There's no doubt that money can be made by owning shares of unprofitable businesses. For example, although software-as-a-service business Salesforce.com lost money for years while it grew recurring revenue, if you held shares since 2005, you'd have done very well indeed. But the harsh reality is that very many loss making companies burn through all their cash and go bankrupt.

So, the natural question for Renascor Resources (ASX:RNU) shareholders is whether they should be concerned by its rate of cash burn. In this article, we define cash burn as its annual (negative) free cash flow, which is the amount of money a company spends each year to fund its growth. First, we'll determine its cash runway by comparing its cash burn with its cash reserves.

Check out our latest analysis for Renascor Resources

How Long Is Renascor Resources' Cash Runway?

A company's cash runway is the amount of time it would take to burn through its cash reserves at its current cash burn rate. As at June 2020, Renascor Resources had cash of AU$1.9m and no debt. Importantly, its cash burn was AU$2.8m over the trailing twelve months. Therefore, from June 2020 it had roughly 8 months of cash runway. To be frank, this kind of short runway puts us on edge, as it indicates the company must reduce its cash burn significantly, or else raise cash imminently. Depicted below, you can see how its cash holdings have changed over time.

How Is Renascor Resources' Cash Burn Changing Over Time?

Because Renascor Resources isn't currently generating revenue, we consider it an early-stage business. Nonetheless, we can still examine its cash burn trajectory as part of our assessment of its cash burn situation. Given the length of the cash runway, we'd interpret the 47% reduction in cash burn, in twelve months, as prudent if not necessary for capital preservation. Admittedly, we're a bit cautious of Renascor Resources due to its lack of significant operating revenues. So we'd generally prefer stocks from this list of stocks that have analysts forecasting growth.

How Easily Can Renascor Resources Raise Cash?

Even though it has reduced its cash burn recently, shareholders should still consider how easy it would be for Renascor Resources to raise more cash in the future. Issuing new shares, or taking on debt, are the most common ways for a listed company to raise more money for its business. One of the main advantages held by publicly listed companies is that they can sell shares to investors to raise cash and fund growth. By comparing a company's annual cash burn to its total market capitalisation, we can estimate roughly how many shares it would have to issue in order to run the company for another year (at the same burn rate).

Renascor Resources has a market capitalisation of AU$28m and burnt through AU$2.8m last year, which is 10.0% of the company's market value. That's a low proportion, so we figure the company would be able to raise more cash to fund growth, with a little dilution, or even to simply borrow some money.

Is Renascor Resources' Cash Burn A Worry?

On this analysis of Renascor Resources' cash burn, we think its cash burn reduction was reassuring, while its cash runway has us a bit worried. Even though we don't think it has a problem with its cash burn, the analysis we've done in this article does suggest that shareholders should give some careful thought to the potential cost of raising more money in the future. An in-depth examination of risks revealed 4 warning signs for Renascor Resources that readers should think about before committing capital to this stock.

Of course Renascor Resources may not be the best stock to buy. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

QUÉBEC CITY, Jan. 14, 2021 (GLOBE NEWSWIRE) — Robex Resources Inc. (“Robex” or the “Company”) (TSXV: RBX/FRA: RB4) is preparing for the future and furthering its expertise as it appoints Serge Telle as special advisor to management and the board of directors, and Aurélien Bonneviot as Head of Investor relations and Corporate development.

Serge Telle is a French ambassador with significant experience in international relations. He joined the French Foreign Service in 1982 and was appointed at the French embassy in Dar es Salam, Tanzania. He has developed great expertise in the UN system after spending 5 years at the Permanent Mission of France in New York, from 1983 to 1988. He then spent almost 5 years as head of the coordination structure for humanitarian affairs in the UN’s Geneva office, from 1993 to 1997.

Serge Telle has worked with a number of political figures. He was diplomatic advisor to the minister of humanitarian affairs, Bernard Kouchner, and worked with the French Prime Minister, Lionel Jospin.

Serge Telle served as the first French ambassador to Monaco in 2005 and was subsequently appointed Minister of State (Prime Minister), from January 2016 until September 2020.

Aurélien Bonneviot has more than a decade of experience in capital markets and was most recently Senior Investment Manager at Greenstone Resources, a private equity fund specializing in the mining sector. Aurélien Bonneviot started as a sell-side mining analyst at Société Générale and Oddo-BHF and subsequently moved to the buy side as commodities analyst and portfolio manager at SMA Gestion. In 2014, Aurélien Bonneviot joined Louis Dreyfus Metals (now IXM) as a Business Development Manager until its acquisition by China Molybdenum in 2018.

Benjamin Cohen, CEO: “We warmly welcome Serge and Aurélien to our team. They will both bring a very complementary skillset to our team as we look to grow our company beyond Nampala. I believe that 2021 will be an exciting year for us as we have a highly profitable operation and an ambitious exploration program, and with these two additions we will now be able to transact on the opportunities we see in West Africa.”

George Cohen, Chairman: “I have known Serge Telle for decades. He will be able to guide our team in the complex world of international relations in Africa. Together with Aurélien Bonneviot, they will help management deliver our strategy to create a group with multiple assets and a strong business model aligned with shareholder value creation.”

For more information about Robex, please visit our website at https://robexgold.com/en/.

About Robex:

Robex Gold is a TSX-V listed company with exploration properties in Mali and an operating mine that produced 39,267 ounces of gold in the first 9 months of 2020. The group has a strong business model, which demonstrated great results with the Nampala mine. With this experience, Robex is now striving to grow in West Africa by acquiring and/or developing new mines.

For more information:

Benjamin Cohen, CEO
Aurélien Bonneviot, investor relations and corporate development
a.bonneviot@robexgold.com
Head office: +1(581) 741-7421

This press release contains statements that may be considered “forecast information” or “forecast statements” in terms of security rights. These forecasts are subject to uncertainties and risks, some of which are beyond the control of Robex. Achievements and final results may differ significantly from implicit or explicit forecasts. These differences can be attributed to many factors, including market volatility, the impact of the exchange rate and interest rate fluctuations, mispricing, the environment (tighter regulations), unforeseen geological situations, unfavourable operating conditions, political risks inherent in mining in developing countries, changes in government policies or regulations (laws and policies), an inability to obtain necessary permits and approvals from government agencies, or any other risk associated with mining and development. There can be no assurance that the circumstances set out in these forecasts will occur, or even benefit Robex. The forecasts are based on the estimates and opinions of the Robex management team at the time of publication. Robex makes no commitment to make any updates or changes to these publicly available forecasts based on new information or events, or for any other reason, except as required by applicable security laws. The TSX Venture Exchange or the Regulation Services Provider (as defined in the policies of the TSX Venture Exchange) assumes no responsibility for the authenticity or accuracy of this press release.

TILBURY, ON and CALGARY, AB, Jan. 12, 2021 /CNW/ – The Board of Directors of RS Technologies Inc. ("RS" or the "Company") is pleased to announce the appointment of Donald J. Lowry as Chairman of the Board, effective December 9, 2020. Prior to his appointment as Chairman, Don has been an independent director of RS since the fall of 2019. David Werklund, who has served as Chairman since 2013, is stepping down from his role and will remain on the Company's Board of Directors. The Board thanks David for his stellar leadership as Chairman and his guidance in navigating RS to where it is today.

"We are very fortunate to have attracted someone with Don's North American utility industry background and capital markets experience," stated David Werklund. "Don brings a seasoned perspective to our discussions and has become an indispensable part of our Board. We look forward to working with Don in his new capacity as Chairman."

"RS is thrilled to benefit from Don's wealth of experience, particularly his focus on ESG matters as it aligns well with RS's composite utility poles that are industry leading in environmental and sustainability performance," said Howard Elliott, President and CEO of RS.

About RS Technologies Inc. (RS)
RS designs and manufactures the world's highest-performing composite utility poles that are safer, more reliable and longer-lasting than wood, steel, and concrete poles. RS poles are used in transmission (up to 345kV), distribution and communication applications, are environmentally friendly and consistently deliver the lowest total installed and lifecycle cost solution of any pole on the market. More information on RS and its poles is available at RSpoles.com.

View original content to download multimedia:http://www.prnewswire.com/news-releases/rs-technologies-inc-board-of-directors-appoints-donald-j-lowry-as-new-chairman-301207033.html

SOURCE RS Technologies Inc.

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/January2021/12/c9954.html

VANCOUVER, British Columbia, Jan. 13, 2021 (GLOBE NEWSWIRE) — Novo Resources Corp. (“Novo” or the “Company”) (TSX: NVO & NVO.WT; OTCQX: NSRPF) is pleased to announce that Mr. Michael Spreadborough has accepted an invitation to join its board of directors.

Michael Spreadborough is currently CEO of Metals X Limited (ASX: MLX) and previously Managing Director & CEO of Nusantara Resources and a Non-Executive Director of CleanTeQ Holdings. Mr. Spreadborough has a mining engineering background, with over 30 years’ experience in mining lead, zinc, uranium, copper, gold and iron ore.

He has held roles across the scope of the resources industry from business and project development, to operations and exploration. In recent times, Mr. Spreadborough was the General Manager – Mining for Western Mining Corporation, and then later the Vice President – Mining for BHP Billiton, at the world-class Olympic Dam Mine in South Australia. Mr. Spreadborough was previously the General Manager – Coastal Operations for Rio Tinto, responsible for port operations and the Pannawonica mine site in the Pilbara region of Western Australia. He then assumed the position of Chief Operating Officer for Inova Resources Ltd (formerly Ivanhoe Australia) and Sandfire Resources.

Mr. Spreadborough holds a Bachelor of Mining Engineering from the University of Queensland, an MBA from Deakin University, and a WA First Class Mine Manager’s Certificate of Competency. Additionally, Mr. Spreadborough is a Fellow of the Australasian Institute of Mining and Metallurgy and a member of the Australian Institute of Company Directors.

“Novo is delighted to welcome Mr. Spreadborough to our board of directors,” commented Dr. Quinton Hennigh, President and Chairman of the Company. “Mr. Spreadborough brings with him a wealth of Australian resource industry operational experience and international executive public company experience. His experience strengthens operational oversight within Novo’s board. We look forward to working with Mike as we advance towards production.”

The Company is also pleased to report that development at its Nullagine gold project continues in line with schedule and budget. Further detailed operational updates will be released over the coming weeks.

About Novo Resources Corp.

