×

SpaceandPeople (AIM:SAL), the retail, promotional and brand experience specialist is pleased to announce that it has been selected by Network Rail as preferred bidder for their Concourse Exhibitions, Events and Distributions Contract.

SpaceandPeople and Network Rail will, after the standstill period of ten days required by regulation 33 of the Utilities Contracts Regulations 2006, aim to agree a five year contract commencing 1 October 2015.

The potential value of the contract to SpaceandPeople is expected to be significant over the five year term.

Further details will be provided should a binding, formal commercial agreement be entered into by Network Rail and SpaceandPeople.

– Ends –

For further information, contact:

SpaceandPeople Plc	0845 241 8215
Matthew Bending, Gregor Dunlay
Cantor Fitzgerald Europe	020 7894 7000
David Foreman, Will Goode (Corporate Finance)
David Banks, Tessa Sillars (Corporate Broking)

About SpaceandPeople plc:

SpaceandPeople facilitates and manages promotional space for marketing campaigns and retailing in shopping centres and other high footfall locations, such as theme parks and railway stations. SpaceandPeople is at the forefront of developing the concept of space as an advertising and promotional medium. It offers consumer brands the opportunity to promote their products through direct engagement with consumers through a mix of experiential marketing events and complementary above the line advertising and multimedia campaigns. SpaceandPeople offers a comprehensive service covering brokerage, consultancy and venue centric media buying. SpaceandPeople is independently funded and its shares are admitted to trading on AIM. The Company acquired Retail Profile, the RMU specialist, in May 2010 and operates in the UK, Germany, India and Russia.

www.spaceandpeople.com

Close

×

The Company is pleased to announce that the metallurgical test programme, announced on 14 April 2015, on the Wash Plant Tailings ("WPT") and Leach Plant Residue Tailings ("LPR") using an acid/brine leaching process to recover lead and zinc has been successful.

The objective of the metallurgical test programme was to confirm the technical viability of the acid/brine leach process for the extraction of lead and zinc from the WPT and LPR.  The metallurgical testing was conducted by Kupfermelt CC at their laboratory in South Africa, under review by Dr Geoff Casson, General Manager of the Company's Zambian subsidiary, Enviro Processing Ltd.

The results demonstrated high metal recoveries from both the WPT and LPR of circa 80% Pb, 70% Zn, and 80% Pb, 50% Zn, respectively, into a pregnant liquor solution from which both lead and zinc could be extracted by precipitation and also zinc alone by electro winning.   

Liquid residue discharges from the process were non-toxic.

As a result, the Company is able to establish the mass, pulp and water parameters required for the construction of the planned pilot plant at Kabwe. It is therefore now focussing on the design and construction of the pilot plant and intends to source the majority of requisite equipment in-country.

Process for ZEMA Application

The Company has contracted JA Consultancy, based in Lusaka, Zambia, an Environmental Specialist organisation, to prepare, present and assist in securing approval for a further Environmental and Social Impact Assessment (ESIA) from ZEMA (Zambia Environmental Management Agency).

JA Consultancy is led by Dr Jewette Masinja who obtained an MSc in Minerals Engineering at Birmingham University and a PhD in Mineral Processing at the University of Queensland, Australia.

Dr Masinja has in-depth knowledge of environmental management in the mining industry. On behalf of the Zambian Government in 1997 and 1998, he developed the national mining environmental legislation which is currently in force in Zambia, specifically the Mines and Minerals (Environmental) Regulations Statutory Instrument No 29 of 1997 and the Environmental Protection Fund Regulations, Statutory Instrument No 102 of 1998.

BMR believes that Dr Masinja and his team are particularly well qualified to secure ZEMA's approval for the planned pilot plant within the requisite time frame, having undertaken similar projects with a track record of successfully securing approvals from ZEMA.

JA Consultancy has already started its assignment, and the process of community consultation in Kabwe as required by the Terms of Reference, for presentation to ZEMA.

Appointment of a Process Engineer

BMR is pleased to announce that the Company has engaged the services of Edward Musonda, an experienced metallurgist, to work under the direction of Dr Geoff Casson on the process design of the Kabwe Pilot Plant.

Mr Musonda holds a Bachelor of Mineral Sciences (B.Min.Sc) Degree in Metallurgy and Mineral Processing from the University of Zambia and has over 20 years' experience in mineral processing of gold and base metals with Anglo America, Gold Fields, Bateman Engineering Projects and ZCCM Investments Holdings ("ZCCM"). He worked for ZCCM in R&D at the Anglo American Research Laboratory, involving gold and base metal pilot plant testing; and, for Gold Fields, on refractory gold ores bio-oxidation R&D as a Project Engineer, designing gold processing plants.  In addition, he has led metallurgical teams, undertaken feasibility studies and managed projects from construction through to production.

