New Risk • Nov 02
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 3.2% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$8.5m free cash flow). Revenue is less than US$1m. Minor Risks Shareholders have been diluted in the past year (3.2% increase in shares outstanding). Market cap is less than US$100m (AU$86.5m market cap, or US$55.3m). New Risk • Sep 27
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -AU$8.5m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-AU$8.5m free cash flow). Revenue is less than US$1m (AU$122k revenue, or US$78k). Minor Risk Market cap is less than US$100m (AU$85.7m market cap, or US$54.6m). New Risk • Jun 14
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Australian stocks, typically moving 13% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Revenue is less than US$1m. Minor Risks Share price has been volatile over the past 3 months (13% average weekly change). Market cap is less than US$100m (AU$75.2m market cap, or US$50.9m). Board Change • Mar 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 6 experienced directors. 1 highly experienced director. Chairman Jiandong He was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Jan 31
A-Cap Energy Limited Announces Wilconi Metallurgical Testwork Results Acap Energy Limited updated the market on results of recent metallurgical testwork conducted on ores from the company's Wilconi Nickel - Cobalt Project, in Western Australia. Samples of drill cores representative of differentore types (limonitic, saprolitic and saprock) were selected and provided to Simulus Laboratories (Perth) for testing. The samples were tested for their amenability to nickel and cobalt leaching using five different processing methods, including: Atmospheric Leach, High Pressure Acid Leach, Reductive Leach, Acid Bake and Water Leach and Salt Roast and Water Leach. Results show high metal recoveries for limonitic and saprolitic ores, withaverages between 73.6 - 93.1% Ni and 71.1 - 93.2% Co from HPAL, atmospheric leach and acid bake methods. Metal recoveries for Reductive Leach and Salt Leach tests on the same samples were lower Tests conducted on saprock ore showed good metal recoveries using the atmospheric leach method of 79% Ni and 72.8% Co but were much lower for other methods tested. HPAL returned the highest metal recoveries out of all the methods used, with >93% Ni and >91% Co leached from both the limonitic and saprolitic ores. The atmospheric leach and acid bake methods had similar high recoveries for the limonitic and saprolitic ore types however the acid bake method required much lower acid consumption. More metallurgical testwork is planned using samples from recently drilled diamond cores to continue to refine the preferred processing methods and fine tune the recoveries for thedifferent ore types. Announcement • Jan 19
A-Cap Energy Limited Announces Drilling Commences at Letlhakane Uranium Project A-Cap Energy Limited has started a 1,500m (PQ) diamond drill core program over 25 holes at its Letlhakane Project in Botswana, host to one of the world's top 10 undeveloped uranium resources. The program is expected to take up to six to eight weeks and will collect approximately 2 tonneof mineralised material for beneficiation, leaching, and metallurgical testwork already underway. In conjunction with a ramp up of activities on the ground at Letlhakane being led by new country manager, Mr. Peter Sheehan, metallurgical studies comprising mineralogy and ore characterisation will supplement the beneficiation program. To increase Letlhakane's profitability, A-Cap has engaged technical partners with world-leading expertise in uranium ore sorting and processing that specialise in increasing the ore feed grade to the mill as well as removing acid consuming gangue. Work has begun on preliminary beneficiation testwork based on historic composite ore samples recovered from storage at Australia's Nuclear Science and Technology Organisation, (ANSTO) which was excess to previous column leach tests conducted in 2014. 