C29 Metals (C29:AU) has announced Multiple New Multi-Commodity Targets
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This week proved pivotal for the tech and energy sectors as market dynamics and the regulatory landscape shifted.
Apple (NASDAQ:AAPL) made waves by signaling a foray into artificial intelligence (AI) search and challenging app store regulations, while OpenAI underwent a major restructuring amid legal battles with Elon Musk.
Meanwhile, legislation targeting AI chip tracking gained momentum, and the nuclear energy sector saw increased activity with Ontario Power Generation’s new reactor project and potential White House actions.
Earnings reports from major players like Palantir (NASDAQ:PLTR), AMD (NASDAQ:AMD), Arm Holdings (NASDAQ:ARM) and Super Micro Computer (NASDAQ:SMCI) painted a complex picture of growth and challenges in a turbulent economic environment.
The interplay of innovation, regulation and market forces played out against a backdrop of trade developments between the US and the UK, with optimism regarding forthcoming negotiations with China boosting sentiment toward the end of the week.
Read on to dive deeper into this week’s top stories.
1. Apple’s App Store appeal, AI search plans and chip news
Apple is formally contesting last week’s judicial ruling mandating a reduction in its App Store commission.
The company filed an appeal against the order that would compel it to lower the existing 27 percent fee imposed on businesses offering links within their apps to external payment processing alternatives.
In related news, Apple executive Eddy Cue revealed during federal court testimony that the tech giant is investigating the development of its own AI-powered search engine for the Safari web browser. The news had an immediate impact on Alphabet’s (NASDAQ:GOOGL) shares, resulting in a 9 percent decline on Wednesday (May 7) afternoon.
In other news, Apple is reportedly making advances in its in-house silicon development.
The company is designing new proprietary chips intended to serve as the main central processing units for a range of future Apple products. These include anticipated devices such as smart glasses, more powerful iterations of its Mac computer line and specialized AI servers.
Combined with this week’s macroeconomic and geopolitical developments, Apple’s share price experienced turbulence, ultimately closing 2.25 percent below Monday’s (May 5) opening price on Friday (May 9).
2. OpenAI announces restructuring, acquisition and leadership changes
In a notable week for AI giant OpenAI, CEO Sam Altman shared a reorganization strategy on Monday, announcing that its operational arm will transition into a new public benefit corporation, with its non-profit arm acting as the primary shareholder. The decision follows talks with civic leaders and state attorneys general.
A person familiar with the matter told Business Insider that the new plan will let the company receive the full US$30 billion investment from SoftBank (TSE:9984). Meanwhile, sources told Bloomberg on Monday that Microsoft (NASDAQ:MSFT) and OpenAI are still in negotiations regarding a restructuring plan. A later report from the Information reveals that OpenAI plans to slash its 20 percent revenue-sharing agreement with Microsoft to 10 percent by 2030.
Regarding the ongoing legal dispute between Sam Altman and Tesla (NADAQ:TSLA) CEO Musk, who alleges that the company has strayed from its founding mission, Musk’s attorney, Marc Toberoff, told Reuters on Monday that the team intends to proceed with the lawsuit. Toberoff also called the restructuring a “cosmetic” move that turns charitable assets into private wealth, adding that “the founding mission remains betrayed.”
In other news, OpenAI made its largest acquisition to date this week, agreeing to buy AI-assisted coding tool Windsurf for about US$3 billion, and named ex-Instacart (NASDAQ:CART) CEO Fidji Simo as its new head of applications.
According to reports, Simo will manage operations and report directly to Sam Altman, who will retain his title as CEO. Altman will shift his focus to research, safety efforts and advancing artificial general intelligence.
3. AI chip regulatory developments
US Representative Bill Foster is preparing to introduce legislation aimed at tracking the location of AI chips, such as those produced by NVIDIA (NASDAQ:NVDA), after they are sold.
The proposed bill, first reported by Reuters on Monday, would task US regulators with developing rules to monitor these chips, ensuring they remain in authorized locations under export control licenses.
It would also seek to prevent unlicensed chips from being activated outside of authorized locations.
In other chip-related news, NVIDIA shares rose following news that the Trump administration plans to eliminate the so-called “AI diffusion rule.” However, a spokesperson from the US Department of Commerce clarified upcoming plans in a statement to CNBC’s Kif Leswing on Wednesday, commenting:
“The Biden AI rule is overly complex, overly bureaucratic, and would stymie American innovation. We will be replacing it with a much simpler rule that unleashes American innovation and ensures American AI dominance.”
The announcement highlights the Trump administration’s intention to keep some guardrails in place to protect US interests, despite pushback from tech industry executives.
At a Congressional hearing on Thursday (May 8), OpenAI CEO Sam Altman emphasized the importance of maintaining US leadership in AI development. He cautioned against overregulation, warning that poorly designed rules could hinder America’s competitive edge, particularly against China.
4. Palantir, AMD, Arm and Super Micro share results
Palantir’s Q1 revenue rose 39 percent year-on-year to US$884 million, driven by demand for its data analytics software in the US. The company expects demand to continue, forecasting Q2 revenue between US$934 million and US$938 million. Palantir’s share price fell by 8 percent after hours as investors anticipated even stronger results. The company posted a loss of 5.6 percent for the week after a volatile week for tech stocks, as overvaluation concerns persist.
