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ZIOC Zanaga Iron Ore Company Limited

7.84
0.72 (10.11%)
19 Apr 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
Zanaga Iron Ore Company Limited LSE:ZIOC London Ordinary Share VGG9888M1023 ORD NPV (DI)
  Price Change % Change Share Price Shares Traded Last Trade
  0.72 10.11% 7.84 672,078 16:35:25
Bid Price Offer Price High Price Low Price Open Price
7.28 8.38 7.10 7.10 7.10
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Offices-holdng Companies,nec USD USD 8.1M USD 0.0128 5.55 44.94M
Last Trade Time Trade Type Trade Size Trade Price Currency
16:00:05 O 39,000 7.6712 GBX

Zanaga Iron Ore (ZIOC) Latest News

Zanaga Iron Ore (ZIOC) Discussions and Chat

Zanaga Iron Ore Forums and Chat

Date Time Title Posts
28/3/202416:50ZIOC Zanaga Iron A 2018 MULTI BAGGER TOP FOR 2018 2,536
15/11/202211:42Zanaga Iron Ore Company10,217
11/9/201908:13ZIOC Zanaga Iron A 2018 MULTI BAGGER 469
11/9/201907:21A un-moderated Zanaga thread. Open to ALL. Not the FEW87
03/8/201809:30The Tidy and Topaz thread81

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Zanaga Iron Ore (ZIOC) Most Recent Trades

Trade Time Trade Price Trade Size Trade Value Trade Type
2024-04-19 15:00:067.6739,0002,991.77O
2024-04-19 14:52:397.1053,8313,822.00AT
2024-04-19 14:33:037.1028,1692,000.00AT
2024-04-19 12:33:347.2620,0001,452.00O
2024-04-19 12:14:157.11255,60518,178.63O

Zanaga Iron Ore (ZIOC) Top Chat Posts

Top Posts
Posted at 19/4/2024 09:20 by Zanaga Iron Ore Daily Update
Zanaga Iron Ore Company Limited is listed in the Offices-holdng Companies,nec sector of the London Stock Exchange with ticker ZIOC. The last closing price for Zanaga Iron Ore was 7.12p.
Zanaga Iron Ore currently has 632,989,909 shares in issue. The market capitalisation of Zanaga Iron Ore is £44,942,284.
Zanaga Iron Ore has a price to earnings ratio (PE ratio) of 5.55.
This morning ZIOC shares opened at 7.10p
Posted at 18/3/2024 14:30 by extrader
Yes.

At the very least, ZIOC will have to tell us what it's doing about the GLEN loan that matures later this month.

Less 'required' - but still desirable - we were told that there'd be progress on various fronts by 'end Q1'...
.
At the macro, non ZIOC-specific level, the penny seems to be dropping in the trade press that lowimpurity/high Fe ore (of the type that ZIOC has) is a key requirement for 'green' ore.

Whether the 'causes and conditions' are compelling remains to be seen.

ATB
Posted at 31/12/2023 15:08 by bbanker
I believe that at one time the iron ore in the ground was thought to be worth £3 a share. Since then the value of iron ore has increased but the shareholding has been diluted. I am a long term holder in the hope that there will be a recognition of the underlying value and a way will be found to realise that value in an economic manner to the benefit of shareholders. Having held for some years and established a good profit I cannot be tempted to realise that profit at the current share price. I think there is more to come!!
Posted at 15/12/2023 11:00 by extrader
Top quality post from Jiving elsewhere

..."CEO. Marty’s LinkedIn states he was appointed as CEO in November, so he might have been in situ up to 6 weeks already. Noteworthy that the news was released on 14 December & not when it seems to have actually occurred in November. Is Elphick preparing for a week of news, that has been held back as it was before last year's AGM?

Board. A new CEO at such a critical time should be immediately be on the BOD. I expect he will be soon, but we might be waiting for a different BOD with at least one representative from the new strategic investor & possibly one less Glencore director. At present the agreement with Glencore as set out in RNS of 23.11.22 is that provided Glen hold 25% or more they get 2 BOD seats; between 10-25% they get 1 seat; under 10% none. If Glen sell part or all of their ZIOC holding to one or more strategic investors their representation may change to reflect their lower %.