Novo is advancing its flagship Beatons Creek gold project to production while exploring and developing its highly prospective land package covering approximately 14,000 square kilometres in the Pilbara region of Western Australia. In addition to the Company’s primary focus, Novo seeks to leverage its internal geological expertise to deliver value-accretive opportunities to its shareholders. For more information, please contact Leo Karabelas at (416) 543-3120 or e-mail leo@novoresources.com

On Behalf of the Board of Directors,

Novo Resources Corp.

“Quinton Hennigh”

Quinton Hennigh
President and Chairman

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility of prices, but whether you will suffer a permanent loss of capital.' So it seems the smart money knows that debt – which is usually involved in bankruptcies – is a very important factor, when you assess how risky a company is. We note that Robex Resources Inc. (CVE:RBX) does have debt on its balance sheet. But the more important question is: how much risk is that debt creating?

When Is Debt A Problem?

Debt is a tool to help businesses grow, but if a business is incapable of paying off its lenders, then it exists at their mercy. If things get really bad, the lenders can take control of the business. However, a more usual (but still expensive) situation is where a company must dilute shareholders at a cheap share price simply to get debt under control. Of course, plenty of companies use debt to fund growth, without any negative consequences. The first thing to do when considering how much debt a business uses is to look at its cash and debt together.

Check out our latest analysis for Robex Resources

What Is Robex Resources's Net Debt?

The image below, which you can click on for greater detail, shows that Robex Resources had debt of CA$7.96m at the end of September 2020, a reduction from CA$23.5m over a year. However, its balance sheet shows it holds CA$9.41m in cash, so it actually has CA$1.45m net cash.

A Look At Robex Resources' Liabilities

Zooming in on the latest balance sheet data, we can see that Robex Resources had liabilities of CA$18.4m due within 12 months and liabilities of CA$8.05m due beyond that. Offsetting this, it had CA$9.41m in cash and CA$4.95m in receivables that were due within 12 months. So its liabilities total CA$12.1m more than the combination of its cash and short-term receivables.

Of course, Robex Resources has a market capitalization of CA$278.6m, so these liabilities are probably manageable. However, we do think it is worth keeping an eye on its balance sheet strength, as it may change over time. Despite its noteworthy liabilities, Robex Resources boasts net cash, so it's fair to say it does not have a heavy debt load!

Even more impressive was the fact that Robex Resources grew its EBIT by 469% over twelve months. That boost will make it even easier to pay down debt going forward. There's no doubt that we learn most about debt from the balance sheet. But it is Robex Resources's earnings that will influence how the balance sheet holds up in the future. So when considering debt, it's definitely worth looking at the earnings trend. Click here for an interactive snapshot.

But our final consideration is also important, because a company cannot pay debt with paper profits; it needs cold hard cash. While Robex Resources has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance. Over the last three years, Robex Resources recorded free cash flow worth a fulsome 90% of its EBIT, which is stronger than we'd usually expect. That puts it in a very strong position to pay down debt.

Summing up

While it is always sensible to look at a company's total liabilities, it is very reassuring that Robex Resources has CA$1.45m in net cash. The cherry on top was that in converted 90% of that EBIT to free cash flow, bringing in CA$49m. So is Robex Resources's debt a risk? It doesn't seem so to us. The balance sheet is clearly the area to focus on when you are analysing debt. However, not all investment risk resides within the balance sheet – far from it. Be aware that Robex Resources is showing 1 warning sign in our investment analysis , you should know about…

Of course, if you're the type of investor who prefers buying stocks without the burden of debt, then don't hesitate to discover our exclusive list of net cash growth stocks, today.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

VANCOUVER, BC / ACCESSWIRE / January 6, 2021 / GGL Resources Corp. (TSXV:GGL) ("GGL" or the "Company") is pleased to announce the results of reconnaissance-scale prospecting and surface sampling conducted in late October at its past-producing Gold Point mesothermal gold/silver project, located in the Walker Lane Trend, southwestern Nevada. The Company also reports that its initial program of underground sampling has recently been completed at the Great Western Mine, one of the two main former producers on the Gold Point property.

The surface work was designed to confirm the location of historical workings and tailings storage areas, characterize historically documented vein exposures, prospect for undocumented veins and assess the accessibility of historical underground workings for future work program planning.

Highlights from surface sampling include:

• 64.6 g/t gold and 110 g/t silver from the ore bin at the Orleans Mine;

• 51.6 g/t gold and 230 g/t silver float sample collected from a structure parallel to the nearby Great Western Vein;

• 30.3 g/t gold and 27.4 g/t gold grab samples taken from previously undocumented veins located 30 m apart; and

• 25.1 g/t gold collected from a waste pile adjacent to a shaft targeting an undocumented vein.

"We are extremely excited about the results from our reconnaissance-scale exploration at the Gold Point property," stated David Kelsch, President of GGL. "The results not only confirm the presence of significant mineralization at the known past-producing mines, but also demonstrate excellent potential elsewhere on the property in areas that have seen little historical work. We look forward to the results from our initial underground sampling campaign."

The following table lists samples grading greater than 3 g/t gold that were collected across the property as shown on the attached figure.

Tailings
During the surface exploration program, samples were collected from historical tailings storage facilities to determine if potentially economical gold and silver remain. Records indicate the tailings storage facilities were established in the 1930s or earlier. They cover an area of approximately 23,000 m² and range from 0.4 m to 2.0 m in thickness.

Twenty-five representative samples were collected from the main tailings storage area and, another six samples collected from a smaller secondary area, believed to be older. Samples collected from the main tailings storage area returned 0.286 g/t gold to 3.62 g/t gold (averaging 1.04 g/t gold), while the samples collected from the secondary storage area ranged from 1.645 g/t gold to 27.4 g/t gold (averaging 2.62 g/t gold excluding the highest grade sample).

Detailed surveying, sampling, and testing are planned to accurately determine the volume and grade of the tailings, as well as recoverability of gold and silver.

Underground Sampling
Access to the underground workings at the Great Western Mine was re-established in December 2020. Field crews have now completed sampling of the 100 through 500 levels of the mine with the collection of 169 chip samples. Results will be released upon completion.

Next Steps
Planning and permitting are underway for the next exploration program, expected to commence in Q1 of this year. This program is fully funded and will include reverse-circulation drilling, excavator trenching, rehabilitation work, and sampling at the Orleans Mine, the other main, former producer on the property. The initial drilling will test near to and along strike of known mineralization at the Great Western Mine. Later drill programs will be designed to test targets elsewhere on this under-explored project as additional results become available and comprehensive geological models are developed.

About Gold Point
The Gold Point project is accessible via highway 774 and serviced by electricity. It hosts a camp-scale precious metal system that consists of numerous gold and silver rich quartz veins. These high-grade veins are typically 1 to 2 m in width and locally up to 7 m wide. Two veins (Orleans and Great Western) were intermittently mined from the 1880s through to the early 1960s. Existing underground workings are mostly open and are dry to approximately 275 m below surface on the Orleans Vein (1020 ft level) and 240 m on the Great Western Vein, (960 ft level). Historical records indicate that the mines had high cut-off grades (about 10 g/t gold), suggesting that well mineralized areas likely remain in un-mined portions of the developed workings. This assumption is further supported by a report that describes 35 historical samples collected post-mining across the Orleans Vein from the 960 ft to 1020 ft levels, which averaged 0.389 opt (13.3 g/t) gold including a vein on the 1000 ft level that returned 7.97 opt (273.2 g/t) gold over 0.5 m. Additionally, 21 samples from the 600 ft to 1020 ft levels reportedly averaged 0.314 opt (10.77 g/t) gold. Historical records indicate that approximately 74,000 ounces were produced from the Orleans and Great Western Mines, with recoveries of 92% to 98% for gold through cyanidation.

All analyses were performed by ALS Minerals in Reno, Nevada. All samples were routinely analyzed for gold by a 50 g fire assay followed by atomic absorption (Au-AA24 or Au-AA26) and 48 elements by inductively coupled plasma-mass spectrometry (ME-MS61).

Technical information in this news release has been reviewed and approved by Matthew R. Dumala, P.Eng., a geological engineer with Archer, Cathro & Associates (1981) Limited and a qualified person for the purposes of National Instrument 43-101.

About GGL Resources Corp.
GGL is a seasoned, Canadian-based junior exploration company, focused on the exploration and advancement of under evaluated mineral assets in politically stable, mining friendly jurisdictions. The Company has recently acquired an option on the Gold Point project in the prolific Walker Lane Trend, Nevada, which consolidated several gold-silver veins, two of which were past producing high-grade mines. The Company also holds the McConnell gold-copper project located 22 kilometers southeast of the Kemess Mine in north-central BC, and promising diamond exploration projects in Nunavut and the Lac de Gras diamond district of the Northwest Territories. Lac de Gras is home to Canada's first two diamond mines, the world class Diavik and Ekati mines discovered in the 1990s. GGL also holds diamond royalties on mineral leases in close proximity to the Gahcho Kué diamond mine in the Northwest Territories.

ON BEHALF OF THE BOARD
"David Kelsch"
David Kelsch
President, COO and Director

For further information concerning GGL Resources Corp. or its various exploration projects please visit our website at www.gglresourcescorp.com or contact:

Investor Inquiries
Richard Drechsler
Corporate Communications
Tel: (604) 687-2522
NA Toll-Free: (888) 688-2522
rdrechsler@strategicmetalsltd.com

Corporate Information
Linda Knight
Corporate Secretary
Tel: (604) 688-0546
info@gglresourcescorp.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.

SOURCE: GGL Resources Corp.

View source version on accesswire.com:
https://www.accesswire.com/623201/GGL-Resources-Corp-Announces-Initial-Sampling-Results-from-Gold-Point-Nevada

MELBOURNE, Australia, Jan. 6, 2021 /CNW/ – AustralianSuper announces that it acquired 47,534,965 ordinary shares ("Shares") in the capital of Jervois Mining Limited (ASX: JRV) (TSXV: JRV) ("Jervois") on 27 October 2020 and a further 13,120,773 Shares on 3 December 2020, such that immediately following the second acquisition, AustralianSuper held a total of 108,450,700 (or approximately 13.71%) of the issued and outstanding Shares in Jervois.

The Shares were acquired pursuant to private placements by Jervois to institutional and sophisticated investors. The average purchase price per Share was AUD0.305/CAD0.29 for an aggregate total purchase consideration of AUD18.5 million/CAD17.6 million.

The head office of Jervois is located at Suite 508, 737 Burwood Road, Hawthorn East, Victoria, 3123, Australia.

AustralianSuper acquired the Shares for investment purposes in the normal course of its business and not with the purpose of influencing the control or direction of Jervois. AustralianSuper may in the future, subject to market conditions, make additional investments in or dispositions of Jervois' securities for investment purposes.

