SP Angel . Morning View . Tuesday 20 04 21

Copper prices continue to rise as US ports break records



MiFID II exempt information – see disclaimer below

BlueRock Diamonds (AIM:BRD) – Q1 Production update highlights work towards higher throughput

Cornish Metals* (AIM:CUSN) – Cuprite at United Downs

IronRidge Resources* (AIM:IRR) – Additional high-grade intersections at Ewoyaa lithium project

Kavango Resources (LON:KAV) – Electro-magnetic anomaly identified at KSZ project

Mkango Resources* (LON:MKA) – Flotation pilot plant test-work completed

Petra Diamonds (LON:PDL) –Q3 production and improving diamond market

Rio Tinto (LON:RIO) – Q1 production performance maintains production guidance across all product groups

Shanta Gold (AIM:SHG) – Drilling results expand the New Luika resource and drilling continues at the West Kenya project

Zamare* (Private) – Zamare raises funds for further copper exploration in Zambia


Port volumes break records on US West Coast

  • US ports are breaking new records for imports as shops and online retailers stock up ahead of new consumer splurge (supplychaindive.com).
  • Volumes at the Port of Los Angeles rose nearly 123% yoy and 65% on ’19 in March to 490,115 TEUs (twenty-foot equivalent unit containers).
  • Imports have climbed to high levels driven by Biden’s ‘Go Big’ stimulus and by consumer exuberance led by the rapid roll out of vaccination in the US.


Copper prices rise as Chinese smelters pledge capacity cuts

  • Copper prices powered towards seven week highs this morning, as Chinese smelters pledged to curb capacity expansion while copper’s demand outlook continues to remain strong on firm expectations of a global economic recovery. 
  • China’s largest copper smelters have recommended limiting new capacity and using more scrap metal to help meet the country’s climate goals, according to state run firms and reported by Bloomberg. 
  • The top smelters intend to respond actively to a call for production discipline, and recommend that government agencies strictly control new capacity. 
  • The nation’s metal producers claim that the move is driven by smelters taking steps as Chinas tries to meet a goal of carbon neutrality by 2060.


Canadian Mining Association says REE support too modest to displace reliance on China

  • The Mining Association of Canada’s CEO, Pierre Gratton, has said that that specific support is too modest and insufficient to displacement to displace reliance on China.
  • Several refined measures proposed in the 2021 federal Budget to support the establishment and growth of a domestic battery supply chain don’t go far enough, with more required to establish a domestic battery electric vehicle supply chain.
  • According to Gratton, “We need battery grade nickel, cobalt, lithium and graphite and we are pleased to see programmes and tax measures that we believe can support filling or expanding domestic production of these materials,”
  • With respect to REE, Gratton commented: “more must be done to specifically advance REE development in Canada if we are to be an equal and credible partner with the United States in shoring up a domestic North American supply chain for these materials,” 


No.1 in Copper:  “The winner of the 2020 Fastmarkets Apex contest for copper was the team at SP Angel comprising John Meyer, Sergey Raevskiy and Simon Beardsmore, with an  accuracy score of 93.8%”

No1. In Gold:  “SP Angel’s trio took the top spot for the gold price prediction throughout the year, with an accuracy score of 97.59%”

The SP Angel team also ranked 1st in Palladium, 3rd in Tin and 5th in Silver in the fourth quarter of 2020


Dow Jones Industrials -0.36% at 34,078

Nikkei 225 -1.97% at 29,100

HK Hang Seng -0.01% at 29,103

Shanghai Composite -0.13% at 3,473



India – to start vaccinating all adults over 18

  • A surge of Covid-19 infections in India has prompted the government to start vaccinating all adults over 18
  • Vaccines are already in short supply on many states with 27m doses at present which will last just 9 days.
  • The new Indian Covid-19 variant is reported to be similar to the Brazil and South African variants.
  • A Sky News report suggests the new Indian variant ‘B.1.617’ could become dominant in the UK by June.
  • ‘Scientists and doctors are concerned this particular variant could be more transmissible and may even make vaccines less effective.’  


