Metal Tiger plc

(“Metal Tiger” or the “Company”)

Unaudited Preliminary Final Report

Metal Tiger plc (AIM: MTR, ASX: MTR), the AIM and ASX listed investor in natural resources opportunities, is pleased to announce an Unaudited Preliminary Final Report for the year end 31 December 2021.

Key Performance Indicators



for the year ended

31 December 2021


for the year ended

31 December 2020



Change* %

Total comprehensive (loss)/profit

attributable to owners of the parent











Net asset value











Net asset/tangible asset value per share *






Closing share price






Share price premium/(discount) to net asset value*










Market capitalisation










Shares in issue at the end of the year











* Based on shares in issue at the year end.

The full report is detailed below and has also been uploaded to the Company’s website

Additional Information

Dividends paid or provided for

No dividends declared for the year ended 31 December 2021 (31 December 2020: -Nil)

Net tangible assets per share

Details of net tangible asset backing are set out in the key performance indicators.

Control gained or lost over entities having
material effect


Details of associates and joint ventures

Kalahari Metals Limited is Metal Tigers sole joint venture interest. The Company holds a 49% (31 December 2021: 62.1%) direct equity stake.

Other significant information

At the date of this Appendix 4E there are no matters of a significant nature not addressed in this Appendix 4E.

Accounting standards for foreign entities

The financial statements have been prepared

in accordance with International Financial Reporting Standards.

Commentary on the results for the financial year

Refer to commentary section.

Compliance statement

This report is based on accounts which are in the process of being audited.

For further information on the Company, visit

Michael McNeilly

(Chief Executive Officer)

Tel: +44 (0)20 3287 5349

Mark Potter

(Chief Investment Officer)





James Dance

Strand Hanson Limited (Nominated Adviser)

Tel +44 (0)20 7409 3494

James Harris

Robert Collins




Paul Shackleton

Arden Partners plc (Broker)

Tel: +44 (0)20 7614 5900

Steve Douglas




Gordon Poole

Camarco (Financial PR)

Tel: +44 (0)20 3757 4980

James Crothers

Rebecca Waterworth

Notes to Editors:

Metal Tiger PLC is admitted to the AIM market of the London Stock Exchange AIM Market (“AIM”) and the ASX Market of the Australian Securities Exchange Market (“ASX”) with the trading code MTR and invests in high potential mineral projects with a base, precious and strategic metals focus.

The Company’s target is to deliver a high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector. Metal Tiger has two investment divisions: Equity Investments and Project Investments.

Equity Investments invests in undervalued natural resource companies. The majority of its investments are listed on AIM, the TSX and the ASX, which includes its interest in Sandfire Resources Limited (ASX: SFR). The Company also considers selective opportunities to invest in private natural resource companies, typically where there is an identifiable path to IPO. Through the trading of equities and warrants, Metal Tiger seeks to generate cash for investment for the Project Investments division.

Project Investments is focused on the development of its key project interests in Botswana, where Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt through its interest in Kalahari Metals Limited.

The Company actively assesses new investment opportunities on an on-going basis and has access to a diverse pipeline of new opportunities in the natural resources and mining sectors. For pipeline opportunities deemed sufficiently attractive, Metal Tiger may invest in the project or entity by buying publicly listed shares, by financing privately and/or by entering into a joint venture.