Alex Borrelli, Chairman, commented: "We are pleased to announce the results of the metallurgical test programme as a prelude to the establishment of a pilot processing plant, which confirm acid/brine leaching as the appropriate method for extracting a viable precipitate from our valuable resources at Kabwe."

Ends

For further information:

BMR Mining PLC                                                                                                020 7408 7580

Alex Borrelli, CEO and Chairman

WH Ireland Limited                                                                                             020 7220 1666

Chris Fielding, Head of Corporate Finance

Close

×

Northern Petroleum, the AIM quoted oil company focusing on production led growth, announces that the environmental impact assessments ("EIA") for the Company's three remaining exploration permit applications in the southern Adriatic have been approved. These approvals are in addition to the two EIA approvals for exploration permit applications announced by the Company on 10 June 2015. The EIA approvals have been received from the Ministries of the Environment and National Heritage and the final requirement for these applications to become exploration permits is decree by the Ministry of Economic Development.

The EIA approvals across all five exploration permit applications cover the initial work programmes on the permits, which include regional geological studies and the acquisition of up to 1,450 line kms of 2D seismic data.

Keith Bush, Chief Executive Officer, commented:

"With all the southern Adriatic EIAs approved the Company can now work with the Italian authorities to finalise the award of the permits. Once received, a full 2D seismic programme will be designed to evaluate the potential of the Company's 4,500 sq km of contiguous permits and develop further opportunities similar to the Giove discovery and Cygnus exploration prospect."

-Ends-

For further information please contact:

Northern Petroleum Plc                                                                        Tel: +44 (0)20 7469 2900

Keith Bush, Chief Executive Officer

Nick Morgan, Finance Director

 

Westhouse Securities Limited (Nomad and Joint Broker)                    Tel: +44 (0)20 7601 6100

Alastair Stratton

Robert Finlay

 

FirstEnergy Capital LLP (Joint Broker)                                                 Tel: +44 (0)20 7448 0200

Jonathan Wright

 

Note to Editors:

Northern Petroleum is an oil and gas company focused on production led growth. The Company is undertaking a redevelopment and production project in north west Alberta and has a broader portfolio of exploration and appraisal opportunities in countries of relatively low political risk, primarily Italy. Comprehensive information on Northern Petroleum and its oil and gas operations, including press releases, annual reports and interim reports are available from Northern Petroleum's website: www.northernpetroleum.com

Close

×

Trakm8, the AIM-listedtelematics and data provider to the global market place,is pleased to announce it has acquired the business and assets of DCS Systems Ltd ("DCS") for a cash consideration of £3.3 million (the "Acquisition").

Acquisition

DCS specialises in the design and distribution of camera systems for the motor vehicle, bicycle and security markets. DCS trades under three main brands: RoadHawk, Dogcam and Lawmate.

The Acquisition is in line with Trakm8's strategy of augmenting its organic growth with selective acquisitions that expand its telematics offering to both insurance and fleet customers. Cameras are being increasingly used in a wide range of applications, including a significant demand for forward facing vehicle cameras to record driving incidents and to mitigate the risk from 'crash for cash' accidents. Trakm8 has an existing relationship with DCS, supplying some Trakm8 customers with its RoadHawk cameras.

DCS's last unaudited accounts for its financial year ending 30 April 2015 reported revenues of £2.8 million and profit before tax of £0.6 million. Trakm8 funded the Acquisition from its existing cash and bank facilities. Trakm8 has also obtained a further debt facility from HSBC Bank of an additional £2 million taking the total debt facility to £5.7 million, of which £3.7 million is now drawn down following the Acquisition.  DCS will continue to be based in Bodmin, Cornwall and has six staff.

The Acquisition is expected to be immediately earnings enhancing.

 

Directorate change

Reflecting the strong growth of the Group, Trakm8 is also pleased to announce a strengthening of the Board of Directors with three new appointments. These are expected to enhance its corporate governance and ensure it has the management team to implement its growth plans and integrate acquisitions successfully.

Bill Duffy is joining the Board as an additional independent Non-Executive Director. Bill has considerable commercial experience having been CEO of Andrew Page, Halfords Autocentres and a number of other leading automotive aftermarket companies.  He has also been a consultant to the Board over the past 12 months.

In addition Trakm8 is appointing two executives to be Directors of the Group: Sean Morris, as Group Engineering Director and Mark Watkins as Group Operations Director. Sean joined the Group six months ago following senior engineering positions at Continental UK, RAC and Aston Martin. Mark joined the Group 15 months ago as the Managing Director of BOX Telematics following a successful career in IT and operations at Continental UK and Ford Motor Co.

 

John Watkins, Executive Chairman of Trakm8 comments: 

"The acquisition of DCS marks another significant milestone in Trakm8's growth strategy and reflects the growing demand from our fleet and insurance customers for camera applications. We plan to deepen the integration of the camera technology into our telematics solutions for both our fleet and insurance clients.

