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Amapa Iron Ore Project – Cadence Minerals #KDNC Agrees In Principle To Settlement Terms Proposed By Amapa Bank Creditors.

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to provide an update on its investment in the Amapa Iron Ore Project (“Amapa Project”), Brazil.

DEV Mineração S.A’s (“DEV”), Cadence and Indo Sino Pty Ltd (“the Investors”) have agreed in principle to the settlement terms proposed by the secured bank creditors (“Bank Creditors”), and the administrator appointed to the Judicial Recovery Process (“JRP”) has asked the parties to prepare and submit the final contract so that the JRP parties can be informed.

Once a final contract has been finalised and executed, this will represent satisfaction of the remaining major precondition for Cadence to make its initial 20% investment in the Amapa Project. On completion of the conditions and the release of the Cadence escrow monies, Cadence will become a 20% shareholder in the Amapa Project via our joint venture company which will own 99.9% of DEV.

In addition to the above, and while the settlement contract is finalised, DEV and Investors have requested that the Bank Creditors and DEV submit a joint petition to the higher court to remove the Bank Creditors appeal and the subsequent interim order. As a result, operations at Amapa, including the shipping of iron ore stockpiles will be temporarily suspended while the petition is agreed, filed and approved.

Details of the settlement agreement will be disclosed once final contracts are executed.

Cadence CEO Kiran Morzaria commented: “On behalf of the Cadence board, I am delighted to confirm that our board has agreed in principle to a settlement proposed by the secured bank creditors of Amapa. We look forward to preparing and finalising the settlement contract for submission to the JRP administrator. While the resulting delay in operations at Amapa is frustrating, it is a necessary part of the legal process that once finalised, will see Cadence complete the first phase of our investment. This will mark an historic milestone for our company, the Amapa project and region. I look forward to updating the market on our progress in the coming weeks.”

“I would also like to put on record my sincere thanks to our people, who have worked tirelessly to bring us to this point amidst the unprecedented disruption created by COVID-19. We remain vigilant in ensuring that our employees, shareholders, contractors and their families continue to remain safe and secure.”

– Ends –

For further information:

Cadence Minerals plc                            +44 (0) 7879 584153
Andrew Suckling Kiran Morzaria   

WH Ireland Limited (NOMAD & Broker)                    +44 (0) 207 220 1666
James Joyce James Sinclair-Ford   

Novum Securities Limited (Joint Broker)                  +44 (0) 207 399 9400
Jon Belliss  

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

Forward-Looking Statements:Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identified by their use of terms and phrases such as ”believe” ”could” “should” ”envisage” ”estimate” ”intend” ”may” ”plan” ”will” or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.

Cadence Minerals #KDNC – Update on Investment in the Amapa Iron Ore Project, Brazil.

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to provide an update on its investment in the Amapa Iron Ore Project, Brazil.

Progress with Secured Bank Creditors

Since our last update in early August, DEV Mineraço S.A’s (“DEV”) Cadence and Indo Sino Pty Ltd (“the Investors”) have continued a constructive dialogue with the secured bank creditors (“Bank Creditors”) and the parties are currently negotiating the settlement terms as proposed by the Bank Creditors.

As mentioned in previous announcements, the remaining major precondition for Cadence to make its initial investment in the Amapa Project requires DEV to reach a settlement agreement with the Bank Creditors. On completion of the conditions and the release of the Cadence escrow monies, Cadence will become a 20% shareholder in the Amapa Iron Ore Project via our joint venture company which will own 99.9% of DEV Mineraço S.A’s (“DEV”).

Further details about Cadence’s rights, potential investment, and the Judicial Restructuring Plan in relation to the Amapa Project are presented in our annual accounts published at the end of June and the announcements of the 30 August 2019 and 7 August 2019.

Commercial Court of São Paulo (“the Court”)

On the 28 July, the Court, responding to an appeal by the Bank Creditors, reaffirmed its decision of April this year allowing DEV to commence shipping iron ore from the stockpiles situated at DEV’s wholly-owned port in Santana, Amapa. Cadence has been informed that the Bank Creditors have now filed an appeal to a higher court, none the less the original ruling still remains in force.

