Edenville Energy plc
www.edenville-energy.com Ticker:EDL
June 2016
Edenville Energy plc Investor Presentation May 2019 Ticker: EDL - - PowerPoint PPT Presentation
June 2016 Edenville Energy plc Investor Presentation May 2019 Ticker: EDL www.edenville-energy.com The information contained in these slides and this presentation is being supplied to you by Edenville Energy plc (the "Company) solely
www.edenville-energy.com Ticker:EDL
June 2016
www.edenville-energy.com
2
The information contained in these slides and this presentation is being supplied to you by Edenville Energy plc (the "Company”) solely for your information and may not be reproduced or redistributed in whole or in part to any other person. This document has not been approved by a person authorised under the Financial Services and Markets Act 2000 (as amended) (“FSMA”) for the purposes of section 21 FSMA and therefore these slides and this presentation is being delivered and made only to a limited number of persons and companies who are persons who have professional experience in matters relating to investments and who fall within the category of person set out in Article 19 of the FSMA (Financial Promotion) Order 2005 (the“ Order”) or are high net worth persons within the meaning set out in Article 49 of the Order or are otherwise permitted to receive it. By accepting the slides and/or attending this presentation and not immediately returning the slides, the recipient represents and warrants that they are a person who falls within the above description of persons entitled to receive the slides and attend the presentation. These slides and this presentation do not constitute, or form part of, a prospectus relating to the Company nor do they constitute or contain any invitation or offer to any person to underwrite, subscribe for, otherwise acquire, or dispose of any ordinary shares in the Company or advise persons to do so in any jurisdiction, nor shall they, or any part of them, form the basis of or be relied on in any connection with any contract or commitment whatsoever. Recipients of these slides and/or persons attending this presentation who are considering a purchase of ordinary shares in the Company are reminded that any such purchase must be made solely on the basis of the information that the Company has officially released into the public domain. Whilst all reasonable care has been taken to ensure that the facts stated in these slides and this presentation are accurate and the forecasts, opinions and expectations contained in these slides and this presentation are fair and reasonable, the information contained in this document has not been independently verified and accordingly no representation or warranty, express or implied, is made as to the accuracy, fairness or completeness of the information or opinions contained in these slides or this in any doubt about the information contained in these slides or this presentation and no reliance should be placed on the accuracy, fairness
respective advisers, parents or subsidiaries nor any of their respective directors, officers or employees or agents (including those of their parents or subsidiaries) accepts any liability or responsibility for any loss howsoever arising, directly or indirectly, from any use of these slides or this presentation or their contents. These slides and this presentation do not constitute a recommendation regarding the shares of the Company nor should the slides or the presentation be considered as the giving of investment advice by the Company
property described therein. If you are in any doubt about the information contained in these slides or the presentation, you should contact a person authorised by the Financial Conduct Authority who specialises in advising on securities of the kind described in these slides and presentation. Certain statements within this presentation constitute forward-looking statements. Such forward-looking statements involve risks and other factors which may cause the actual results, achievements or performance expressed or implied by such forward-looking statements. Such risks and other factors include, but are not limited to, general economic and business conditions, changes in government regulations, currency fluctuations, competition, changes in development plans and other risks. There can be no assurance that the results and events contemplated by the forward-looking statements contained in this presentation will, in fact, occur. These forward-looking statements are correct or represent honestly held views only as at the date of delivery of this presentation. The Company will not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect events, circumstances and unanticipated events occurring after the date of this presentation except as required by law or by regulatory authority. By accepting these slides and/or attending this presentation, you agree to be bound by the provisions and the limitations set out in this disclaimer. You agree to keep permanently confidential the information contained in these slides or this presentation or made available in connection with further enquiries to the extent such information is not made publicly available (otherwise than through a breach by you of this provision). Neither the slides nor any copy of it may be (a) taken or transmitted into Australia, Canada, Japan, the Republic of Ireland, the Republic of South Africa or the United States of America (each a “Restricted Territory”), their territories or possessions; (b) distributed to any U.S. person (as defined in Regulation S under the United States Securities Act of 1933 (as amended)); or (c) distributed to any individual outside a Restricted Territory who is a resident thereof in any such case for the purpose of offer for sale or solicitation or invitation to buy or subscribe any securities or in the context where its distribution may be construed as such offer, solicitation or invitation, in any such case except in compliance with any applicable exemption. The distribution of this document in or to persons subject to other jurisdictions maybe restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Any failure to comply with these restrictions may constitute a violation of the laws of the relevant jurisdiction. The information contained in these slides and this presentation regarding the proposed Placing and the Acquisition constitutes price sensitive information or inside information with regard to the Company and its
inside information. Dealing in securities of the Company when in possession of unpublished price sensitive information or inside information could result in liability under the insider dealing restrictions set out in the Criminal Justice Act 1993 and/or the Market Abuse Regulation No. 596/2014 (MAR). Recipients of the presentation have consented to receive inside information under Article 11 (Market Soundings) of MAR and by agreeing to receive the information recipients are obliged to keep the information confidential.