 "Video data is increasingly used to monitor behaviour and to replay outcomes. The increase in the richness of the data generated by our telematics solutions will continue the trend of the increasing value for money in our propositions."

The following information regarding William Kenneth Duffy's (aged 56) appointment is required to be disclosed under Schedule 2g of the AIM Rules for Companies:

Other directorships held:

Current:	Within the last five years:
Econnect Cars Limited Pangburn Consultants Limited	Andrew Page Limited Camberley Auto Factors Limited Halfords Autocentres Limited Halfords Autocentres Acquisitions Limited Halfords Autocentres Developments Limited Halfords Autocentres Funding Limited Halfords Autocentres Holdings Limited NW Autocentres Limited Oldco 1 Limited Parts Direct Limited Stop n'Steer Limited

Mr Duffy owns 20,000 Ordinary Shares in the capital of Trakm8.

The following information regarding Sean Anthony Morris' (aged 50) appointment is required to be disclosed under Schedule 2g of the AIM Rules for Companies:

Other directorships held:

Current:	Within the last five years:
n/a	n/a

Mr Morris does not own any Ordinary Shares in the capital of Trakm8.

The following information regarding Mark Richard Watkins' (aged 34) appointment is required to be disclosed under Schedule 2g of the AIM Rules for Companies:

Other directorships held:

Current:	Within the last five years:
Box Telematics Ltd	Watnets

Mr Watkins owns 250,128 Ordinary Shares in the capital of Trakm8.

There are no further disclosures to be made under Schedule 2g of the AIM Rules for Companies.

 

-Ends-

 

For further information please contact:

Trakm8 Holdings plc	01747 858444
John Watkins, Executive Chairman
James Hedges, Finance Director
MHP Communications	020 3128 8100
Reg Hoare / Jade Neal
finnCap	020 7220 0500
Ed Frisby / Christopher Raggett – corporate finance Joanna Weaving – corporate broking

About Trakm8

Trakm8, the M2M telematics company using Big Data analytics to improve driver behaviour is a leading technology designer, developer and manufacturer of telematics products and solutions.

The Group, based in Shaftesbury, Dorset, distributes its hardware and software through a network of distributors worldwide. In addition the Group provides vehicle monitoring and tracking services direct to the B2B market. Trakm8's IP owned products and services allow vehicles and drivers to be monitored, allowing organisations to manage deliveries and services, or track stolen vehicles down to five metres.

Recently Trakm8 have developed the T10 product range, which includes a self-install telematics device. The Group's services also include driver behaviour management solutions that can reduce fuel consumption by 10% or more, reduce risk of accidents, logistics routing & scheduling packages, and tachograph data reporting. The Group's customers include Direct Line Group, Eon, the AA, Fujitsu and Kubota.

Trakm8 has been listed on the AIM market of the London Stock Exchange since 2005.

Close

×

Further to the announcement made by the Company on 28 May 2015 regarding the proposed acquisition of Cision UK Limited and Vocus UK Limited (collectively, "C&V"), the Company (AIM: ACC) is pleased to announce that it has entered into an asset purchase agreement to acquire 100 per cent. of the business and certain of the assets of C&V for an aggregate cash consideration of £1.34 million (the "Acquisition").

C&V are the UK divisions of the Cision group, a global software provider to the public relations and marketing industries. C&V are leading providers of Integrated Management Solutions ("IMS") in the UK market and currently support in excess of 1,500 SaaS customers on predominantly annual contracts across a wide range of industries. C&V generated pro forma 2014 revenues of c. £9.8 million and pro forma adjusted 2014 EBITDA of c. £0.5 million. The net assets, the subject of the transaction, are c. £0.9 million.

Rationale for the Acquisition

The Board believe the Acquisition will provide the Group with a developed media contacts database which will strengthen the long term ability of Group subsidiary AIMediaComms Limited ("AIMC") to compete within the IMS market in the UK.

C&V's 2014 revenues were derived approximately 87 per cent. from subscriptions (annual software and content contracts) and 13 per cent. from transactional business (professional services, print clips, press releases). In 2014, approximately 75 per cent. of its clients from the private sector and 25% from non-profits, government and education.

Commenting on the Acquisition, Michael Jackson, Chairman of Access Intelligence plc, said:"The acquisition and integration of a premium media database will considerably augment our leading media relations management platform, Vuelio. It will enhance our ability to provide the best possible service to the combined client base, across the private, public and not for profit sectors.  The acquisition of the UK operations of Cision and Vocus clearly demonstrates our continued commitment to the investment in our platform and our future development plans will significantly drive the PR and media intelligence industry forward in the UK."