– Ends –

For further information:
Cadence Minerals plc
  +44 (0) 7879 584153
Andrew Suckling Kiran Morzaria   

WH Ireland Limited (NOMAD & Broker)  +44 (0) 207 220 1666
James Joyce James Sinclair-Ford   

Novum Securities Limited (Joint Broker)  +44 (0) 207 399 9400
Jon Belliss  

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

Forward-Looking Statements:

Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identified by their use of terms and phrases such as ”believe” ”could” “should” ”envisage” ”estimate” ”intend” ”may” ”plan” ”will” or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.

Cadence Minerals #KDNC – Placing to Raise £1.25 million

Cadence Minerals (AIM/AQSE: KDNC; OTC: KDNCY) is pleased to announce that it has raised £1.25 million through the placing (“Placing“) of 10,416,662 new ordinary shares (“Placing Shares“) in the capital of the Company with new and existing investors at an issue price of 12pence per share (“Placing Price“), representing approximately 21.7% discount to closing mid-price on 19 August 2020.

Use of Proceeds

Cadence intends to use the net proceeds of the Placing for general working capital and to provide flexibility to the Company to repay loan notes from cash reserves rather than from its holdings in quoted investments. The outstanding balance on Cadence’s loan notes, which were announced on 15 June 2019 and 1 August 2019, is currently c. £1.7 million.

Operational Update

As announced on the 11 August, Companhia Docas de Santana (“CDSA”), a public (municipal) company and the port operator requested some additional non-statutory contractual requirements and undertakings. DEV has provided the requested documentation, and continues to liaise with the State of Amapa and SEMA (Secretaria de Estado de Meio Ambiente). Cadence understands that SEMA will provide the required documentation imminently. Cadence will provide an update once the first shipment is underway.

Funding Details

The Company entered into a placing agreement (“Placing Agreement“) with WH Ireland pursuant to which terms WH Ireland agreed to arrange the Placing. The Company has given certain customary warranties and indemnities under the Placing Agreement in favour of WH Ireland. Completion of the Placing is subject to the satisfaction of the conditions contained in the Placing Agreement including, but not limited to, Admission.

Your attention is drawn to the detailed terms and conditions of the Placing set out in the Appendix to this Announcement (which forms part of this Announcement).

The Appendix to this Announcement contains the detailed terms and conditions of the Placing and the basis on which investors agreed to participate in the Placing. The Placing has not been underwritten by WH Ireland. Placees are deemed to have read and understood this Announcement in its entirety, including the Appendix, and to have made their offer on the terms and subject to the conditions contained herein and to have given the representations, warranties, undertakings and acknowledgements contained in the Appendix to this Announcement.

The Placing Shares will be issued, credited as fully paid, and will rank pari passu with the existing Ordinary Shares in issue in the capital of the Company, including the right to receive all dividends and other distributions (if any) declared, made or paid on or in respect of such shares after the date of their issue.

Admission and Settlement

Application will be made for the admission to trading on the AIM market (“AIM“) of London Stock Exchange plc (“LSE“) and to the AQSE Growth Market (“AQSE“) operated by Aquis Exchange Plc for the Placing Shares (“Admission“). Admission is expected to occur on or around 27 August 2020. Following Admission, the Company will have 140,219,053 Ordinary Shares in issue. There are no shares held in treasury. The total voting rights in the Company is therefore 140,219,053 and Shareholders may use this figure as the denominator by which they are required to notify their interest in, or change to their interest in, the Company under the Disclosure Guidance and Transparency Rules.

For further information:

Cadence Minerals plc+44 (0) 207 440 0647
Andrew Suckling 
Kiran Morzaria 
  
WH Ireland Limited (NOMAD & Broker)+44 (0) 207 220 1666
James Joyce / James Sinclair-Ford / Matthew Chan 
Harry Ansell / Daniel Bristowe 
  
Novum Securities Limited (Joint Broker)+44 (0) 207 399 9400
Jon Belliss 

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

Forward-Looking Statements:

Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identified by their use of terms and phrases such as “believe” “could” “should” “envisage” ”estimate” ”intend” ”may” ”plan” ”will” or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014

Link here to view the full terms and conditions of the placing

Cadence Minerals #KDNC – Update on Investment into the Amapa Iron Ore Project, Brazil.