Advanced Micro Devices’ Q1 earnings report shows quarterly revenue of US$7.4 billion, an annual increase of 36 percent, with adjusted earnings per share of US$0.96. Despite an initial 7 percent stock surge following a positive quarterly report, AMD shares fell following the company’s announcement of a projected US$1.5 billion revenue decrease this year, attributed to US government limitations on the sale of AI chips to China.
Palantir, Super Micro, AMD and Arm performance, May 6 to 9, 2025.
Chart via Google Finance.
For Q4 2024, Arm Holdings reported quarterly revenue of more than US$1 billion for the first time in its history, but forecast revenue and profit for Q1 2025 below Wall Street estimates, resulting in a 4 percent slump on Thursday morning
Super Micro Computer’s net sales increased from US$3,85 billion in Q3 2024 to US$4.6 billion, while the company’s earnings per share fell year-on-year from US$0.66 to US$0.17.
The company lowered its full-year revenue guidance from US$23.5 billion to US$25 billion, down to US$21.8 billion to US$22.6 billion, with trade war-induced uncertainty and increasing competition cited as obstacles to growth. The company’s share price opened over 5 percent lower the next day and fell by over 3 percent this week.
5. Constellation shares jump, White House plans reactor push
Shares of Constellation Energy (NASDAQ:CEG) rose nearly 10 percent in two days ahead of the Tuesday (May 6) release of its Q1 earnings report, which revealed revenue that exceeded expectations by over 20 percent.
Later, during an earnings call, CEO Joe Dominguez said the company was close to inking multiple long-term deals to provide nuclear power to meet surging energy demands, further bolstering investors’ optimistic outlook.
In another significant development within the nuclear energy sector, Ontario Power Generation said it has secured the necessary approvals to commence construction on the first of four small modular reactors (SMR) designed by GE Verona (NYSE:GEV), which will be located at the company’s Darlington site near Toronto.
The Darlington project is anticipated to be the first deployment of this particular SMR technology within a G7 nation.
Separately, Axios reported on Tuesday that sources familiar with the matter say the White House is in the final stages of preparing executive actions intended to accelerate the deployment of nuclear reactors. These plans, reportedly under consideration for several weeks, could be officially announced imminently.
On Friday, NPR said its reporters have seen a draft of such an order. According to the report, the order instructs the Nuclear Regulatory Commission (NRC) to send new reactor safety guidelines to the White House for review and possible amendments. The draft also calls for a reduction of NRC’s staff and a “wholesale revision of its regulation” in coordination with the administration and the Department of Government Efficiency.
Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.
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Here’s a quick recap of the crypto landscape for Friday (May 9) as of 9:00 p.m. UTC.
Get the latest insights on Bitcoin, Ethereum and altcoins, along with a round-up of key cryptocurrency market news.
Bitcoin and Ethereum price update
Bitcoin (BTC) was priced at US$103,116 as markets closed for the week, up 2 percent in 24 hours.
The day’s range has seen a low of US$102,526 and a high of US$103,636. After breaking through the US$100,000 threshold on Thursday (May 8), the digital asset has found support.
Bitcoin performance, May 9, 2025.
Chart via TradingView.
The crypto market’s surge is attributed to positive geopolitical developments, particularly surrounding a US-UK trade agreement and optimism over upcoming trade talks with China.
A better-than-expected jobs report also reignited institutional interest. Meanwhile, the MOVE index has cooled from its late March-early April spike, encouraging broader risk-taking across financial markets.
On the technical side, Bitcoin’s realized cap has hit an all-time high above US$893 million. Cointelegraph’s Marcel Pechman notes that strong options activity suggests that prices above US$105,000 could fuel further gains. Analyst Egrag Crypto is forecasting a rally to US$170,000, contingent on Bitcoin breaking past its previous all-time high of US$109,000.
However, with Bitcoin’s relative strength index approaching 70, overbought conditions are emerging, and investors are urged to be cautious of short-term volatility.
Ethereum’s (ETH) price surge has outperformed that of Bitcoin and can be attributed to an increase in transactions following Wednesday’s (May 7) Pectra upgrade. ETH’s price has increased by over 25 percent from last week and 42 percent month-on-month. It finished the week at US$2,325.35, a 10 percent increase over 24 hours.
The day’s range saw a low of US$2,288.24 and a high of US$2,372.09.
Altcoin price update
- Solana (SOL) closed at US$171.67, up 7.1 percent over 24 hours. SOL experienced a low of US$168.64 and a high of US$172.75.
- XRP was trading at US$2.35, reflecting a 3.6 percent increase over 24 hours. The cryptocurrency reached a daily low of US$2.33 and a high of US$2.40.
- Sui (SUI) was priced at US$3.89, showing a decreaseof 0.6 percent over the past 24 hours. It achieved a daily low of US$3.87 and a high of US$4.03.
- Cardano (ADA) was trading at US$0.7799, up 5.5 percent over the past 24 hours. Its lowest price of the day was US$0.7763, and it reached a high of US$0.7953.
Today’s crypto news to know
Coinbase to acquire Deribit in US$2.9 billion crypto derivatives deal
Coinbase has announced plans to acquire Deribit, a leading crypto derivatives exchange, for $2.9 billion — the largest deal in the crypto industry to date. This strategic move positions Coinbase to expand its offerings in the crypto options market, catering to the growing demand for advanced trading products.
The acquisition includes US$700 million in cash and 11 million shares of Coinbase Class A common stock.
