Lowenthal coincidence? Gold, South Africa, financier?
"This week we have seen the announcement by Bema Gold, the Canadian group which is already quoted in Toronto and on the US stock exchange, that it plans to list on our AIM market to attract more European investors.
Bema‘s market capitalisation will be around £240m making it the largest mining company listed on AIM and the second largest company overall.
The company already has a large European following. Its major asset is a 79% stake in the Julietta Mine in Russia, reckoned to be one of the lowest cost gold mines in the world, with production costs of around $100 an ounce against the current world price of $320 an ounce.
Investors should also take notice of an extraordinary general meeting of the Tera Group scheduled for October 30. The purpose is to approve a restructuring of the company from technology investment to one that includes investing in the mining and natural resources market.
Most of the old board is departing. Joining chairman Michael Edelson will be Ronnie Lowenthal, a South Africa-based financier 'with significant experience of the mining sector' and Jo Malins, who appeared in this column a fortnight ago in his capacity as director of Cambrian Mining, another AIM-listed mining finance house which is currently moving into the production arena.
As is the way of these things, it would be remarkable if Mr Lowenthal did not have a few deals up his sleeve once the change is approved.
AI