This news release is issued by AustralianSuper pursuant to National Instrument 62-104 Take-Over Bids and Issuer Bids of the Canadian Securities Administrators. AustralianSuper will file a report in respect of its acquisition of Shares with the applicable securities commission or securities regulator in each Canadian jurisdiction in which Jervois is a reporting issuer. A copy of the report may be obtained from Janine Cooper (phone: +61 3 8677 3203) at Level 33/50 Lonsdale Street Melbourne, Victoria, 3000, Australia. AustralianSuper has also made the necessary disclosures on the Australian Stock Exchange (ASX).

About AustralianSuper

AustralianSuper is Australia's largest superannuation fund and is regulated by the Australian Prudential Regulation Authority. AustralianSuper manages more than A$200 billion of members' retirement savings on behalf of more than 2.3 million members from around 333,000 businesses as at 30 November 2020.

SOURCE AustralianSuper

View original content: http://www.newswire.ca/en/releases/archive/January2021/06/c5867.html

VANCOUVER, BC / ACCESSWIRE / January 5, 2021 / International Millennium Mining Corp. (TSXV:IMI) (the “Company” or “IMMC”) is pleased to announce that further to its June 12, 2020, announcement of the resignation of its chief financial officer, the directors of the Company have approved the appointment of Mr. Lonny Wong as chief financial officer of the Company.

Mr. Wong is a founding partner at Saturna Group Chartered Professional Accountants LLP and has extensive experience serving public companies. Saturna Group is a boutique firm specializing in providing accounting, auditing, assurance, and consulting services to public companies and companies looking to go public in Canada or in the United States.

Stock Option Grant
The Company also announces the issuance of 300,000 stock options with an exercise price of $0.05 cents per share for the purchase of up to 300,000 shares of the Company, expiring July 7, 2025. The stock options are being issued to Mr. Wong, and are subject to approval by regulatory authorities.

International Millennium Mining Corp. (TSXV:IMI) is focused on the exploration and development of its Silver Peak silver-gold project in southwest Nevada. The Company's common shares trade on the Exchange under the symbol: IMI.

ON BEHALF OF THE BOARD
“John A. Versfelt”
John A. Versfelt
President and CEO

Further information about the Company can be found on SEDAR , the Company's website or by contacting Mr. John Versfelt, President & CEO of the Company at 604-527-8135.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs and other business transactions timing. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

SOURCE: International Millennium Mining Corp.

View source version on accesswire.com:
https://www.accesswire.com/623232/International-Millennium-Mining-Corp-Announces-Officer-Appointment

Whilst it may not be a huge deal, we thought it was good to see that the TNR Gold Corp. (CVE:TNR) Executive Chairman, Kirill Klip, recently bought CA$50k worth of stock, for CA$0.05 per share. Although the purchase is not a big one, increasing their shareholding by only 3.0%, it can be interpreted as a good sign.

View our latest analysis for TNR Gold

TNR Gold Insider Transactions Over The Last Year

In fact, the recent purchase by Executive Chairman Kirill Klip was not their only acquisition of TNR Gold shares this year. They previously made an even bigger purchase of CA$102k worth of shares at a price of CA$0.03 per share. We do like to see buying, but this purchase was made at well below the current price of CA$0.065. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months TNR Gold insiders were buying shares, but not selling. Their average price was about CA$0.036. To my mind it is good that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

TNR Gold is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership of TNR Gold

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. TNR Gold insiders own about CA$5.0m worth of shares (which is 45% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At TNR Gold Tell Us?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Along with the high insider ownership, this analysis suggests that insiders are quite bullish about TNR Gold. Nice! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing TNR Gold. Case in point: We've spotted 3 warning signs for TNR Gold you should be aware of, and 1 of them is a bit concerning.

But note: TNR Gold may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Most readers would already be aware that Western Areas' (ASX:WSA) stock increased significantly by 28% over the past three months. Given that stock prices are usually aligned with a company's financial performance in the long-term, we decided to study its financial indicators more closely to see if they had a hand to play in the recent price move. Specifically, we decided to study Western Areas' ROE in this article.

ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. Simply put, it is used to assess the profitability of a company in relation to its equity capital.

View our latest analysis for Western Areas

How To Calculate Return On Equity?

Return on equity can be calculated by using the formula:

Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity

So, based on the above formula, the ROE for Western Areas is:

6.1% = AU$32m ÷ AU$526m (Based on the trailing twelve months to June 2020).

The 'return' is the yearly profit. One way to conceptualize this is that for each A$1 of shareholders' capital it has, the company made A$0.06 in profit.

What Is The Relationship Between ROE And Earnings Growth?

We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don’t share these attributes.

Western Areas' Earnings Growth And 6.1% ROE

When you first look at it, Western Areas' ROE doesn't look that attractive. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 13%. In spite of this, Western Areas was able to grow its net income considerably, at a rate of 34% in the last five years. So, there might be other aspects that are positively influencing the company's earnings growth. For instance, the company has a low payout ratio or is being managed efficiently.

We then performed a comparison between Western Areas' net income growth with the industry, which revealed that the company's growth is similar to the average industry growth of 32% in the same period.

The basis for attaching value to a company is, to a great extent, tied to its earnings growth. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. This then helps them determine if the stock is placed for a bright or bleak future. What is WSA worth today? The intrinsic value infographic in our free research report helps visualize whether WSA is currently mispriced by the market.

Is Western Areas Using Its Retained Earnings Effectively?

The three-year median payout ratio for Western Areas is 28%, which is moderately low. The company is retaining the remaining 72%. So it seems that Western Areas is reinvesting efficiently in a way that it sees impressive growth in its earnings (discussed above) and pays a dividend that's well covered.

Additionally, Western Areas has paid dividends over a period of at least ten years which means that the company is pretty serious about sharing its profits with shareholders. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 27%. Therefore, the company's future ROE is also not expected to change by much with analysts predicting an ROE of 5.4%.

Conclusion

On the whole, we do feel that Western Areas has some positive attributes. Even in spite of the low rate of return, the company has posted impressive earnings growth as a result of reinvesting heavily into its business. Having said that, the company's earnings growth is expected to slow down, as forecasted in the current analyst estimates. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article will reflect on the compensation paid to Ian Warland who has served as CEO of Twenty Seven Co. Limited (ASX:TSC) since 2018. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Twenty Seven.

Check out our latest analysis for Twenty Seven

Comparing Twenty Seven Co. Limited's CEO Compensation With the industry

Our data indicates that Twenty Seven Co. Limited has a market capitalization of AU$13m, and total annual CEO compensation was reported as AU$226k for the year to June 2020. That's just a smallish increase of 3.1% on last year. In particular, the salary of AU$180.0k, makes up a huge portion of the total compensation being paid to the CEO.

On comparing similar-sized companies in the industry with market capitalizations below AU$260m, we found that the median total CEO compensation was AU$350k. That is to say, Ian Warland is paid under the industry median. Moreover, Ian Warland also holds AU$80k worth of Twenty Seven stock directly under their own name.

Talking in terms of the industry, salary represented approximately 76% of total compensation out of all the companies we analyzed, while other remuneration made up 24% of the pie. Our data reveals that Twenty Seven allocates salary more or less in line with the wider market. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

A Look at Twenty Seven Co. Limited's Growth Numbers

Over the last three years, Twenty Seven Co. Limited has shrunk its earnings per share by 2.3% per year. Its revenue is up 127% over the last year.

Investors would be a bit wary of companies that have lower EPS On the other hand, the strong revenue growth suggests the business is growing. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Twenty Seven Co. Limited Been A Good Investment?

With a three year total loss of 40% for the shareholders, Twenty Seven Co. Limited would certainly have some dissatisfied shareholders. So shareholders would probably want the company to be lessto generous with CEO compensation.

To Conclude…

As we touched on above, Twenty Seven Co. Limited is currently paying its CEO below the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. But poor shareholder returns EPS growth have hampered the company over the past three years. Conversely, revenues are increasing at a healthy pace, recently. Though we believe Ian is modestly compensated, shareholders might want to see positive shareholder returns before agreeing compensation should be raised.

CEO compensation is an important area to keep your eyes on, but we've also need to pay attention to other attributes of the company. That's why we did our research, and identified 6 warning signs for Twenty Seven (of which 5 are significant!) that you should know about in order to have a holistic understanding of the stock.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell Encounter Resources Limited (ASX:ENR), you may well want to know whether insiders have been buying or selling.

What Is Insider Buying?

It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, most countries require that the company discloses such transactions to the market.

Insider transactions are not the most important thing when it comes to long-term investing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise'.

See our latest analysis for Encounter Resources

The Last 12 Months Of Insider Transactions At Encounter Resources

The MD & Executive Director William Robinson made the biggest insider purchase in the last 12 months. That single transaction was for AU$100k worth of shares at a price of AU$0.19 each. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.18). Their view may have changed since then, but at least it shows they felt optimistic at the time. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

While Encounter Resources insiders bought shares during the last year, they didn't sell. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

Encounter Resources is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insiders at Encounter Resources Have Bought Stock Recently

It's good to see that Encounter Resources insiders have made notable investments in the company's shares. Not only was there no selling that we can see, but they collectively bought AU$400k worth of shares. That shows some optimism about the company's future.

Insider Ownership of Encounter Resources

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 18% of Encounter Resources shares, worth about AU$10m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Encounter Resources Tell Us?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. When combined with notable insider ownership, these factors suggest Encounter Resources insiders are well aligned, and that they may think the share price is too low. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To help with this, we've discovered 6 warning signs (2 can't be ignored!) that you ought to be aware of before buying any shares in Encounter Resources.

Of course Encounter Resources may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It is not uncommon to see companies perform well in the years after insiders buy shares. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So shareholders might well want to know whether insiders have been buying or selling shares in White Energy Company Limited (ASX:WEC).

Do Insider Transactions Matter?

Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock in the company. However, such insiders must disclose their trading activities, and not trade on inside information.

Insider transactions are not the most important thing when it comes to long-term investing. But it is perfectly logical to keep tabs on what insiders are doing. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise'.

View our latest analysis for White Energy

White Energy Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Non-Executive Chairman of the Board Travers Duncan for AU$2.4m worth of shares, at about AU$0.06 per share. Even though the purchase was made at a significantly lower price than the recent price (AU$0.10), we still think insider buying is a positive. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

In the last twelve months White Energy insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Does White Energy Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that White Energy insiders own 47% of the company, worth about AU$44m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At White Energy Tell Us?

