Mineral sands project developer Capital Metals (LON: CMET) has signed a potential 100% offtake and investment agreement with LB Group, which is the largest manufacturer of titanium dioxide pigments and sponge. LB Group will fully fund the Eastern Minerals project in Sri Lanka up to the estimated cost of $81m in the preliminary economic assessment. After that the joint venture will fund additional costs on a 50/50 basis. The plan is to build up production to 1.65 million tonnes per annum. Most of the due diligence for the deal has already been done. The share price jumped 54.6% to 4.25p, which is back to the level in March although it is off the high for the day.
Echo Energy (LON: ECHO) plans to sell a 65% working interest in Santa Cruz Sur to Selva Maria Oil for £1.725m, including £400,000 worth of shares in Interoil, the operator of the assets. That leaves the oil and gas company with a 5% stake and an option to repurchase a further 5%. This will provide the cash required by Echo Energy for working capital in the short-term and enable funding of the assets. The share price rose 38.5% to 0.045p.
Cyber security company Osirium Technologies (LON: OSI) has reached annualised recurring revenues of £2.04m at the end of March 2023. New customers have been gained in the utilities, chemicals and public sectors. There is a growing awareness about the need for cyber security. The share price recovered 16.7% to 1.75p, but it is still one-third lower than at the start of the year.
Purplebricks (LON: PURP) says that the number of new instructions did not increase in the fourth quarter and that means revenues and EBITDA will be worse than expected in the year to April 2024. The company’s payment processor is withholding a portion of remittances and cash was £9.1m at the end of April 2023, compared with previous expectations of £15m. The formal sale process continues, and management says that it wants to conclude this as soon as possible so the future of the business is clarified. The share price has slumped 63% to 2.025p.
On Friday afternoon, Kromek (LON: KMK) announced that it was raising £7m at 5p a share and could raise up to £1m from an open offer to qualifying shareholders. The company is experiencing the highest ever level of interest in its imaging and biological threat detection technology. The cash will be invested in sales and marketing, development and manufacturing. The share price fell from 6.7p to 5.06p on Friday and it has declined a further 3.16% to 4.9p.
Oil and gas producer San Leon Energy (LON: SLE) is still trying to sell its 11% shareholding in Nigeria-focused oil and gas company Decklar Resources Inc. It has also loaned $5.5m to Decklar, which needs to secure its own funding before the disposal can happen. Decklar has delivered 31,000 barrels of oil to the Edo refinery and 7,500 barrels to the DMCL’s refinery so far this year. The San Leon Energy share price slipped 2.78% to 26.25p.