Deribit, which processed US$1.2 trillion in trading volume last year, controls approximately 85 percent of the global crypto options market. This deal is expected to enhance Coinbase’s presence in the international derivatives market and diversify its revenue streams. Analysts view the acquisition as a significant step for Coinbase to compete with other major exchanges like Binance and Kraken in the derivatives space. The transaction is subject to regulatory approvals and is anticipated to close later this year. Until then, Deribit will continue its operations as usual.
Rumble’s crypto wallet launch and Q1 earnings
Rumble’s (NASDAQ:RUM) CEO confirmed the firm will launch a Bitcoin and stablecoin wallet to compete with the Coinbase Wallet in Q3. The Rumble Wallet will launch in partnership with Tether.
“Our goal is to become the most prominent non-custodial Bitcoin and stablecoin wallet, powering the creator economy,” according to a May 9 (Friday) X post by Chris Pavlovski.
On the earnings front, Rumble reported a net loss of US$2.7 million for Q1 on Thursday, a significant improvement over the US$43 million loss reported in Q1 2024. The company’s revenue of US$23.7 million exceeded analysts’ estimates; however, the firm reported a decrease in monthly active users to 59 million, down from 68 million in Q4 2024.
Rumble opened 2.44 percent higher on Friday (May 9) and closed the week with a gain of over 17 percent.
Meta’s potential stablecoin integration
Meta Platforms (NASDAQ:META) is reportedly in discussions with cryptocurrency enterprises regarding the potential implementation of stablecoins for select, smaller-scale creator disbursements.
Five informed sources told Fortune that the corporation has engaged in consultative deliberations with multiple cryptocurrency infrastructure providers, albeit without having yet settled upon a definitive strategic approach.
An insider suggests that the entity may adopt a multi-token framework, encompassing the integration of established stablecoins such as Tether’s USDt and Circle’s USD Coin, amongst other alternatives.
This news comes the day after Democratic lawmakers withdrew support for the GENIUS Act after concerns arose over the lucrative crypto dealings of companies tied to US President Donald Trump. The bill stalled on the floor of the Senate, prompting a public statement from US Treasury Secretary Scott Bessent:
“This bill represents a once-in-a-generation opportunity to expand dollar dominance and US influence in financial innovation. Without it, stablecoins will be subject to a patchwork of state regulations instead of a streamlined federal framework.’
Celsius founder sentenced to 12 years for crypto fraud
Alex Mashinsky, founder and former CEO of Celsius Network, has been sentenced to 12 years in federal prison for defrauding customers and manipulating the price of the company’s CEL token.
Between 2018 and 2022, Mashinsky misled investors about the safety of their funds, using customer deposits to inflate CEL’s value and personally profiting over US$48 million. Celsius, which once managed over US$25 billion in assets, collapsed in 2022 amid a broader crypto market downturn, leaving thousands of users unable to access their funds.
SEC considers crypto exemptions
The US Securities and Exchange Commission (SEC) is “considering a potential exemptive order” to let crypto firms bypass requirements to register as a broker-dealer, clearing agency exchange to issue, trade and settle securities. SEC Commissioner Hester Peirce made the announcement in a speech published on Thursday.
Companies would still be expected to comply with rules to prevent fraud and market manipulation and may also need to meet certain disclosure and recordkeeping requirements.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.
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Legendary investor Warren Buffett is stepping down as CEO of Berkshire Hathaway (NYSE:BRK.A,NYSE:BRK.B) after six decades at the helm — but he’s still not yet ready to retire.
In a media release on Monday (May 5), Berkshire said that its board of directors unanimously has voted to appoint Greg Abel, vice chairman, non-insurance operations, as president and CEO come January 2026.
Buffett will remain the chairman of the board of directors.
Buffett has held the position of CEO at Berkshire since 1970, with Abel confirmed as his successor in 2021.
What is Buffett’s strategy?
Buffett took control of Berkshire in 1965, back when the company was a struggling textile manufacturer.
In a 2010 letter to shareholders, he recounted his experience in those early days:
‘Berkshire was then only intextiles, where it had in the previous decade lost significant money. The dumbest thing I could have done was topursue ‘opportunities’ to improve and expand the existing textile operation – so for years that’s exactly what Idid. And then, in a final burst of brilliance, I went out and bought another textile company. Aaaaaaargh!Eventually I came to my senses, heading first into insurance and then into other industries.’
Many people have tried to explain Buffett’s success in recent years. One recent Financial Times article titled “How Buffet Did It” notes that his strategy is “more than great stock picks and insurance premiums.”
An older paper called ‘Buffett’s Alpha’ suggests that his exposure to low-risk, cheap and high-quality stocks is key.
“(He) has boosted his returns by using leverage, and that he has stuck to a good strategy for a very long time period, surviving rough periods where others might have been forced into a fire sale or a career shift,” states the paper, which was written by Andrea Frazzini, David Kabiller and Lasse Heje Pedersen.
‘We estimate that Buffett applies a leverage of about 1.7-to-1, boosting both his risk and excess return in that proportion. Thus, his many accomplishments include having the conviction, wherewithal, and skill to operate with leverage and significant risk over a number of decades,’ the authors also note.
Who is Buffett’s successor?
Abel has been with Berkshire since 2000, when Berkshire bought MidAmerican, an energy company he had been running. He joined the board as vice chairman, non-insurance operations, in 2018.