Japan – BoJ inflation prediction falls short of 2% target

  • The Bank of Japan is trying to reverse the deflationary environment in Japan through ultra-easy monetary policy.


UK – India added to travel ban list amid Covid variant fears

  • The UK government has added India to its travel ban list, amid soaring coronavirus cases in the country. 
  • The rule comes into place from 4am UK time on Friday, and anyone who is not a British or Irish national will be refused entry to Britain if they have been in India in the last 10 days.
  • India recorded nearly 260,000 cases yesterday.
  • Prime Minister has now cancelled a visit to India planned for next week.


UK unemployment falls unexpectedly for second month in a row to 4.9% in Dec-Feb

  • Despite the drop, the ONS linked the fall to a large volume of men leaving the jobs market altogether.
  • The number of employees on company payrolls fell by 56,000 between Feb-March – the first decline in four months and pushing up the total number of jobs lost since the onset of the coronavirus pandemic to 813,000.
  • More than half of the 813,000 jobs lost were held by people aged under 25.


Philippines – President Duterte vows to send naval ships to South China Sea if China begin to drill for oil

  • President Duterte has said he is not so much interested’ in fishing and the disputed waterway’s marine resources, but warned he would send naval ships to the contested waters if China begins to drill for oil.
  • Duterte commented “If we go there to assert our jurisdiction, it will be bloody,” in a televised briefing on Monday. 



US$1.2068/eur vs 1.1988/eur yesterday. Yen 108.45/$ vs 108.42/$. SAr 14.213/$ vs 14.254/$. $1.400/gbp vs $1.386/gbp. 0.781/aud vs 0.775/aud. CNY 6.498/$ vs 6.516/$.


Commodity News

Precious metals:  

Gold US$1,769/oz vs US$1,782/oz yesterday

   Gold ETFs 99.1moz vs US$99.1moz yesterday

Platinum US$1,208/oz vs US$1,218/oz yesterday

Palladium US$2,791/oz vs US$2,792/oz yesterday

Silver US$25.90/oz vs US$25.93/oz yesterday


Base metals:   

Copper US$ 9,423/t vs US$9,391/t yesterday

Aluminium US$ 2,334/t vs US$2,334/t yesterday

Nickel US$ 16,220/t vs US$16,145/t yesterday

Zinc US$ 2,850/t vs US$2,876/t yesterday

Lead US$ 2,056/t vs US$2,044/t yesterday

Tin US$ 26,600/t vs US$27,055/t yesterday



Oil US$67.8/bbl vs US$66.5/bbl yesterday

  • The OPEC+ alliance will gradually ease the collective production cuts between May and July, as the ministers agreed earlier this month
  • The decision was taken by OPEC+, and the gradual reversal of part of the cuts will take place between May and July
  • Russia, the key partner of OPEC in the OPEC+ group, decided together with its allies led by Saudi Arabia to ease the collective production cuts by over 1MMbopd over the next three months to July.
  • In early April, OPEC+ decided to gradually increase collective oil production by 350,000bopd in each of May and June and by more than 400,000bopd in July
  • Additionally, Saudi Arabia will also gradually ease its extra unilateral cut of 1MMbopd over the course of the next few months, beginning with monthly production increases of 250,000bopd in each of May and June
  • Before the OPEC+ meeting that agreed on these parameters, the global oil market had improved since the March meeting
  • Last week, OPEC raised its global demand growth estimate, and so did the International Energy Agency (IEA), giving the market hope that demand would rebound strongly later this year and offset the weakness seen in the first half due to surging cases and lockdowns in Europe and major oil importer India
  • The IEA now sees oil demand rising by 5.7MMbopd in 2021 compared to 2020, revising up its estimate by 230,000bopd “to take account of better economic forecasts and robust prompt indicators”


