Author: Fiona Craig

Anglo Asian Mining (LSE:AAZ) described 2025 as a transformational year after bringing both the Gilar underground copper-gold mine at Gedabek and the Demirli open-pit copper mine in the Karabakh region into production.

The expansion significantly increased output, with the company producing 25,061 ounces of gold and 7,915 tonnes of copper during the year. Supported by higher production levels and favourable metals prices, revenue rose to $122.8 million while the group returned to a pre-tax profit of $25.8 million.

The stronger performance also restored the company to a positive net cash position and enabled the reinstatement of a final dividend for 2025.

Copper production and project pipeline continue to expand

Copper concentrate shipments increased sharply to 29,695 dry metric tonnes, generating sales valued at $54.5 million. Management said production in the opening months of 2026 has continued in line with expectations as the Demirli operation progresses through its ramp-up phase.

The company reaffirmed its production guidance for 2026 and highlighted ongoing development work across several growth projects, including Xarxar and Garadag, alongside additional tailings storage capacity initiatives at Gedabek.

Management stated that these projects support Anglo Asian Mining’s strategy of evolving into a predominantly copper-focused producer with a broader multi-asset growth portfolio.

Technical momentum offsets weaker financial indicators

Despite the operational improvements, the company’s broader outlook continues to face pressure from weaker financial performance metrics, including declining revenue trends, negative margins and deteriorating free cash flow in previous periods.

Valuation metrics also remain difficult to assess due to negative earnings history. However, these concerns are partly balanced by a strong technical market profile, with the shares trading above all major moving averages and supported by positive momentum indicators.

More about Anglo Asian Mining

Anglo Asian Mining is an AIM-listed mining company producing gold, copper and silver in Azerbaijan. The business is transitioning towards becoming a copper-focused, multi-asset mid-tier miner by leveraging infrastructure within its Gedabek contract area while expanding development activity across larger brownfield copper projects in the Karabakh region.

Tern plc (LSE:TERN) has expanded its investment in portfolio company Talking Medicines by receiving approximately £270,000 in new unsecured convertible loan notes.

The new notes were issued in exchange for the cancellation of roughly £87,000 of existing debt alongside around £48,000 of additional funding provided by Tern, financed through proceeds from its recent open offer. The loan notes carry annual interest of 10% and are convertible at a 20% discount in the event of a qualifying fundraising or exit transaction.

Following the latest investment, Tern’s total convertible loan note exposure to Talking Medicines has increased to approximately £0.79 million, while its equity ownership remains unchanged at 23.8%.

Investment reflects confidence in portfolio company growth

Management said the additional funding underlines Tern’s confidence in the future development potential of Talking Medicines despite the portfolio company’s historical losses and net liability position.

Talking Medicines uses artificial intelligence and advanced data science tools to extract strategic insights from conversational healthcare data, helping healthcare advertising agencies improve decision-making and productivity in the global healthcare marketing sector.

Tern stated that the strengthened funding position is expected to support Talking Medicines as it continues to scale its commercial strategy and expand within the multi-billion-dollar healthcare advertising market.

Weak financial profile continues to weigh on outlook

Tern’s overall outlook remains constrained by weak financial performance, including a sharp contraction in revenue, significant losses and persistent negative operating and free cash flow.

Technical indicators also continue to reflect a broader downtrend, although some early signs of stabilisation in oversold conditions have emerged. Valuation support remains limited due to negative earnings and the absence of dividend yield data.

More about Tern plc

Tern plc is an AIM-quoted investment company specialising in early-stage, high-growth Internet of Things and disruptive technology businesses. One of its key portfolio investments, Talking Medicines, applies artificial intelligence and data science to analyse conversational healthcare data and provide strategic intelligence to healthcare advertising agencies serving pharmaceutical clients in a market estimated to be worth more than US$23 billion.

MTI Wireless Edge (LSE:MWE) delivered a strong opening quarter for 2026, reporting a 6% increase in revenue to $12.8 million and a 21% rise in operating profit to $1.5 million.

Net profit for the quarter climbed 18% to $1.2 million, while earnings per share advanced by the same percentage. The company also maintained a solid net cash position of $8.5 million, supported by strong prior-period cash collection and a healthy balance sheet.

Defence and water divisions offset softer Indian 5G demand

Trading performance varied across MTI’s operating divisions during the quarter. The Antenna business experienced weaker sales of E-band 5G backhaul equipment in India, although this was partly offset by increasing demand from global defence customers and a growing military order backlog.

Meanwhile, the company’s Water Control & Management division, operated through the Mottech brand, recorded a 19% rise in revenue driven by strong international demand.

The Distribution & Professional Consulting Services unit also delivered solid growth, with revenue increasing 20% alongside a strengthening order backlog. MTI added that approximately $9 million of new defence-related contracts secured in the early part of the second quarter position the group for continued expansion through the remainder of 2026.