MidAmerican was renamed Berkshire Hathaway Energy (BHE), with Abel serving as its chief executive officer from 2008 to 2018. He remains the company’s chair as of writing. At both MidAmerican and Berkshire, Abel was mentored by David Sokol, who seemed a likely successor to Warren Buffett until he resigned from Berkshire in 2011.
Abel was named vice chairman in 2018 along with Ajit Jain. In a 2014 letter to shareholders, Buffett’s longtime right-hand man, Charlie Munger, who passed away in 2023, wrote about the two as potential successors.
‘Ajit Jain and Greg Abel are proven performers who would probably be under-described as ‘world-class.’ ‘World-leading’ would be the description I would choose,’ said Munger.
‘In some important ways, each is a better business executive than Buffett.’
Buffett has also spoken highly of Abel, saying in 2023, ‘Greg understands capital allocation as well as I do. That’s lucky for us. He will make those decisions, I think, very much in the same framework as I would make them. We have laid out that framework now for 30 years.’
Berkshire’s path forward under Abel
Buffett’s words indicate that he sees Berkshire and Abel following the framework he has laid out.
Of course, there may be some evolution. Morningstar analyst Gregg Warren notes that the ‘groundwork for a successful transition’ at Berkshire has been in place for decades.
He also notes that Buffett and Munger were skilled at acquiring businesses that were a good cultural fit.
“We expect this to continue, believing that Berkshire’s culture of management autonomy and entrepreneurship has become institutionalized,’ Warren explains in a recent article.
‘ However, the new managers will probably work with a slightly different opportunity set, and we believe they will evolve Berkshire from what has historically been a reinvestment machine into one that is more focused on returning capital to shareholders, which is what we would expect of a company of this size with limited investment opportunities.”
Warren also comments that Berkshire currently doesn’t pay a dividend. This principle is because of Buffett’s belief that retained earnings should yield greater value than cash payouts.
Warren said this may change after Abel takes over, underlining that issuing a dividend could help Berkshire retain shareholders who may consider selling once Buffett is no longer at the helm.
Berkshire’s recent activities include diversification of its portfolio via strategic acquisitions and investments.
In January 2025, Forest River Bus & Van, a Berkshire subsidiary, announced its acquisition of L.A. West Coaches to enhance its product portfolio in the luxury transportation market.
“This partnership represents a shared commitment to excellence and innovation,” said Douglas Wright, group general nanager of Forest River Bus & Van. “L.A. West Coaches’ proven expertise and dedication to quality align with our values, and we look forward to collaborating to expand our product range.”
BHE is also currently exploring the production of lithium carbonate and other minerals from its geothermal power plants in California’s Imperial Valley, aligning with the company’s interest in renewable energy and sustainability.
BHE Renewables publicized a joint venture with Occidental Petroleum (NYSE:OXY) in June 2024, saying that this will be useful for the demonstration and deployment of TerraLithium’s direct lithium extraction.
Occidental is the owner of TerraLithium, a company that provides a technology platform for extracting lithium from geothermal and other brines to produce ultra-pure battery-grade lithium hydroxide and lithium carbonate.
Once the demonstration is successful, BHE Renewables plans to build, own and operate commercial lithium production facilities in California’s Imperial Valley. The joint venture also plans to license the technology and develop commercial lithium production facilities outside the Imperial Valley.
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
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Exchange-traded funds (ETFs) are one of the fastest-growing investment vehicles, and as uranium’s role in the energy transition grows, investors are becoming increasingly interested in uranium ETFs and related products.
After years of dormancy, the uranium spot price zoomed past the US$100 per pound level in early 2024 on supply risks and a strong outlook for long-term demand. Although it’s since pulled back, bulls believe it still has room to run.
Supporting factors include the lack of new uranium mines, Russia’s dominance in conversion and enrichment, rising demand for low-carbon energy sources and the continued development and deployment of small modular reactors.
There is also increasing demand for uranium from China and India as both of these countries grapple with air pollution in the face of growing electricity demand. China is working to expand its nuclear power capacity, and although it ranks among the top 10 uranium-producing countries, it relies heavily on uranium imports.
Compounded, these factors are creating a mounting supply deficit.
“This year, uranium mines will only supply 75 percent of demand, so 25 percent of demand is uncovered,” Amir Adnani, CEO and president of Uranium Energy (NYSEAMERICAN:UEC), said at a January 2025 event.
Although the fundamentals are promising, the U3O8 spot price has faced pressure in 2025, with prices below US$80 since the start of the year. As supply tightens, incentivizing new projects to come online is becoming imperative.
“Next year, uranium demand is going up because there are 65 reactors under construction, and we haven’t even started talking about small and advanced modular reactors,” Adnani said. “Small and advanced modular reactors are an additional source of demand that, maybe not next year, but within the next three to four years, can become a reality.”
As mentioned, that backdrop is helping uranium ETFs and related investment products gain steam. Today there are five uranium ETFs available, as well as four investment vehicles backed by physical uranium — and perhaps more to come.
Read on to learn about the uranium ETFs and related vehicles on offer. All data was current as of May 5, 2025.
Uranium ETFs tracking uranium stocks
1. Global X Uranium ETF (ARCA:URA)
Total asset value: US$2.7 billion
The Global X Uranium ETF tracks a basket of uranium miners, as well as nuclear component producers.
The fund has an expense ratio of 0.69 percent and a yearly return of negative 17.23 percent, a decline that coincides with the recent pullback in the uranium price.