Natural Gas US$2.745/mmbtu vs US$2.718/mmbtu yesterday



Iron ore 62% Fe spot (cfr Tianjin) US$172.3/t vs US$172.3/t

Chinese steel rebar 25mm US$781.4/t vs US$780.7/t

Thermal coal (1st year forward cif ARA) US$75.0/t vs US$75.7/t

Coking coal swap Australia FOB US$147.5/t vs US$147.5/t



Cobalt LME 3m US$49,750/t vs US$49,750/t

NdPr Rare Earth Oxide (China) US$86,569/t vs US$87,099/t

Lithium carbonate 99% (China) US$12,620/t vs US$12,585/t

China Spodumene Li2O 5%min CIF US$630/t vs US$630/t

Ferro-Manganese European Mn78% min US$1,623/t vs US$1,612/t

China Tungsten APT 88.5% FOB US$270/t vs US$270/t

China Graphite Flake -194 FOB US$515/t vs US$515/t


Battery News

Amazon announces 1.5GW renewables spree

  • Amazon has unveiled nine new utility-scale wind and solar energy projects totalling 1546MW.
  • Include a 350MW offshore wind farm off the coast of Scotland, Amazon’s largest renewables deal in the UK.
  • With these latest projects Amazon is now the largest corporate purchaser of renewables in Europe with more than 2.5GW capacity.
  • On path to power all Amazon activity with renewables by 2025 – five years ahead of their original 2030 goal.


GM leads $139m investment into lithium-metal battery developer

  • Main purpose of the $139m investment is to improve the lithium-metal electrolyte for the anode and cathode and to scale the battery to be used in cars.
  • Culmination of six years of collaboration between GM and SES.


Thailand – close to completing the world’s largest floating hydro-solar power projects with 144,417 panels installed

  • The project plans to generate 2,725MW from 300 acres of solar panels. 
  • The government is planning another eight floating solar plants over the next 16 yeears.


Company News

BlueRock Diamonds (AIM:BRD) 45.95 p, Mkt cap £6m – Q1 Production update highlights work towards higher throughput

  • BlueRock Diamond report a 40% rise in the number of carats produced from their Kareevlei diamond mine in South Africa.
  • Q1 production: The company produced 3,507cts in Q1 vs 2,503cts a year earlier.
  • Sales rose 23% to 4,004cts sold into higher prices in the first quarter as diamond markets recover from Covid-19 lockdowns.
  • Diamond jewelry sales are expected to continue to rise as the crisis recedes in the US and UK and consumers return to stores
  • Grades at the Kareevlei diamond mine rose 21% to 4.08cpht vs 3.38cpht a year earlier. We suspect this is down to better mining practices, the mining of a higher grade phase in the mine and better recoveries from the improved process plant.
  • Tonnes sorted also rose by 16% to 86,005t for the quarter.
  • The company also announced the sale of the three large diamonds announced on 17th March indicating higher $/ct revenues going forward if the mine continues to recover larger and more valuable diamonds.
  • Diamond sales through the first quarter averaged US$446/ct in Q1 vs $327/ct a year ago and $415/ct in FY 2019 supported by the sale of larger stones.
  • Larger stone sales (total value achieved $381,000): 
  • 8.4ct stone sold for $88,000 (10,476/ct)
  • 10.6ct stone sold for $73,000 (6,887/ct)
  • 9.7ct stone sold for $53,000. (5,464/ct)
  • Commissioning of the upgraded plant is pushed back a month to end-July.
  • Guidance: Management have revised guidance to 750,000-850,000t throughput though they are still targeting 850,000t
  • Guidance for 2022 remains at 1mtpa throughput.

Conclusion:  We are disappointed to see guidance slip to 750,000t for the year but are confident 2021 will prove to be transformational for the company.

We estimate sales of around $11-12m for the year assuming 750,000t of throughput and an average grade of 4 cpht.

If throughput rises to 1 mtpa sales could increase to $17mpa assuming grades remain at around 4cpht and an average value of $400/ct.

