move to the next phase of exploration. Targeting two prospects for small works programs, several key geological questions will be addressed which, if successful, could mark a major milestone in identifying areas of economic mineralisation. At a time of encouraging tin and niobium prices, this may provide Orosur with valuable optionality. In the meantime, the Company’s El Pantano Project in Argentina continues to be progressed while negotiations regarding the next stage for its Anzá Project in Colombia remain ongoing.

Date: 04/07/2023

Completion and commissioning of Graft Polymer’s new, bespoke production equipment in Slovenia is expected around end-July 2023. This will result in a doubling of the Group’s production capacity. Supported by the granting of seven key polymer modification patents and the securing of Hazard Analysis and Critical Control Point (‘HACCP’) certification to enable commercialisation of its IP for bio/pharma applications, this will expand the Group’s opportunity to deliver new product ranges along with improved response times across both its divisions. Having achieved its first operating cashflow positive month during 2022, on the back of GraftBio®’s receipt of a commercial scale drug delivery order from MGC Pharmaceuticals Limited (LSE: MXC), the Group’s ability to find technical solutions, for what have previously been considered intractable problems, through innovation and collaboration is clearly its unique selling point.

Date: 26/06/2023

Inaphaea BioLabs Limited (‘Inaphaea’), ValiRx’s recently incorporated and wholly-owned subsidiary, has completed the fitting-out and staffing of a new laboratory in MediCity (Nottingham) to conduct cell-based experiments. Leveraging its team’s extensive drug development expertise in support of both in-house developments and external client projects, this facility is destined to become a centre of excellence through which the Group intends to optimise translation of early drug discovery projects towards the clinic. Focusing initially on women’s health and oncology, ValiRx’s concept of a Translational Contract Research Organisation (‘tCRO®’), which employs the power of advanced data generation, bio-analytics and interpretation, thereby integrating a range of currently fragmented niche service offerings/specialisations, is now in an advanced stage of creation.

Date: 20/06/2023

Nanoco has announced the posting of a Circular setting out details of a Proposed Capital Reduction to create distributable reserves in order to facilitate future returns to Shareholders. This Circular will also contain the Notice of General Meeting to be held on 7 July 2023. This action is in accordance with the Board’s declared intention to deliver a “material return of capital to shareholders” following February’s transformative securing of final definitive agreements (collectively the ‘Settlement’) with Samsung amounting to US$150m (c.£124.3m) in settlement of ongoing litigation. Utilising the second tranche of the proceeds it is expecting to receive in February 2024, the Board intends to initiate a return of between £33 million and £40 million (or approximately 10 pence to 12 pence per share), although no final decision has yet been taken as to the precise method of this distribution.

Date: 06/06/2023

Zephyr confirms it has raised £3.15m (gross) through an equity placing priced at 3.5p/share that was supported by existing institutional and other investors, resulting in roughly 5% dilution for current shareholders. Utilising existing share authorities, in the near-term this new funding is designed to bridge a gap resulting from both unexpected delays in building-out surface facilities at its recently acquired, Slawson Exploration-operated Williston Basin interests (‘the Slawson acquisition’), plus working capital required to complete the State 36-2 LNW-CC production test following April’s well control incident. In the longer term, the funding will be utilised to accelerate the Paradox infrastructure build-out. It will enable Paradox project development to remain on schedule as the comprehensive insurance reimbursement process gets underway, and while also waiting for initial production from the Slawson well (which has now slipped to October 2023, some three-six months behind the original schedule).

Date: 01/06/2023

Clear operational progress was demonstrated with the Group’s H1 FY2022/23 results. Post-COVID tailwinds are sustaining strong customer momentum across both Energy Services (‘ES’) and Energy Management (‘EM’), with pipeline providing high forward visibility that is feeding-in through operational gearing. Having completed an intensive phase of acquisition integration during which gross margins were upheld despite inflationary pressures, overall working capital is now being stabilised. This leaves the Board confidently targeting normalised cash conversion of EBITDA before the financial year end in tandem with completion of scheduled pay-down of legacy liabilities. The outcome of this will be for the Group to become cash positive for the whole of H2 FY2022/23, following which TPI anticipates delivery of further substantial improvements in FY2023/24 and beyond.