Asset Purchase Agreement

The Company will acquire 100 per cent. of the business and certain of the assets of C&V including:

•  a media contacts database including over 60,000 contacts, providing PR customers access to profiles and contact information for journalists and media outlets;
• in excess of 1,500 C&V UK customer contracts; and
• C&V's third party supplier agreements (predominantly content subscriptions).

In addition, approximately 85 employees will be transferred as part of the Acquisition.

Subscription

The Group has conditionally raised £3.03 million before expenses through the issue of 40,400,001 new ordinary shares of 0.5p per share at a subscription price of 3p per share to raise £1.21 million ("Subscription Shares") and the issue of £1.82 nominal 2015 loan notes ("2015 Loan Notes") ("Subscription").

The Subscription Shares once issued will rank pari passu with the existing ordinary shares. Application will be made for the Subscription Shares to be admitted to trading on AIM ("Admission"). It is expected that Admission will become effective and dealings in the Placing Shares will commence by 8.00 a.m. on 22 June 2015.

The 2015 Loan Notes once issued are repayable 5 years and one month after their issue date and accrue interest at 10 per cent. per annum (payable quarterly) up until the first Anniversary of their issue. Thereafter, they accrue interest at 12 per cent. per annum. In the event the 2015 Loan Notes are repaid before the first Anniversary of their issue date, the Company will be required to pay an early redemption charge to the holders of these notes so that the return on the investment is equal to not less than 10 per cent. of the nominal value held.

The proceeds of the Subscription have been raised from existing shareholders and loan note holders of the Group.

The net proceeds from the Subscription amount to approximately £2.9 million, after expenses, and will be applied as to £1.34 million to satisfy the consideration for the Acquisition with the balance being used for working capital and post-acquisition integration costs.

Following Admission of the Subscription Shares, the Company's enlarged issued share capital will consist of 275,510,348 ordinary shares with voting rights. This number may be used by shareholders, following the Subscription, as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure and Transparency Rules.

Related Party Transaction

Elderstreet VCT plc ("Elderstreet") is a substantial shareholder in Access Intelligence and therefore the Subscription by Elderstreet of £200,000 (satisfied by the issue of 6,666,667 new ordinary shares at 3p per share) and £300,000 nominal of the 2015 Loan Notes is considered to be a related party transaction pursuant to Rule 13 of the AIM Rules. The independent directors of Access Intelligence, having consulted with the Group's nominated adviser, Sanlam Securities UK Limited, consider the terms of the 2015 Loan Notes to be fair and reasonable insofar as shareholders are concerned.

Following the Subscription, Elderstreet will hold 39,671,666 ordinary shares equivalent to 14.44 per cent. of the enlarged issued share capital of the Company.

In addition, Elderstreet has agreed to rollover, on the same terms, the £500,000 nominal 2009 loan notes due for redemption in December 2015 until such time as the 2015 Loan Notes are redeemed. This transaction is also deemed to be a related party transaction pursuant to Rule 13 of the AIM Rules. The independent directors of Access Intelligence, having consulted with the Group's nominated adviser, Sanlam Securities UK Limited, consider the terms of the rollover of the 2009 loan notes to be fair and reasonable insofar as shareholders are concerned.

Directorate Change

The Board of Access Intelligence announces that Kole Dhoot, the Company's Chief Financial Officer, has resigned with immediate effect, after an extended period of absence. A process to find his replacement is underway and a further announcement will be made in due course.

For further information:

Access Intelligence plc	0843 659 2940
Michael Jackson (Non-Executive Chairman)
Joanna Arnold (CEO)
Sanlam Securities UK Limited (Nominated Adviser & Broker)	020 7628 2200
Simon Clements/Virginia Bull

 

Close

×

Obtala Resources Limited (AIM:OBT), the vertically integrated agribusiness, timber and retail company, is pleased to provide the following update on its timber operations:

Key Points

• Timber acreage in Mozambique to be increased by 13%
• New forestry asset valuation commissioned
• Board agrees strategy for realising value of forestry assets

Two new timber concessions to be acquired

The Company is, subject to Government approval, completing the acquisition of 50 year leases for two new timber concessions totaling 35,000 hectares in Mozambique to bring the total forestry area to 314,965 hectares. This provides for a 13% increase in its current land holdings. The new blocks are situated adjacent to our main operational centre and, together with the existing holdings, provide a critical mass in terms of approved annual permitted cut. The Company has commissioned Honour Capital, a specialist forestry advisory and management Company, to undertake a valuation review of the new blocks. Honour Capital prepared a valuation report in June 2014 which attributed a NPV to the timber business of US$161 million at a 12% discount based on a 10 year cash flow model.

Plant investment

The Company intends to make a cash injection of $300,000 for additional capital equipment to increase the operational productivity and improve on-site capability to produce value-added end products; such as traditional decking, decking tiles, window and door frames. The supply of these products will provide additional value uplift to the revenues generated from the concessions and will provide for additional employment and training for the local population.