*SP Angel act as nomad and broker to BlueRock Diamonds


Cornish Metals* (AIM:CUSN) – 9.75p, Mkt cap £25m – Cuprite seen in drilling at United Downs


  • Drilling at United Downs shows cuprite, a soft, heavy, red oxide copper mineral ‘Cu2O’
  • The cuprite is widespread as brilliant crystals, grains or earthy masses in the oxidized zone of copper lodes.
  • Cuprite is seen as a minor copper ore and is often formed by the weathering of copper sulfide minerals
  • Cornish Metals restarted drilling at United Downes last week in an area between the historic Wheal Maid and United Downes mines.
  • A relatively recent decline at the Weal Maid mine is understood to run close to the area being drilled by Cornish Metals offering the potential for relatively quick access to the underground area being explored.
  • The company has a fully permitted site at the South Crofty tin mine for processing, around 8 km away
  • Previous drilling confirmed the continuation of mineralisation at United Downs at depths below those accessed by the historical mining with hole GWDD-002 intersecting “4.04m grading 4.4% Cu and 2.06% Sn at a downhole depth of 638.85m – 642.89m beneath the United Mine”.
  • We note that GWDD-002 also “recorded 14.69 metres (“m”) at 8.45% copper (“Cu”) and 1.19% tin (“Sn”)” at shallower depths between 90.60m and 105.29m.
  • Management plan to define an initial mineral resources estimate this year.

* SP Angel acts as broker and financial advisor to Cornish Metals


IronRidge Resources* (AIM:IRR) 21.2p, Mkt Cap £96.1m – Additional high-grade intersections at Ewoyaa lithium project

  • IronRidge reports additional high-grade lithium pegmatite intersections including multiple drill intersections over 2% lithium oxide, at new targets adjacent to the Ewoyaa Lithium Project. 
  • The Company has defined a JORC (2012) compliant mineral resource estimate of 14.4mt at 1.31% Li2O in the inferred and indicated category, including 4.5mt at 1.39% Li2O in the indicated category in Ghana, West Africa. 
  • Additional high-grade lithium pegmatite intersections reported in initial RC drilling results from new targets adjacent to Ewoyaa with a 0.4% Li2O cut-off and maximum 4m of internal dilution include: 
  • -GRC0269A: 18m at 2.24% Li2O from 39m, including 14m at 2.68% Li2O from 42m (including 1m at 4.1% from 52m) and 7m at 2.34% Li2O from 62m (including 1m at 4.24% from 64m)
  • -GRC0235: 18m at 1.75% Li2O from 42m
  • -GRC0236: 17m at 1.5% Li2O from 88m, including 5m at 2.11% Li2O from 96m
  • -GRC0251: 16m at 1.34% Li2O from 41m
  • -GRC0233: 14m at 1.51% Li2O from 43m
  • -GRC0277: 9m at 2.16% Li2O from 36m
  • -GRC0269A: 8m at 2.16% Li2O from 62m
  • -GRC0278: 8m at 1.95% Li2O from 43m
  • -GRC0260: 13m at 1.16% Li2O from 19m
  • -GRC0275: 7m at 1.94% Li2O from 78m
  • Multiple drill intersections over 2% Li2O were recovered within the new targets tested, in particular a flat-lying sill structure at the Anokyi South target with a true width between 5m to 12m over a 230m by 130m area, which remains open at depth and to the north-west.
  • Drilling is currently ongoing at Ewoyaa, with assay results reported so far for an additional 6,181m of the current programme, designed to add resource tonnes within the immediate ELP resource area and test new exploration targets within the adjacent Saltpond license.

*SP Angel acts as Nomad for IronRidge Resources


Kavango Resources (LON:KAV) 3.35p, Mkt cap £11.5m –  Elect-magnetic anomaly identified at KSZ project