The Company had a very active year in 2021 in-spite of the continued challenges caused by the COVID-19 pandemic and in-particular the arrival of the new Omicron strain in the latter part of the year. Arguably, 2021 was the beginning of another commodity super cycle. This new super cycle appears to have been driven by a global flood of fiscal stimulus and liquidity by governments and central banks in response to the COVID-19 pandemic. This in turn led to an increase in consumer demand which coupled with supply chain disruptions, cost increases, labour shortages has driven inflation globally. Furthermore, a global drive towards decarbonisation with bold climate commitments from nation states and corporates is driving current and anticipated future demand for “battery metals”. In 2021, Metal Tiger’s largest commodity exposure by investment value, via its project and equity investments were to copper and gold. Copper saw a 19% year-on-year (“YOY”) increase on global supply disruptions (especially out of South America) and increasing demand and supply chain issues. Physical supply was in such shortage that in late October 2021, the London Metals Exchange required emergency measures to ensure orderly trading and continued liquidity in the copper market. Gold was largely range bound for most of the year, however ended down slightly YOY. Aside from the COVID-19 pandemic and the arrival of Omicron, fears of debt contagion from the Evergrande crisis gripped the market in late Q3/Q4 which significantly dampened investor appetite as well as created increased volatility globally. Furthermore, and more specifically in the mineral exploration and development sector, 2020 and 2021 saw a record number of fundraisings and deals. The Directors noticed that deal flow seemed to diminish by the end of 2021 as a potential result of deal fatigue.

The Electric Vehicle (“EV”) sector is one of the four key drivers of future demand growth for copper according to Goldman Sachs. 2021 saw several prominent auto manufacturers make commitments to switch entirely to EV’s in the next 10 – 20 years. Notably, according to the International Energy Agency, Global EV sales more than doubled in 2021 versus 2020 and tripled versus 2019 with the key drivers of this growth coming from China and then Europe. The Board believes that the global energy crisis in 2021 proves that the energy transition of the next 20 years will be complex, costly, and indeed difficult to implement and is confident that this energy transition will require an immense new supply of metal to meet targets.

The Company entered 2021 with a strong and liquid balance sheet on the back of a successful and yet challenging 2020. In 2021, Metal Tiger identified, completed due diligence on, negotiated and structured an investment in Armada Metals Limited (“Armada”) following RCF’s Global Opportunities Fund’s investment and alongside Cobre Limited’s (“Cobre”) investment. Armada successfully listed on the ASX in December 2021 raising A$10m at A$0.20 per share. Metal Tiger participated for A$750,000 as a follow-on investment into the initial public offering (“IPO”). It is anticipated that drilling to test compelling shallow conductors in the search for magmatic Ni-Cu mineralisation along the 25km prospective strike of the Libonga-Matchiti Trend will commence in early 2022. Metal Tiger holds approximately 14.42% of Armada. During the course of 2021, Metal Tiger continued to be active in seeking and making new investments, with passive investments totalling £6,137,000 for the year. Amongst the best performers were the legacy investment in Pan Asia Metals (ASX:PAM), which Metal Tiger exited realising gross proceeds of £1,358,000, thereby realising a gain of £725,000 during the year and Red Dirt Metals Limited (ASX:RDT) where Metal Tiger invested A$500,000 at A$0.15 per share and obtained 833,333 two year options at A$0.25 per new share. In June, 2021 Metal Tiger made an additional investment into Pan Global Resources Inc. committing C$450,000 as part of their circa C$15m fundraise.

In May 2021, Metal Tiger invested C$1m into Camino Minerals Corporation (“Camino”) for 5,882,353 units at a price of C$0.017 per unit with each unit carrying one common share in the capital of Camino and a half non-transferable common share purchase warrant at a price of C$0.25 per common share for a period of 24 months from the date of issue. The investment has shown lack-lustre performance to-date and whilst the Board is comfortable with the two projects that saw exploration progress in 2021, Los Chapitos and Plata Dorada, the investment thesis was primarily focussed around exploration drilling at the untested Maria Cecilia bullseye magnetic target. The hope is that the Cu-Au-Ag mineralisation at Maria Cecilia is focused within the main porphyry body (and not the Skarn unlike at Antamina) and is significantly higher than neighbouring Emanuel and Toropunto deposits Camino is confident that permits will be granted imminently, and that maiden drilling can commence in the coming months.