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to provide an update on its investment in the Amapa Iron Ore Project, Brazil.

Progress with Secured Bank Creditors

Since our last update in early July, DEV Mineração S.A’s (“DEV”) Cadence and Indo Sino Pty Ltd (“the Investors”) have continued a constructive dialogue with the secured bank creditors (“Bank Creditors”). The Bank Creditors have proposed settlement terms, and DEV and the Investors have agreed in principle (subject to contract) to key terms and have proposed some amendments. We will update the market once further progress has been made.

As mentioned in previous announcements, the remaining major precondition for Cadence to make its initial investment in the Amapa Project requires DEV to reach a settlement agreement with the Bank Creditors. On completion of the conditions and the release of the Cadence escrow monies, Cadence will become a 20% shareholder in the Amapa Iron Ore Project via our joint venture company which will own 99.9% of DEV Mineração S.A’s (“DEV”).

Further details about Cadence’s rights, potential investment, and the Judicial Restructuring Plan in relation to the Amapa Project are presented in the announcements of the 30 August 2019 and 7 August 2019.

Commercial Court of São Paulo (“the Court”)

On the 28 July, the Court, responding to an appeal by the Bank Creditors,  reaffirmed its decision allowing DEV to commence shipping iron from the stockpiles situated at DEV’s wholly-owned port in Santana, Amapa.

Operational Update

Companhia Docas de Santana (“CDSA”), a public (municipal) company and the port operator has asked for some additional non-statutory contractual requirements and undertakings; DEV has provided the requested documentation, and it is liaising with The State of Amapa whom will provide the necessary documents to CDSA. Cadence will provide an update once the first shipment is underway.

Cadence CEO Kiran Morzaria commented: “Our team have worked tirelessly to complete the final stages of our investment into the Amapá project. I am pleased that we now have an agreement in principle, and while there are some final amendments requiring ratification, we move ever closer to what will be an historic milestone for our company. The COVID crisis has of course impacted in Brazil and the state of Amapá, and as such the safety of our staff, colleagues and their families remains a top priority.”

About the Amapá Project

The Amapá Project was owned by Anglo American plc and Cliffs Natural Resources and consists of a large-scale iron ore mine, beneficiation plant, railway and private port.  In 2012 the operation produced 6.1 Mt of iron ore concentrate and reported operating profits from their 70% ownership in the Amapá Project of US$120 million (100% – US$171 million). Before its sale in 2012, Anglo American valued its 70% stake at US$462m in its 2012 Annual Report (100% – US$600m).

As previously announced, the total historical mineral resource contains an estimated 348 Mt of ore @ 38.9% iron content (“Fe”). The ore is beneficiated at the mine to 65% Fe Pellet Feed and 62% Fe Spiral Concentrate. Based on available historic mine plans and an independent consultant review, it is expected that at full production the Amapá Project has a mine life of 14 years and at full capacity is targeting to produce up to 5.3 Mt of iron ore per annum.

– Ends –

For further information:

Cadence Minerals plc +44 (0) 7879 584153
Andrew Suckling
Kiran Morzaria
WH Ireland Limited (NOMAD & Broker) +44 (0) 207 220 1666
James Joyce
James Sinclair-Ford
Novum Securities Limited (Joint Broker) +44 (0) 207 399 9400
Jon Belliss

 

 

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

 

Forward-Looking Statements:

Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identified by their use of terms and phrases such as “believe” “could” “should” “envisage” “estimate” “intend” ”may” “plan” “will” or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors.  Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.