There haven't been any insider transactions in the last three months — that doesn't mean much. However, our analysis of transactions over the last year is heartening. With high insider ownership and encouraging transactions, it seems like White Energy insiders think the business has merit. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Our analysis shows 4 warning signs for White Energy (1 doesn't sit too well with us!) and we strongly recommend you look at them before investing.

Of course White Energy may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It is hard to get excited after looking at Red Metal's (ASX:RDM) recent performance, when its stock has declined 4.3% over the past three months. But if you pay close attention, you might gather that its strong financials could mean that the stock could potentially see an increase in value in the long-term, given how markets usually reward companies with good financial health. In this article, we decided to focus on Red Metal's ROE.

Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors’ money. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.

Check out our latest analysis for Red Metal

How Do You Calculate Return On Equity?

The formula for ROE is:

Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity

So, based on the above formula, the ROE for Red Metal is:

16% = AU$259k ÷ AU$1.6m (Based on the trailing twelve months to June 2020).

The 'return' is the income the business earned over the last year. So, this means that for every A$1 of its shareholder's investments, the company generates a profit of A$0.16.

What Is The Relationship Between ROE And Earnings Growth?

Thus far, we have learned that ROE measures how efficiently a company is generating its profits. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company’s earnings growth potential. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features.

Red Metal's Earnings Growth And 16% ROE

At first glance, Red Metal seems to have a decent ROE. Further, the company's ROE compares quite favorably to the industry average of 13%. This certainly adds some context to Red Metal's decent 20% net income growth seen over the past five years.

We then compared Red Metal's net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 32% in the same period, which is a bit concerning.

Earnings growth is an important metric to consider when valuing a stock. It’s important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. If you're wondering about Red Metal's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry.

Is Red Metal Using Its Retained Earnings Effectively?

Summary

On the whole, we feel that Red Metal's performance has been quite good. In particular, it's great to see that the company is investing heavily into its business and along with a high rate of return, that has resulted in a respectable growth in its earnings. If the company continues to grow its earnings the way it has, that could have a positive impact on its share price given how earnings per share influence long-term share prices. Let's not forget, business risk is also one of the factors that affects the price of the stock. So this is also an important area that investors need to pay attention to before making a decision on any business. To know the 4 risks we have identified for Red Metal visit our risks dashboard for free.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So before you buy or sell MetalCorp Limited (CVE:MTC), you may well want to know whether insiders have been buying or selling.

What Is Insider Buying?

Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock in the company. However, most countries require that the company discloses such transactions to the market.

We don't think shareholders should simply follow insider transactions. But logic dictates you should pay some attention to whether insiders are buying or selling shares. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

View our latest analysis for MetalCorp

MetalCorp Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when Independent Director Christopher Dougherty bought CA$202k worth of shares at a price of CA$0.03 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of CA$0.06. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

MetalCorp insiders may have bought shares in the last year, but they didn't sell any. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

MetalCorp is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insiders at MetalCorp Have Bought Stock Recently

We saw some MetalCorp insider buying shares in the last three months. Director Pierre Gagne purchased CA$18k worth of shares in that period. It's good to see the insider buying, as well as the lack of recent sellers. But the amount invested in the last three months isn't enough for us too put much weight on it, as a single factor.

Does MetalCorp Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Insiders own 30% of MetalCorp shares, worth about CA$2.1m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The MetalCorp Insider Transactions Indicate?

We note a that there has been a bit of insider buying recently (but no selling). Overall the buying isn't worth writing home about. But insiders have shown more of an appetite for the stock, over the last year. Overall we don't see anything to make us think MetalCorp insiders are doubting the company, and they do own shares. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 4 warning signs for MetalCorp (2 are significant) you should be aware of.

Of course MetalCorp may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Potential Hannans Limited (ASX:HNR) shareholders may wish to note that insider Christopher Reed recently bought AU$365k worth of stock, paying AU$0.0044 for each share. That's a very decent purchase to our minds and it grew their holding by a solid 12%.

See our latest analysis for Hannans

Hannans Insider Transactions Over The Last Year

Notably, that recent purchase by Christopher Reed is the biggest insider purchase of Hannans shares that we've seen in the last year. So it's clear an insider wanted to buy, at around the current price, which is AU$0.005. While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. Happily, the Hannans insider decided to buy shares at close to current prices. The only individual insider to buy over the last year was Christopher Reed.

Christopher Reed bought 92.95m shares over the last 12 months at an average price of AU$0.0047. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 35% of Hannans shares, worth about AU$4.1m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Do The Hannans Insider Transactions Indicate?

The recent insider purchase is heartening. And an analysis of the transactions over the last year also gives us confidence. But we don't feel the same about the fact the company is making losses. When combined with notable insider ownership, these factors suggest Hannans insiders are well aligned, and that they may think the share price is too low. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For instance, we've identified 5 warning signs for Hannans (3 are potentially serious) you should be aware of.

If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Greg Hall became the CEO of Alligator Energy Limited (ASX:AGE) in 2018, and we think it's a good time to look at the executive's compensation against the backdrop of overall company performance. This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company.

View our latest analysis for Alligator Energy

How Does Total Compensation For Greg Hall Compare With Other Companies In The Industry?

Our data indicates that Alligator Energy Limited has a market capitalization of AU$19m, and total annual CEO compensation was reported as AU$111k for the year to June 2020. That's a notable decrease of 17% on last year. We note that the salary portion, which stands at AU$74.8k constitutes the majority of total compensation received by the CEO.

In comparison with other companies in the industry with market capitalizations under AU$263m, the reported median total CEO compensation was AU$353k. In other words, Alligator Energy pays its CEO lower than the industry median. Moreover, Greg Hall also holds AU$151k worth of Alligator Energy stock directly under their own name.

Talking in terms of the industry, salary represented approximately 76% of total compensation out of all the companies we analyzed, while other remuneration made up 24% of the pie. Alligator Energy pays a modest slice of remuneration through salary, as compared to the broader industry. If salary dominates total compensation, it suggests that CEO compensation is leaning less towards the variable component, which is usually linked with performance.

A Look at Alligator Energy Limited's Growth Numbers

Alligator Energy Limited's earnings per share (EPS) grew 22% per year over the last three years. Its revenue is down 85% over the previous year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. The lack of revenue growth isn't ideal, but it is the bottom line that counts most in business. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Alligator Energy Limited Been A Good Investment?

With a three year total loss of 16% for the shareholders, Alligator Energy Limited would certainly have some dissatisfied shareholders. Therefore, it might be upsetting for shareholders if the CEO were paid generously.

To Conclude…

As we touched on above, Alligator Energy Limited is currently paying its CEO below the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. Importantly though, the company has impressed with its EPS growth over three years. It's tough to criticize CEO compensation when the per-share EPS movement is positive. But shareholders will likely want to hold off on any raise for Greg until investor returns are positive.

CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 6 warning signs for Alligator Energy (2 shouldn't be ignored!) that you should be aware of before investing here.

Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

VANCOUVER, British Columbia, Dec. 23, 2020 (GLOBE NEWSWIRE) — Sandfire Resources America Inc. (TSX.V: "SFR"; OTCQB: "SRAFF") ("Sandfire America" or the "Company") is pleased to announce that it has closed its previously announced rights offering, issuing 200,539,763 common shares of the Company for gross proceeds of $30,080,965 (the "Rights Offering"), representing 100% of the total rights offered.

The Company’s largest shareholder, Sandfire BC Holdings Inc. (“Sandfire BC”), fully exercised its basic subscription privilege to purchase its pro rata share of the common shares offered, being 170,869,433 common shares, and also purchased an additional 17,739,705 common shares through the exercise of its additional subscription privilege, for a total subscription of 188,609,138 common shares.

In total, 181,725,334 common shares issued in the Rights Offering were distributed under basic subscription privileges, of which 59,379 were distributed to insiders of the Company and 181,665,955 were distributed to non-insiders. 18,814,429 common shares were issued under additional subscription privileges, up to 50,000 of which were distributed to insiders of the Company and up to 18,764,429 were distributed to non-insiders. To the knowledge of the Company, no person became an insider as a result of the Rights Offering.

Upon completion of the Rights Offering, the total number of issued and outstanding common shares of the Company is now 1,022,752,794. Sandfire BC now owns 86.93% of the Company’s issued and outstanding common shares. The Company did not pay any fees or commissions in connection with the distribution of securities in the Rights Offering.

The Company intends to use the net proceeds of the rights offering to further advance the Black Butte Copper project, repay loans owed to Sandfire BC and for general working capital purposes. Further details of the Rights Offering are contained in the Company’s rights offering circular, which has been filed on SEDAR under the Company’s profile at www.sedar.com.

This news release shall not constitute an offer to sell or solicitation of an offer to buy the securities of the Company. There shall be no offer or sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the laws of any such jurisdiction.

ABOUT SANDFIRE RESOURCES AMERICA INC.

Sandfire Resources America Inc. is a growth company focused on the exploration, development, and mining of its 100% owned flagship property, the Black Butte Copper project in central Montana, USA. The Company is led by a highly experienced executive management team that has a successful track record of building shareholder value through exploration, corporate finance, and mine development.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, Director of Public Affairs
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Cautionary statement regarding forward‐looking information

Certain disclosures in this release constitute “forward-looking information” within the meaning of Canadian securities legislation. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by words such as the following: expects, plans, anticipates, believes, intends, estimates, projects, assumes, potential and similar expressions. Forward-looking statements also include reference to events or conditions that will, would, may, could or should occur, including, without limitation, statements regarding the Company’s plans for advancing the Black Butte Copper Project (including plans to complete permitting), the intended use of proceeds of the Rights Offering, resource estimates and expected outcomes. In making the forward-looking statements in this news release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will be able to use the proceeds of the Rights Offering as anticipated, the Company’s permitting will proceed as expected; that the results of exploration and development activities are consistent with management’s expectations and that the assumptions underlying mineral resource estimates are valid. However, the forward-looking statements in this news release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including without limitation: the Company will not be able to use the proceeds of the Rights Offering as anticipated, the results of exploration and development activities will not be consistent with management’s expectations, the risk of unexpected variations in mineral resources, grade or recovery rates, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities and the operation of a producing mine. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES

TORONTO, Dec. 22, 2020 (GLOBE NEWSWIRE) — Olivut Resources Ltd. (“Olivut” or the “Company”) (TSXV:OLV) is pleased to announce that the Company has closed a non-brokered private placement (the “Private Placement”) comprised of 5,000,000 common shares (the “Common Shares”) for proceeds of $400,000 at a price of $0.08 per Common Share. The Common Shares are subject to resale restrictions pursuant to applicable securities laws requirements and will not be freely tradable until four months after the date of issue.

