A Glittering 18 months ahead for MetalNRG
“…My drive over the next 12-18 months is very much on getting the market cap of MetalNRG up, up, up…”
It’s not just gold, but oil and gas and green investment that is the focus of MetalNRG chief executive Rolf Gerritsen this year and next.
And it is investments in shovel ready projects that will generate revenue and the cash flow that will be recycled into additional added value projects to increase shareholder value.
While this sounds like an exhaustive clichéd CEO mantra or corporate wishful thinking, Gerritsen is surrounded by a board known for its proactiveness, network might and international connections. Eurasia Mining’s Chair Christian Schaffalitzky is on the board as is the founding shareholder Christopher Latilla-Campbell. So too is Pierpaolo Rocco overseeing MetalNRG’s second key asset the synergistically named BritNRG.
BritNRG is the special purpose vehicle created for the January acquisition of Sunswept Enterprise and its associated subsidiaries. Sunswept is expected to be net cashflow positive at Brent prices sub $40/bbl, however Gerritsen says Rocco is concluding his ‘100 day plan’ which in addition to addressing compliance, and health and safety issues will bring “the cost down to $20/bbl.” The immediate mission is to “unblock one of the blocked wells over the next few weeks so that should increase substantially the production profile of what we have.”
An exit for the Sunswept assets may be a spin off at ‘some point,’ but Gerritsen emphasises this part of the portfolio has “a number of options and it gives us a little bit of flexibility and optionality which is quite nice to have.”
That’s the second key asset. The first is The Gold Ridge Project in Arizona which ‘offers significant potential for new gold discoveries.’ It’s the subject of a soon-to-be released CPR report currently being scrutinised by the FCA, and was the main impetus for the successful equity placing which raised £2.3 million.
Gerritsen is determined the funds will last for more than 18 months because “with the projects we’re looking at, and with the revenue those projects could generate we might be able to extend that out further.”
Which brings us to green and the recently announced Framework Partnership Agreement with EQTEC. MetalNRG’s special purpose vehicle, MetalNRG Eco, is dedicated to the development of biomass, waste to energy and sustainable green energy projects. The partners are investigating sustainable shovel ready green products; transactions which are again about 12-18 months from producing revenue.
Gerritsen’s intention is to build up a pipeline of “interesting waste energy related projects that can be brought to market very quickly.”
Listen to Rolf reiterate that timeline with Sarah Lowther and their discussion about why capitulation from some transactions wasn’t just brave, but ballsy and necessary.
Follow MetalNRG on twitter @MetalNRGplc
Watch Rolf speak to ProactiveUK’s Katie Pilbeam about the company’s oversubscribed fundraising via a share placing.
Rolf is joined by fellow board member Pierpaolo Rocco to talk about the Sunswept Enterprise Limited transaction and the assembly of a ‘secret weapon team’ of talent.
The author was remunerated but does not hold shares in the company