Operations

The Company resumed field operations at the start of the logging season in April and is supplying processed timber to Mozambican based construction companies for the rapidly expanding housing market throughout Mozambique which is forecast to grow over the next few years. Due to strong local demand for timber, the Company is not planning on exporting timber this year. Mozambique's GDP is forecast to grow on an annual basis at 7.5% between 2015-19 (Source: Economist 2015) with demand for timber products and timber sales prices increasing. Negotiations continue with respect to the potential participation of the timber opportunity in Brazil and contract logging in Mozambique.

Commenting on today's announcement, Francesco Scolaro, Chairman of Obtala, said:

"We are dedicated to making the timber operations a great success in Mozambique where we have built a highly efficient operational platform over the past few years. The additional land holdings provide security that we can achieve higher production levels. In tandem, we are making a capital injection to increase and improve our operational capacity and offer a wider range of timber products to the growing local market.

"The Board of Obtala has also agreed a strategy to divest the forestry division thereby recognizing its true value and to grow the business in Mozambique more expeditiously.  We will provide further updates to shareholders in due course."

Obtala Resources                                                           +44 (0)20 7099 1940

Francesco Scolaro – Chairman                                         

Simon Rollason – Managing Director

www.obtalaresources.com

ZAI Corporate Finance Limited (Nomad)                      +44 (0)20 7060 2220

Richard Morrison

Irina Lomova

Brandon Hill Capital  (Broker)                                       +44 (0)20 3463 5000

Jonathan Evans

Square 1 Consulting (Public Relations)                       +44 (0)20 7929 5599

David Bick

Mark Longson

Notes:

Information on Honour Capital

Honour Capital is an independent consultancy that specialises in providing a comprehensive forestry investment and management services, and regulated and authorised to conduct investment appraisals and analysis of forestry by the Royal Institution of Chartered Surveyors (RICS).

Close

×

• Avanti Communications secures contract with South African state owned SENTECH
• Multi-year contract to deliver significant deployments across public sector services and government sites
• SENTECH reports into the Ministry of Telecommunications and Postal Services

Avanti Communications has signed a new multi-year contract with SENTECH, a state owned enterprise operating in the telecommunications sector in Africa. SENTECH delivers satellite broadband connectivity to South Africa's public sector at scale, across hundreds of public state institutions and government sites.

Kganki Matabane, Chief Operations Officer at SENTECH, said: "We are delighted to unveil our new partnership with Avanti, which enhances SENTECH's data connectivity technology platform in order to fulfil our public service mandate. This will enable us to provide robust connectivity services which extend our broadband infrastructure to some of the most remote sections of the country. Avanti's satellite broadband service will allow SENTECH to enhance public value to a vast range of institutions across the country."

David Williams, Avanti CEO commented: "The award of such an important contract for the delivery of vital connectivity to public sector users in South Africa is a strong indication of Avanti's competitive advantages. Through this valuable partnership with SENTECH, we look forward to making a strong contribution to the efficiency of public services across South Africa."

Service will be supplied using Avanti's HYLAS 2 Ka-band satellite, which has 100% coverage of South Africa.

Notes to Editors

For further information please contact:

Avanti: Matthew Springett, +44 (0)207 749 6703

Montfort: Nick Miles / James Olley, +44 (0)203 770 7909

Redleaf: Hannah Nicolas, +44 (0)207 382 4734

Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900

About SENTECH

SENTECH is a State Owned Company (SOC) operating in the broadcasting signal distribution and telecommunications sectors and reporting to the Minister of Telecommunications and Postal Services. SENTECH's signal distribution network forms the backbone of broadcasting in South Africa. 

In line with the Electronic Communications Act and Sentech Act, SENTECH's primary public service mandate is "…to provide electronic communications services and electronic communications network services." Within this context the Government sees Sentech as an intervention vehicle in the communications sector through network based infrastructure.

Visit: www.sentech.co.za

About Avanti Communications 

Avanti connects people wherever they are – in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 150 partners in 118 countries, the network provides ubiquitous internet service to 27 per cent of the world's population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.

Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka-band spectrum that cover an end market of over 1.5bn people. The Group has invested $1.2bn in a network that incorporates satellites, ground stations, datacentres and a fibre ring. Avanti has a unique Cloud based flexible customer interface that is protected by patented technology. 

The Group has three satellites in orbit and a further two fully funded satellites under construction. Avanti Communications is listed in London on AIM (AVN:LSE). 

Visit: www.avantiplc.com

 

Close

×

Croma Security Solutions Group plc ("CSSG" or the "Company"), the AIM listed total security services provider, is pleased to announce that it has entered into three new contracts with major UK firms.

Croma has signed a further three year contract with ODEON, one of the UK's Largest Cinema Chains, to provide planned maintenance, servicing, installation and upgrade works to its cinemas. The contract is expected to total between £1.1 and £1.2 million over the three year period.