www.edenville-energy.com
3
Share Price Performance Company Capitalisation
Share Price (15/05/2019) 0.10p 12 month share price range 0.43p - 0.0175p Shares in Issue 2,148,261,562* Options 244,574,707** Warrants Fully Diluted 127,500,000*** 2,392,836,269*** Current Market Cap £2.14M
Significant Shareholders as at 10 May 2019 Post Tranche 2
Pitchcroft Capital & Directors 13.0% 23.9% Brandon Hill Capital & Directors 8.7% 23.4% Edenville Directors 1.1% 5.4%
Source: Yahoo
* Following issuance of Tranche 1 shares ** Options have a Volume Weighted Average Price of 0.33p *** A Further 2,050,000,000 new ordinary shares will be issued and 127,500,00 broker warrants will also be granted as part of the announced Tranche 2 Financing, subject to shareholder approval at the convened General Meeting on 17 May 2019 (not included in these numbers)
100 200 300 400 500 600 700 800 0.1 0.2 0.3 0.4 0.5 0.6 5/2/2018 8/2/2018 11/2/2018 2/2/2019 5/2/2019
Millions
www.edenville-energy.com
4
Jeffrey Malaihollo, Non-Executive Chairman – Over 23 experience in varied roles within resources and finance. A PhD in geology having worked for Newcrest Mining and Rio Tinto. A mining analyst with Loeb Aron, a corporate finance firm in London, followed by several years of CEO/MD roles with AIM-listed Central China Goldfields, AIM-ASX listed Bullabulling Gold and ASX-listed Arc Exploration. Currently a Director of Copper Lake Resources, a TSX-V listed company. Rufus Short, Chief Executive Officer – Over 26 years experience in the resources industry in Australia, UK, Asia and Africa. Minerals Surveyor with MSc in Mineral Economics. Previously 6 years as an investment banker with Investec plc working on debt management, hedge funds, listed and private equity investments. Extensive experience in engineering and development
Arun Srivastava, Non-Executive Director – Previously CEO and founder of Essar Power India. 40 years experience in the power industry, spread across the turnkey development and operation of power plants, acquisition of fuel sources, liaison with regulators and industry representation; significant exposure to complete management of large size power projects, particularly coal and gas based projects.
www.edenville-energy.com
5
year by:
i.
Opening of a new mining area; and
ii.
minor refurbishments to existing infrastructure; and
iii.
Refurbishments to the plant.
be funded through cash flow
issuance
* Assumes shareholders approve the variation of the Lind Facility at the General Meeting on 17 May 2019
www.edenville-energy.com
6
(“ROM”) Coal
www.edenville-energy.com
7
Source: Edenville Energy
Road network north and south of the project Multiple access to Zambia going south (140/240km) Lake Tanganyika (140km) provides barging options to take coal north to NW Tanzania, Burundi, Rwanda and the DRC Access to the rail network via Mpanda (240km) Rail network of Tanzania offers options to take bulk coal to major centres at lower cost
www.edenville-energy.com
8 Positive Areas
¡
Established operation
¡
Regular sales and customers
¡
Significant potential for additional customers
¡
Plant upgrade completed
¡
New mining area acquired
¡
Beginning sales of fine coal
Areas for Expansion
¡
Increased production rate through the plant
¡
Opening up the new northern mining area
¡
Optimising water supply for plant
1000 2000 3000 4000 5000 6000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Tonnes
Coal Production 2018 (non audited)
Washed Coal Production Fine Coal Production
Power Generation
provided an NPV10 of US$252M and IRR of 23% as announced in October 2016
place by Tanesco in Q4 2018 Edenville has been advised by Tanesco that its coal-to-power project cannot proceed to development stage at this time
terms are being explored by the Company
www.edenville-energy.com
Company Address: Aston House, Cornwall Avenue, London N3 1LF info@edenville-energy.com www.edenville-energy.com Nominated Adviser & Joint Broker: SP Angel Corporate Finance LLP www.spangel.co.uk Joint Broker: Brandon Hill Capital Limited www.brandonhillcapital.com Financial PR: IFC Advisory Limited www.investor-focus.co.uk
www.edenville-energy.com
10
The JORC Compliant Mineral Resource Estimate completed in 2013 from Independent Consultants SMS outlined 173 Million Tonnes of which 61.5 Million Tonnes are in the Measured Category
Historically Muze contains the largest resource with a figure of 60Mtonnes quoted by the Geological Survey in 1943. Further drilling is required to complete the resource evaluation of this deposit.
Deposit Classification Tonnes Measured 36,958,091 Indicated 93,414,982 Inferred 1,923,817 Measured 17,158,826 Indicated 12,763,169 Inferred
7,355,248 Indicated 3,442,349 Inferred
61,472,166 Indicated 109,620,499 Inferred 1,923,817 Mkomolo Namwele Muze TOTAL
www.edenville-energy.com
11
Source: IMF, World Bank, Wikipedia, Cantor Fitzgerald
Tanzania is facing the dual challenge of under-development of its electricity sector and strong demand growth
Country Statistics
Population: approximately 57.2m 2014 per capita GDP: US$912.7 Adult literacy in Tanzania has increased from 69% to 78% between 2002 and 2015 Real GDP growth 7.0% in 2015 and 2016 Political system: Unitary presidential democratic republic Next elections: Oct 2020, every 5 years
Power & Electricity Overview
Tanzania has total installed electricity capacity of around 1,500MW Approximately only 33% of the population has access to electricity. According to McKinsey & Co. around 42% of businesses own generators TANESCO is currently constructing several new sub-stations and rolling out new power infrastructure in the country Due to strong economic growth, energy demand is growing at approximately 10% p.a.
Power Generation Potential for Select African nations by Technology(1)(3)
Source: IMF, World Bank, Wikipedia, Cantor Fitzgerald
Distribution of population without access to electricity by region,
% of total population, 2011(6)
www.edenville-energy.com
12
Top: A Crushed Coal Stockpile Bottom: Mining Upper Seam Coal Top: Washed Coal Stockpile Bottom: Wash Plant Top: Mining Coal
Source: Edenville Energy
www.edenville-energy.com
13
Source: Edenville Energy