News Review, 18 February
There appears to be no stopping Greatland Gold currently. Shares in the Aim-listed miner were trading at close to 5p on Monday – up from less than 2p at the turn of the year.
The firm impressed investors early this month by announcing it had hit high-grade gold
mineralisation in Tasmania. It could get better for Greatland as well. According to Proactive Investors, Numis has just upgraded its price target for the company, explaining: “Whilst the shares have performed strongly and are up 60 per cent in the year-to-date, we believe that this is just the market beginning to catch up with the very positive drill results generated over the past 12 months.”
Russia-focused Eurasia Mining last week left its shareholders on the edge of their seats as it suspended shares “pending clarification of its relationship with CITIC”, a Chinese state-owned investor. Shares in Eurasia have soared in recent months, from less than 0.5p in October last year to nearly 4p in January and then more than 7p this month. Watch this space…
Yet more drama at NMC Health, the Abu Dhabi-headquartered medical giant. The company yesterday announced the sudden resignation of its founder and joint chairman, BR Shetty. He quit on Monday after NMC said last week that he and two other major investors had incorrectly reported their shareholdings. Shares in the company, battered in recent months amid questions over its finances, recovered three per cent on Monday following the news.
We identified Novacyt has a potential stock market beneficiary of the coronavirus crisis
earlier this month. And on Monday the Anglo-French healthcare group jumped nearly 70 per cent to 166p – up from just 16p in late January – after it announced the launch of a ‘CE-Mark’ molecular test to help detect the coronavirus that has hit China. The company believes it now has the first approved test that can identify this specific strand of coronavirus.
Shares in Baron Oil were sent flying in early February – from 0.11p to 0.39p – when the firm announced some decent new findings at a site in Australia. But they’ve now come crashing down to earth – 0.13p – after the company announced last Friday that it had raised £2.5million for a conditional placing and subscription of 2.5billion new shares priced at 0.1p each.
UK Oil & Gas
Are shares in UK Oil and Gas finally stabilising? The company’s stock has been in a downward spiral since the autumn – falling from above 1p to 0.62p – but it appears the fall may be hastening as the company begins to get its affairs in order. UKOG announced on Monday that Riverfort Global Opportunities would be converting £150,000 of loan into shares. UKOG’s stock price dipped after the announcement, but at 0.62p it is above a low of 0.58p last week.
There was yet more bad news for Tullow Oil investors on Monday as the firm announced it was abandoning a well in Peru after failing to find oil while drilling there. The announcement marked another setback for the explorer, which shocked investors in December by cutting its production forecast, scrapping its dividend and announcing the departure of its chief executive. Shares in Tullow dropped three per cent yesterday to 44p – down from 140p before December’s bad news.
We look forward to seeing you soon for the next TMS investor event in 2020.
The author does not hold shares but was remunerated for this article