Pan African Resources (PAF)

Sector:

Mining

Index:

FTSE AIM 100

16.00p
   
  • Change Today:
      0.34p
  • 52 Week High: 24.00
  • 52 Week Low: 12.80
  • Currency: UK Pounds
  • Shares Issued: 2,222.86m
  • Volume: 4,392,999
  • Market Cap: £355.66m
  • RiskGrade: 255

Pan African gets to work after completing Sale transaction

By Josh White

Date: Thursday 06 Oct 2022

LONDON (ShareCast) - (Sharecast News) - Pan African has closed the acquisition of the total share capital and claims of Mogale Gold and Mintails SA Soweto Cluster (MSC), it announced on Thursday, known together as the Sale transaction.
The AIM-traded firm said both Mogale Gold and MSC were wholly-owned by Mintails Mining SA, which was placed in provisional liquidation in 2018.

It said the total cash consideration of ZAR 50m (£2.49m) was settled on closing.

Pan African completed a definitive feasibility study on the Mogale Gold tailings storage facilities, and announced the results, on 30 June.

The study demonstrated "compelling economics" and the potential to "significantly" increase group gold production by more than 25% compared to current group annual production, over an initial mine life of 13 years.

Re-mining the tailings storage facilities had the potential to add further production upside and extend the life-of-mine to 21 years.

The company said it agreed a credit approved and underwritten term sheet with FirstRand Bank, acting through its Rand Merchant Bank division, for $80m of senior debt for part-funding of the project's construction.

Pan African was in the process of evaluating a number of additional funding options for the balance of the capital budget requirement.

Following the completion of the definitive feasibility study, the firm said it had started detailed engineering optimisation studies and the impact assessments required for the environmental authorisation process, stakeholder engagements and permitting.

The start of construction was currently expected in 2023.

"Pan African is pleased to have finally closed the Sale transaction," said chief executive officer Cobus Loots.

"Our studies have demonstrated robust operational and financial economics, with the project having the potential to further increase our high-margin, long-life production from tailings retreatment operations."

Loots said the area where Mintails is situated presented a number of environmental and social challenges.

"We will require the assistance of the government and all the other legitimate stakeholders to successfully address those challenges, remediate the site and develop a world-class project.

"We look forward to continue to work with those stakeholders in this regard."

At 1134 BST, shares in Pan African Resources were up 0.83% at 17,52p.

Reporting by Josh White at Sharecast.com.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

PAF Market Data

Currency UK Pounds
Share Price 16.00p
Change Today 0.34p
% Change 2.17 %
52 Week High 24.00
52 Week Low 12.80
Volume 4,392,999
Shares Issued 2,222.86m
Market Cap £355.66m
RiskGrade 255

PAF Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
76.79% above the market average76.79% above the market average76.79% above the market average76.79% above the market average76.79% above the market average
43.08% below the sector average43.08% below the sector average43.08% below the sector average43.08% below the sector average43.08% below the sector average
Price Trend
12.2% below the market average12.2% below the market average12.2% below the market average12.2% below the market average12.2% below the market average
27.27% above the sector average27.27% above the sector average27.27% above the sector average27.27% above the sector average27.27% above the sector average
Income
97.22% above the market average97.22% above the market average97.22% above the market average97.22% above the market average97.22% above the market average
50.00% above the sector average50.00% above the sector average50.00% above the sector average50.00% above the sector average50.00% above the sector average
Growth
8.00% above the market average8.00% above the market average8.00% above the market average8.00% above the market average8.00% above the market average
27.27% below the sector average27.27% below the sector average27.27% below the sector average27.27% below the sector average27.27% below the sector average

What The Brokers Say

Strong Buy 2
Buy 1
Neutral 0
Sell 0
Strong Sell 0
Total 3
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

PAF Dividends

  Latest Previous
  Final Final
Ex-Div 01-Dec-22 02-Dec-21
Paid 13-Dec-22 14-Dec-21
Amount 0.91p 0.92p

Trades for 24-Mar-2023

Time Volume / Share Price
16:35 279,492 @ 16.00p
16:35 1 @ 16.00p
16:35 3,168 @ 16.00p
16:35 270 @ 16.00p
16:35 1,632 @ 16.00p

PAF Key Personnel

CEO Cobus Loots
Finance Director Deon Louw

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