Strong balance sheet and valuation support outlook

MTI Wireless Edge’s outlook continues to benefit from strong financial quality, particularly its low leverage levels and stable profitability profile. The company’s valuation is also viewed favourably, supported by a relatively low price-to-earnings ratio and an attractive dividend yield.

These positives are partly balanced by mixed technical indicators, with shorter-term market weakness contrasting against a more supportive longer-term trading trend.

More about MTI Wireless Edge

MTI Wireless Edge is an Israel-based technology company focused on communication and radio frequency solutions across three core divisions: Antennas, Water Control & Management, and Distribution & Professional Consulting Services. The group supplies advanced antenna systems for military, broadband and 5G markets, provides Mottech-branded irrigation and water distribution management systems, and delivers RF and microwave components and integrated solutions primarily to defence and government customers.

Kendrick Resources PLC (LSE:KEN) has raised £1.76 million through a placing and share subscription programme priced at 7 pence per share.

The fundraising attracted support from company directors, a US-managed investment fund, a US family office and existing shareholders. Including consultant shares and warrants, the transaction will expand Kendrick’s issued share capital to 402,057,620 shares, subject to admission to trading on the London Stock Exchange’s Main Market.

Funding to support Bonya development and strategic expansion

The proceeds will primarily be directed toward advancing the Bonya Rare Earth project in Namibia, where drilling activities are currently progressing with the objective of delivering a maiden JORC-compliant resource estimate by the end of the third quarter of 2026.

Kendrick also plans to use the new capital to support its recently announced strategic development programme and provide additional working capital as the company expands its critical minerals portfolio.

Management noted that participation from directors, the settlement of consultant fees through shares and the placing price being set at a modest premium to the recent market bid price collectively demonstrate internal confidence in the company’s growth plans while strengthening the balance sheet.

Weak financial profile remains a key challenge

Kendrick Resources’ outlook continues to be constrained by weak underlying financial fundamentals, including the absence of revenue, recurring losses, negative cash flow and a significantly weakened balance sheet characterised by negative equity.

However, technical indicators remain notably positive and provide some support for investor sentiment. Valuation metrics are more difficult to assess due to ongoing losses and the lack of dividend payments.

More about Kendrick Resources PLC

Kendrick Resources PLC is a London-listed mineral exploration and development business focused on strategic commodity projects, including rare earth opportunities such as the Bonya project in Namibia. The company operates within the critical minerals sector, targeting resource development opportunities intended to expand its portfolio and support long-term shareholder value creation.

Ariana Resources (LSE:AAU) has completed the second tranche of CHESS Depositary Interests (CDIs) under its strategic investment agreement with Hongkong Xinhai Mining Services and Hongmen Capital.

The latest tranche includes 3,333,333 CDIs and 1,666,667 CDI options issued to Xinhai, alongside 133,333 CDIs and 66,667 CDI options allocated to Hongmen. All securities were priced at A$0.30 per CDI as part of the broader strategic partnership aimed at strengthening Ariana’s financial position and deepening ties with a global mining solutions provider.

AIM share issuance supports expanded capital structure

To facilitate the Tranche 2 CDI issuance, Ariana has applied for the admission of 34,666,660 new ordinary shares to trading on AIM, with admission expected to take effect around 1 June 2026.

Following completion, the company’s issued share capital will increase to 2,690,813,352 ordinary shares. Management said the enlarged capital base clarifies updated shareholder voting rights and may help improve liquidity while broadening the company’s investor reach.

Financial fundamentals remain the key constraint

Ariana Resources’ outlook continues to be shaped by weak operating fundamentals, including the absence of revenue generation, recurring losses and ongoing negative operating and free cash flow, factors that continue to raise sustainability concerns.

However, the company’s relatively low-leverage balance sheet provides some support. Technical indicators are viewed as broadly neutral, while valuation metrics remain stretched due to a high price-to-earnings ratio and the lack of dividend yield support.

More about Ariana Resources

Ariana Resources is a mineral exploration and development group focused on gold project interests across Africa and Europe. Listed on both AIM and the ASX, the company is involved in the advancement and expansion of precious metals assets in a combination of emerging and established mining jurisdictions.

Arrow Exploration Corp. (LSE:AXL) has reported positive initial drilling results from the Icaco 1 exploration well on the Tapir Block in Colombia’s Llanos Basin, where the company holds a 50% beneficial interest.

The well was drilled to a measured depth of 7,800 feet, completed on schedule and below budget, and intersected several hydrocarbon-bearing intervals within the Carbonera C7, Gacheta and Ubaque formations. Production testing initially focused on the C7 reservoir section, which has already been brought into operation.

Strong flow rates support further appraisal plans

During clean-up operations, Icaco 1 produced at an average gross rate of 735 barrels of oil per day over a 15-hour period, with a 50% water cut. The well later stabilised at a restricted gross production rate of approximately 628 barrels per day.

Management said the well has the potential to deliver higher production rates following optimisation work. The company has already begun drilling the follow-up Icaco 2 step-out well as part of efforts to define the scale of the discovery more fully.

