Past year: ▲ 0%(0.60c – 1.60c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
17 Nov 2014joint venture update● Neutral
The deadline for conditions in the First Quantum Sese deal is extended to 1 December 2014, to finalise a shareholders agreement and let FQM complete due diligence. The deal remains unfinished beyond the original 30-day window.
3 Nov 2014quarterly activities report● Neutral
September quarter report restates the FQM deal: A$8m for 51% of the Sese holding entity, then A$12m more over up to 18 months for 75%. Conditions precedent include due diligence and a shareholders agreement. Also repeats the A$7.3m raisings and permit approvals. Largely repeats known facts.
30 Oct 2014annual report● Neutral
2014 annual report summarising the year's milestones: Sese environmental approval and surface rights, the ZESCO MOU, South African registrations, the Sese West maiden resource and the Mmamabula West acquisition. Frames the company's shift from explorer to power project developer. Repeats known events.
23 Oct 2014capital raising announcement● Neutral
Prospectus for a 1-for-8 rights issue of about 68.3m shares at 5.5 cents, raising up to about A$3.76m, partly underwritten by Sentient. Formal document for the offer announced with the FQM deal; shares described as highly speculative.
What it means for a shareholder
68.3m new shares at A$0.055 to raise about A$3.8m. That's 13% dilution: every existing holder's slice gets 13% smaller. If you held A$1,000 of shares (18,182 at the issue price), your slice goes from 0.00381% to 0.00333% of the company. To keep it you'd need 2,600 more shares - about A$143 at the issue price.
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23 Oct 2014admin correction● Neutral
Cleansing notice under the Corporations Act for shares just issued, which follow the FQM placement (inference). Administrative only.
20 Oct 2014farm in farm out agreement▲ GoodMajor
First Quantum Minerals signed a binding heads of agreement to earn 75% of the Sese Project by investing A$20m and arranging a loan carry for African Energy's 25%. FQM also buys 69m shares at 5.5c (A$3.8m, about 12.6%), with a A$3.5m underwritten rights issue. A$8m returns to repay loans.
26 Sept 2014annual report● Neutral
Statutory financial report for the year to 30 June 2014, with directors' report and audited accounts. Text provided is mostly the contents and directors' biographies; no financial figures are visible here. Managing director Tabeart also became managing director of Segue Resources in September.
5 Sept 2014investor presentation● Neutral
Notice of a webcast of the managing director's presentation at the Africa Downunder conference in Perth. No new information.
4 Sept 2014regulatory community update▲ GoodMajor
Botswana's environment department approved the environmental impact assessment for the 300MW Sese power project and 1.6Mtpa coal mine, valid for five years. Together with surface rights and the water allocation, this advances permitting of the first Sese power project.
2 Sept 2014admin correction● Neutral
Change of Australian registered office and principal place of business to Subiaco, Western Australia, effective 2 September 2014. Administrative only.
28 Aug 2014regulatory community update▲ GoodMajor
Mining licence application lodged for the first 300MW Sese power project, covering 12.8km2 and enough coal for 35 years. Surface rights and a Shashe Dam pipeline easement are approved. Botswana's brownfield tender workshop was held; the request for proposals is due shortly.
27 Aug 2014material agreement▲ Good
Zambia's utility ZESCO signed a non-binding letter of intent to receive power from the 300MW Sese project, building on the earlier MOU. Parsons Brinckerhoff is commissioned for a transmission study due in Q4 2014. No power supply agreement yet.
31 July 2014quarterly activities report● Neutral
June quarter: Sese surface rights lease approved and first draft environmental assessment lodged. Cash rose to US$3.32m from US$1.26m after US$3.0m of raisings. Karoo confirmed it will not buy the Zambian uranium portfolio, resolving that thread. Mining licence application planned next quarter.
29 July 2014regulatory community update▲ Good
African Energy registered four projects in South Africa's 2,500MW coal baseload power programme: a 300MW Sese project with ACWA Power and three 600MW Mmamantswe projects with separate consortia. Botswana's ministry issued a support letter; registration only allows consultation, and the formal bid request is still to come.
23 June 2014other● Neutral
Notice that the share registry, Link Market Services, moves to a new Perth address from 30 June 2014. Administrative only.