JV vs Buyout. The appointment of a CEO could indicate that the project is proceeding as a JV & we should not therefore expect a buyout bid - unless perhaps a competing, losing strategic investor should decide to make one.

Structure. The Glencore transaction last year concentrated ownership of the Zanaga holding company Jumelles, 100% in ZIOC. It was always possible that strategic investor (s) would take a direct stake in Jumelles - ie an unlisted stake for a fixed price paid to ZIOC based around NPV. Leaving ZIOC with the remainder of Jumelles (a bit like the pre 2022 ZIOC arrangement with Glen). But now it seems possible, even likely, that strategic investors will join the project via ZIOC share transactions - secondary, primary or both.

Secondary/Primary. Potentially strategic investors could enter the project via a secondary purchase of all or part of Glencore’s stake. This would be mean all the monies passing to Glencore and not ZIOC & we would suffer no dilution. The BOD at the AGM is seeking authority to issue 20% or 126.6m new primary shares (with no pre-emptive rights) to a shareholder (s). This primary transaction would involve both funds flowing into the company & of course dilution. It is quite possible a strategic investor (s) would undertake both transactions - getting say, a 40% stake via a secondary purchase of 20+% from Glencore and a 20% primary issue from ZIOC.

Price. The last 13 months of negotiations & particularly the decision to seek new estimates from the Chinese EPC partner suggests to me there could have been prolonged haggling over terms & particularly pricing with strategic investor (s). An ‘NPV based share price’ for a secondary/primary transaction would be substantially higher than the current share price.

The 2019 Presentation (P20 graph) gave the crucial NPV estimates for Stage 1 @ 12m & Stage 1+ 2 @ 30m outputs based on the 2014 FS & a 65% Fe concentrate price at $110. The Stage 1, 12m NPV was just over $2b & the Stage 1+2, 30m NPV was just under $4b. The lower Chinese EPC costings & favourable changes in the iron ore market will have changed those estimates significantly upwards. Of course even if all parties agree on an NPV a strategic investor can still demand a discount to NPV.

An NPV based share price. To use very simple approximations (key variables apart from NPV being FX & ZIOC share count). But currently a $1b NPV equates approx to a share price of 125p. So the old range of NPV as above from $2-4b would mean a 250-500p NPV based share price. Optimistically taking a 500p NPV based share price, a primary sale of 126.6m shares would net ZIOC £633m or $808m at todays FX.

Gearing. The 2014 estimate of $2.2b was to have been funded by a mixture of equity and debt/project finance. Edison in their research report in 2014 suggested the proportions: “We believe that the overall equity cheque will be US$0.8-1.0bn, with the remaining funds coming in the form of infrastructure and EPCM related debt such as export credit financing. The company expects to source credit finance from multiple jurisdictions on attractive terms that normally pertain to infrastructure backed funding.“

99 in a post 13.12.23 suggested the equity:debt/project finance might be even more favourable ie needing less equity finance! Quote from 99: "With a Chinese builder you probably will get 70% of the build financed by Chinese banks, then you need someone to put up the remaining 30% in return for shares in the project (The Strategic Partner)"

With significantly lower costings expected from the 2023 Chinese EPC it is likely the equity component for Stage 1 @12mtpa would be at or lower than the $800m suggested by Edison. In conclusion, if ZIOC/Glen are able to find a strategic investor (s) willing to pay an NPV based share price of £5 (Zanaga NPV of $4b), the sale of the 20% primary stake would generate sufficient equity capital to finance Stage 1 of the project, the balance coming from debt/project finance....."

NAI, DYOR

GLA
Posted at 15/12/2023 09:07 by runnerpete22
Just cannot believe the lack of share price action here, especially after yesterdays RNS. and so much more news due within weeks, if not days.