Arrow also plans additional appraisal drilling and potential horizontal development at the Icaco structure, before moving on to further development activity at its AB and CN production pads.

Corporate production remains resilient

Including restricted production from Icaco 1, the company’s total gross corporate output is currently around 5,100 barrels of oil equivalent per day.

This comes despite temporary operational interruptions, including the shutdown of the Pepper gas field in Alberta due to weak gas prices and maintenance work on the CN-HZ12 oil well.

Management described Icaco 1 as a significant discovery that strengthens confidence in the company’s seismic-led exploration model across the Tapir Block. The group also reiterated its strategy of maintaining a debt-free balance sheet alongside strong cash generation to support both organic expansion and acquisition opportunities.

More about Arrow Exploration Corp

Arrow Exploration Corp. is an oil and gas exploration and production company focused on underexplored hydrocarbon basins in Colombia, including the Llanos, Middle Magdalena Valley and Putumayo regions. Operating primarily through its subsidiary Carrao Energy S.A., the company holds significant working interests in light oil assets benefiting from Brent-linked pricing and comparatively low royalty structures. Arrow is listed on both London’s AIM market and the TSX Venture Exchange under the ticker AXL.

Georgina Energy plc (LSE:GEX) has commenced pre-drilling civil engineering activity at its Hussar prospect within exploration permit EP513 after securing drilling services from Ensign Australia for the Ensign 970 rig.

The upcoming drilling programme will target subsalt reservoirs in the Townsend Formation as well as fractured Neoproterozoic basement structures. Independent assessments have identified the area as having significant prospective recoverable resources of helium, hydrogen and hydrocarbon gas.

Site preparation work advances ahead of drilling

Contractors are currently carrying out upgrades to infrastructure around the Hussar 1 location, including widening and grading the existing airstrip, improving access roads and preparing both drilling and accommodation sites to support heavy transport vehicles and crew-change aircraft operations.

Technical specialists from Aztech Well Construction, alongside Georgina Energy’s internal technical team, are expected to arrive on site in June to oversee pre-drill inspections and verify compliance with the approved Well Management Plan.

The company said the work marks an important operational milestone as it advances toward the potential commercial development of its Australian helium, hydrogen and gas assets.

Financial pressures remain significant despite supportive momentum

Georgina Energy’s outlook continues to be constrained by weak financial fundamentals, including a lack of revenue generation, widening losses, persistent cash burn and negative shareholder equity combined with rising debt levels.

Technical indicators offer some support, with the shares showing moderate positive momentum and trading above key longer-term moving averages. However, valuation metrics remain difficult to assess due to the absence of meaningful earnings and dividend data.

More about Georgina Energy

Georgina Energy plc is an energy exploration company focused on developing helium and hydrogen resources to address growing global supply shortages of the gases. Through its wholly owned subsidiary Westmarket Oil & Gas, the company holds a 100% working interest in the onshore Hussar prospect in Western Australia and is also pursuing the acquisition of the Mt Winter prospect in the Amadeus Basin, a region recognised for helium, hydrogen and hydrocarbon potential.

Atalaya Mining (LSE:ATYM) reported a solid opening quarter for 2026, generating EBITDA of €48 million and net profit of €28.3 million despite lower copper production caused by adverse weather conditions.

Copper output for the period declined to 9,939 tonnes after heavy rainfall restricted access to mining areas and required the company to process lower-grade ore. Revenue eased to €117.3 million, while cash costs increased to US$2.52 per pound and all-in sustaining costs rose to US$3.20 per pound.

Despite these pressures, the company said stronger realised copper prices, favourable silver by-product credits and reduced operating expenses helped support profitability during the quarter.

Strong balance sheet supports expansion pipeline

Atalaya ended the period with a net cash position of €266.4 million, strengthened by an equity fundraising completed in January. Management said the balance sheet provides substantial flexibility to fund ongoing development activities in Spain, including stripping programmes at Cerro Colorado and San Dionisio.

The company also highlighted positive regulatory developments surrounding the Touro project, where an environmental impact statement is expected before the summer. Management expressed confidence in the longer-term copper market outlook, although it acknowledged that geopolitical tensions and potential supply-chain pressures linked to conflicts in the Middle East could increase operating costs.

Profitability remains strong despite weak technical indicators

Atalaya’s outlook continues to be supported by strong trailing twelve-month profitability and a conservatively structured balance sheet with relatively low leverage, factors that strengthen resilience within the cyclical mining sector.

However, market sentiment remains weighed down by bearish technical indicators, with the shares trading significantly below major moving averages and accompanied by a negative MACD reading. Valuation and income support are also viewed as moderate, with the stock trading on a price-to-earnings ratio of roughly 23 and offering a dividend yield below 1%.

More about Atalaya Mining

Atalaya Mining is a London-listed copper mining company focused on operating and developing projects in Spain. Its principal assets include the Cerro Colorado open-pit mine as well as a pipeline of growth projects including Touro, San Dionisio and Masa Valverde, positioning the group to benefit from sustained global demand for copper.