Uranium companies account for a significant portion of its portfolio, and nearly half of those companies are Canadian. The ETF’s top two uranium company holdings are major uranium producer Cameco (TSX:CCO,NYSE:CCJ) at a weight of 22.31 percent and NexGen Energy (TSX:NXE) at 5.64 percent. Interestingly, one of its top three holdings is the Sprott Physical Uranium Trust (TSX:U.U) at a weight of 8.52 percent.
2. Sprott Uranium Miners ETF (ARCA:URNM)
Total asset value: US$1.32 billion
The Sprott Uranium Miners ETF includes both uranium producers and explorers for broader exposure. The fund has an expense ratio of 0.75 percent and a yearly return of negative 34.69 percent.
Uranium stocks with market caps under US$2 billion account for 48.7 percent of the ETF’s holdings. Its top three holdings are Cameco at 15.28 percent, the Sprott Physical Uranium Trust at 13.21 percent and Kazatomprom (LSE:59OT,OTC Pink:NATKY) at 12.99 percent.
3. VanEck Vectors Uranium + Nuclear Energy ETF (ARCA:NLR)
Total asset value: US$1.02 billion
The VanEck Vectors Uranium + Nuclear Energy ETF launched in 2007 and tracks a market-cap-weighted index of stocks in the uranium and nuclear energy industries. Its expense ratio is 0.61 percent and its yearly return is negative 0.12 percent.
This uranium ETF’s top three holdings are Constellation Energy Group (NASDAQ:CEG) at a weight of 8.49 percent, Public Service Enterprise Group (NYSE:PEG) at 7.38 percent and Endesa (OTC Pink:ELEZF,SSE:ELE) at 6.95 percent.
4. Sprott Junior Uranium Miners ETF (NASDAQ:URNJ)
Total asset value: US$232.29 million
The Sprott Junior Uranium Miners ETF launched in February 2023, making it one of the newest additions to the uranium ETF universe. The ETF has an expense ratio of 0.8 percent and a yearly return of negative 15.51 percent.
It tracks the NASDAQ Sprott Junior Uranium Miners Index (INDEXNASDAQ:NSURNJ), which follows small-cap uranium companies. The fund’s 33 holdings are all uranium mining, development or exploration companies. Its top three holdings are Paladin Energy (ASX:PDN,OTCQX:PALAF) at 12.46 percent, Uranium Energy (NYSEAMERICAN:UEC) at 10.32 percent and NexGen Energy at 10.25 percent.
5. Horizons Global Uranium Index ETF (TSX:HURA)
Total asset value: US$55.08 million
The Horizons Global Uranium Index ETF was Canada’s first pure-play uranium ETF and provides exposure to uranium industry growth. It has an expense ratio of 1.06 percent and a yearly return of negative 25.2 percent.
Created in 2019, the fund’s top holdings are Cameco with a weight of 20.68 percent, Kazatomprom at a weight of 17.12 percent and the Sprott Physical Uranium Trust at 15.25 percent.
Physical uranium investment vehicles
1. Sprott Physical Uranium Trust (TSX:U.U)
Total asset value: US$4.09 billion
Of all the uranium-focused funds, this one has created the most buzz. Launched in July 2021, the Sprott Physical Uranium Trust quickly made its mark on the sector, stoking investor interest and prices for the commodity.
The fund holds 66.22 million pounds of U3O8, has an expense ratio of 0.64 percent and has a yearly return of negative 34.57 percent.
2. Yellow Cake (LSE:YCA,OTCQB:YLLXF)
Total asset value: US$983.66 million
Founded in 2018, Yellow Cake is a uranium company that provides investment exposure to the uranium spot price through its physical holdings of uranium and uranium-related commercial activities.
Yellow Cake’s current holdings total 21.68 million pounds of U3O8. Its access to material volumes of uranium at prevailing market prices comes via its long-term partnership with Kazatomprom. Through this partnership, it has the option to purchase up to US$100 million of uranium annually through 2027.
3. Zuri-Invest Uranium AMC
Total asset value: US$1.65 billion
Launched in April 2023, Zuri-Invest’s product is directly linked to physical uranium, and is the first actively managed certificate (AMC) in the sector. According to Zuri-Invest, “an AMC is a security that can be managed on a discretionary basis enabling the active management of a chosen investment strategy.”
Qualified non-US institutional and professional investors can take part in this physical uranium AMC (Swiss ISIN code CH1214916533) through their bank. The custodian of the product is Cameco, which holds the physical uranium in a secure storage facility in Canada.
4. xU3O8
Total asset value: US$5.93 million
One of the newest ways to gain exposure to physical uranium is through the token xU3O8.
Using the power of the Tezos blockchain and real-world asset tokenization, the xU3O8 token from uranium.io gives investors the ability to directly own and trade physical uranium. Launched in 2024, xU3O8’s 38,464.62 kilograms of U3O8 are stored at a secure Cameco facility, with Archax acting as trustee.
Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
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When the US Food and Drug Administration (FDA) rejected Lykos Therapeutics’ new drug application for MDMA-assisted therapy last August, the initial disappointment cast a shadow over the psychedelics industry.
However, the sector is seeing a resurgence of optimism in 2025 on the back of various US developments.
“The psychedelic industry in 2025 will likely see significant advancements in clinical applications, particularly in treating PTSD, depression, and addiction, as research continues to validate their therapeutic potential,” Dr. Markus Ploesser, chief innovation officer at Open Mind Health, told Microdose in January.