It seems that most people missed this snippet yesterday, so, courtesy of MM over on LSE.....

Is funding already secured?14 Dec 2023 15:02
Going by ZIOC's own words and today's CEO appointment, project funding could already have been secured. This from Nov 22 at the time of the Glencopre agreement:

Employees and consultants

The Company does not expect any material changes to its current employees and / or consultants following Completion and to the delivery of the work programme in 2023. During this time, the Company will also seek to initiate discussions regarding the funding required for the development of the Project. Once funding has been secured and work on the development of the Project has commenced, the Company expects to recruit an executive team to meet the demands of the Company and the Project.

> Once funding has been secured and work on the development of the Project has commenced, the Company expects to recruit an executive team..

>> An 'executive team' starts with the CEO. So, has funding already been .secured?.......and then look at the CV of the new CEO

NAI DYOR etc etc. GLAH
Posted at 29/9/2023 15:01 by extrader
Hi Jiving,

I'm not very clued-up on HR matters and have never been in a position where these things were relevant to me personally, alas

From rooting around a bit this morning, I've got the flwg bits that may give some perspective :

(1) From the GEMD accounts, CE's other company (which, like ZIOC, he founded and where he's CEO), which is trading profitably, but not wonderfully
- his base is abt £600K, with LTIPs etc another £400K;
- his CFO is abt £ 400K, plus £ 100K;
- his NED Chair is on £ 125K, the other NEDs abt £ 50K (they don't get anything else, AFAICS)
Interestingly, GEMD says he's currently PAID £ 83K for his nonExec Chair at ZIOC......(maybe an 'oops !' moment ?)

Everyone at GEMD obvs has a lot of v public personal legal responsibility and disclosure issues (hopefully insured against) as an active public company, that don't apply to the same extent at ZIOC, I imagine.

(2) ZIOC BoD is a 2-parter, 3 x 'old ZIOC' NEDs, Elphick (founder/shareholder rep), Dines (China hand) and Velloza (mining expertise) and 2 x exGLEN , Peter Hill (head of Iron Ore marketing ) and Denis Weinstein (trader and - I think -general 'fixer'). As recent (but mission-critical) arrivals, I'd hope that Elphick would argue that they should be (well) rewarded.... but by GLEN !
ZIOC 'management' team: going back to 2019, I seem to recall that there were 3 or so - Andrew Trahar , Velloza's predecessor and A.N. Other ?
Apart from the Q re Elphick (is he paid or not?), I see that Mitch 984 has raised the Q of whether AT (at least) is or has been paid in shares 'in lieu of salary'.

(3) Then there's the Q how much 'deferred salary' vs how much 'success fee', for want of a better word.
I'm sure there's an internal memo somewhere that sets out everyone's expectations !...and maybe even rights....?

(4) With his 80m shares, Elphick's interests aren't aligned with the others, who AFAICS have few shares : they'll be interested in maximising, he (unless he's v generous to himself), will be considering the dilution effect on those 80m...
Dines apparently has 630K shares, Velloza 214K.

(5) Same concern (dilution) applies even more to GLEN, with its 286m......

(6) Then there's the Q about the structure of any deal and whether those affected have (or want to have) any future role in the Project's development. Depending on how far in discussions they are (if at all) that might have a bearing on what they negotiate.

(7) They're leaving themselves lots of wiggle room, as I highlighted earlier .." As of today, discussions with management continue and a resolution is expected to be reached IMMINENTLY through the issue of shares in consideration of PART of this deferred consideration...."

Note the caps !
I guess we'll find out (something) soon enough!

E&OE, ATB and GLA
Posted at 12/7/2023 10:29 by extrader
There's been a lot of criticism re the Shard facility, some of it perhaps warranted, others maybe showing a lack of familiarity re the detail.

If you read the November 'Acquisition' RNS, you'll see

.."· Funding agreement

o In order to fund the Project's continuing work programme and budget, as well as the working capital requirements of ZIOC, until 31 December 2023, Glencore Projects has agreed to amend the terms of the Loan Agreement as follows:

§ increase in loan quantum from US$1.2 million to US$1.8 million;

§ extension of loan repayment date to 31 December 2023.