90kg of composite ore material from Gorgon South, Kraken and Serule West was supplied to mineral processing leaders Nagrom in Perth for sample preparation before being sent to magnetic separation company Steinert for sorting/beneficiation testwork utilising radiometric, XRT, and hyperspectral sensors as well as beneficiation techniques by gravity separation using spiral and dense media separation. Steinert have been highly successful upgrading uranium ore with sorting programs for other clients in recent years2, using radiometric information to pre-classify the ore into product and waste for their program development. Once they have a "pre-classified" ore and waste fraction, they process these fractions through a sorter with multiple sensors and record all the information from the sensors available on this sorter (colour, laser, induction and XRT). Subsequently they use proprietary software to detect variations in sensor data between the ore and waste fractions either in: density, colour or any of the other sensors in combination. There are over 200 parameters recorded and they use multiple sensor combinations to find the best potential sorting algorithm to sort the specific ore. These results will be used to optimise design of the sorting/beneficiation testwork for the PQ core samples. Acid consumption is a major operating cost in the proposed process route set out inLetlhakane's 2016 Feasibility Study. Metallurgical consultants MinAssist found that the ANSTO samples from previous Acid Soluble Uranium (ASU) properties test work were ideal for mineralogical classification by Quantitative XRD analysis to provide the following insights: Identify the acid consuming minerals in ASU head samples; Determine the mineral dissolution rate of each acid consuming mineral by analysis of head and residue samples, to provide estimates of acid consumption by mineral (this extends on total acid consumption value from ASU test); and Infer mineralogy and acid consumption for the entire body using machine learning by linking geochemistry, lithologies, and location to mineralogy characterisation. This information can then be used to better inform the geological block model with acid consumption parameters and in generating orebody geometallurgical domains, which can be used to optimise the resource to minimise acid consumption and drive down costs. 48 samples were sent to Bureau Veritas (ADE). Announcement • Nov 23
A-Cap Energy Limited Provides Wilconi Drilling Update A-Cap Energy Limited provided an update the market on results from the recently completed reverse circulation (RC) at its Wilconi Ni-Co Project near Wiluna in Western Australia as the company advances a Pre-feasibility Study (PFS). The four-month drill campaign comprised 187 RC holes (8208m) and 30 diamond drill holes (1315m) (Figures 1 and 2). The programme was designed to close up the drill hole spacing to enable conversion of mineral resources from indicated to measured categories after a study was completed by Snowden-Optiro in April 2022. The location of the recently completed drill holes in relation to earlier drilling is shown in Figures 3 and 4. Most holes were drilled at a 60° angle towards the west in order to detect any steep structures that focus deeper weathering, producing thicker mineralisation in the lateritic profile. A typical profile that shows the near surface, flat-lying zone of nickel mineralisation with intercepts of recent drilling is illustrated in Figure 5. Significant intercepts from the RC drilling are listed below with a full set of results included in the Appendices of this announcement. Assay results for the recently completed diamond drilling are still pending. Further Significant results from the reverse circulation drilling include: WCN22RC425: 28 metres of 1.23% nickel and 0.07% cobalt from 14 metres. WCN22RC435: 27 metres of 1.04% nickel and 0.06% cobalt from 14 metres. WCN22RC382: 21 metres of 1.20% nickel and 0.08% cobalt from 21 metres. WCN22RC274: 19 metres of 1.18% nickel and 0.10% cobalt from 33 metres. WCN22RC305: 17 metres of 1.23% nickel and 0.07% cobalt from 34 metres. WCN22RC276: 20 metres of 1.04% nickel and 0.09% cobalt from 34 metres. WCN22RC405: 17 metres of 1.22% nickel and 0.22% cobalt from 9 metres. WCN22RC426: 18 metres of 1.14% nickel and 0.10% cobalt from 7 metres. WCN22RC321: 14 metres of 1.46% nickel and 0.06% cobalt from 25 metres. WCN22RC343: 18 metres of 1.13% nickel and 0.17% cobalt from 34 metres. WCN22RC302: 12 metres of 1.51% nickel and 0.36% cobalt from 40 metres. Announcement • Oct 05
A-Cap Energy Limited, Annual General Meeting, Nov 18, 2022 A-Cap Energy Limited, Annual General Meeting, Nov 18, 2022. Agenda: To consider re-election of Directors. Announcement • Sep 21