Following completion of the Cobre/Kalahari Metals Limited (“KML”) transaction a total of 6,731m of drilling was completed across Kitlanya East and 436m of diamond drilling was completed at Kitlanya West as well as some shallow percussion drilling. To ensure Cobre’s ability to finance exploration drilling activities for KML, Metal Tiger cornerstoned an additional A$1.413m investment as part of Cobre’s A$6.7m fundraise announced in April 2021. The actual cash investment didn’t occur until approval was received from Cobre shareholders at their AGM in November. The Board is pleased with the total meterage drilled across the Kalahari Metals projects in 2021 and is encouraged by additional work undertaken at Perrinvale, during 2021 the results of which were announced post year end.

Unfortunately, drilling across several of Southern Gold’s projects in 2021 did not deliver encouraging results. A core part of the appeal of the investment as identified by Terry Grammar prior to his passing, was the ability for the in-country team led by experienced ex-Ivanhoe geologists that had worked under the mentorship of renowned geologist Doug Kirwin to generate new project areas/targets, which continued to be severely hampered during 2021 by the COVID-19 pandemic. Restrictions due to COVID-19 prevented the addition of much needed experienced in-country field geologists to manage the less experienced in-country team. This resulted in a lack of personnel on site to prosecute the exploration pipeline. This was partially remedied in late 2021 with the addition of South Korean based Exploration Manager Robert Smillie, a geoscientist with more than 30 years’ experience. Encouragingly, we note Southern Gold’s announcement of 9 February 2022, that additional senior geological staff and contractor resources have been engaged for ongoing exploration campaigns.

Southern Gold ended the year well-funded and with a strong balance sheet having completed the sale of the Gubong and Kochang joint venture, for which it received 200m new ordinary shares in London listed Blue Bird Merchant Ventures Ltd (LSE:BMV). We note the departure of the Managing Director, Mr Simon Mitchell in late October 2021 and that the company is currently in search of a full time Chief Executive Officer. Southern Gold is also undertaking an exercise to identify copper and gold projects in Australia that may be suitable as an addition to its South Korean ambitions.

Metal Tiger completed a compliance listing on the ASX in the first half of the year and successfully raised A$5m (before costs) via the issue of new ASX quoted Chess Depositary Interests and welcomed several new shareholders to the register including a prominent ultra-high-net-worth family office with deep expertise and exposure in the mining sector.

There were several material developments to Metal Tiger’s equity and royalty interests relating to Sandfire Resources Limited (“Sandfire”) during the financial year. Firstly, there was a substantial increase in Sandfire’s A4 copper/silver Mineral Resource. The Mineral Resource increased by 34% in terms of Cu with 93% falling in the Indicated resource category. This was followed later in 2021 with an Ore Reserve declaration of 9.7Mt at 1.2% and 18g/t Ag for 114kt of contained copper metal and 5.7Moz of contained silver with 85% of the contained copper in the updated A4 Mineral Resource Estimate classified as Ore Reserves. In this same announcement, Sandfire announced a pre-feasibility study (“PFS”) for an expanded 5.2Mtpa, Motheo production hub, mining operation combining T3 and A4 which gave a post-tax NPV7% of US$682m. The Definitive Feasibility Study (“DFS”) for the combined T3 and A4 operations is currently expected to be finalised in Q2/Q3 of 2022. The Board is of the opinion, having reviewed recent statements made by Sandfire, that long lead items such as the 4.5MW Ball Mill, along with the Environmental and Social Impact Assessment (“ESIA”) which is due to be submitted to the Botswana Department of Environmental Affairs in Q2 2022 provide encouragement that subject to the results of optimisation, timelines could progress to allow for production at A4 to commence far sooner than anticipated in the PFS. Accordingly, this has resulted along with the material increase in Reserves in a substantial revaluation of the Company’s 2% net smelter return (“NSR”) over circa 8,000km2 of Sandfire’s exploration tenements and in-particular the licence that holds the A4 project from £3,838,000 at 31 December 2020 to £9,278,000 at this financial year end. In September 2021, Sandfire announced a drilling intercept of 45m @ 2.2% Cu (including 2.1m @ 8.25% Cu) intersected from 439m down-hole 1.2km south-west of the A4 Mineral Resource and this gives the Board great encouragement for the exploration potential near the planned Motheo production hub.