§ Jumelles may utilise up to US$200,000 of the loan facility to advance loans to ZIOC to fund its working capital..."

From which it's reasonable to deduce that (a) $ 600,000 was all the extra funding foreseen as needed to see ZIOC through to (b) extended 31 Dec 2023.

It also suggests that the new Shard facility (set up just before YE results publication) was much more likely driven by need to avoid a 'going concern' (12 month outlook) qualification, rather than any pressing need for funds.

We know that the previous Shard facility , for fewer shares, was drawn down over 3 years.

As to why not just have GLEN increase (again) the amount and term of the existing loan facility, consider the optics : had it done so, that would show that 'new ZIOC' was still in GLEN's pocket, rather undermining the necessary legal/commercial fiction - and purpose- of the 'acquisition' in the first place.

Consistent with this interpretation, the GLEN Board members couldn't 'get all over this', because they are 2 x (minority) NEDs...

Note too that the original Loan facility was agreed two months earlier in Sept 2022,(ie pre 'Acquisition) when ZIOC's cash balance was down to $ 0.1m, with remaining Shard facility expected to suffice to Q3 2023 *,

* incidentally, showing ZIOC's extreme reluctance to dilute unnecessarily

and that

.."Work programme and budget for 2022, and $1.2m Jumelles Ltd working capital loan facility, agreed with Glencore Projects Pty Ltd ("Glencore"), a subsidiary of Glencore plc

o Loan provides full financing for the Zanaga Project budget until 30 June 2023.."

Paradoxically, you could argue that (1) GLEN's apparent 'going along' with the (dilutive) Shard facility together with (2) the apparent lack of immediate funding need suggest that the Shard facility requirement is indeed 'technical'.....and may, rpt may also suggest that 'the deal' may indeed be closer than some suppose :

- loan terms agreed in Sept 2022 are tweaked (amount/tenor) at time of Acquisition(Nov 2022), when 'deal-enabling' re-structure takes place; independent newCo ZIOC takes out new Shard facility, for which it seemingly has no pressing need.

It's at least conceivable that we've seen this succession of short-term measures because management expect/expected to be 'overtaken by events'.

I normally leave this sort of dot-joining to MM....where is he, BTW? When last heard of, he said he had 'a long list of potential share price kickers I'm watching for. Some are actually in play.'

More stuff from flightradar24?

As ever, just IMO (atm); NAI, DYOR, etc etc

GLA
Posted at 05/7/2023 03:16 by extrader
Hi Terminator

You’re wrong.

An overhang only arises where there's a holder who's a motivated seller.

AIUI, ZIOC has no immediate cash needs and the Shard arrangement was 'technical', to satisfy the 12 month 'going concern ' outlook, which looks beyond the 31/12/2023 end-date of the GLEN facility.

So there won't/shouldn't be any likelihood of Shard rushing to place shares, killing off any rise. In fact, because their ££ comes from their 5% commission chargeable on a 3-month 'lookback' basis, they're actually incentivised to slow down sales in a rising market.

Companies House show them as a boutique financial services business, catering to family offices, HighNet Worth individuals, Golden Visa applicants, etc. They look after Client Assets of £ 1.2Bn and have assets under management AUM of US$ 2.14 Bn. So they're unlikely to 'front run' any customer purchases.



Their website hxxps://www.shardcapitalstockbrokers.com/ isn't overly informative or kept up to date, but amongst its palette of products is

ALTERNATIVE RESOURCE CAPITAL

“Alternative Resource Capital is a natural-resources focused financial advisor and corporate broker.

ARC leverages its in-house specialist expertise as it seeks to become a leading advisory firm, providing corporate broking, research, institutional sales and corporate finance services.