Cadence Minerals #KDNC – Vox Markets Investor Presentation and Q&A

Cadence Minerals #KDNC CEO, Kiran Morzaria offers an overview and update of the Company’s investments and ongoing strategy.  Kiran then answers questions from the Vox Community where he discusses the Amapa Iron Ore Project, future milestones of European Metals Holding and the Company plans for the coming year.

Cadence Minerals #KDNC – Amapá Project Update

Further to the announcement made on the 16 June 2020, at this point, the commercial court of São Paulo has not made a ruling concerning DEV Mineraço S.A’s (“DEV”) petition to annul the secured creditors’ liens and charges over the Amapá Iron Ore Project (“Amapá Project”). The parties are in active discussions concerning a settlement, and we look forward to updating the market in due course.

Cadence Amapá Project stake

As mentioned in previous announcements there remains only one major precondition for Cadence to make its initial investment in the Amapá Project and release the sum currently held in escrow in a judicial trust account (“Escrow Monies”).

This precondition requires the owner of the Amapá Project (DEV), and the investors (Cadence and Indo Sino Pty Ltd) to reach a settlement agreement with the secured bank creditors. On satisfaction of the prerequisites and the release of the Escrow monies, Cadence will become a 20% shareholder in the Amapá Project via our joint venture company which will own 99.9% of DEV.

Cadence’s rights over the Amapá Project have been formalised in the Judicial Restructuring Plan of DEV and ratified by the São Paulo Bankruptcy court. Further detail concerning Cadence’s rights, potential investment and the Judicial Restructuring Plan are detailed in the announcements of the 7,8 of August and our year-end results published on the 26 June 2020. 

About the Project

The Amapá Project was owned by Anglo American plc and Cliffs Natural Resources and consists of a large-scale iron ore mine, beneficiation plant, railway and private port.  In 2012 the operation produced 6.1 Mt of iron ore concentrate and reported operating profits from their 70% ownership in the Amapá Project of US$120 million (100% – US$171 million). Before its sale in 2012, Anglo American valued its 70% stake at US$462m in its 2012 Annual Report (100% – US$600m).

As previously announced, the total historical mineral resource contains an estimated 348 Mt of ore @ 38.9% iron content (“Fe”). The ore is beneficiated at the mine to 65% Fe Pellet Feed and 62% Fe Spiral Concentrate. Based on available historic mine plans and an independent consultant review, it is expected that at full production the Amapá Project has a mine life of 14 years and at full capacity is targeting to produce up to 5.3 Mt of iron ore per annum.

– Ends –

 

For further information:

Cadence Minerals plc

+44 (0) 207 440 0647

Andrew Suckling

Kiran Morzaria

WH Ireland Limited (NOMAD & Broker)

+44 (0) 207 220 1666

James Joyce

James Sinclair-Ford

Novum Securities Limited (Joint Broker)

+44 (0) 207 399 9400

Jon Belliss

Andrew Hore – Quoted Micro 6 July 2020

AQUIS STOCK EXCHANGE

Rutherford Health (RUTH) has secured a diagnostics agreement with Somerset NHS Foundation Trust that is worth £19.1m over ten years, although it is initially for five years. Rutherford will supply imaging services from a facility in Taunton, which will be developed in partnership with Equitix. The service should start in the second half of 2021.

Good Energy (GOOD) says that it remains profitable, although smaller business energy demand was lower in the second quarter. Gross margins have been hit because excess energy had to be resold. Operational efficiencies have offset some of this effect. Cash collection has been strong. Four-fifths of customers have been transferred to the Kraken customer services system. This will help to reduce costs.

Shepherd Neame (SHEP) has negotiated additional bank facilities. Total debt facilities are £132.5m. The brewery has been generating income from increased sales to supermarkets and for export. The majority of the company’s pubs should reopen by the end of July.

Cannabis-focused investment company Greencare Capital (GRE) has raised £1.37m at 50p a share. That is double the original flotation price. Management is hopeful that it will make an initial investment in its favoured acquisition target in the near future.

NQ Minerals (NQMI) says that plant production levels at the Hellyer gold mine increased by 44% to more than 1.3 mtpa. NQ has completed the acquisition of the Beaconsfield gold mine in Tasmania.