One insider participated in the Private Placement, thereby making the Private Placement a “related party transaction” as defined under Multilateral Instrument 61-101 (“MI 61-101”). Mr. Pierre Lassonde, as insider of the Company, purchased 1,250,000 Common Shares and owns or controls 8,097,000 common shares or approximately 12.9% of the total common shares issued and outstanding after the completion of the Private Placement. The Private Placement was unanimously approved by the directors of the Company. The Company is relying on Section 5.5(a) of MI 61-101 for an exemption from the formal valuation requirement and Section 5.7(1)(a) of MI 61-101 for an exemption from the minority shareholder approval requirement of MI 61-101 because the fair market value of the issuance to Mr. Lassonde is less than 25% of the market capitalization of the Company.

Olivut will use the proceeds of the Private Placement for exploration and general corporate purposes.

The TSX Venture Exchange approved for listing the Common Shares issued under the Private Placement on December 22, 2020.

Olivut is a diamond exploration company with a 100% mineral interest in the HOAM Project (the “HOAM Project”) and a 50% interest in the Seahorse Project (the Seahorse project”), both projects being located in Canada’s Northwest Territories.

Numerous targets are drill ready on the HOAM Project and a detailed helimag program is proposed for additional regional geophysical anomalies. It is anticipated that many additional new targets will be added to the current list of priority drill targets. Completion of this work program is contingent on the raising of funds and the effects of the current Coronavirus pandemic particularly on planning and work in the Northwest Territories.

The Company considers the Seahorse Project to have the potential to host diamondiferous kimberlite bodies of significant size and perhaps other mineral deposits, based on a combination of: 2019 drill program results; favourable diamond stability indicator minerals found regionally and locally, including 18 macro diamonds found in regional samples to the west and northwest; specific geophysical targets; regional and local faults that would favour kimberlite emplacement; occurrence of diamondiferous kimberlites to the north and southeast, as well as other geochemical data in the area.

The Coronavirus pandemic and its effects particularly on planning and work in the Northwest Territories prevented any field work being conducted in 2020.

Please visit www.olivut.com for detailed corporate and project information.

This news release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States. The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

This press release contains forward-looking statements with respect to the Company, and matters concerning the raising of additional capital, the business, operations, strategy, and financial performance of the Company. Actual results may differ materially from those indicated by such statements. These statements generally, but not always, can be identified by use of forward-looking words such as "may", "will", "expect", "estimate", "anticipate", "intends", "believe" or "continue" or the negative thereof or similar variations. All statements, other than statements of historical fact, included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including that the estimates and projections regarding the Company’s properties are realized. Forward-looking statements are based on a number of assumptions which may prove to be incorrect. Unless otherwise stated, all forward looking statements speak only as of the date of this press release and the Company does not undertake any obligation to update such statements except as required by law.

Martin St. Pierre, P.Geophys., a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the scientific and technical disclosure in this press release.

Leni Keough, P.Geo.
President and Chief Executive Officer

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CONTACT: For further information, please contact: Leni Keough President and Chief Executive Officer Olivut Resources Ltd. (780) 866-2226

Whilst it may not be a huge deal, we thought it was good to see that the Syrah Resources Limited (ASX:SYR) Non-Executive Chairman, James Askew, recently bought AU$109k worth of stock, for AU$0.91 per share. Even though that isn't a massive buy, it did increase their holding by 72%, which is arguably a good sign.

Check out our latest analysis for Syrah Resources

The Last 12 Months Of Insider Transactions At Syrah Resources

In fact, the recent purchase by James Askew was the biggest purchase of Syrah Resources shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of AU$0.89. Their view may have changed since then, but at least it shows they felt optimistic at the time. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. James Askew was the only individual insider to buy shares in the last twelve months.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Does Syrah Resources Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Syrah Resources insiders own 8.5% of the company, worth about AU$37m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Syrah Resources Tell Us?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. When combined with notable insider ownership, these factors suggest Syrah Resources insiders are well aligned, and that they may think the share price is too low. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 3 warning signs for Syrah Resources you should be aware of, and 1 of these shouldn't be ignored.

If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.

Bisichi PLC's (LON:BISI) price-to-earnings (or "P/E") ratio of 6.6x might make it look like a strong buy right now compared to the market in the United Kingdom, where around half of the companies have P/E ratios above 17x and even P/E's above 35x are quite common. Nonetheless, we'd need to dig a little deeper to determine if there is a rational basis for the highly reduced P/E.

For instance, Bisichi's receding earnings in recent times would have to be some food for thought. One possibility is that the P/E is low because investors think the company won't do enough to avoid underperforming the broader market in the near future. If you like the company, you'd be hoping this isn't the case so that you could potentially pick up some stock while it's out of favour.

Check out our latest analysis for Bisichi

Want the full picture on earnings, revenue and cash flow for the company? Then our free report on Bisichi will help you shine a light on its historical performance.

How Is Bisichi's Growth Trending?

Bisichi's P/E ratio would be typical for a company that's expected to deliver very poor growth or even falling earnings, and importantly, perform much worse than the market.

If we review the last year of earnings, dishearteningly the company's profits fell to the tune of 68%. Even so, admirably EPS has lifted 118% in aggregate from three years ago, notwithstanding the last 12 months. Although it's been a bumpy ride, it's still fair to say the earnings growth recently has been more than adequate for the company.

In contrast to the company, the rest of the market is expected to decline by 3.8% over the next year, which puts the company's recent medium-term positive growth rates in a good light for now.

With this information, we find it very odd that Bisichi is trading at a P/E lower than the market. It looks like most investors are not convinced at all that the company can maintain its recent positive growth rate in the face of a shrinking broader market.

The Final Word

While the price-to-earnings ratio shouldn't be the defining factor in whether you buy a stock or not, it's quite a capable barometer of earnings expectations.

Our examination of Bisichi revealed its growing earnings over the medium-term aren't contributing to its P/E anywhere near as much as we would have predicted, given the market is set to shrink. We think potential risks might be placing significant pressure on the P/E ratio and share price. Perhaps there is some hesitation about the company's ability to stay its recent course and swim against the current of the broader market turmoil. It appears many are indeed anticipating earnings instability, because this relative performance should normally provide a boost to the share price.

Having said that, be aware Bisichi is showing 4 warning signs in our investment analysis, and 1 of those is concerning.

If these risks are making you reconsider your opinion on Bisichi, explore our interactive list of high quality stocks to get an idea of what else is out there.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.

With the business potentially at an important milestone, we thought we'd take a closer look at Mincor Resources NL's (ASX:MCR) future prospects. Mincor Resources NL engages in the exploration, development, and mining of mineral resources in Australia. The company’s loss has recently broadened since it announced a AU$13.7m loss in the full financial year, compared to the latest trailing-twelve-month loss of AU$16.3m, moving it further away from breakeven. As path to profitability is the topic on Mincor Resources' investors mind, we've decided to gauge market sentiment. Below we will provide a high-level summary of the industry analysts’ expectations for the company.

View our latest analysis for Mincor Resources

Consensus from 3 of the Australian Metals and Mining analysts is that Mincor Resources is on the verge of breakeven. They anticipate the company to incur a final loss in 2021, before generating positive profits of AU$40m in 2022. So, the company is predicted to breakeven approximately 2 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 64%, which signals high confidence from analysts. Should the business grow at a slower rate, it will become profitable at a later date than expected.

We're not going to go through company-specific developments for Mincor Resources given that this is a high-level summary, though, keep in mind that typically a metal and mining business has lumpy cash flows which are contingent on the natural resource mined and stage at which the company is operating. So, a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

One thing we’d like to point out is that Mincor Resources has no debt on its balance sheet, which is quite unusual for a cash-burning metals and mining company, which typically has high debt relative to its equity. The company currently operates purely off its shareholder funding and has no debt obligation, reducing concerns around repayments and making it a less risky investment.

Next Steps:

There are too many aspects of Mincor Resources to cover in one brief article, but the key fundamentals for the company can all be found in one place – Mincor Resources' company page on Simply Wall St. We've also compiled a list of pertinent aspects you should look at:

1. Valuation: What is Mincor Resources worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Mincor Resources is currently mispriced by the market.

2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Mincor Resources’s board and the CEO’s background.

3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So shareholders might well want to know whether insiders have been buying or selling shares in Empire Resources Limited (ASX:ERL).

Do Insider Transactions Matter?

It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.

Insider transactions are not the most important thing when it comes to long-term investing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

Check out our latest analysis for Empire Resources

The Last 12 Months Of Insider Transactions At Empire Resources

Over the last year, we can see that the biggest insider purchase was by Non-Executive Chairman Michael Ruane for AU$158k worth of shares, at about AU$0.099 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being AU$0.014). While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

While Empire Resources insiders bought shares during the last year, they didn't sell. The average buy price was around AU$0.014. Although they bought at below the recent share price, it is good to see that insiders are willing to invest in the company. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

Empire Resources is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insiders at Empire Resources Have Bought Stock Recently

Over the last three months, we've seen significant insider buying at Empire Resources. Not only was there no selling that we can see, but they collectively bought AU$71k worth of shares. This makes one think the business has some good points.

Does Empire Resources Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 16% of Empire Resources shares, worth about AU$2.0m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Do The Empire Resources Insider Transactions Indicate?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. Given that insiders also own a fair bit of Empire Resources we think they are probably pretty confident of a bright future. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Be aware that Empire Resources is showing 6 warning signs in our investment analysis, and 3 of those make us uncomfortable…

Of course Empire Resources may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.

Conductive targets identified by Typhoon™ surveys remain open for further testing

Photo 1

SM2020-1 semi-massive to massive sulphides showing chalcopyrite, pentlandite and pyrrhotite grading 2.70% Nickel, 1.47% Copper and 3.31 gpt Palladium over 1.50 m at a depth of 110 m from surface

Photo 2

BN2020-1 semi-massive to massive sulphides showing similar composition as seen at Samapleu and Yepleu returning 1.24% Ni and 1.14% Cu over 0.35 m at a depth of 540.2 m from surface.

Figure 1

Sama 2020’s Typhoon surveys completed and target zones remaining.

Figure 2

Samapleu deposits surface map showing holes SM2020-1 to 5 and the layout of the Typhoon survey.

Figure 3

The Typhoon target at the Bounta sector together with boreholes BN2020-01. The mineralisation intercepted in BN2020-01 couldn’t explain the high conductivity target (11,000 CT) defined by the surface Typhoon. The following-up field program will include DHTEM in BN2020-01 for a more precise location of the highly conductive target defined by the Typhoon.

Figure 4

Targets at the Yepleu sector showing the mineralized trend and results from the three boreholes drilled in 2020.