Its team, which has many years’ experience, is well known in the sector, having successfully executed a variety of transactions for both public and private mining companies, across a wide range of commodities……”

It's not inconceivable that Shard - which doesn't have to pay for the Shares at time of subscription - will take ZIOC's advice (maybe even instruction?) on when to place, based on ZIOC's actual cash requirements and other considerations, including the share price. Who knows - ZIOC may even have a say in who gets sent an application....?

Look how long it took to eke out the last facility - 3 YEARS -and Elphick's repeated invocation of 'minimize shareholder dilution' :

-6/2020 3x 7m tranches announced (again, just before 2019 results and 'going concern' test;

-1/2021 7m placed

-5/2021 7m placed

-7/2022 4m placed, 3m left

-6/2023 3 x 12m tranches

AT missed a trick in not pointing this out in the release, IMO.


ATB
Posted at 21/6/2023 08:58 by runnerpete22
For the benefit of newcomers to this company, this info posted here back in April is still appropriate today.

Xcap123 Apr '23 - 10:16 - 2153 of 2223

I would have thought that the value of the DFS (and then some ) has to be reflected in the ZIOC mcap ?. Xstrata spent $350m plus additional studies , this would equate to about £300m mcap
Xcap123 Apr '23 - 10:20 - 2154 of 2223

I mean how much would it cost for a project like this cost in todays terms to a completed DFS - $500m ?

runnerpete2224 Apr '23 - 08:35 - 2158 of 2223 Edit

Xcap1..that expenditure alone equates to a share price of 47.5p Re the research and info from posters on LSE; it is incredible, and no wonder the share price is at just the start of what we believe will be an incredible journey in the very near future. With a nod to Aberdeenman over there, even if you dont get in at under 20p, you will still most likely make multiple of multiples of that price. FYI, a very miserly bid of just 1 billion US Dollars equates to a share price of £1.30 ish. NAI/DYOR/GLALTH
Posted at 23/11/2022 12:23 by bcape
RNS Number : 2812H
Zanaga Iron Ore Company Ltd
23 November 2022

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. Upon publication of this announcement, such information is now considered to be in the public domain.

23 November 2022

PROPOSED ACQUISITION OF GLENCORE'S SHAREHOLDING IN THE ZANAGA IRON ORE PROJECT



Zanaga Iron Ore Company Limited ("ZIOC" or the "Company") (AIM: ZIOC) is pleased to announce that an agreement has been reached with Glencore Projects, for the acquisition of Glencore Projects' controlling shareholding in the Project, located in the Republic of Congo through the purchase of Glencore Projects' 50% plus one share interest in Jumelles, an entity which indirectly holds the benefit of the Project's mining licence, for a minority shareholding in ZIOC. ZIOC and MPD, an indirect wholly owned subsidiary of Jumelles which holds the benefit of the Project's mining licence, have also entered into a Marketing Agreement with Glencore International, which will take effect immediately prior to Completion, for the sale and purchase of all future iron ore production from the Project or any other of their or their Affiliates' assets using similar infrastructure in the Republic of Congo.

Highlights

· Proposed acquisition by ZIOC of Glencore Projects' controlling shareholding in Jumelles, indirect owner of the Project

o Subject to ZIOC shareholder approval, the Acquisition will be concluded through the issuance of 286,340,379 new Shares to Glencore Projects, which are expected to represent a shareholding of 48.26% in ZIOC on Completion.

o Relationship Agreement to be entered into between Glencore Projects and ZIOC with effect from Completion to ensure that the Company can carry on its business independently of Glencore Projects.

o Glencore Projects will have the right with effect from Completion to appoint two non-executive directors to the Board of ZIOC.

o Glencore Projects has agreed that it will not dispose of any of the Consideration Shares in the Company in the six months following Admission without the consent of the Company (not to be unreasonably withheld or delayed) other than in certain limited circumstances and to comply with orderly market provisions in the following six months.