This sentiment is underscored by a variety of recent positive developments, including the FDA’s approval of Johnson & Johnson’s (NYSE:JNJ) ketamine-derived nasal spray to combat treatment-resistant depression, and an initiative to study MDMA-assisted therapy efficacy for post-traumatic stress disorder (PTSD) and alcohol use disorder in veterans.
In addition, alternative medicine advocate Robert F. Kennedy Jr.’s appointment as head of the US Department of Health and Human Services has created potential for further policy shifts related to mental health and psychedelics research.
Combined, these factors could make 2025 a pivotal year for the industry.
Legal state psychedelics markets take shape
Psychedelic compounds remain federally illegal in the US, but some states have pursued legalization and decriminalization. In November 2020, Oregon became the first state to legalize psilocybin for therapeutic use through the Oregon Psilocybin Services Act. From 2021 to 2022, the Oregon Health Authority and the Psilocybin Advisory Board created rules for the act and began taking applications on January 2, 2023.
Oregon also decriminalized personal possession of all drugs in 2020 through the Drug Addiction Treatment and Recovery Act, which went into effect in February 2021. Many of the provisions in that bill have since been reversed, with the possession of small amounts of hard drugs like fentanyl, methamphetamine and heroin being recriminalized as of September 1, 2024. However, psilocybin remains legal for therapeutic and facilitated use.
As of the end of March, Oregon Psilocybin Services counted 374 state-wide psilocybin facilitators, 29 service centers, 10 manufacturers and 808 worker permits. Satya Therapeutics, located in Ashland, is recognized as one of the state’s most experienced and successful service providers, with roughly 40 to 50 clients serviced monthly.
Publicly traded Florida-based cannabis company Kaya Holdings (OTCQB:KAYS) was awarded a license to operate a psilocybin service center in Oregon through its Fifth Dimension Therapeutics subsidiary in May 2024. Its treatment center, called the Sacred Mushroom, opened its doors in Portland on July 2, 2024.
In 2025, industry advocates are focused on analyzing outcomes from Oregon’s psychedelics program in order to fine tune areas requiring improvement. In February, state lawmakers sought to expand psychedelic therapy through the introduction of HB 3817, which establishes an access pathway for individuals with PTSD to access ibogaine. At the time of this writing, the bill had not yet been scheduled for a public hearing or committee vote.
Despite its growth, affordability has been a barrier to the development of Oregon’s psilocybin therapy program, with sessions typically costing over US$1,500. Some communities in the state also voted to ban psilocybin and psilocybin businesses in 2024, reflecting ongoing public concerns about drug liberalization.
In Colorado, a series of legislative actions regarding psychedelic substances led to state legalization in November 2022. Proposition 122 legalized the regulated access to psilocybin and psilocin in healing centers for adults over 21, decriminalized the personal use and cultivation of these substances and established a Natural Medicine Advisory Board.
SB 23-290, signed in May 2023, amended Proposition 122’s regulations and created a legal framework for healing centers. HB 22-1344, passed in June 2022, paved the way for MDMA-assisted therapy for PTSD if federally approved.
The final rules for licensed psilocybin therapy centers were filed with the secretary of state and became effective on December 15, 2024. Colorado then began accepting applications for licenses. In March, the Department of Revenue issued its first healing center license to the Center Origin in Denver. As of May 2 of this year, there were over 50 pending applications for healing centers, cultivation facilities and manufacturers.
As the psychedelics industry begins to take shape in Colorado, Tasia Poinsatte, the state’s director of the nonprofit Healing Advocacy Fund, told Stateline that centers plan to offer sliding-scale rates and discounts for veterans, Medicaid enrollees and low-income individuals to help address the affordability problem.
New psychedelics laws and research initiatives
Apart from Oregon and Colorado, a wave of legislative activity concerning psychedelics is evident across the US, with states like Illinois, Indiana, Missouri, Maine and New York pursuing various forms of legalization, including decriminalization, research funding and regulated therapeutic programs. Additionally, several cities in Washington and Michigan have decriminalized certain substances, with Washington also considering bills to create a regulated psilocybin services market and to provide funding to study ibogaine for opioid use disorder.
Utah passed legislation in March 2024 to create a program for psilocybin and MDMA as alternative treatments at the University of Utah Health and Intermountain Health. The program began in May 2024 and will run for three years.
Multiple institutions in Maryland, Texas and North Carolina are also conducting studies to assess the efficacy of psychedelics in treating various mental health conditions.
Senate Bill 242 established a working group tasked with studying the therapeutic use of entheogens in Nevada in 2023. A recommendations report was delivered in December 2024, and has garnered support from key legislative figures.
Several cities in California have deprioritized the enforcement of laws against the personal use and possession of certain psychedelics, and the state is considering a psilocybin pilot program for veterans and first responders.
Massachusetts has multiple bills focused on decriminalization and therapeutic pilot programs. In April of this year, New Mexico’s governor signed a bill for a therapeutic psilocybin program.
Meanwhile, Rhode Island has a bill that would legalize psilocybin possession if the federal government reschedules it, and Alaska established a task force in May 2024 to prepare for potential federal legalization of psychedelic therapies.
These actions reflect a shift in psychedelics sentiment and a growing trend of exploring their therapeutic potential.