A-Cap Energy Limited Appoints Dr. Andrew Tunks, as the Managing Director Effective Immediately A-Cap Energy Limited has appointed the company's current Chief Executive Officer, Dr. Andrew Tunks, as the Managing Director effective immediately. Dr. Tunks re-joined A-Cap as chief executive in July 2022. With the revitalisation of the Letlhakane Uranium Project in Botswana now ramping up and a pre-feasibility study advancing at the Wilconi Nickel-Cobalt Project in Western Australia, A-Cap's Board has unanimously voted for Dr. Tunks to resume his previous role as Managing Director. Dr. Tunks is a qualified geologist and has held numerous leadership and exploration during his 30+ year career, including board positions with ASX-listed companies Meteoric Resources, Auroch Minerals and West Wits Mining. Most notably, he was Managing Director of A-Cap Resources from 2006 to 2011 where he led the development of the Letlhakane Project from discovery and first drill hole to one of the world's largest uranium resources. Announcement • Jul 21
A-Cap Energy Limited Announces New Development Plan for Letlhakane Uranium Project A-Cap Energy Limited has begun a comprehensive program of development activities led by a new country manager to advance its Letlhakane Uranium Project in Botswana. The 2015 feasibility study which was completed as part of the Mining Licence application (ASX:ACB 11/09/2015) reported a forecast annual production of 3 million pounds of uranium per year for Letlhakane, which hosts a world-scale Mineral Resource of 822Mt @ 202ppm for 366Mlbs of U3O8. The project has a low strip ratio, flat lying, shallow orebody that is amenable to free dig mining due to the relatively soft host rocks. In 2010, the company committed to a first-pass series of test work on radiometric sorting utilising seven different samples from across Letlhakane. At the time the results were encouraging with an upgrade of around 1.7 to 2.0 times for the uranium grade and rejection of between 50 to 70% of the mass of the coarse fraction sorted. The overall mass reduction, when fines are added back, was around 45% at a grade increase of 1.5. Running in parallel with the beneficiation work, A-Cap has engaged MinAssist, experts in uranium processing, to review and test historical work on the process route used in the 2016 Letlhakane feasibility study. This work will incorporate the results from the ongoing beneficiation test work where appropriate and will look at strategies to mitigate acid consumption during leaching. Announcement • Jul 07
A-Cap Energy Limited Starts Drilling at Wilconi Nickel Cobalt Project to Convert Current Indicated Resources to Measured Resources A-Cap Energy Limited has begun a 10,000m reverse circulation (RC) drilling program at its Wilconi Nickel Cobalt Project in Western Australia to convert current indicated resources to measured resources. In addition, the company plans to complete approximately 2,000m of large-diameter (PQ sized) core holes to contribute to the resource /reserve definition and collect more samples for ongoing metallurgical studies. Following a 11,000m RC infill drilling program in 2021 and a 1,490m diamond drilling program in January, A-Cap upgraded Wilconi's JORC Mineral Resource Estimate (MRE) in March 2022, reporting 660,000 tonnes of contained nickel and 46,400 tonnes of contained cobalt for the project1. New drilling will target the shallowest and highest-grade part of the giant orebody to provide additional data for the project's Pre-Feasibility Study (PFS) for the development of a Ni-Co laterite operation to supply critical materials to the global electric vehicle market. In June, A-Cap increased its interest in Wilconi from 20% to 55% after fulfilling phase 2 of its second earn-in milestone as part of its Joint Venture with Wiluna Mining. A-Cap's 11,000m RC drilling program completed in January was focussed on the shallower, higher-grade portions of the Wilconi resource and permitted 32% of the resource to be upgraded from inferred to indicated categories i.e. 29Mt (indicated) of the total 90Mt resource (indicated + inferred). This drilling enabled an update of the Mineral Resource Estimate (MRE) to JORC 2012 compliancy. Announcement • Jun 07