Date: 16/05/2023

Zephyr has released Q1 2023 results from its Williston Basin portfolio, along with an update from State 36-2 LNW-CC following the well control incident announced on 11 April 2023. Hydrocarbon production from the Group’s non-operated asset portfolio performed exactly in line with expectations as more wells entered their initial decline phase which (combined with lower commodity prices) resulted in a modest reduction in operating income compared with Q4 2022. This is projected to be more than compensated by the Slawson Exploration (‘Slawson’) operated wellbore interests coming online, although delays related to completion of surface facilities on their well pad means this is now forecast to occur in October 2023, roughly three months behind their original schedule.

Date: 12/05/2023

Ironveld has released a positive operational update. Noting its buyers’ preference to receive high purity iron (‘HPI’) in the form of a granulated final product, which commands a materially higher selling price than standard cast output, the Group has undertaken an assessment of the existing Granulator plant at its Rustenburg smelter. As a result, an amended work programme designed to bring the damaged unit back into production is already underway, with the expectation that the smelter will now operate just two furnaces until July, by when the third is also expected to be brought on stream. No material delay to management’s existing plan to reach full production capacity by Q3 2023 is foreseen despite the improved economics envisaged.

Date: 04/05/2023

Minera Monte Águila (‘MMA’) has updated Orosur with respect of its position in relation to the Anzá Project (‘the Project’), confirming that it is reviewing its options in relation to the Project and that it has reduced exploration expenditures, effectively placing it in ‘care and maintenance.’ This comes shortly after MMA’s equity participation of 51% in the three-phase joint venture (‘the JV’) had been secured following Orosur’s receipt of a US$2m stage payment. While leaving all options open at this time, MMA’s decision appears to be related principally to complexities surrounding the recent merger activity of both Newmont Corporation and Agnico Eagle Mines Ltd, as well as a more difficult political background in Colombia.

Date: 26/04/2023

This week and last, N4 Pharma released positive siRNA updates. Having successfully undertaken single loading of both the EGFR and BCL-2 siRNA nucleotides onto Nuvec® which produced good monodisperse formulations, single loaded EGFR siRNA demonstrated strong silencing of the EGFR gene with a dose response curve established. Overcoming some temporary siRNA supply issues, the Group has subsequently also completed work on establishing assays to measure how Nuvec® loaded with BCL-2 siRNA can silence expression of the BCL-2 protein. Significantly in this respect, in vitro studies indicate inhibition profile similar to two commercial therapies, namely Gefitinib (for EGFR) and Venetoclax (for BCL-2).

Date: 17/04/2023

Having undertaken a comprehensive review of all of the Group’s major work contracts and strictly applied the relevant accounting standard IFRS 15 (‘Revenue Recognition from Contracts with Customers’), DeepVerge’s new management team now expects full year 2022 revenues to be c.45% to 50% of the £17.2m revenue figure provided by the previous executive management team. It is important to note, however, that the vast majority of this revenue shortfall has not been lost but is now expected to be recognised in 2023, although the Board considers some is unlikely to be realised at all. Whilst further analysis continues, this carry-over adds substantially to Modern Water and Glanaco’s current order book that now exceeds £10m, all of which is expected to be deliverable (and recognised as turnover) in 2023 and 2024.

Date: 14/04/2023

Zephyr yesterday provided an operational update for its State 36-2 LNW-CC well (the ‘State 36-2 well or ‘the Well’) at the Group’s flagship project in the Paradox Basin, Utah. Following completion of workover operations on 7 April 2023, apparent failure of a Full Opening Safety (or ‘TIW’) Valve at surface led to a significant well control incident. Despite multiple attempts by the rig crew to secure the Well, hydrocarbons were released from the wellbore in an uncontrolled manner. Importantly, all personnel were safely evacuated without injury and relevant authorities were notified, as a result of which a specialist well control team (recommended by the Group’s insurers) was deployed. On Monday the Well was successfully brought back under control, following which well pad remediation steps immediately commenced.

Date: 03/04/2023

Ironveld has announced its signing of a Letter of Intent (‘LOI’) with BurnStar Technologies (Pty) Limited (‘BurnStar’), to proceed towards a binding Legal Agreement under which BurnStar will implement its patent-pending ‘Guilt-Free Hydrogen’™ technology to process Liquefied Natural Gas (‘LNG’) on site at Ironveld’s Rustenburg smelter. As part of the Agreement with the Group’s wholly-owned subsidiary, Ironveld Energy (Pty) Limited (‘Ironveld Energy’), BurnStar will produce hydrogen as a furnace reductant gas to significantly reduce Ironveld’s carbon consumption and potentially take the lead in producing premium priced ‘green metals’ in South Africa.

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