Psychedelics investing options
To track the financial health of the psychedelic industry, investors can use the Psychedelic Invest Index, which monitors publicly traded companies in the space. Some of the top stocks in the index include Pasithea Therapeutics (NASDAQ:KTTA), MindMed (NASDAQ:MNMD), Compass Pathways (NASDAQ:CMPS) and Cybin (NYSEAMERICAN:CYBN), all of which are involved in developing psychedelic compounds for mental health treatments.
MindMed has developed a synthetic LSD analog, MM120, currently in Phase III trials for generalized anxiety disorder (GAD) and major depressive disorder (MDD). An oral tablet of MM120 was awarded a patent in July 2024.
Cybin has developed a proprietary deuterated psilocybin analog called CYB003, as well as CYB004, a proprietary deuterated DMT compound; both are protected by patents. The company also acquired SPL028, another deuterated DMT compound, through its merger with Small Pharma in 2023. Phase 2 CYB004 topline safety and efficacy data in GAD is expected in H1 2025. A pivotal study of CYB003 is scheduled for mid-2025.
Meanwhile, Compass Pathways’ Phase 2b randomized controlled study evaluating its synthetic psilocybin therapy, COMP360, was the most extensive psilocybin clinical trial to date. With data presented in 2022, the trial found that one 25 milligram dose of COMP360 resulted in a decline in depressive symptoms after three weeks when combined with psychological guidance, with positive effects reportedly lasting for as long as 12 weeks.
Other key players in the psychedelics market include atai Life Sciences (NASDAQ:ATAI), GH Research (NASDAQ:GHRS), Bright Minds Biosciences (NASDAQ:DRUG) and Silo Pharma (NASDAQ:SILO).
Canadian companies in this sector include Numinus Wellness (TSX:NUMI,OTCQB:MTPLF), Optimi Health (CSE:OPTI,OTCQX:OPTHF), BetterLife Pharma (CSE:BETR,OTCQB:BETRF), Pharmala Biotech (CSE:MDMA,OTCQB:MDXXF) and Restart Life Science (CSE:REST,OTC Pink:NMLSF).
Other avenues for investors include strategic investments in specialized real estate ventures.
Healing Realty Trust (HRT) specializes in acquiring healthcare infrastructure assets, focusing on developing mental and behavioral healthcare facilities. The company established preferred real estate partnership agreements with providers like NeuroSpa, Cambridge Biotherapies and Cathexis in 2024. It has also secured the first tranche of a US$25 million Series A funding round, with the funds earmarked to acquire healthcare facilities in Texas, Ohio and Connecticut.
HRT is reportedly preparing for an initial public offering, with a potential listing in late 2025 or early 2026.
Investor takeaway
Against this backdrop, the psychedelics market could see promising growth in 2025.
While challenges remain, the expansion of legalization and decriminalization, combined with ongoing research, positions the industry for growth and presents potential opportunities for investors.
Securities Disclosure: I, Meagen Seatter, hold direct investment interest in some of the companies mentioned in this article.
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NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) (‘NorthStar’ or the ‘Company’) today announces that its principal regulator, the Ontario Securities Commission, has granted its request for a management cease trade order (‘MCTO’) effective May 8, 2025.
As previously announced on April 29, 2025, the Company applied for the MCTO due to a delay in filing its annual audited financial statements, management’s discussion and analysis and related certifications for the financial year ended December 31, 2024 (the ‘Annual Filings’) which were required to be filed by April 30, 2025.
The delay is primarily due to a restatement of certain amounts owed by the Company’s payment service providers as well as player loyalty bonuses for the prior fiscal years. During the year-end reconciliation process, the Company identified that its payment processor had deducted additional merchant fees from daily remittances, which had not been properly accounted for. Specifically, service provider fees (cost of revenue) were previously understated, while the amounts due from the payment processor and accounts receivable were overstated in the financial statements for the year ended December 31, 2023.
The Company is working diligently and expeditiously to complete the Annual Filings as soon as practicable, and currently anticipates it will be in a position to file the Annual Filings on or before May 15, 2025.
The MCTO restricts the Company’s Chief Executive Officer and the Chief Financial Officer from trading in the Company’s securities but does not affect the ability of other shareholders, including the public, to trade in securities of the Company.
About NorthStar
NorthStar proudly owns and operates NorthStar Bets, a Canadian-born casino and sportsbook platform that delivers a premium, distinctly local gaming experience. Designed with high-stakes players in mind, NorthStar Bets Casino offers a curated selection of the most popular games, ensuring an elevated user experience. Our sportsbook stands out with its exclusive Sports Insights feature, seamlessly integrating betting guidance, stats, and scores, all tailored to meet the expectations of a premium audience.
As a Canadian company, NorthStar is uniquely positioned to cater to customers who seek a high-quality product and an exceptional level of personalized service, setting a new standard in the industry. NorthStar is committed to operating at the highest level of responsible gaming standards.
NorthStar is listed in Canada on the TSX Venture Exchange (‘TSXV’) under the symbol ‘BET’ and in the United States on the OTCQB under the symbol ‘NSBBF’. For more information on the company, please visit: www.northstargaming.ca.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press release.
