RNS Hotlist February 24: Alien, Belluscura, CleanTech, Contango, Cora, ECR, Hummingbird, MJ Hudson, Oracle, Tekcapital

Belluscura (BELL), a medical device developer, announced that the X-PLOR portable oxygen concentrator is now marketed in the US through GoodRx, Inc.  www.goodrx.com The X-PLOR will be the first medical device in its field marketed by GoodRx, Inc. The company said that in its continued goal of broadening product distribution and making supplemental oxygen more accessible to people throughout the US, it is excited to have the X-PLOR marketed through GoodRx, a recognized leader in making healthcare more accessible and affordable in the US.

Comment: The market seems to have treated Belluscura rather unfairly in the recent past, especially with reference to its share price. Hopefully, the marketing initiative here will help to steady the ship.

Tekcapital (TEK), the UK intellectual property investment group announced that portfolio company Guident Ltd. has partnered with Novelsat Ltd., to develop an always-on, remote monitor and control solution for autonomous vehicles and devices. Guidant said leveraging cross-network connectivity, its human-in-the-loop AI technologies will enable always-on remote monitoring control of autonomous vehicles and devices, thereby resolving unforeseen situations and providing unparalleled safety and reliability in various applications.

Comment: The mind still boggles at the thought of what human-in-the-loop refers to, and of course, no tech company worth its salt does not mention AI in a news update.

Hummingbird Resources (HUM) announced an interview with senior management by VOX Markets, on the recent Strategic Investment and Placement Update & Notice of General Meeting RNS and outlook for the company. Earlier this week HUM announced a strategic investment and placement of up to $19m at 7.79p. This included a strategic investment from CIG of $15m. The company said that the funds would be used to strengthen its balance sheet to ensure Kouroussa comes into production on schedule by the end of Q2 2023 to take HUM to be a +200,000 ounce gold producer.

Comment: What is of interest here at Hummingbird is that way that the market has so far failed to appreciate that validation of the massive $15m strategic investment from CIG. This is not the type of thing that would happen as an afterthought. Rather, it is the type of action that is typically delivered ahead of a fundamental inflection point, which in this case is for HUM to be a 200,000 ounce gold producer.

MJ Hudson Group (MJH), the specialist service provider to the asset management industry, announces that, on 23 February 2023, the company reached an agreement with its existing Senior Lender to provide a short term overdraft facility in total of £1.5m in order to provide the company with working capital while it undertakes the current sales process. The short term facility will bear 5% interest plus the Bank of England's base rate per annum, plus additional fees as agreed with the Senior Lender. As part of the arrangement the company's former CEO and founder, Matthew Hudson, has agreed to provide the company with a shareholder loan of £100,000.

Comment: Full marks for the CEO for stepping up to the plate on the loan front at MJH. One would presume that the sales process here could actually reach a positive conclusion, given that the area the company operates in is actually in demand.

Oracle Power (ORCP), a developer of green hydrogen production through its subsidiary, Oracle Energy Limited, announced that Oracle Energy has joined the Dii Desert Energy as an Associate Partner.  Dii, an organization whose mission is to harness emission-free energy from the desert areas of the Middle East and North Africa. ORCP said Naheed Memon, Chief Executive Officer of Oracle Energy, will be a key participant on the Structuring Contracts & Securing Bankable Offtake Agreements panel on Wednesday 01 March at the second annual World Hydrogen MENA Forum in Dubai (27 February to 2 March 2023).

Comment: The company continues to finesse its move into the green energy space, alongside the coal and gold projects. However, it may be that the catalyst for the shares in the near term will be initiatives such as  Dii Desert Energy, which capture the current trend for renewable sources of power.

Alien Metals (UFO), a minerals exploration and development company, announced that it has today published an updated presentation. Included in the presentation is a timeline for the development of the Hancock Project in 2023 which includes the objective of concluding a deal with Anglo America in Q3, along with a Native Title Agreement also targeted to conclude in Q3 with operations commencing thereafter. An updated MRE on the Sirius Extension is expected in Q2 2023.

Cora Gold (CORA), the West African focused gold company, announced that, further to the announcement of 06 February 2023, it has conditionally raised $19.843 million, comprising both equity and convertible loan notes subject only to the passing of the resolutions to be proposed at a General Meeting of the shareholders of the company on 28 February 2023. The company said that the funds raised will be primarily used to commence development of the company's flagship Sanankoro Gold Project in southern Mali following the reported Optimised Project Economics, which highlighted strong economic fundamentals. The company said it was pleased with the strong support received for this fundraising from many of its existing shareholders as well as new investors. Over the coming months we look forward to providing progress updates on our flagship Sanankoro Gold Project.

Comment: The company says it was pleased, presumably on the basis of offering some Great British understatement. It is a great achievement for Bert Monro to have raised nearly $20m, something which clearly underlines the value and merit of Sanakora. To do this in the current stock market environment is even more impressive.

CleanTech Lithium (CTL), a company advancing sustainable lithium projects in Chile, announced its intention to pursue a listing on the official list of the ASX, which may be achieved by Q3 2023. The company said that further to its listing on AIM and OTC, it is expected that a listing of CleanTech Lithium shares in Australia will broaden the company's shareholder base and provide a new platform from which it can raise further awareness of the company's “exciting” three lithium projects In Chile at a time when demand for lithium continues to soar. 

Comment: It would appear that not content with seeing its shares soar on the LSE, CTL would like to repeat the same feat on the ASX. Arguably, Australia investors could be even more enthusiastic towards the company (if that were possible), than those in London.

Contango Holdings (CGO), the London listed natural resource development company, announced its results for the six-month period ended 30 November 2022. The company said it expects to transition into cash flow towards the end of the current quarter with first sales of coking coal.  Lubu's advancement over recent months has been facilitated by the successful £7.5 million fundraising during the period, which has enabled investment in building mining and processing operations.  These development initiatives are now reaching their conclusion, with the wash plant now at site and being assembled ahead of commissioning.

Comment: Never has a wash plant apparently been so pivotal in the development of a company. Just the assembly and commissioning to go before the “promised land” of first sales. That said, “the end of the current quarter” is very near.

ECR Minerals (ECR), the exploration and development company focused on gold in Australia, announced results for three more drill holes from the Blue Moon Prospect, Bailieston, Victoria, including its best gold intercept for this 2022 drilling campaign in hole BBMDD010. The company said  the best result came from hole BBMDD010, with an impressive composite grade of 6.35m @4.56 g/t from 84.9m down. With the modelling for Blue Moon nearly complete, it is close to finalising its plan of action for 2023.

Comment: It is probably the case that it would be good if ECR came up with its plan of action for 2023 sooner than later, now that the modelling for Blue Moon is nearly complete. Ideally, such a plan would give some stability to the share price.