A letter of intent has been signed as part of the process of Orosur Mining (LON: OMI) regaining 100% ownership of the Anza gold project in Colombia from a Newmont Mining joint venture by the end of April. This will cost up to $15m in cash and a net smelter royalty of 1.5%. The share price recovered 91.5% to 4.5p.
A more positive trading statement from film and video translation services provider ZOO Digital (LON: ZOO) as management believes that demand should recover following the disruption of recent strikes in Hollywood. Revenues of $40m are now expected for the year to March 2024. A new film and TV distribution client has been won and there is greater visibility of work. The company still might not move back into profit in 2024-25, though. There is potential disruption from a craft workers strike in Hollywood. The share price jumped 62.8% to 35.4p.
SkinBioTherapeutics (LON: SBTX) rose 54.5% to 12.75p following last week’s interims. Revenues from psoriasis treatment AxisBiotix-PS increased by 38% to £107,000, but the cash outflow is still significant. There should be more news concerning the AxisBiotix acne food supplement consumer participant study in the coming weeks.
Caspian Sunrise (LON: CASP) is taking with potential buyers of the BNG producing shallow structures in Kazakhstan. Management plans to use the company’s drilling rigs and equipment to provide services to farm into assets. Production from shallow structures is currently 1,700 barrels/day and drilling is ongoing on deeper structures. The share price improved 53.8% to 4p.
FALLERS
Companies planning to leave AIM dominate the fallers this week. Infrastructure India (LON: IIP) shares returned from suspension when the interims to September 2023 were published and the share price dived by 85% to 0.075p. The board is proposing a winding-up of the company as it disposes of its assets and the share quotation will be cancelled if the proposals are passed at the AGM. Net liabilities are £217.4m.
Oil and gas producer Molecular Energies (LON: MEN) is cancelling its AIM quotation because it does not believe it is worth the cost. The company should save £500,000/year. Chairman Peter Levine, who owns 29.2%, suggests that he may offer to buy shares of some other investors in the future, but there are no immediate plans to offer an exit prior to the cancellation. Green House Capital will no longer be spun off on AIM. This did not hold up the share price which slid 70.8% to 7p.
Infection protection technology developer Byotrol (LON: BYOT) has been quoted for nearly 19 years and it has decided to leave AIM. Revenues from continuing products should improve from £3.7m to £3.9m this year. No further IP revenues are expected this year. Some IP was sold to Tristel (LON: TSTL) and along with an early termination of another licence generated cash of £800,000, but minimum guaranteed royalties will be written down by £550,000 in the balance sheet. Even before that, there will be a higher loss in 2023-24. The business needs to be restructured and reduce costs and believes there will be more flexibility as a private company. Asset Match will provide a matched bargain facility. The share price dived by three-fifths to 0.15p.
Horizonte Minerals (LON: HZM) is also three-fifths lower at 1.5p after it published the latest financing estimate for the Araguaia nickel project. The cost to complete is $454m, but the full funding required is $567m-$592m, including pre-production and transaction costs. Existing liabilities are $418, and they require restructuring. More cash will be required by mid-April. Interest payments are being deferred. Existing shareholders are not in a strong position.