British Honey Company (BHC) says sanitiser sales have enabled the company to achieve sales of 240% of budget in the past three months. BHC has swapped 4.5% of its shares for a 10% stake in List Distillery LLC. BHC has an option to buy the rest of the company for £4.5m plus up to £500,000 in contingent consideration.

Capital for Colleagues (CFCP) had an NAV of £7.55m (48.9p a share) at the end of February 2020.

Tectonic Gold (TTAU) has changed its corporate adviser from Peterhouse to VSA. Tectonic has published full year figures to June 2019 and interims to December 2019. NAV was £2.49m at the end of 2019.

Wishbone Gold (WSBN) generated sales of $3.64m of sales in the first quarter of 2020, compared with $3.85m in the same period last year. In 2019, revenues were $10.7m.

Human Brands is selling some of its brands, including Shinju Whisky, to Rogue Baron in return for shares and Gunsynd (GUN) will have its £379,000 convertible loan note novated to Rogue Baron, which has been granted EIS advanced reassurance. Rogue Baron plans to float on a UK market and this could trigger the issue of further shares to Gunsynd.

First Sentinel (FSEN) has supplied a £300,000 loan facility to Vox Markets. This is convertible into shares. So far, £250,000 has been advanced. Loan facilities totalling £500,000 have been provided to Ridercam Systems. A £130,000 investment has been made for a 7.4% stake in investment company Malaika. The company’s Australian subsidiary has provided a loan facility to energy producer Direct Energy Holdings.

Ecovista (EVTP) was withdrawn from the AQSE on 1 July. The day after it published interim figures to February 2020. There was £42,000 in cash and this should cover general running expenses. Management says that being quoted cost £60,000 a year. NAV is £735,000.

Formerly known as Welney, Quetzal Capital (WENP) has been readmitted to the market following a share consolidation of 100 existing shares into one new share and placing raising £22,000.

AIM

Cambridge Cognition (COG) continues to win new contracts and the first half order intake was £4.9m. The digital health business has increased its contracted order book to £7.5m. The company is on course to make a much lower loss in 2020.

Construction disputes and expert witness services provider Driver (DRV) improved its profit in the first half thanks to a good performance from its Asia Pacific businesses. However, the Middle East is still a problem and a strategic review is underway. Net cash was £3.3m at the end of March 2020 and it has increased since then. There is no dividend. The second half will be tougher, though.

Forex provider Equals (EQLS) continues its strong growth record in 2019. Trading levels were hit by the COVID-19 lockdown in April and May, but June’s revenues per day recovered to a similar level to June 2019. The administration of Wirecard has had limited effect on business.

AFC Energy (AFC) is raising £31.6m at 16p a share. This will be used to invest in manufacturing for the H-Power fuel cell systems and employing additional staff for the deployment of the technology in the electric vehicle and construction markets. There will also be cash put into the development of the AlkaMem anion exchange membrane and the HydroX-Cell solid-state membrane fuel cell system.

Telecoms equipment supplier Filtronic (FTC) says it grew revenues from continuing operations in the year to May 2020 and it made a small underlying profit. Delays to deliveries mean that it is difficult to assess the outcome for the current financial year.

Redx Pharma (REDX) is raising $29m through a convertible loan note issue to Redmile and Sofinnova Partners and £812,000 via a share issue to Sofinnova.

Robinson (RBN) is paying an interim dividend of 3.5p a share. The packaging supplier did not pay a final dividend and the interim will be payable on 30 July to make up for that. First half trading was in line with expectations. Full year pre-tax profit is expected to be flat at £2.3m.

MAIN MARKET

Trading in Lookers (LOOK) shares has been suspended because it has not published 2019 results. They should be published in August. An investigation by Grant Thornton suggests that there will be a £4m non-cash write-off relating to fraud with a further £15m non-cash write-off for incorrect or inconsistent accounting, mainly relating to stock.

Andrew Hore

Cadence Minerals #KDNC – Results for the Year Ended 31 December 2019

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to announce its final results for the year ended 31 December 2019. A copy of the full results will be made available on the Company’s website from today at https://www.cadenceminerals.com/  

Ends –

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014.