A-Cap Energy Limited Appoints Dr. Andrew Tunks as Chief Executive Officer A-Cap Energy Limited has appointed Dr. Andrew Tunks as Chief Executive Officer to direct the company's upcoming feasibility studies on its two core projects:Letlhakane Uranium in Botswana and Wilconi Ni-Co in Western Australia. Dr. Tunks is a member of the Australian Institute of Geoscientists holding a B.Sc. (Hons) from Monash and a Ph.D. in Economic Geology from the University of Tasmania. Dr. Tunks has held numerous leadership and exploration positions during his 30+ year career, with various ASX- listed companies. Most notably, he was Managing Director of A-Cap Resources from 2006 to 2011 where he led the development of the Letlhakane Project from discovery and first drill hole to one of the world's largest uranium resources. A-Cap Chairman, Mr. Jiandong He, said Dr. Tunks is a proven performer whose technical and corporate expertise would drive a new chapter of growth for the company. Amid strong global uranium prices, Dr. Tunks was pleased to be returning to A-Cap, describing the discovery and growth of Letlhakane as the highlight of his career. Dr. Tunks' remuneration package is $430,000 per annum (all inclusive) with 7 million options and 5 million Performance Rights with 25% vesting at $0.18, $0.22, $0.24 and $0.28 as per Appendix 3B released this day. Dr. Tunks is a member of the Australian Institute of Geoscientists holding a B.Sc. (Hons) from Monash and a Ph.D. in Economic Geology from the University of Tasmania. Announcement • Apr 01
A-Cap Energy Limited Announces Positive Nickel and Cobalt Results At Wilconi Project A-Cap Energy Limited has returned positive nickel and cobalt results in diamond drilling at its Wilconi Ni-Co Project near Wiluna in Western Australia as the company advances a Pre-feasibility Study (PFS). Significant results from the diamond drilling include: WCN21DDH001: 19 metres of 1.11% nickel and 0.08% cobalt from 26 metres; WCN21DDH005: 9 metres of 1.17% nickel and 0.06% cobalt from 57 metres; WCN21DDH006: 10 metres of 1.53% nickel and 0.05% cobalt from 39 metres; WCN21DDH008: 11 metres of 1.25% nickel and 0.14% cobalt from 39 metres; WCN21DDH011: 10 metres of 1.16% nickel and 0.13% cobalt from 31metres; WCN21DDH015: 14 metres of 1.33% nickel and 0.07% cobalt from 22 metres; WCN21DDH019: 9 metres of 1.18% nickel and 0.07% cobalt from 13 metres; WCN21DDH0023: 9 metres of 1.14% nickel and 0.03% cobalt from 14 metres;WCN21DDH024: 16 metres of 1.19% nickel and 0.08% cobalt from 26 metres; WCN21DDH025A: 16 metres of 1.14% nickel and 0.08% cobalt from 25 metres; WCN21DDH026: 13 metres of 1.27% nickel and 0.10% cobalt from 22 metres; WCN21DDH028: 10 metres of 1.13% nickel and 0.08% cobalt from 18 metres. Completed in January, the three month drill campaign comprised 31 holes over 1,490.7m and follows last year's reverse circulation (RC) drill program totaling 11,096m . Most holes were drilled at a 60 angle towards the west in order to detect any steep structures that focus deeper weathering, producing thicker mineralisation in the lateritic profile. A-Cap Chairman, Mr. Jiandong He, said a new 17,000m combined RC and diamond infill drill program was now being planned for Wilconi to convert resources to indicated and measured categories. Other PFS work that has been completed includes: An updated mineral resource estimate to JORC standards by Miningplus. Recently completed. Animal Plant Mineral Pty Ltd. (APM) completed a fauna and flora study over the entire resource area in December 2021. Peter O'Bryan & Associates supervised engineering and geotechnical testwork on selected core samples. A desktop hydrogeological study of the Wilconi project area was completed by Rockwater Hydrogeological and Environmental Consultants. As recommended by Rockwater, six water monitoring wells were established across the Wilconi resource area. On-going PFS work and additional studies include: Hydrogeological studies including Baseline surface and ground water studies; Subterranean fauna studies; Cultural heritage surveys; Design and geotechnical assessment of constructed landforms including waste dumps, open cuts and tailings storage facilities; Soil, waste rock and tailings characterisation studies; Noise and greenhouse gases assessment. Announcement • Sep 24