Secondly, and perhaps most importantly, in September 2021 Sandfire announced the transformational US$1,865m acquisition of the MATSA Mining Complex in Spain from Mubadala and Trafigura alongside a A$1,248m equity fundraise. As part of the fundraise they announced a rights issue in which the Company had a single day to decide on whether to take up its rights. Metal Tiger took up its rights and made a circa A$17.8m investment at A$5.4 per share and thanks largely to the immense efforts of Adrian Bock, Metal Tiger’s CFO, was able to secure and execute in just 5 working days a 12-month A$9m margin lending facility agreement on acceptable commercial terms with a nominee of SC Lowy Primary Investments Ltd, secured against 4,714,286 Sandfire Shares held under a tripartite sponsorship deed with an Australian broker. As at 25 February 2022 Sandfire’s share price is trading at A$7.00 per share. The Board believes the deal is transformational as it turns Sandfire into a substantial copper producer and bridges the production gap between the end of Degrussa and the commencement of T3/A4. In addition, the deal put Sandfire back into the ASX200 index.

Project Investments

The Project Investments segment includes investments into mineral exploration and development projects either through subsidiaries, associates or joint venture companies, operated by in-country partners who have the requisite knowledge and expertise to advance projects.

Botswana – Kalahari Metals Limited

The Company holds an interest in a mining project located in the Republic of Botswana. The project investment comprises an equity investment and a joint venture arrangement with Kalahari Metals Limited.

On 6 April 2021, the Company announced that Cobre shareholders voted in favour of the conditional acquisition by Cobre of 51% of the issued share capital in Kalahari Metals, and as such, all conditions of the Transaction were satisfied, save for final receipt of the change in control approval from the Minister of Minerals, Energy and Water Resources of Botswana.

On 12 April 2021, the Company announced that the Kalahari Metals transaction completed with Cobre purchasing 49.99% of the Kalahari Metal’s shares in exchange for 20,999,214 newly issued ordinary shares in Cobre. Metal Tiger received 5,106,963 new Cobre Shares following the transfer Metal Tiger held a 50.01% equity interest in Kalahari Metals with Cobre holding the remaining interest.

In December 2021, following Ministerial consent, Cobre further increased its holding in Kalahari Metals to a 51% equity position and Metal Tiger to diluted to a 49% equity position, in exchange for 445,386 Cobre shares.

Summary of work completed in 2021:

Kitlanya East:

Interpretation of airborne electromagnetic (“AEM”) geophysics data collected over the Perseverance Prospect was inverted and interpreted in combination with magnetic data and soil sampling results to prioritise target areas for stratigraphic drill testing.

Combined reverse circulation (“RC”) and diamond core (“DC”) drilling was commissioned to test selected target areas on the Endurance Prospect and to provide stratigraphic information on the Perseverance Prospect.

2,080m of stratigraphic DC drilling was undertaken on the Perseverance Prospect where the central core of the anticlinal feature was targeted. Although all three holes intersected prospective lower D’Kar Formation stratigraphy along with alteration and trace Cu mineralisation the relative depths to target stratigraphy appear greater than 400m.

1,701m of RC and 397m of DC drilling were undertaken on the Endurance Prospect immediately south of Sandfire’s T3 deposit. This phase of work, along with earlier stratigraphic drilling completed in 2019, identified several prospective areas with favourable target stratigraphy, alteration and trace base metal mineralisation. Importantly the results verified the targeting approach using AEM to identify folded targets in the lower D’Kar Formation stratigraphy.

Based on the success of above-mentioned drill programme at Endurance, an additional 2,950m of DC drilling was undertaken focusing on breaks in folded conductors modelled from AEM data. Results from this phase of work identified significant alteration, vein stockwork development and accompanying Cu mineralisation. Results demonstrate the effectiveness of the targeting methodology and potential for the Endurance Prospect to host Cu-deposits at a relatively shallow depth.