  • Kavango reports the identification of an electro-magnetic anomaly in Target Area A in the Hukuntsi (northern) section of the Company’s Kalahari Suture Zone (KSZ) Project.
  • The anomaly appears to be a large conductive body that lies between 250 and 700m from surface and appears to sit within the lower parts of a gabbro “keel”, as predicted by the Company’s proprietary 3D-Underground Model of Hukuntsi announced on 8 September 2020.
  • The Conductor was identified through the analysis of data from the second Time Domain Electro-Magnetic (“TDEM”) survey completed on Target Area A, with Spectral Geophysics commenting that the conductor: “is interpreted to be caused by a shallow dipping, discrete conductor at least 1km in strike with a large decay constant (~340msec) that could indicate the presence of metallic sulphides”.
  • The actual size of the causative source of the Conductor and its thickness will only be determined by drilling, and the conductor is oriented on a plunging plane, with a minimum depth of 250m, and a maximum depth extension of 450m.
  • Kavango sought independent verification of the validity and accuracy of TDEM data from three independent geophysical consultants, who validated the accuracy of the readings.
  • The Conductor will be re-surveyed on two or three other survey lines from a new TDEM loop position to obtain further confirmation.
  • Michael Foster, Chief Executive Officer of Kavango Resources, commented: “The apparent identification of a large EM anomaly within the “keel” of a gabbroic intrusion in Target Area “A” is promising. While we were hopeful of what the first TDEM surveys of the KSZ might uncover, we are encouraged to have identified a conductive body of this size, in this geological setting so early in the programme. As a prudent step, we have sought expert independent verification of the TDEM data and techniques employed.
  • Initial analysis confirms that the work carried out by Spectral was thorough, the data and the position and conductivity of the Conductor are reliable. Further work is still needed, but I am pleased with the validation we have so far received. 
  • In a separate announcement, Kavango also report the signing of a strategic partnership with Spectral Geophysics Ltd. Spectral is one of Southern Africa’s leading firms in the use of ground-based remote sensing technologies to identify high-speed electromagnetic (“EM”) conductors at depth.


Mkango Resources* (LON:MKA) 20.75p, Mkt cap £27.3m – Flotation pilot plant test-work completed

(Mkango’s 75.5% subsidiary, Maginto Ltd holds a 25% stake in HyProMag which is a partner in the ‘Rare–Earth Recycling for E-Machines’ RaRE project)

  • Mkango Resources has announced the appointment of a Washington based advisory firm, Jones Group International, headed by the former National Security Advisor to President Obama, General James Jones, to advise the company on its strategy in the US.
  • Jones Group will provide guidance to Mkango Resources on “US critical materials security, energy security, market access and trade promotion”.
  • Mkango’s President, Alexander Lemon, explained that as part of the Biden Administration’s US$2 trillion infrastructure programme, the United States is expected to increase its stockpiles of rare-earths elements as part of its programme to “achieve a carbon free power sector by 2035 and a net zero economy by 2050”.
  • Mr. Lemon pointed out that Mkango Resources’ Songwe Hill deposit in Malawi and its planned UK rare-earths separation plant put the company in a strong position “to play a strategic role in supplying the US critical minerals supply chain as well as other key markets”.
  • General Jones welcomed the partnership with Mkango in sourcing rare earth “elements and metals essential to the advanced technologies of today and tomorrow” and said that “”Mkango’s Songwe Hill Rare Earths project in Malawi, its plans for a rare-earths separation plant and related projects portend to expand and reinforce the supply chain of critical elements essential to the economic and national security wellbeing of the transatlantic community”.

Conclusion: Mkango Resources has appointed a well-connected advisor to guide its approach to supplying the US market with rare earths products and participating in the United States’ drive for achieving carbon-free power by 2035 and a net-zero economy by 2050.


Petra Diamonds (LON:PDL) 1.58p, Mkt Cap £146m –Q3 production and improving diamond market

  • Petra Diamonds reports the production of 704,498 carats of diamonds during the three months to 31st March (2020 – 932,456 carats) bring the total for the first nine months of its financial year to 2.45m carts (2020 – 3.00m carats).
  • The Cullinan mine in South Africa produced 388,666 carats during the quarter with the Finsch mine producing a further 253,607 carats.  Average sales prices of diamonds from Cullinan improved to US$97/carat from the US$73/carat achieved in the equivalent quarter last year while prices from Finsch improved by 22% to US$80/carat.
  • The smaller mines at Koffiefontein and Williamson produced 14,188 carats and 66,939 carats respectively with Koffiefontein realising sales prices of US$451/carat (up 28%). The prices from Williamson are not reported.
  • Revenues of US$106m (Q3 – 2020 US$91.3m) bring the total for the first 3 quarters to US$284.2m (2020 – US$285.2m).
  • Chief Executive, Richard Duffy says that “We are seeing encouraging signs of a recovery in the diamond market, supporting better pricing”.