Croma signed a further five year contract with Global Hotelier Hilton Hotels, to continue routine maintenance of revenue parking systems & servicing, expected to total £0.9 million over the five year period, with the possibility of additional revenue for upgrade works over the tenure of the contract.

The Company was also awarded the contract for the installation of an incredibly secure Fastvein biometric access control system into the second largest Bank in the UK, working in partnership with Hitachi, for an undisclosed value.

Commenting on these contract wins, Sebastian Morley, Chairman of CSSG, said:  

"These contract wins mark steady progress in our provision of security solutions to UK and International clients. The contract win for the provision of Fastvein to a major international bank is significant. We have developed Fastvein in conjunction with Hitachi and this has led to a formal partnership. Fastvein provides the simplest, most accurate and fastest biometric access control, time and attendance and identification management system in the market. A contract win with a major bank opens up the financial sector and validates the considerable benefits of Fastvein."

Enquiries:

Croma Security Solutions Group Plc

Sebastian Morley (Chairman)

07768 006 909

 

WH Ireland

(Nominated Adviser and broker)

Adrian Hadden

Mark Leonard

0207 220 1666

 

Close

×

Beowulf (AIM: BEM; Aktietorget: BEO), the mineral exploration and development company focused on the Kallak iron ore project in northern Sweden and its Swedish exploration portfolio, announces outstanding testwork results on ore samples from Kallak North. 

Highlights 

·    A 'super' high grade magnetite concentrate, with over 71 per cent iron content and very low levels of deleterious elements (silica, alumina, phosphorous and sulphur) was produced. 

·    The 'super' high grade and purity of the magnetite concentrate produced are valuable attributes
for key target markets: pellets; Direct Reduction Iron ("DRI") facilities in Europe and the Middle East; and in chemical industry applications, with higher quality iron units benefiting manufacturing productivity with improved economy, and high purity delivering environmental benefits.

·    The testwork results support the case for a significant price premium for 'Kallak super
concentrate' ("Kallak Super-con"), over and above much reported iron ore market benchmark prices.  As a comparison, the 65 per cent iron content pellet price was on average $40 per tonne higher than the 62 per cent iron content price in 2014.

·     High grade hematite concentrate with over 68 per cent iron content provides additional upside,
 and potential use as sinter feed blend.

·     All testwork was carried out at GTK in Outokumpu City, Finland ("GTK") on samples generated
from test mining at Kallak North in 2013. A magnetite product control sample was analysed by SGS Canada Inc. to validate the high grade results.

·     In addition to metallurgical testwork, tailings samples have been collected and sent to FLSmidth (UK) Limited for paste thickening trials.  This programme will determine the engineering properties for 'dry-stack' tailings storage, with a view to minimising the tailings footprint in the mine design. Trials are ongoing.

Kurt Budge, Chief Executive Officer of Beowulf, commented:

"With the funds raised in March 2015, we decided to commission further testwork on Kallak North ore to demonstrate the quality of the orebody, despite the delay in being granted an Exploitation Concession.

"The programme has delivered a 'super' high grade magnetite concentrate, with the added bonus of a high grade hematite concentrate, which is what our metallurgical consultants predicted.

"With an enhanced understanding of the high quality products that can be produced from Kallak, we can now build on our understanding of the positioning and pricing of 'Kallak Super-con' in the markets we are targeting, and seek to realize the significant premiums paid for higher quality iron units.

"The award of an Exploitation Concession and our advanced understanding of Kallak North, and its market attractiveness, are important foundations for bringing in a strategic partner and investor.  I look forward to updating the market further in due course."

2015 – Metallurgical testwork

The impetus for the 2015 programme was the belief that even higher grade magnetite concentrate could be produced through the application of reverse flotation, and that the results would prove the suitability of the Kallak North magnetite concentrate for use in Direct Reduction Iron ("DRI") facilities and as chemical grade raw material. 

Kallak North has three main ore types, classified as follows:

1.   'Blue' ore – magnetite rich;

2.   'Green' ore – magnetite rich with hematite; and

3.   'Red' ore – hematite rich.

The work at GTK applied reverse flotation on two of the three ore types, Blue and Green.   Flotation of the magnetite portion of the Red ore type will be done at a later stage.

Head assays for the samples used were performed using X-Ray Fluorescence ("XRF") analysis for Green, Blue and Red samples.  The main elements of interest are shown below:

Element	Green	Blue	Red
Fe %	31.9	36.5	37.9
SiO2 %	47.7	40.6	40.8
Al2O3 %	2.92	2.41	1.84
CaO %	1.2	2.51	1.05
MgO %	2.37	2.58	2.59
P2O5 %	0.068	0.096	0.081
MnO %	0.229	0.51	0.296

This work was carried out by Labtium, who have a geo-analytical laboratory in Outokumpu City and are accredited according to ISO/IEC 17025 by FINAS (Finnish accreditation service).