MONTREAL, Aug. 13, 2020 (GLOBE NEWSWIRE) — Sama Resources Inc. (“Sama” or the “Company”) (TSX-V: SME | OTC-PK: SAMMF) is pleased to announce the assay results from boreholes drilled during the first half of 2020. The boreholes targeted the highly conductive zones defined by surveys completed using HPX TechCo Inc’s (“HPX”) proprietary Typhoon™ electromagnetic geophysical technology (“Typhoon”). Boreholes were drilled at three sites: Samapleu, Bounta and Yepleu, and located over 25 kilometers of strike distance within the Yacouba Ultramafic-Mafic intrusive complex, which was discovered by Sama in 2010 (Figure 1).

Assay results (see Table 1 below) indicate the high potential for additional nickel-copper-palladium mineralization at all three targeted zones. The follow-up field program will include performing downhole electromagnetic surveys (“DHTEM”) in recent holes at Yepleu and Bounta for additional definition of the highly conductive targets delineated by the Typhoon surveys.

“It is clear that we are gaining a greater understanding of the entire system through the use of Typhoon and believe that our drilling is getting closer to discovering the sources of massive sulphides veins and lenses observed near surface. Our partners at HPX have been key to increasing the speed at which we are able to unlock this evolving new discovery,” stated Dr. Marc-Antoine Audet, President & CEO of Sama Resources Inc.

The mineralization encountered at the three target zones is characterized by aggregates of the nickel, copper and iron sulphides – pentlandite, chalcopyrite and pyrrhotite, respectively. Pentlandite occurs together with pyrrhotite, while the chalcopyrite is either mixed with the pentlandite and pyrrhotite or occurs as millimetric to centimetric sulphide veins/accumulations. The textures of the sulphide mineralization vary from disseminated to semi-massive and massive (> 80% of sulphide material).

Table 1: Drilling results for the 2020’s drilling campaign. Mineralised composites defined using 0.1% Ni cut-off-grade (“COG”) and including intervals defined using 0.5% Ni COG.

Borehole SM2020-01 (Refer: Press Release January 29, 2020, Figures 1 & 2) returned 53 meters grading 0.43% nickel, 0.30% copper and 0.52 grams per tonne (“gpt”) palladium, including 4.6 m grading 1.98% Ni and 0.92% Cu and 2.54 gpt Pd (see Photo 1 below). SM2020-1 was drilled 200 m southwest of the current mineral resources and extended the mineralized trend of the Samapleu surface deposit.

Photo 1: SM2020-1 semi-massive to massive sulphides showing chalcopyrite, pentlandite and pyrrhotite grading 2.70% Nickel, 1.47% Copper and 3.31 gpt Palladium over 1.50 m at a depth of 110 m from surface
https://www.globenewswire.com/NewsRoom/AttachmentNg/d11378a4-9153-4b71-9733-f245dc8fa370

Borehole SM2020-02, drilled down to 688 m from surface returned 166 m of disseminated mineralization with stringers of semi-massive sulphides (Table 1).

At Bounta, a new discovery located midway between Samapleu and Yepleu, borehole BN2020-01 returned disseminated and a stringer of semi-massive to massive sulphide grading 1.23% Ni and 1.14% Cu over 0.35 m at a depth of 540 m from surface (Photo 2). The mineralization encountered by BN2020-01 closely matched the moderately conductive EM plate but could not fully explain the high conductivity target defined by Typhoon survey (Figures 1 & 3). The follow-up field program will include DHTEM in BN2020-01 to more precisely locate the highly conductive target defined by the Typhoon.

Photo 2: BN2020-1 semi-massive to massive sulphides showing similar composition as seen at Samapleu and Yepleu returning 1.24% Ni and 1.14% Cu over 0.35 m at a depth of 540.2 m from surface.
https://www.globenewswire.com/NewsRoom/AttachmentNg/9a7e1635-52ee-4b74-9ac7-9cef229b86a0

Figure 1: Sama 2020’s Typhoon surveys completed and target zones remaining.
https://www.globenewswire.com/NewsRoom/AttachmentNg/65d9bfc9-46cb-4daa-bbbc-05af3a4720eb

Figure 2: Samapleu deposits surface map showing holes SM2020-1 to 5 and the layout of the Typhoon survey.
https://www.globenewswire.com/NewsRoom/AttachmentNg/36c09474-ef35-4037-b6fb-dd83d78cc5d8

Figure 3: The Typhoon target at the Bounta sector together with boreholes BN2020-01. The mineralisation intercepted in BN2020-01 couldn’t explain the high conductivity target (11,000 CT) defined by the surface Typhoon. The following-up field program will include DHTEM in BN2020-01 for a more precise location of the highly conductive target defined by the Typhoon.
https://www.globenewswire.com/NewsRoom/AttachmentNg/490f5400-4228-4358-9a29-5af228965b73

Three holes were drilled at Yepleu (YE2020-01 to 03) were aimed at testing three Typhoon EM targets along a mineralized trend of more than 4,500 m of strike length (Figures 1 & 4). The mineralized horizon starts near surface, reaches a depth of more than 850 m toward the south-southwest and appears remain open. The very strong conductive target at 850 m depth from surface defined by Typhoon EM (15,000 conductivity thickness (“CT”)), remains untested as hole YE2020-03 deviated and intercepted the edge of the system. The mineralization encountered in YE2020-03 is encouraging but it does not explain high conductivity target defined by the Typhoon DHEM. Further downhole EM will better locate this target.

Figure 4: Targets at the Yepleu sector showing the mineralized trend and results from the three boreholes drilled in 2020.
https://www.globenewswire.com/NewsRoom/AttachmentNg/dfaab5c8-cb73-41bb-81bf-3a802e7270dd

About HPX

HPX is a privately-owned, U.S.-domiciled mineral exploration and development company. For further information, please visit www.hpxploration.com.

About Sama Resources Inc.

Sama is a Canadian-based mineral exploration and development company with projects in West Africa. On October 23, 2017, Sama announced that it had entered into a binding term sheet in view of forming a strategic partnership with HPX TechCo Inc., a private mineral exploration company in which mining entrepreneur Robert Friedland is a significant stakeholder, in order to develop its Côte d’Ivoire Nickel-Copper and Cobalt project in Côte d’Ivoire, West-Africa. For more information about Sama, please visit Sama’s website at http://www.samaresources.com.

The technical information in this release has been reviewed and approved by Dr. Marc-Antoine Audet, P.Geo and President and CEO of Sama, and a ‘qualified person’, as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.

Core (NQ size) logging and sampling was performed at Sama’s facility in Yorodougou village. Sample preparations was performed at Bureau Veritas Mineral Laboratory’s facility in Abidjan. Sample pulps were shipped by courier to Activation Laboratory (Actlab) in Lancaster, Ontario, Canada. All samples were assayed for Ni, Cu, Co, Pt, Pd and Au.

FOR FURTHER INFORMATION, PLEASE CONTACT:

SAMA RESOURCES INC./RESSOURCES SAMA INC.
Dr. Marc-Antoine Audet, President and CEO
Tel: (514) 726-4158
OR
Mr. Matt Johnston, Corporate Development Advisor
Tel: (604) 443-3835
Toll Free: 1 (877) 792-6688, Ext. 5

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Certain statements made and information contained herein are "forward-looking statements" or “forward-looking information” within the meaning of Canadian securities legislation. Forward-looking statements and forward-looking information such as “evidence”, “potential”, “appears”, “seems”, “suggest”, are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements or forward-looking information, including, without limitation, the availability of financing for activities, risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, metal price fluctuations, environmental and regulatory requirements, availability of permits, escalating costs of remediation and mitigation, risk of title loss, the effects of accidents, equipment breakdowns, labour disputes or other unanticipated difficulties with or interruptions in exploration or development, the potential for delays in exploration or development activities, the inherent uncertainty of cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, expectations and beliefs of management and other risks and uncertainties.

In addition, forward-looking statements and forward-looking information are based on various assumptions. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking information or forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements or forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking statements or forward-looking information, whether as a result of new information, future events or otherwise.

* Global diamond supply chains convulsed by pandemic * Diamond polishers in India switch to farming * Miners seek new supply deals to boost margins * Mines from Canada to Lesotho still shuttered By Helen Reid, Tanisha Heiberg and Rajendra Jadhav JOHANNESBURG/MUMBAI, Aug 12 – As the coronavirus pandemic upended the global diamond industry, shuttering mines from Lesotho to Canada and disrupting supply chains, Rajen Patel swapped diamond polishing for peanut farming. Patel, who worked for a decade in India's Surat where about 80% of the world's diamonds are polished, joined the exodus of gem workers leaving the city as cases of the virus shot up. After taking up farming in his home village, he has no plans to return in the coming months. "I won't earn as much I was earning in Surat, but I won't starve and there is no fear of getting infected with coronavirus," he said. Demand for diamonds has plummeted during the pandemic, freezing sales and squeezing prices. With temporary mine closures at risk of becoming permanent, diamond miners are seeking ways to extract more value from their stones. The lone bright spot has been steady demand for large, high-quality diamonds from affluent investors, according to financiers and sales data. "There are a lot more enquiries from people seeking to buy these luxury stones as a hedge," said Chris Del Gatto, CEO of the DelGatto Diamond Finance Fund, the largest non-bank lender to the diamond, jewellery and watch industries. Prices for high quality one-carat diamonds are rising steadily and are currently around 12% higher than at the start of the year, in contrast to still-depressed prices for lower-quality stones of the same size, data from trading platform RapNet shows. For an interactive graphic, click: https://tmsnrt.rs/2Pqtl74 "If you are in that top end, the demand is still there because the people who go for these type of goods feel the pressure of the market downturn less," said Gus Simbanegavi, CEO of Bluerock Diamonds. But only a few miners are lucky enough to have deposits of large, high-quality diamonds, leaving some producers at risk. GRIM YEAR COVID-19 has forced miners to cancel or delay sales, with major diamond shows scrapped due to health and travel restrictions. The few sales that have taken place showed rough diamond prices down between 15% and 27%. "What has happened in the second quarter, I have never seen in my life," De Beers Chief Executive Bruce Cleaver told Reuters. "There was no really properly functioning rough market." Indian imports of rough diamonds plunged from $1.5 billion in February to just $1 million in April, data from the Gem & Jewellery Export Promotion Council shows. For an interactive graphic click here: https://tmsnrt.rs/2XxZuhs Antwerp, another diamond hub, saw rough imports drop 20% year-on-year in the first half, according to data from Antwerp World Diamond Centre. The city's exports of polished diamonds fell 46%. https://tmsnrt.rs/2DEez9P REAL OPPORTUNITY In a bid to survive, some miners are trying to change the traditional pricing game by securing a cut of onward polished diamond sales, and miners may eventually have direct tie-ups with luxury jewellery brands, RCC Diamond Consultants managing director Richard Chetwode predicts. Australia's Lucapa Diamond Co inked a deal with an unnamed "high-end diamantaire" to sell some of its high-value diamonds from the Mothae mine in Lesotho for $505 per carat plus a 50% share of the margin on the future polished diamond sale. Lucara Diamond Corp,, which mines in Botswana, struck a deal in July with Antwerp manufacturer HB Group under which the miner's diamonds larger than 10.8 carats are sold for a portion of the estimated polished price. "There is real opportunity within the diamond business as a whole to modernise the sales system," said Lucara CEO Eira Thomas. Lucara has also set up an online diamond sales platform. In the meantime, miners are hoping production cuts will help prices recover. With Rio Tinto's massive Argyle diamond mine in Australia among those coming offstream soon, global diamond production will likely be reined in until 2025, independent analyst Paul Zimnisky forecasts. For an interactive graphic, click here: https://tmsnrt.rs/3icmNFm Several diamond mines shuttered due to the pandemic have also yet to reopen, including Stornoway Diamonds' Renard mine in Canada, Petra Diamonds' Williamson mine in Tanzania, and Firestone Diamonds' Liqhobong mine in Lesotho, which the company said would likely stay closed until April to preserve cash. Meanwhile, Africa-focused Petra Diamonds is in restructuring talks with creditors, while in Canada's Northwest Territories, Rio Tinto's Diavik mine partner has sought creditor protection, saying it cannot afford the miner's cash calls. Even De Beers is feeling the pain, saying job cuts are likely, as it remains unclear whether supply will shrink enough to meet plunging demand in the global diamond jewellery market, which Bain estimated was worth $80 billion in 2019. Industry hopes that the pandemic would boost sales of engagement rings as people reassessed life priorities and more made plans to get married have not borne out. In retailer Tiffany & Co's February-April quarter, engagement jewellery was the worst-performing category, with sales almost halving. Overall, fine jewellery sales are expected to drop 19% this year, compared to a 3% rise last year, according to Euromonitor. (Additional reporting by Zandi Shabalala in London; Jeff Lewis in Toronto, Silvia Aloisi in Milan, Melissa Fares in New York, Polina Devitt in Moscow, Sophie Yu in Beijing; Editing by Amran Abocar and Kirsten Donovan)