· Marketing Agreement entered into between Glencore International, the Company and MPD which will take effect immediately prior to Completion

o Life-of-mine marketing agreement granting Glencore International the exclusive marketing right for all iron ore conforming to certain specifications produced by MPD, ZIOC or their respective Affiliates from the Project or in the Republic of Congo using similar infrastructure that is not subject to existing sales arrangements.

o Agreement by Glencore Projects to purchase from MPD or the Company the Product, or sell the Product on behalf of the Company on arm's length terms.

o Glencore International to be entitled to receive a marketing fee in accordance with the detailed provisions of the Marketing Agreement.

· Funding agreement

o In order to fund the Project's continuing work programme and budget, as well as the working capital requirements of ZIOC, until 31 December 2023, Glencore Projects has agreed to amend the terms of the Loan Agreement as follows:

§ increase in loan quantum from US$1.2 million to US$1.8 million;

§ extension of loan repayment date to 31 December 2023.

§ Jumelles may utilise up to US$200,000 of the loan facility to advance loans to ZIOC to fund its working capital.

· General Meeting

o A notice of a general meeting to be convened for on or around 13 December 2022 will be sent to Shareholders shortly to seek authority for the directors to: (i) issue 286,340,379 Shares pursuant to the Acquisition; and (ii) not require Glencore Projects to make a takeover offer in accordance with Regulation 33 of the Articles in connection with the Acquisition.



Clifford Elphick, Non-Executive Chairman of ZIOC, commented:

"The acquisition of Glencore Projects' shareholding in the Project is a key milestone for ZIOC's shareholders, demonstrating to third party investors that the Project is now represented by a single entity and management strategy. The Acquisition is value accretive to Shareholders and increases effective equity ownership of the Project by existing Shareholders, enhancing their look-through ownership of the Project and securing control of the Project without paying any premium for such interest.

Furthermore, entering into the Marketing Agreement with Glencore International now provides comfort to investors and financiers that the Project's future production is underpinned by one of the largest iron ore traders globally."

For further information, please contact:

Zanaga Iron Ore Company Limited

Corporate Development and Andrew Trahar

Investor Relations Manager +44 20 7399 1105

Liberum Capital Limited

Nominated Adviser, Financial Scott Mathieson, Edward Thomas

Adviser and Corporate Broker +44 20 3100 2000


About us:

Zanaga Iron Ore Company Limited ("ZIOC" or the "Company") (AIM ticker: ZIOC) is the owner of 50% less one share in the Zanaga Iron Ore Project based in the Republic of Congo through its investment in its associate Jumelles Limited. The Zanaga Iron Ore Project is one of the largest iron ore deposits in Africa and has the potential to become a world-class iron ore producer.

General

All statements, other than statements of historical facts, included in this announcement, including, without limitation, those regarding the Company's financial position, business strategy, plans and objectives of management for future operations or statements relating to expectations in relation to dividends or any statements preceded by, followed by or that include the words "targets", "believes", "expects", "aims", "intends", "plans", "will", "may", "anticipates", "would", "could" or similar expressions or the negative thereof, are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company's control that could cause the actual results, performance, achievements of or dividends paid by the Company to be materially different from actual results, performance or achievements, or dividend payments expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company's net asset value, present and future business strategies and income flows and the environment in which the Company will operate in the future.

These forward-looking statements speak only as of the date of this announcement. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with regard thereto, any new information or any change in events, conditions or circumstances on which any such statements are based, unless required to do so by law or any appropriate regulatory authority.



Shareholders should read the risk factors set out in the Company's annual report and accounts that could affect the Company's future performance and the industry in which it operates. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements in this announcement may not occur.
Posted at 28/1/2022 09:13 by jack4691
Greenelf, suffice to say You are just another Ramping Fraud like MoneyMunch, Gismo, Gizmo etc. Criminals who try and con innocent investors with FAKE NEWS. The plain fact is the ZIOC share price is going nowhere, railway or no railway. Try harder 1D10T !! This morning the share price is DOWN 6% thanks to the FAKE NEWS from that B1TCH !!!!!!!!
Zanaga Iron Ore share price data is direct from the London Stock Exchange

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