 

For further information:

Cadence Minerals plc

+44 (0) 207 440 0647

Andrew Suckling

Kiran Morzaria

WH Ireland Limited (NOMAD & Broker)

+44 (0) 207 220 1666

James Joyce

James Sinclair-Ford

Novum Securities Limited (Joint Broker)

+44 (0) 207 399 9400

Jon Belliss

CHAIRMAN’S STATEMENT

For the year ended 31 December 2019

___________________________________________________________________________________

First and foremost our thoughts are with families and friends, shareholders and investors during this shape-shifting pandemic. The Board and I hope all have found comfort and safety, well being and support during these extraordinary and unprecedented times.

There is no doubt that such turbulent conditions have created major disruptions and dislocations. However the Board has been well prepared and ready. I thank my fellow Board members for this dynamism and effort. Cadence Minerals (“Cadence” or the “Company”) staff and management have been used to working remotely and via phone/ video conference and quickly adapted to this new challenge.

The Board has continued its driven agenda to proceed with the support for portfolio companies whilst at the same time progress with the main target of the Amapá iron ore project in Brazil.

To this effect and to highlight a few of the achievement by our portfolio companies I would like, with the Board to offer congratulations to MacArthur Minerals on the successful conclusion of its convertible note, the life of mine Off -take agreement with Glencore and the successful listing on the Australian Stock Exchange. These are noticeable achievements for the company and combined with the ongoing successful drilling campaigns at Lake Giles bodes well.

Further European Metal Holdings  successfully concluded a lengthy negotiation with the Czech utility company CEZ. This will allow EMH to complete many of its strategic goals and to become one of Europe’s largest and lowest cost lithium producers.

Hastings Technology are JV partner in the Yangibana Rare Earths project also concluded and completed a negotiation with the German based Schaffler Group that will enable the company to pursue its targets.

The Board hope that the next few years will witness a significant harvest as projects progress to operation and revenue, and previously identified opportunities realise higher valuations. All management companies of the portfolio companies within Cadence are wished the best of success.

The recent economic contraction has been severe and turbulent. However our investments have always been based on long-term assumptions and not the idiosyncrasies of the market. There is significant hope that recently announced global stimulus measures will lead to a re opening and recovery sooner than later. This will contribute to a significant appreciation in the company’s portfolio and therefore revenue and shareholder return.

Cadence’s focus on iron ore opportunities appears particularly timely. The stimulus measures specifically relate to infrastructure which benefits Steel demand which by derivative benefits Iron Ore consumption. Argus publications have reported April and May 2020 China steel production higher than that in 2019 and have predicted that China will produce over 1 billion tons of Steel in 2020. This will require more Iron Ore globally and should support the long term Iron Ore price.

China have announced over $140 billion in provincial bonds with increasing government incentives in real estate and infrastructure, which account for over fifty percent of Chinese domestic Steel demand. It is clear that steel production and therefore Iron Ore demand is at the front and center of global stimulus policy.

A rapid global supply response to higher iron ore prices and steel demand has some serious headwinds and constraints. The tragic events at Vales Brumadinho operations and the higher capital costs of new projects represent such challenges. Economic and political struggles combined with higher governance and regulation means operational consistency and good fortune is required to continue to supply the insatiable Steel demand.

Cadence has focused enormous efforts on the Amapá iron ore project. It is immensely pleasing for the board that significant milestones and hurdles were recently achieved, all whilst the global economy was on ” pause” Cadence and its partners, lawyers and consultants all maintained dialogue and pressure to focus on the process to achieve significant results. This will initially result in the movement of of iron ore currently stockpiled and ultimately in the rehabilitation of the Amapá system. As the opportunity progresses the Board is cognizant of the need for sustainability at all levels of the opportunity. The performance and Governance metrics that will be required to re habilitate the mine; port and rail will be stringent and strict.

Cadence has proven its ability to be flexible, opportunistic and survive and thrive. The Board feels the underlying conditions are developing to optimise the portfolio.

