Previously on Shanta Gold (SHG), at the end of last month I wrote late “adjournment” of Meetings to approve offer, why not providing what the shareholders “feedback” was? – suggesting that the “feedback” was opposition to, and votes against, the offer agreement. So what about today a “RECOMMENDED INCREASED AND FINAL OFFER”-titled announcement?
On 20th December Shanta Gold (SHG) was “pleased to announce” agreement of a 13.5p per share cash offer, arguing “it provides an exit opportunity in cash for all shareholders taking into account the current gold price as well as the operational and other risks inherent in the business” and, subsequently, to approve it, there was a Court Meeting scheduled for 1pm, and General Meeting for 1:15pm, today. Instead though today there was a 7am “Adjournment of Court Meeting and General Meeting” announcement, stated to be “following feedback received from Shanta shareholders in connection with the Scheme”. So what’s going on?
The boards of directors of the Saturn Resources subsidiary of ETC Holdings and Shanta Gold* (SHG) state that they “are pleased to announce that they have reached agreement on the terms of a recommended cash acquisition… for each Shanta Share: 13.5 pence in cash”. Shares in Shanta are currently up to 12.9p to sell in response, meaning a near 23% gain on our 10.5p offer price current tip and more than 34% on our 9.6p emergency re-tip. So what to do?
East Africa-focused gold company Shanta Gold (SHG) has issued a drilling update on its West Kenya project, which it emphasises continues to “demonstrate that this project has the potential to become one of Africa's next quality, high-grade gold mines”.
Shanta Gold (SHG) has announced third quarter 2023 gold production across its two operating mines of 27,935 ounces, in line with expectations, and also continued exploration progress.
Tanzania and Kenya gold company Shanta Gold (SHG) has announced its results for the first half of the 2023 calendar year and reiterated full-year guidance of production of 90,000-98,000 gold ounces and all in sustaining costs of $1,200-$1,300 per ounce for its production from New Luika and $1,300-$1,400 from the March-commenced Singida. What does this mean from a current 10.5p share price?
Shanta Gold (SHG) has announced a quarterly 92% increase in gold production and emphasised “room for further growth at Singida and West Kenya”.
Last night Shanta Gold (SHG) gave a presentation at Proactive Investors. Paying for proactive to ramp your shares is always a bit of a red flag but I reckon Shanta shares are cheap notwithstanding that. However slide 4 of 18 raises, to say the least, eyebrows. It states:
The situation at Odey Asset Management and the potential breaking up of the hedge fund business, alongside the closure of some of its funds, is going to create some buying opportunities, and indeed already has been judging by the share price drops in some of the companies where it held large stakes.
Shanta Gold (SHG) has announced commercial production for its Singida mine in Tanzania with it having achieved 30 consecutive days of mill throughput exceeding 95% of nominal nameplate capacity of 1,000 tonnes per day, overall plant utilisation and gold recovery exceeding 95% and plant availability above 90%, and it now looks forward to this month providing production guidance including a 5 year forecast. With the shares currently up to 11.5p to buy in response, good news.
Shanta Gold (SHG) has issued an exploration update for its assets in Tanzania and Kenya with its Singida gold mine achieving production ramp-up objectives.
Shanta Gold (SHG) has issued an update on the first quarter of 2023, emphasising a now more diversified business as well as announcing the proposed appointment of a new non-executive director (Matthieu Bos, a trained metallurgist and former mining investment banker), but also that CEO Eric Zurrin “has informed the board of his decision to step down from his role after six years with the company”.
East Africa-focused Shanta Gold (SHG) has announced its first gold pour at Singida in Tanzania on schedule and on budget, marking its next phase of growth as a 100,000 ounces per year gold producer. It adds that “looking ahead, Singida is transitioning from a cost centre to a cash generator. As our focus turns to mine life extension, we are confident that we will unlock further long-term value for our shareholders” and that “the Singida 2023 guidance and 5-year mine plan is expected to be communicated in Q2 2023”.
Gold production, development and exploration company in East Africa, Shanta Gold (SHG) has announced its results for the 2022 calendar year and that it is nearing transformation to a 100,000 ounces per annum multi-project gold producer.
Shanta Gold (SHG) has now announced West Kenya project and group resource updates, emphasising that now over the past 5 years its resources have increased threefold to now 3.7 million ounces of gold despite its existing mining.
Shanta Gold (SHG) has announced continued construction progress at the Singida project in Tanzania, with the mine, which is set to see the company become a 100,000 ounces per annum gold producer, on schedule for first production next month.
Shanta Gold (SHG) has announced an updated mineral resource estimate for its West Kenya project in Kenya and that “the high-grade Indicated category… points towards a high margin cash flow during future operations”.
Shanta Gold (SHG) has announced 2022 production and operational results and that “there are numerous initiatives underway and in place for 2023 to decrease operational risks and optimise production”.
