What it does

Metal NRG PLC’s (LON:MNRG) main focus is on its Gold Ridge Project in Arizona, acquired in November 2018, which encompasses three previously-producing gold mines known as Gold Prince, Gold Ridge and Dives mines, which are over a 1.8km strike within prospective 5km long vein swarm.

The three mines contain high-grade gold bearing quartz-sulphide veins, with historical production at the Gold Prince mine of 22,000 oz through to 1996.

The explorer is hoping to monetise the waste dumps and pillars left behind by previous operators, so that it can then go on to develop the significant exploration potential in the area.

MetalNRG also has an 8.5% stake in the Kamushanovskoye uranium deposit in Kyrgyzstan, which is currently on hold pending government legislation on uranium mining in the country which it proposed to ban in March.

The company has completed due diligence the potential acquisition of an oil and gas concession in Romania. The terms of the acquisition are under review, following the sharp fall in the oil price in the wake of the coronavirus crisis. 

MetalNRG believes the opportunity in Romania is significant


Recent developments

The company completed two campaigns in the first part of 2020 at Gold Ridge. One focused on measuring the gold content left behind in the waste dump at level 6, while the second was designed to establish the ore left behind in underground pillars. One sample returned 30.4 grams per tonne of gold and 69 grams silver. 

Coronavirus has impeded follow up work, but the compay remains keen to get back to work as soon as possible.

Due diligence on a UK oil and gas deal is being finalised and completion of the transaction is expected imminently. 

Meanwhie, the company will continue to seek additional projects that meet its set investment criteria. The intention is specifically to seek opportunities that will deliver early positive cash flows .

MetalNRG reported an unaudited operating loss for the six months period ended 30 June 2020 of £386,304). Basic and diluted loss per share for the period was 0.11p and 0.08p respectively.

What the boss says: Rolf Gerritsen, chief executive

“I am pleased with the progress we have made on the UK Oil & Gas transaction. I look forward to providing more news on this transaction and the Romanian opportunities. We are working hard at de-risking the Gold Ridge operations further and we are continuously reviewing other opportunities, which is an ongoing process.” 

“I believe we have an extremely bright future in front of us and look forward to reporting on our progress over the next few months.”