Concentrate product results:

The table below shows detailed product specifications for concentrates produced in 2015, and in italics the results from the previous programme in 2014:

	Fe %	SiO2 %	S %	CaO %	MgO %	Al2O3 %	TiO2 %	Na2O %	K2O %	P2O5 %	MnO %
Magnetite (SGS certified, 2015)	71.5	0.62	<0.01	0.03	0.03	0.10	<0.01	<0.01	0.01	<0.01	0.48
Magnetite (GTK, 2014)	69+	3.9	0.003	0.109	0.11	0.24	0.010	0.03	0.19	0.009	0.444
Hematite (GTK, 2015)	68.3	2.03	0.005	0.15	0.25	0.20	0.26	0.02	0.019	0.04	0.023
Hematite (GTK, 2014)	65.8	4.1	0.018	0.54	0.50	0.43	0.449	0.05	0.03	0.093	0.183

 

Key: Fe – Iron, SiO2 – Silica, S – Sulphur, CaO – Calcium Oxide, Al2O3 – Alumina, TiO2 – Titanium Dioxide, K2O – Potassium Oxide, P2O5 – Phosphate, MnO – Manganese Oxide.

Earlier metallurgical testing

2010

Metallurgical bench scale tests, including Davis Tube Recovery (DTR) tests were completed in 2010 by MINPRO AB ("MINPRO") of Stråssa, Sweden (www.minpro.se) on ore grade material from drill holes on the Kallak North deposit. The tests were directed towards the production of a high grade magnetite pellet feed product. Traditional treatment of the ore material by fine grinding and wet magnetic separation resulted in a clean magnetite pellet feed product containing 68.0 per cent iron corresponding to a recovery of 85.1 per cent. The head grade ore material contained 39.8 per cent iron, 33.1 per cent silica (SiO2), 0.57 per cent manganese (MnO), 0.09 per cent phosphorous (P2O5), 0.10 per cent titanium (TiO2) and 0.007 per cent sulphur. Further testing by MINPRO, using flotation techniques combined with wet magnetic separation, resulted in a final, high grade pellet feed product containing 70.4 per cent iron with low levels of contaminants such as phosphorous, manganese, sulphur and titanium.

2012

In 2012, Jokkmokk Iron Mines AB ("JIMAB"), Beowulf's Swedish subsidiary, commissioned MINPRO to perform further DTR tests, as well as bench scale grinding and magnetic separation, on composite samples extracted from six separate sections across the Kallak North deposit guided by advice from consultants Micon. The main scope of the test work was to establish a variability pattern in the mineral processing versus standardised test work, with the results obtained used to plan for JIMAB's test mining and sampling programme in 2013 and the subsequent mineral processing tests, laboratory and pilot scale, conducted in early 2014.

The 2012 DTR tests, grinding to liberation and using wet low-intensity magnetic separation techniques ("WLIMS") produced high grade concentrate 68.9-70.3 per cent iron suitable for pellets.

2013/2014 – Pilot scale test work on Kallak North material

In late 2013, approximately 500 tonnes of ore from the test mining sampling programme completed on a defined area of the Kallak North deposit in summer 2013 was transported to a test facility in Outokumpu City, owned by GTK. The main portion of the material was a general composite bulk sample, representing all of the test mined sections at Kallak North in proportion to their respective occurrence.

GTK's initial report in respect of its test work was received in Q1 2014. Approximately 60 tonnes of the general composite bulk sample were tested during a two-week pilot campaign, primarily focusing on establishing recovery and product quality parameters for the magnetite content. Average iron content for the submitted sample was 29.5 per cent. The proportion of magnetite to hematite in the sample was established to be approximately 3.4:1.

The magnetite beneficiation circuit was conventional and straightforward consisting of rod milling with rougher-scavenger cobbing low-intensity magnetic separation ("LIMS") pre-concentration, followed by ball mill re-grinding together with six cleaner LIMS stages to achieve the final magnetite product. The grade and recovery levels were excellent. The amount of dry magnetite concentrate produced for downstream testwork was approximately 2.7 tonnes, grading at 69.4 per cent iron at a magnetite recovery of approximately 95 per cent. Average silica content in the final product was 3.9 per cent and the levels of sulphur and phosphorous were insignificant, being below 0.01 per cent. The end product fineness was 80 per cent passing 25 microns.