Kitlanya West:

A total of 10,000 line-kilometres of high resolution magnetic and gravity geophysics data was flown over a large portion of the Kitlanya West licences. Results were used to better define the position of the extensive sub-cropping Ngwako-Pan – D’Kar Formation geological contact. In addition, airborne gravity results have identified an extensive ENE trending gravity low which may relate to original sub-basin architecture or structural thickening of the Ngwako-Pan Formation. In either scenario the margins of the gravity low are considered important sites for potential mineralisation.

Given the limited infrastructure in the licence area, reconnaissance visits were undertaken to secure water access from several boreholes for drill purposes. During these trips outcropping Kwgebe Group basement rocks were identified. The presence of Kgwebe Group outcrop is considered significant given the notable spatial relationship between the majority of Kalahari Copper Belt deposits and underlying Kgwebe Group.

KML also undertook 436m of DC drilling, targeting prominent AEM anomalies interpreted to relate to folded lower D’Kar Formation targets. These targets were assumed to be similar to those identified in Kitlanya East and on the Okavango Copper Project. Drill testing confirmed the AEM conductor source to be related to Kalahari Group mudstones and the programme was suspended.

In addition to diamond drilling, three shallow percussion holes were drilled to test the thickness of the Kalahari sediment cover. Results, along with identified outcrop, highlight the relatively shallow cover thickness across the project areas which is considered encouraging.

Following the negative drill results, a thorough review and target generation exercise was undertaken across the properties. Results from this review have identified a number of prospective targets for stratigraphic limb and structurally hosted Cu-Ag mineralisation in the Kitlanya West Project.


Metal Tiger retains twelve exploration licence applications in Thailand which have been fully progressed at the relevant permitting body, the Department of Primary Industries and Mines, and to the Company’s knowledge as at the date of publication of these accounts, remain in good standing. Should these exploration licence applications be granted, and confirmation of such is awaited, the Board will consider whether or not to pursue appropriate exploration programmes.

Equity Investments

The Equity Investments segment continues to invest in high potential mining exploration and development companies with a preference for base and precious metals. The focus is to invest in mining companies that are significantly undervalued by the market and where there is substantial upside potential through exploration success and/or development of a mining project towards commercial production. To differentiate between the Board’s view of the Company’s strategy we categorise certain investments as either Active or Passive.

Active investments are typically larger investments where Metal Tiger seeks to positively influence the management of investee companies, by providing oversight and guidance at Board level to enhance shareholder value and minimise downside risk.

Metal Tiger invests in listed mining equities via either pre-IPO, IPO, equity placings, or direct on-market purchases. Metal Tiger may receive warrants when undertaking investments in pre-IPO, IPOs, or equity placings. The Company may consider other investment structures. The main aim is to make capital gains in the short to medium term. Investments are considered individually based on a variety of criteria. Investments are typically stock exchange traded on the TSX, ASX, AIM or LSE but can be private with a view to obtaining a liquidity event.

As at 31 December 2021, as set out in the table below, Metal Tiger had equity investments in companies pursuing high potential exploration and development projects in precious, base and battery metals. Projects are located in a variety of jurisdictions, including North America, South America, Africa, South East Asia and Australia. Metal Tiger held some exposure to producers.

Through its investments, Metal Tiger is primarily exposed to copper and gold.

During 2021 the gold price fell approximately 4%, driven by global economic recovery reducing the demand for the safe haven metal. An expectation of rising interest rates and a stronger US dollar reduced investor demand for gold. However, much higher than expected inflation played a role in supporting the gold price during H2 2021. Since 31 December 2021, there has been renewed demand for gold as a result of geopolitical tensions and persistently high inflation.

During 2021, the copper price increased approximately 23%, driven by many factors including demand recovery in the US and Europe, logistics issues, COVID-19 disruptions, and power cuts in China.


Metal Tiger plc

Read full story here