Small Cap Feast

Small Cap Feast – 18 November 2019

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Touchstone Exploration (TXP.L) 12.875p £20.69m
Production test results for the Coho-1 well on the Ortoire exploration block, onshore in the Republic of Trinidad and Tobago. During the final flowback period, a peak rate of 19.8 million cubic feet per day (“MMCFD”) (3,300 barrels of oil equivalent (“BOEPD”)) of dry, sweet natural gas was observed with a wellhead pressure of 2,632 psi on a 32/64″ choke.
“These positive well test results represent a new era for Touchstone as we expect to add significant natural gas volumes to our production base. The results outline the opportunities that still exist for onshore Trinidad exploration and position Touchstone to become a top three onshore petroleum producer. It must also be noted that the Coho-1 well is in the smallest prospect of the Ortoire

Shanta Gold (SHG.L) 8.7p £68.5m
Reserve and resource update as at 30 September 2019 at the New Luika Gold Mine (“NLGM”) in South Western Tanzania, drilling programme for the 6-month period from 1 April 2019 to 30 September 2019, which totalled c.8.5 km and consisted of 81 holes all located within 4 km of the plant, at a cost of c.US$1m;
This drilling has added new probable gold reserves totalling 135,438 ounces grading 4.07g/t Au at Bauhinia Creek Deep West, Elizabeth Hill North, Bauhinia Creek North and Black Tree Hill. New Inferred resources of 94,007 ounces grading 2.75 g/t up 26% from 74,427 ounces grading 1.71 g/t have been estimated at the Newly Drilled Targets, with further drilling planned to prove this up. Since 30 September 2019, drilling has been ongoing on the Mining Licences and across other regional targets in the Lupa Goldfield; Approximately 4,000 meters of exploration drilling is planned for Q4 2019

Centralnic (CNIC.L) 48.5p £88.2m
Formerly announced acquisition of Team Internet AG, Germany now expected to complete in the week commencing 23 December 2019. US$48m total consideration payable, US$45m is cash, to be funded by an underwritten bond issue. Expected to be immediately earnings enhancing and significantly accretive in the financial year ending 31 December 2020 before any synergies.
Q3 trading update – Unaudited revenues of US$77.1m and adjusted EBITDA of US$13.1m for the period from 1 January to 30 September 2019. The Group, prior to any contribution from the acquisition, continues to trade in line with the high end of analyst expectations

Ariana Resources (AAU.L) 1.975p £20.9m
Recent resource drilling results obtained from the Kiziltepe Mine .
Infill resource drilling results from the Arzu North Vein include 7m @ 3.34 g/t Au + 54 g/t Ag, 9m @ 2.44 g/t Au + 41 g/t Ag, and 8m @ 2.88 g/t Au + 156 g/t Ag.
·Significant mineralisation confirmed at far NW end of Arzu North, which sits outside of the current resource with the potential to extend further by several hundred metres.
Mining activities at Arzu North and Derya are fully underway, and grade control results obtained to date from Arzu North include: 2m @ 17.90 g/t Au + 147 g/t Ag, 3m @ 7.74g/t Au + 60 g/t Ag and 8m @ 2.05 g/t Au + 20 g/t Ag.

Inspirit Energy Holdings(INSP.L) 0.15p £2.13m
The developer of micro combined heat and power boilers, is pleased to announce that it has raised £300,000 at 0.12p vs a closing price of 0.22p.
Further to the announcement of 13 November 2019, where the Company announced that its Inspirit Charger had successfully created a smaller prototype of the Stirling engine casting using modern 3D printing methods with its partners in Poland, the funds raised will a) allow the Company to finalise the development of the new enhanced 6.4kW boiler and seek the associated accreditation with a view to producing a unit for batch trail production and b) provide general working capital.

Tristel (TSTL.L) 320p £143m
“The manufacturer of infection prevention products, announces that MobileODT (“MODT”), a company in which it holds a 2.13% strategic equity stake, has successfully completed its first closing of a US$9.75 million second-round institutional fund raising. The funding has been led by OrbiMed Israel Partners and will provide MODT with further growth capital. Whilst Tristel has not participated in this latest funding round the Company has invested US$911,000 in MODT since June 2017. “

Open Orphan (ORPH.L) 6.35p £16.2m
The “European-focussed, rare and orphan drug consulting services platform, is pleased to announce the signing of a contract with Carna Bioscience (“Carna”) (www.carnabio.com)for a First In Human Clinical pharmacology trial. The contract is expected to deliver significant revenue for the Company over the next twelve months. Carna is a Japanese company specialising in kinase biology, developing innovative treatments against cancer and immune disorders.
This contract sees Venn Life Sciences (“Venn”), part of Open Orphan plc, provide Carna with a range of expertise from Chemistry Manufacturing and Controls to Clinical Trial Management as well as biometry, legal and regulatory support.”

Real Estate Investors (RLE.L) 54.5p £101.6m
The REIT “with a portfolio of 1.53 million sq. ft. of commercial property in the Midlands property market across all sectors, is pleased to announce the acquisition of a fully-let, prime, mixed-use block on The Parade, Royal Leamington Spa, for £7.45 million, generating a net initial yield of 8.05%.
The property, which includes twelve units, produces £639,500 p.a. with a current WAULT of 2.8 years to break and 5.5 years to expiry.”

IQGeo (IQG.L) 43p £21.3m
Two new contracts worth in excess of USD1.2 million with an existing customer, increasing the number of its licensed users and purchasing IQGeo’s field data capture product.
The customer is a regulated electric and natural gas utility, based in the USA serving over 700,000 electric and natural gas customers, covering an area of more than 600 square miles.

Mosman Oil and Gas (MSMN.L) 0.25p £2.2m
Memorandum of Agreement (MOA) and a Heads of Agreement (HOA) in respect to a potential Joint Venture for its Amadeus Project located in Central Australia. The timetable for these discussions, which will include a site visit, will be firmed up in due course and following this and a data review in Sydney, we will then be able to determine the outcome.

Head Chef:

Derren Nathan
0203 764 2344
derren.nathan@hybridan.com

*A corporate client of Hybridan LLP

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