Conclusion: Petra Diamonds reports an improving diamond market and stronger pricing

*SP Angel act as Nomad and Broker to Mkango Resources


Rio Tinto (LON:RIO) – 6,122p, Mkt cap £76bn – Q1 production performance maintains production guidance across all product groups

  • Rio Tinto, reports that, with what is described as solid operating performance across all its product groups during the three months to 31st March, it is maintaining its published product guidance for all commodities.
  • In comparison with Q1 2020, the group’s Pilbara iron-ore production is 2% lower as a result of “above average wet weather” at the mines during February, at 76.4mt with shipments of 77.8mt up by 7% and keeping the company on track for its 2021 shipments guidance of 325-340mt.
  • Rio Tinto cautions, however, that the guidance “remains subject to risks associated with tying in approximately 90 million tonnes of replacement mine capacity at existing hubs in Robe Valley, West Angelas, Turner Syncline Phase 2 as well as the start-up of Gudai-Darri”.
  • The company also reports that its port-side trading of iron-ore in China continues to expand with 1.8m tonnes of sales during the quarter with activity at 12 Chinese ports supplying over 60 new steel mill customers since the initiation of the trading.
  • Bauxite output declined by 2% relative to Q1 2020 at 13.6mt as a result of wet weather and cyclone activity in eastern Australia which resulted in a 14 days port-closure. Guidance is, however maintained at 56-69mt.
  • Q1 output of alumina of 2mt was “1% higher than the corresponding period of 2020, as a result of stable operations at both our Pacific refineries”.
  • Lower grades and throughput at Escondida and at Kennecott resulted in a 8& reduction in mined copper output at 120,500t although the decline was partially offset by “a marginal increase in head grade” at the Oyu Tolgoi open-pit.  
  • On the positive side “Copper prices in the first quarter are up over 50% versus the same time last year, having reached a nine-year high in the quarter. The rally came on the back of strong demand in China, recovering demand elsewhere and ongoing disruptions to mine and scrap supply, all amplified by strong investor interest”.
  • Rio Tinto comments that “Oyu Tolgoi shipments have been affected by Chinese border restrictions due to increased cases of COVID-19 in Mongolia”.
  • Commenting on the economic outlook, Rio Tinto expects “robust global economic growth in the near term, fuelled by strong fiscal spending and monetary policy and expanding vaccine deployment as the year progresses”.
  • The company says that China maintains strong momentum and that “Last year’s stimulus programmes gave rise to a sustainable recovery in property and infrastructure construction”.
  • Elsewhere “Growth in the United States has improved due to the rapid progress of vaccinations and government policy support … [although] … Europe’s economic recovery remains subdued due to lock-downs and a slower roll-out of vaccination programmes. However, growth is expected to improve progressively with the roll out of the Recovery Fund (€750bn over 5 years) which should support investment in infrastructure, transport, energy and construction”.

Conclusion: Rio Tinto has delivered a solid operational performance during Q1 and is maintaining its published production guidance across its commodity spread.  Economic recovery is reported to be strong in China, building in the United States and subdued in Europe where improvements are expected to come through as the €750bn recovery fund provides additional support.