I would like to personally thank all Cadence’s management, fellow board members, staff ,consultants, partners and of course all Shareholders for their support and confidence in the Company.

Andrew Suckling

Non Executive Chairman

25 June 2020

Link here for the full results and accounts statement

Cadence Minerals #KDNC – Amapá Operational Update

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to announce that DEV Mineraço S.A (“DEV”), owner of the Amapá iron ore project (Amapá Project) continues to hit its operation targets, with the movement of the stockpile to the public port scheduled commence this month and shipping to occur in early Q3 2020.

The shipment of the stockpile was approved by the commercial court of São Paulo and announced on 14 April 2020 and was supported by the judicial administrators and other creditors of DEV. The secured creditors have objected to the commercial court of São Paulo in relation to its decision and on 12 June 2020 after market hours filed a petition, none the less the original ruling still remains in force.

We have also been informed that due to court closures during the current COVID-19 outbreak in Brazil, a ruling in relation to DEV’s petition to annul the secured creditors liens and charges over the Amapá Project is now scheduled for the end of June 2020.

Cadence Amapá Project stake

As mentioned in previous announcements there remains only one major precondition for Cadence to make its initial investment in the Amapá Project and release the sum currently held in escrow in a judicial trust account (“Escrow Monies”).

This precondition requires DEV to reach a settlement agreement with the secured bank creditors. On satisfaction of the prerequisites and the release of the Escrow monies, Cadence will become a 20% shareholder in the Amapá Project via our joint venture company which will own 99.9% of Dev.

Cadence’s rights over the Amapá Project have been formalised in the Judicial Restructuring Plan of DEV and ratified by the São Paulo Bankruptcy court. DEV officers have been appointed in the Judicial Restructuring Plan, with acceptance of creditors.

Further detail in relation to Cadence’s rights, potential investment and the Judicial Restructuring Plan in relation to the Amapá Project are detailed in the announcements of the 30 August 2019 and 7 August 2019.

About the Project

The Amapá Project was owned by Anglo American plc and Cliffs Natural Resources and consists of a large-scale iron ore mine, beneficiation plant, railway and private port.  In 2012 the operation produced 6.1 Mt of iron ore concentrate and reported operating profits from their 70% ownership in the Amapá Project of US$120 million (100% – US$171 million). Before its sale in 2012, Anglo American valued its 70% stake at US$462m in its 2012 Annual Report (100% – US$600m).

As previously announced, the total historical mineral resource contains an estimated 348 Mt of ore @ 38.9% iron content (“Fe”). The ore is beneficiated at the mine to 65% Fe Pellet Feed and 62% Fe Spiral Concentrate. Based on available historic mine plans and an independent consultant review, it is expected that at full production the Amapá Project has a mine life of 14 years and at full capacity is targeting to produce up to 5.3 Mt of iron ore per annum.

For further information:

Cadence Minerals plc

+44 (0) 207 440 0647

Andrew Suckling

Kiran Morzaria

WH Ireland Limited (NOMAD & Broker)

+44 (0) 207 220 1666

James Joyce / James Sinclair-Ford

Novum Securities Limited (Joint Broker)

+44 (0) 207 399 9400

Jon Belliss

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014

Cadence Minerals #KDNC – Alan Green interviews CEO Kiran Morzaria, plus shareholder Q&A

Alan Green talks to Cadence Minerals #KDNC CEO Kiran Morzaria. Kiran talks about the company’s investments into the Czech Cinovec Lithium project via European Metals #EMH, Macarthur Minerals iron ore projects in Australia, plus Lithium JV’s with Bacanora in Mexico and Hastings Tech Metals at Yangibana, Australia. Kiran then elaborates on the company’s flagship Amapa Iron ore project in Brazil, discusses the latest developments re shipping the ore stockpile, the fundraise for the scoping study plus the value inflection points going forward. Alan and Kiran then go through a shareholder Q&A, before Kiran finally provides key takeaway points for. investors, highlighting the valuations on each of the projects.

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