The secondary objective, to produce a concentrate of the hematite content, was successful in respect of the quality aspect. A sample of 0.36 tonnes of dry hematite iron concentrate was produced, at an average grade of 66.6 per cent iron, containing 3.3 per cent silica, 0.03 per cent phosphorous and less than 0.02 per cent sulphur. The fineness was 80 per cent passing 175 microns. Several different flow sheet options were tested in order to maximise the hematite recovery, without fully reaching optimised levels. The best beneficiation result was achieved using a combination of spiral separators, supported by SLon High-Gradient Intensity Magnetic Separator ("HGIMS"), recovery remained at below 30 per cent. The short test work programme did not enable optimisation of the hematite beneficiation section. Process mineralogy studies proved that the hematite losses were mostly occurring in the very fine particle sizes.

Enquiries:

Beowulf Mining plc
Kurt Budge, Chief Executive Officer	Tel: +44 (0) 20 3771 6993
Cantor Fitzgerald Europe
Stewart Dickson / Jeremy Stephenson / Carrie Lun	Tel: +44 (0) 20 7894 7000
Blytheweigh
Tim Blythe / Megan Ray	Tel: +44 (0) 20 7138 3204

Qualified Person Review

Dr. Bo R. Arvidson, MSc Mining/Mineral Processing, PhD Mineral Processing (equivalent), both read at the Royal Institute of Technology, Stockholm, has reviewed and approved the technical information contained within this announcement in his capacity as a qualified person, as required under the AIM rules.  Dr. Arvidson has over 47 years relevant experience in the minerals industry, and has developed over 80 new applications within the industrial minerals and iron ore areas.

Cautionary Statement

Statements and assumptions made in this document with respect to the Company's current plans, estimates, strategies and beliefs, and other statements that are not historical facts, are forward-looking statements about the future performance of Beowulf. Forward-looking statements include, but are not limited to, those using words such as "may", "might", "seeks", "expects", "anticipates", "estimates", "believes", "projects", "plans", strategy", "forecast" and similar expressions. These statements reflect management's expectations and assumptions in light of currently available information. They are subject to a number of risks and uncertainties, including, but not limited to, (i) changes in the economic, regulatory and political environments in the countries where Beowulf operates; (ii) changes relating to the geological information available in respect of the various projects undertaken; (iii) Beowulf's continued ability to secure enough financing to carry on its operations as a going concern; (iv) the success of its potential joint ventures and alliances, if any; (v) metal prices, particularly as regards iron ore. In the light of the many risks and uncertainties surrounding any mineral project at an early stage of its development, the actual results could differ materially from those presented and forecast in this document. Beowulf assumes no unconditional obligation to immediately update any such statements and/or forecasts.

About Us

The Kallak North iron ore deposit is located about 40km west of the Jokkmokk municipality centre in the Norrbotten County in Northern Sweden.

Local infrastructure is excellent with all-weather gravel roads passing through the project area and all parts are easily reached by well used forestry tracks. A major hydroelectric power station with associated electric power-lines is located only a few kilometres to the south east. The nearest railway (the 'Inland Railway Line') passes approximately 40km to the east. This railway line is connected at Gällivare with the 'Ore Railway Line', which is used by LKAB for delivery of their iron ore material to the Atlantic harbour at Narvik (Norway) or to the Botnian Sea harbour at Luleå (Sweden).

The total Kallak project area is approximately 80km2 in size, and includes the Parkijaure licence granted in 2010 and the Ågåsjiegge nr2 licence granted in 2014.

The Kallak North and Kallak South orebodies are centrally located and cover an area approximately 3,700m in length and 350m in width, as defined by drilling.  The mineral resource estimate for Kallak North and South is based on drilling conducted between 2010-2014, a total 27,895m drilled, including 131 drillholes. 

The latest resource statement for the Kallak project was finalised on the 28 November 2014, following the guidelines of the JORC Code 2012 edition, summary as follows:

	Category	Tonnage Mt	Fe %	P %	S %
Kallak North	Indicated	105.9	27.9	0.035	0.001
	Inferred	17.0	28.1	0.037	0.001
Kallak South	Indicated	12.5	24.3	0.041	0.003
	Inferred	16.8	24.3	0.044	0.005
Global	Indicated	118.5	27.5	0.036	0.001
	Inferred	33.8	26.2	0.040	0.003

The Ballek Joint Venture project comprises two exploration permits over a total area of 18.3km2, located in the Norrbotten County in Northern Sweden. In September 2008 Beowulf reported a maiden JORC Code compliant Inferred Resource estimate for the Lulepotten copper-gold deposit of 5.4Mt, grading 0.8% Cu and 0.3g/t Au.

Other attractive portfolio assets include the Nautijaure licence with potential for IOCG, Grundträsk gold project and the Munka licence area, which covers approximately 800 hectares and hosts Sweden's largest, drill confirmed deposit of molybdenum.

 

Close

×

Neville Registrars are delighted to welcome Idox plc as the newest addtion to its list of client companies.

Idox plc is a supplier of specialist information management solutions and services to the public sector and to highly regulated asset intensive industries around the world in the wider corporate sector.

Further information can be found on the Company's website: http://www.idoxgroup.com/

Close