(Repeats to additional subscribers with no changes to text)

* Global diamond supply chains convulsed by pandemic

* Diamond polishers in India switch to farming

* Miners seek new supply deals to boost margins

* Mines from Canada to Lesotho still shuttered

By Helen Reid, Tanisha Heiberg and Rajendra Jadhav

JOHANNESBURG/MUMBAI, Aug 12 – As the coronavirus pandemic upended the global diamond industry, shuttering mines from Lesotho to Canada and disrupting supply chains, Rajen Patel swapped diamond polishing for peanut farming. Patel, who worked for a decade in India's Surat where about 80% of the world's diamonds are polished, joined the exodus of gem workers leaving the city as cases of the virus shot up. After taking up farming in his home village, he has no plans to return in the coming months.

"I won't earn as much I was earning in Surat, but I won't starve and there is no fear of getting infected with coronavirus," he said.

Demand for diamonds has plummeted during the pandemic, freezing sales and squeezing prices. With temporary mine closures at risk of becoming permanent, diamond miners are seeking ways to extract more value from their stones.

The lone bright spot has been steady demand for large, high-quality diamonds from affluent investors, according to financiers and sales data.

"There are a lot more enquiries from people seeking to buy these luxury stones as a hedge," said Chris Del Gatto, CEO of the DelGatto Diamond Finance Fund, the largest non-bank lender to the diamond, jewellery and watch industries.

Prices for high quality one-carat diamonds are rising steadily and are currently around 12% higher than at the start of the year, in contrast to still-depressed prices for lower-quality stones of the same size, data from trading platform RapNet shows.

For an interactive graphic, click: https://tmsnrt.rs/2Pqtl74

"If you are in that top end, the demand is still there because the people who go for these type of goods feel the pressure of the market downturn less," said Gus Simbanegavi, CEO of Bluerock Diamonds.

But only a few miners are lucky enough to have deposits of large, high-quality diamonds, leaving some producers at risk.

GRIM YEAR

COVID-19 has forced miners to cancel or delay sales, with major diamond shows scrapped due to health and travel restrictions. The few sales that have taken place showed rough diamond prices down between 15% and 27%.

"What has happened in the second quarter, I have never seen in my life," De Beers Chief Executive Bruce Cleaver told Reuters. "There was no really properly functioning rough market."

Indian imports of rough diamonds plunged from $1.5 billion in February to just $1 million in April, data from the Gem & Jewellery Export Promotion Council shows.

For an interactive graphic click here: https://tmsnrt.rs/2XxZuhs Antwerp, another diamond hub, saw rough imports drop 20% year-on-year in the first half, according to data from Antwerp World Diamond Centre. The city's exports of polished diamonds fell 46%. https://tmsnrt.rs/2DEez9P

REAL OPPORTUNITY

In a bid to survive, some miners are trying to change the traditional pricing game by securing a cut of onward polished diamond sales, and miners may eventually have direct tie-ups with luxury jewellery brands, RCC Diamond Consultants managing director Richard Chetwode predicts.

Australia's Lucapa Diamond Co inked a deal with an unnamed "high-end diamantaire" to sell some of its high-value diamonds from the Mothae mine in Lesotho for $505 per carat plus a 50% share of the margin on the future polished diamond sale.

Lucara Diamond Corp,, which mines in Botswana, struck a deal in July with Antwerp manufacturer HB Group under which the miner's diamonds larger than 10.8 carats are sold for a portion of the estimated polished price.

"There is real opportunity within the diamond business as a whole to modernise the sales system," said Lucara CEO Eira Thomas. Lucara has also set up an online diamond sales platform. In the meantime, miners are hoping production cuts will help prices recover. With Rio Tinto's massive Argyle diamond mine in Australia among those coming offstream soon, global diamond production will likely be reined in until 2025, independent analyst Paul Zimnisky forecasts.

For an interactive graphic, click here: https://tmsnrt.rs/3icmNFm

Several diamond mines shuttered due to the pandemic have also yet to reopen, including Stornoway Diamonds' Renard mine in Canada, Petra Diamonds' Williamson mine in Tanzania, and Firestone Diamonds' Liqhobong mine in Lesotho, which the company said would likely stay closed until April to preserve cash.

Meanwhile, Africa-focused Petra Diamonds is in restructuring talks with creditors, while in Canada's Northwest Territories, Rio Tinto's Diavik mine partner has sought creditor protection, saying it cannot afford the miner's cash calls.

Even De Beers is feeling the pain, saying job cuts are likely, as it remains unclear whether supply will shrink enough to meet plunging demand in the global diamond jewellery market, which Bain estimated was worth $80 billion in 2019.

Industry hopes that the pandemic would boost sales of engagement rings as people reassessed life priorities and more made plans to get married have not borne out.

In retailer Tiffany & Co's February-April quarter, engagement jewellery was the worst-performing category, with sales almost halving.

Overall, fine jewellery sales are expected to drop 19% this year, compared to a 3% rise last year, according to Euromonitor.

(Additional reporting by Zandi Shabalala in London; Jeff Lewis in Toronto, Silvia Aloisi in Milan, Melissa Fares in New York, Polina Devitt in Moscow, Sophie Yu in Beijing; Editing by Amran Abocar and Kirsten Donovan)

TORONTO, July 13, 2020 (GLOBE NEWSWIRE) — Waseco Resources Inc. (“Waseco” or “the Company”) (“WRI”-TSX-V) is pleased to report that its wholly owned U.S. subsidiary, today, has entered into an Option Agreement with a wholly owned subsidiary of SSR Mining Inc. (“SSRM”), relating to the Company’s Battle Mountain Ridge (“BMR”) leased gold property in Nevada.

The 29 claim BMR property is strategically located on the Battle Mountain-Eureka Trend, immediately adjacent to the Trenton Canyon Mine, which SSRM recently acquired from Newmont. It is approximately 10 km south of SSRM’s current Marigold Mine operations.

BMR hosts oxide gold mineralization identified by drilling programs carried out by several previous operators over the past 30 years. To date, three gold zones have been identified on the property. The South and West zones are oxide hosted and drilling by Waseco has extended the West Zone laterally.

Additionally and importantly, Waseco has made a sulphide hosted gold discovery near the Northern property boundary with SSRM. (see WRI News Releases Jan. 12^th, 2012 and Jan 26^th, 2017). This zone appears to be on trend with a recently announced discovery by SSRM, on its Marigold property, approximately 1.5km to the north-west from the BMR property boundary, where SSRM announced a gold intercept of 5.19g Au over 94.5 meters (see SRRM News Release- May 14^th, 2020).

Under the terms of the Agreement, SSRM has agreed to carry out exploration expenditures of US$1.5 million within the next 5 years and assume all of the carrying costs of the BMR property during the option period. At the end of the exploration phase, SSRM may acquire Waseco’s interests by paying US$25 per ounce of gold in all resource categories discovered (measured, indicated and inferred). This acquisition will involve a minimum payment to the Company of US$1 Million and a maximum payment of US$6 Million as well as a 1% NSR royalty on production payable to the Company. Waseco will also receive a US$100,000 payment and re-imbursement of certain expenses on the effective date of the Option Agreement. The transaction is subject to TSX-V approval.

Company President, Richard Williams, commented: “The operations at the nearby Marigold Mine, which has consistently produced over 220,000 ounces of gold per year at an extremely low cut-off gold grade, is a testament to their team’s understanding of the oxide gold ore environment in the area.

The pending addition of the Alacer Gold Corp. team, which has extensive sulphide hosted gold production experience, provides us with added comfort that Marigold are best placed to effectively and successfully develop BMR and Waseco’s new discovery there. We look forward to working with Marigold’s exploration staff.”

Note: The mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on the BMR property.

Mr. A. Lee Barker, BASc., MSc. (App.), P. Eng., a Qualified Person under National Instrument 43-101, has reviewed and approved the technical content of this release.

Waseco is an exploration company focused on exploring for gold in Nevada. The Company is listed on the TSX Venture Exchange (“WRI”) and the Frankfurt Stock Exchange (“WSE”). There are currently 41,681,390 shares issued and outstanding.