Shanta Gold (AIM:SHG) 14.65p, Mkt Cap £152m – Drilling results expand the New Luika resource and drilling continues at the West Kenya project

  • Shanta Gold has reported results from 3,590m of drilling conducted during February and March at its New Luika gold mine in Tanzania and at its West Kenya project in Kenya.
  • As a results of the drilling at New Luika, which included intersections of 
  • -“CSD214 intersected 4.60 m grading 24.47 g/t Au from 226 m, including 2.46 m at 47.29 g/t Au;
  • -CSD211 intersected 8.30 m grading 4.89 g/t Au from 465 m, including 1.16 m at 19.01 g/t Au;
  • -CSD213 intersected 8.05 m grading 3.04 g/t Au from 425 m, including 0.94 m at 10.86 g/t Au”
  • Shanta Gold has added a further 76,461 oz at an average grade of 7.97g/t gold to its indicated resources at the New Luika mine.
  • The company says that this increases the resource at the mine by 23% and brings the “Total JORC resources at Luika deposit … to 425,341 oz and overall resource grade increases by 14% to 3.47 g/t (compared with Dec 31st 2020).”
  • The company says that it sees the opportunity to increase the resources further along the western side of the Luika deposit as mineralisation remains open both at depth and along strike.
  • The company also confirms that it expects to complete around 40% of the planned drilling at the West Kenya project during 2021 and reports that recent intersections include: 
  • -“LCD0227 (Isulu) intersected 1.50 m grading 13.9 g/t Au from 92 m;
  • -LCD0228 (Bushiangala) intersected 1.80 m grading 20.99 g/t Au from 187 m;
  • -o LCD0231 (Bushiangala) intersected 4.00 m grading 14.35 g/t Au from 111 m;
  • -o LCD0233 (Bushiangala) intersected 4.40 m grading 8.37 g/t Au from 105 m;
  • -o LCD0236 (Bushiangala) intersected 15.80 m grading 4.08 g/t Au from 111 m”
  • Chief Executive, Eric Zurrin confirmed that work to expand the mineral resource at New Luika will continue during 2021 and that “Drilling at West Kenya is progressing swiftly and will ramp up with the soon to arrive third rig at site”.

Conclusion: Drilling at New Luika is continuing to expand the mineral resource base with additional potential recognized along the western side of the deposit. The infill drilling programme at the West Kenya project is set to ramp up with a third rig to be added to the drilling fleet shortly.


Zamare* (Private) 300p/s, valuation £5.5m – Zamare raises funds for further copper exploration in Zambia

·       Zamare has announced its second round of financing for copper exploration in Zambia

·       The company has raised £630,000 (US$870,000) to advance exploration and to pay license-related fees.

·       .Zamare is working on five, 100% owned, Licences in Zambia totalling 1,121 km2:

  • Murundi: ground is adjacent to the giant Mufulira underground Copper mine in the Copperbelt, Rio Tinto are funding 100% of the work program at Murundi which lies adjacent to an existing Rio Tinto held license and work program
  • Ntambu: close to and along trend from First Quantum’s Enterprise nickel and Sentinel copper mines. Zamare has a Technical Cooperation Agreement with First Quantum Minerals who have been hugely helpful in their assistance,
  • Dongwe: consisting of three licences in an area with current artisanal mining.  Zamare assayed 15.8% copper and 0.57% gold from an artisanal pit at Dongwe in late 2020.  Moxico are exploring a block adjacent to Zamare in the Dongwe area

Conclusion:  Zamare is operating relatively early stage exploration programs on a number of prospective licenses.

The current round of exploration should work up a number of targets for drilling potentially later this year.

*SP Angel acts as broker to Zamare




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

Joe Rowbottom – Joe.Rowbottom@spangel.co.uk – 0203 470 0486



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



SP Angel                                                            

Prince Frederick House

35-39 Maddox Street London



*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.


Sources of commodity prices

Gold, Platinum, Palladium, Silver – BGNL (Bloomberg Generic Composite rate, London)

Gold ETFs, Steel – Bloomberg

Copper, Aluminium, Nickel, Zinc, Lead, Tin, Cobalt – LME

Oil Brent – ICE

Natural Gas, Uranium, Iron Ore – NYMEX

Thermal Coal – Bloomberg OTC Composite

Coking Coal – SSY

RRE – Steelhome

Lithium Carbonate, Ferro Vanadium, Tungsten, Spodumene, Ferro-Manganese, Graphite – Asian Metal



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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 of less than 15%