ACap Energy Ltd Announces Results from Drilling At the Wilconi Ni-Co Project Near Wiluna in Western Australia ACap Energy Ltd. announced recent results from drilling at the Wilconi Ni-Co project near Wiluna in Western Australia. The project is a farm-in joint-venture project with Wiluna Mining Corporation Limited, with ACap earning 75% equity in the project under the terms outlined on 20th December 2018. The joint venture is for ACap to explore and develop laterite deposits of Ni, Co and associated metals of the Wiluna Nickel-Cobalt Project (Wilconi Project). A-Cap as manager of the Joint Venture is currently drilling at the Project and advancing a Definitive Feasibility Study into development of a Ni-Co laterite operation to supply critical materials to the global electric vehicle market, taking advantage of new materials processing and refinery technologies in production of Ni and Co sulphate products used directly in battery manufacture. Reverse circulation (RC) drilling commenced in late June 2021. The programme was designed as an infill drill programme where previous operators had drilled fences of drillholes spaced at an average of 400m apart. The work is part of the current pre-feasibility study being undertaken on the Project. A total of 256 RC drill holes were drilled to an average depth of 43 metres. A total of 11,096 metres of drilling was completed, with results received by the Company to date received progressively between mid August 2021 and 13 September 2021. The holes were drilled at a 600 angle towards the west in order to detect any steep recent structures in the lateritic profile. A breakthrough in the recent drill programme was the recognition of a distinct source rock for the lateritic Ni-Co mineralisation. Earlier drilling had focussed on the entire ultramafic rock units lying below the laterite. The recent programme has clearly defined a particular rock unit (olivine rich ultramafic) that underlies the better grades in the laterite. This unit can be traced over much of the 20km of strike of the broad ultramafic package, and the unit is approximately 250m wide, and lies within the total ultramafic package. Drilling the laterite away from this unit generally returned lower Ni-Co results, whilst holes above this unit mostly intersected >1% nickel with associated Co. In some cases e.g. WCN21RC088, drillholes intersected very thick (+30m) mineralisation that represent "keels" in the lateritic profile. Such zones will be followed up in detail in the next drill programme. Other PFS work has commenced, and the Company has engaged the following independent experts: BPL Environmental: Environmental Studies and Water Management including Baseline surface and ground water studies, stygofauna studies, soil, waste rock, tailings characterisation, etc. This study was commenced in early September 2021. Mining Plus: Independent geological consultants (Independent consultants managing JORC reserves and resources for the PFS). Simulus: A metallurgical consulting group who specialises in Nickel-Cobalt laterite metallurgy. AAM: LiDAR survey imagery flown and processed September 2021. The next phase of work at Wilconi is to conduct a programme of large diameter diamond drilling to: Obtain representative metallurgical samples; Conduct bulk density measurements; and Upgrade JORC (2014) resource statement. Announcement • Jun 18
A-Cap Announces RC Drilling Programme Has Commenced on the Wilconi Nickel-Cobalt Project At Wiluna, Western Australia A-Cap announced that an RC drilling programme has commenced on the Company's Wilconi Nickel-cobalt project at Wiluna, Western Australia. The programme marks the commencement of the pre-feasibility study on the laterite Ni-Co resource reported in an announcement on the 17 September 2019. The Company has contracted Jarahfire Drilling to drill approximately 30,000 metres of RC drilling, designed to infill previous drilling to begin the conversion of resources to reserves. In addition to the RC drilling, the Company plans to complete a series of large-diameter diamond drillholes for metallurgical studies in the coming months. Announcement • Jan 29
A-Cap Energy Limited's Appoints Jiandong to the Role of Chairman A-Cap Energy Limited's board appointed Mr. Jiandong He who is a current Director of the company to the role of Chairman. Mr. He is a professional investor and has substantial commercial and technical experience. He is the general manager of Shanghai Shenke Slide Bearing Company and Singapore Shenke International Investment Pte. Ltd. Announcement • Oct 02
A-Cap Energy Limited Announces Board Changes, Effective October 2, 2020 A-Cap Energy Limited announced the resignation of Mr. Weijun Meng as director and appointed Mr. Zhenwei Li as director effective October 2, 2020. 