For further information on the Company, please visit the Waseco web site at www.wasecoresources.com or contact Richard Williams at (416) 364-3123- e-mail: rickw@wasecoresources.com.

On Behalf of the Board of Directors

Richard Williams

President & C.E.O.

Neither the TSX Venture Exchange nor its regulatory service providers as that term is defined in the policies of the TSX Venture Exchange accepts responsibility of the accuracy or adequacy of this release.

We seek safe harbour.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES

TORONTO, July 06, 2020 (GLOBE NEWSWIRE) — Olivut Resources Ltd. (“Olivut” or the “Company”) (OLV.V) is pleased to announce that it has exercised its option to earn 50% of the Seahorse Project, located in the Northwest Territories, Canada in accordance with the terms of the Option Agreement signed with Talmora Diamond Inc. (“Talmora”) on July 6, 2018. Olivut and Talmora will be joint (50/50) owners of the assets.

All earn-in requirements have been completed: on December 9, 2019 Olivut provided notice to Talmora that it had incurred the minimum work cost requirement of $1,200,000 ($1,295,000 spent to October 31, 2019) and a cash payment of $200,000 was made to Talmora in July, 2018. Talmora retains a 1% net smelter return royalty on certain land.

The Company considers the Seahorse Project to have the potential to host diamondiferous kimberlite bodies of significant size and perhaps other mineral deposits, based on a combination of: 2019 program results as described below; favourable diamond stability indicator minerals found regionally and locally, including 18 macro diamonds found in regional samples to the west and northwest; specific geophysical targets; regional and local faults that would favour kimberlite emplacement; occurrence of diamondiferous kimberlites to the north and southeast, as well as other geochemical data in the area.

As previously announced, Olivut successfully completed a helimag geophysical program during April and May 2019. Detailed, low-level, 50 metre line spacing magnetic information was collected and analyzed over multiple anomalies previously identified from regional geophysics.

During August and September 2019 six holes were drilled to test certain regional geophysical targets that had been confirmed and further delineated by the detailed helimag program. The holes were drilled to a maximum depth of 316’ (96.3 metres) using a reverse circulation, heli-portable drill.

Beneath tills, each of the holes intersected varying depths of a distinct homogeneous, extremely fine-grained clay that did not appear to be derived from the dolomite country rock that is exposed proximal to the targets. Down hole drilling conditions were exceptionally challenging, as was the recovery of drill sample material, due primarily to the nature of these intersected clays. Samples were collected from each of the holes and sent for analysis to Saskatchewan Research Council (“SRC”).

Preliminary visual inspection, as well as further microscopic examination of many of the collected samples, could not specifically identify the host rock from which the clay material is derived. Subsequently, whole rock and multi-element geochemical results returned complex chemistry characterised by elevated Rare Earth Element (“REE”) content. Further analysis is ongoing to relate these findings to till samples taken down-ice in the general region. These REE levels are generally higher than, or consistent with, levels of REE detected in clays found to occur over some identified kimberlites in some locations of the world (e.g. western Australia and Namibia). Sulphides, including pyrite, galena and sphalerite, as well as other mafic minerals were easily identified in many downhole samples.

The Seahorse Project area underwent periods of extreme warming and laterization that destroyed silicate indicator minerals as evidenced from regional till sampling results. However, some opaque oxide indicator minerals and diamonds survive this type of weathering.

To determine the potential presence of any kimberlitic indicator minerals (“KIM”), additional samples from five drill holes, each consisting mostly of the homogeneous clay, were submitted for heavy mineral analysis to SRC. Chromites, ilmenites (some manganese bearing) and abundant pseudorutile (an alteration product of ilmenite which is common in intensely weathered kimberlite) are present. Although the chromites and ilmenites are not unequivocally kimberlitic, a few definite KIMs (G-9 pyropes and picroilmenites) were recovered from beach sand concentrates taken from a lake in the vicinity of the drill holes.

A surprising result of the heavy mineral analysis is the number of microfossils and the abundance of various forms of pyrite (some replacing organic material and microfossils) found in the concentrates. Also present are spherules (tiny bead-like features) believed to be associated with a meteorite impact. Microfossils and pyrite associated with anoxic (low oxygen) conditions require a different explanation for the origin of the clay than intensely altered kimberlite. Given the results to date, there are a number of possible scenarios that could explain the genesis of these clays and further work is required to obtain more information before arriving at a conclusion.

In addition to the drilling program described above, limited regional prospecting was conducted. A large gossan zone was identified on the property comprising the Seahorse Project that appears to have a strike length of approximately eight kilometres. Very limited sampling was conducted due to budget and fuel constraints. Some of these samples returned trace amounts of gold which may be significant given the limited number of samples collected. Further work is required to obtain more information before arriving at a conclusion. The linear gossan zone occurs within the dolomite country rock and likely represents a sulphide bearing fault zone. The Company’s interest in the Seahorse Project includes any mineral deposits discovered, whether diamonds or other minerals.

This region has been subjected to no known previous detailed exploration work. The Company will report further details once they are available. Due to its remoteness, the project area must be supplied by small aircraft and helicopter. Although Talmora has been active in the area of the Seahorse Project, prior to Olivut’s involvement it had not been able to conduct meaningful exploration due to a lack of financing during the prolonged negative capital market environment for junior exploration companies.

The Coronavirus pandemic and its effects particularly on planning and work in the Northwest Territories will likely prevent any field work being conducted in 2020. Measures have been put in place to mitigate risks to the health and safety of northern people and communities.

Olivut is a diamond exploration company with a 100% mineral interest in the HOAM Project (the “HOAM Project”) and a 50% interest in the Seahorse Project, both projects being located in Canada’s Northwest Territories. Please visit www.olivut.com for detailed corporate and project information.

This press release contains forward-looking statements with respect to the Company, and matters concerning the raising of additional capital, the business, operations, strategy, and financial performance of the Company. Actual results may differ materially from those indicated by such statements. These statements generally, but not always, can be identified by use of forward-looking words such as “may”, “will”, “expect”, “estimate”, “anticipate”, “intends”, “believe” or “continue” or the negative thereof or similar variations. All statements, other than statements of historical fact, included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including that the estimates and projections regarding the Company’s properties are realized. Forward-looking statements are based on a number of assumptions which may prove to be incorrect. Unless otherwise stated, all forward looking statements speak only as of the date of this press release and the Company does not undertake any obligation to update such statements except as required by law.

Martin St. Pierre, P.Geophys., a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the scientific and technical disclosure in this press release.

Leni Keough, P.Geo.
President and Chief Executive Officer

For further information, please contact:
Leni Keough
President and Chief Executive Officer
Olivut Resources Ltd.
(780) 866-2226

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

TORONTO, July 03, 2020 (GLOBE NEWSWIRE) — Waseco Resources Inc. (“Waseco” or the “Company”-TSX-V: WRI) announced today that the Company will be extending the exercise period of a total 705,000 share purchase warrants, each of which is exercisable at $0.075 per share (collectively the “Warrants”). The Warrants were issued pursuant to a private placement which closed on July 5^th, 2019. The Company proposes to extend the expiry date for all Warrants by six (6) months, and accordingly, the new expiry date is January 5^th, 2021. All other terms and conditions of the warrants remain unchanged. The Warrant extension is subject to acceptance by the TSX Venture Exchange. A portion of the Warrants are held by a party who is considered to be a “related party” of the Company. Therefore, the amendment of the Warrants constitutes a related party transaction as contemplated by Instrument 61-101 Protection of Minority Shareholders in Special Transactions and TSXV Policy 5.9- Protection of Minority Shareholders in Special Transactions. However, the exemption from formal valuation and minority approval requirements provided for by these guidelines can be relied upon as the fair market value of the Warrants does not exceed 25% of the market capitalization of the Company. A material change report in respect of this related party transaction will be filed by the Company.

Waseco is an exploration company focused on exploring for gold in Nevada. The Company is listed on the TSX Venture Exchange (“WRI”) and the Frankfurt Stock Exchange (“WSE”). There are currently 41,681,390 shares issued and outstanding.

For further information on the Company, please visit the Waseco web site at www.wasecoresources.com or contact Richard Williams at (416) 364-3123- e-mail: rickw@wasecoresources.com.

On Behalf of the Board of Directors

Richard Williams

President & C.E.O.

Neither the TSX Venture Exchange nor its regulatory service providers as that term is defined in the policies of the TSX Venture Exchange accepts responsibility of the accuracy or adequacy of this release.

We seek safe harbour.

Every investor in Altura Mining Limited (ASX:AJM) should be aware of the most powerful shareholder groups. Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. I quite like to see at least a little bit of insider ownership. As Charlie Munger said 'Show me the incentive and I will show you the outcome.

Altura Mining is a smaller company with a market capitalization of AU$197m, so it may still be flying under the radar of many institutional investors. Taking a look at our data on the ownership groups (below), it's seems that institutions don't own many shares in the company. We can zoom in on the different ownership groups, to learn more about Altura Mining.

See our latest analysis for Altura Mining

What Does The Institutional Ownership Tell Us About Altura Mining?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing.

Less than 5% of Altura Mining is held by institutional investors. This suggests that some funds have the company in their sights, but many have not yet bought shares in it. If the business gets stronger from here, we could see a situation where more institutions are keen to buy. When multiple institutional investors want to buy shares, we often see a rising share price. The past revenue trajectory (shown below) can be an indication of future growth, but there are no guarantees.

Hedge funds don't have many shares in Altura Mining. Ningbo Shanshan Co.,Ltd. is currently the largest shareholder, with 15% of shares outstanding. In comparison, the second and third largest shareholders hold about 14% and 10% of the stock. In addition, we found that James Brown, the CEO has 1.1% of the shares allocated to his name

On further inspection, we found that more than half the company's shares are owned by the top 7 shareholders, suggesting that the interests of the larger shareholders are balanced out to an extent by the smaller ones.

While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of Altura Mining

The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.

I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.

Our most recent data indicates that insiders own a reasonable proportion of Altura Mining Limited. Insiders own AU$60m worth of shares in the AU$197m company. I would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.

General Public Ownership

The general public, with a 46% stake in the company, will not easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.

Private Equity Ownership

With a stake of 5.8%, private equity firms could influence the AJM board. Some investors might be encouraged by this, since private equity are sometimes able to encourage strategies that help the market see the value in the company. Alternatively, those holders might be exiting the investment after taking it public.

Public Company Ownership

We can see that public companies hold 15%, of the AJM shares on issue. It's hard to say for sure, but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Altura Mining (at least 1 which is a bit concerning) , and understanding them should be part of your investment process.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.