3 June 2014capital raising announcement▼ BadMajor
Rights issue closed 29 May: holders applied for only 3.5m of 34.7m shares. Sentient's underwriting takes 17.1m shares, leaving 14.1m shortfall shares that may be placed at 8.5 cents within three months. Raise is likely below the full A$2.95m (inference).
28 May 2014material agreement● Neutral
UK broker WH Ireland starts research coverage under a 12-month commercial agreement to provide marketing and investor relations services. Minor promotional arrangement; no cost stated.
27 May 2014investor presentation● Neutral
Notice of a webcast interview with the managing director on the company's power development strategy. No new information.
19 May 2014admin correction● Neutral
Clarifies that the Mmamabula West production target and financial forecasts in the investor presentation come from the 12 May study, and that assumptions are unchanged. Compliance clarification only; no new information.
15 May 2014investor presentation● Neutral
May 2014 presentation restates the 8.7Bt coal inventory, ACWA Power partnership, Botswana tender shortlisting, Zambia MOU and the Mmamabula West study. Says the tender request for proposals is expected next quarter. Largely repeats known facts.
14 May 2014admin correction▼ BadMajor
The company says the Mmamantswe 'probable reserve' (895Mt) was wrongly kept in quarterly reports after the 2012 JORC code began. The 2009 scoping study is not sufficient to support a reserve. Follows the February retraction of Mmamantswe production and cost figures.
13 May 2014resource reserve update▲ GoodMajor
First estimate for Sese West: 2,501Mt inferred coal at 14.6MJ/kg, from 15 drill holes. It is thought to be the down-dip extension of Sese. Lifts total coal inventory to 8.7Bt; scoping study to start in June.
12 May 2014resource reserve update▲ GoodMajor
Prefeasibility study for Mmamabula West underground mine: 4.4Mtpa run-of-mine, up to 3Mtpa export coal over 20 years. Capital cost US$113m and operating cost US$25/t at the mine gate. Based on a 200Mt part of the 2,433Mt resource; the licence extension was requested.
7 May 2014director officer appointment▲ Good
Wayne Trumble joins as non-executive director. He has 35 years in electricity and led Griffin's 436MW Bluewaters coal power project in Western Australia. Brings power-development experience for the Botswana tender and Zambia studies. Fills the board seat left by Curnow's retirement (inference).
5 May 2014capital raising announcement● Neutral
Prospectus for the rights issue of about 34.7m shares at 8.5 cents, raising up to about A$2.95m, partly underwritten by Sentient. Formal document for the already announced offer. Describes the shares as highly speculative.
What it means for a shareholder
34.7m new shares at A$0.085 to raise about A$3.0m. That's 7.1% dilution: every existing holder's slice gets 7.1% smaller. If you held A$1,000 of shares (11,765 at the issue price), your slice goes from 0.00261% to 0.00242% of the company. To keep it you'd need 905 more shares - about A$77 at the issue price.
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5 May 2014capital raising announcement● Neutral
Details the rights issue: 1 new share for every 13 held at 8.5 cents, raising up to A$2.95m. Sentient partly underwrites it up to A$1.5m and holds 19.95%. Offer is open to shareholders in Australia, New Zealand and the Cayman Islands, closing 29 May. Follows the April placement.
1 May 2014material agreement termination▼ BadMajor
Karoo has decided not to buy the Zambian uranium portfolio, so the sale agreed in September 2013 lapses. The company will pursue other options. The US$2.0m cash plus US$0.5m shares deal is lost.
30 Apr 2014quarterly activities report● Neutral
March quarter: cash fell to US$1.26m from US$3.43m. Sese environmental study and feasibility phase 1 are finished and under review, with the mining licence application expected next quarter. Mmamabula West study completed. Raising of about A$4.5m under way; director Curnow retired.
16 Apr 2014material agreement▲ GoodMajor
Non-binding MOU with Zambia's power utility ZESCO and adviser Maysen and Borowski to explore delivering 300MW from Sese into southern Zambia, 500km north. The company will do a desktop transmission study. Opens a possible export market for Sese power; no binding commitment.
15 Apr 2014regulatory community update▲ Good
Reports two third-party rail projects for Botswana coal: Transnet's 105km link to South Africa, with construction planned from 2015 and about R40bn allocated, and the 1,500km Trans-Kalahari Railway, with a bilateral agreement signed 20 March. Not company projects; no direct commitment by the company.