Cautionary Note Regarding Forward-Looking Information and Statements
This communication contains ‘forward-looking information’ within the meaning of applicable securities laws in Canada (‘forward-looking statements’), including without limitation, statements with respect to the following: expected performance of the Company’s business, and the timing of the release of the Company’s financial results. The foregoing is provided for the purpose of presenting information about management’s current expectations and plans relating to the future and allowing investors and others to get a better understanding of the Company’s anticipated financial position, results of operations, and operating environment. Often, but not always, forward-looking statements can be identified by the use of words such as ‘plans’, ‘expects’, ‘is expected’, ‘budget’, ‘scheduled’, ‘estimates’, ‘continues’, ‘forecasts’, ‘projects’, ‘predicts’, ‘intends’, ‘anticipates’ or ‘believes’, or variations of, or the negatives of, such words and phrases, or state that certain actions, events or results ‘may’, ‘could’, ‘would’, ‘should’, ‘might’ or ‘will’ be taken, occur or be achieved. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. This forward-looking information is based on management’s opinions, estimates and assumptions that, while considered by NorthStar to be appropriate and reasonable as of the date of this press release, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, levels of activity, performance, or achievements to be materially different from those expressed or implied by such forward- looking information. Such factors include, among others, the following: risks related to the Company’s business and financial position; risks associated with general economic conditions; adverse industry risks; future legislative and regulatory developments; the ability of the Company to implement its business strategies; and those factors discussed in greater detail under the ‘Risk Factors’ section of the Company’s most recent annual information form, which is available under NorthStar’s profile on SEDAR+ at www.sedarplus.ca. Many of these risks are beyond the Company’s control.
If any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions underlying the forward-looking information prove incorrect, actual results or future events might vary materially from those anticipated in the forward-looking statements. Although the Company has attempted to identify important risk factors that could cause actual results to differ materially from those contained in the forward-looking statements, there may be other risk factors not presently known to the Company or that the Company presently believes are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking statements. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. No forward-looking statement is a guarantee of future results. Accordingly, you should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this press release represents NorthStar’s expectations as of the date specified herein, and are subject to change after such date. However, the Company disclaims any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws.
All of the forward-looking information contained in this press release is expressly qualified by the foregoing cautionary statements.
For further information:
Company Contact:
Corey Goodman
Chief Development Officer 647-530-2387
investorrelations@northstargaming.ca
Investor Relations:
RB Milestone Group LLC (RBMG)
Northstar@rbmilestone.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/251431
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Saga Metals Corp. (‘SAGA’ or the ‘Company’) (TSXV: SAGA) (OTCQB: SAGMF) (FSE: 20H) a North American exploration company specializing in the discovery of critical minerals, is pleased to announce the addition of 97 new claims covering 2,425 hectares, increasing the total area of the Radar Ti-V-Fe Project to 24,175 hectares.
The Company’s 100%-owned Radar Property is strategically located just 10 kilometres from the coastal city of Cartwright, Labrador. The location offers excellent infrastructure advantages, including:
- Road access
- Deep-water port on the Atlantic Ocean
- Cartwright Airport
- Proximity to hydroelectric power
With the recent expansion, the Radar Property now fully encompasses the Dykes River intrusive complex, a recently identified Mesoproterozoic layered mafic intrusion (Gower, 2017). The complex has garnered significant interest due to its geological resemblance to large AMCG-type intrusions and the presence of an extensive titanium-vanadium-iron (Ti-V-Fe) enriched layer containing vanadiferous titanomagnetite (‘VTM’).
Regional airborne magnetic surveys highlighted the mafic oxide layer, revealing an arcuate exploration target extending over 20 kilometers in length.
Michael Garagan, CGO & Director of SAGA commented: ‘To lay claim to the entire Dykes River Intrusion is an important milestone for SAGA and its shareholders. Throughout history, many of these mineralized geological settings have been shared amongst multiple companies vying to advance their projects. It’s a unique and significant opportunity to hold the entire 160 square km intrusion mapped at the surface and benefits from tremendous infrastructure. The claim acquisition consolidates the entire intrusion and allows the company to delegate zones for both additional infrastructure and further exploration. We’ve only just begun uncovering the true potential and extent of the oxide layering hosted within the intrusion.’
Figure 1: Map of the Radar project highlighting the oxide layering, road access, and proximity to the town of Cartwright, Labrador. SAGA’s 2024 field programs now confirm compilation of historical airborne geophysics.
Saga Metals Confirms Geological Success with Drilling:
The Company recently reported assays from the first two of seven holes drilled on the Hawkeye zone of the Radar Ti-V-Fe property. Please click here to review the full press release on drill holes #1 and #4. Highlights are listed below.
Highlights:
- Drilled 2,200m confidently testing targets down to a depth of 200 meters, covering a 500-meter by 350-meter target panel.
- Winter program analytical results have been obtained for the first two diamond drill holes.
- Petrographic analysis and the new assays confirm that the main economic mineral is a vanadiferous titanomagnetite (‘VTM’), which is prospective for simplified metallurgical processing.
- Exceptional intercepts of VTM included 31.5m @ 25.95% Fe + 5.34% TiO 2 + 0.28% V 2 O 5 in HEZ-01 and 50m @ 24.49% Fe + 4.74% TiO 2 + 0.305 % V 2 O 5 in HEZ-04.
- Massive high-grade VTM samples including HEZ-01 with 0.3m @ 39.5% Fe + 9.4% TiO 2 + 0.339% V 2 O 5 and HEZ-01 with 0.5m @ 43.0% Fe + 9% TiO 2 + 0.512% V 2 O 5 .
- Drilling intercepts average 20-40% VTM, and particular massive layers exceed 60% VTM.
- Drilling to vertical depths of 200 meters confirms magnetic anomalies identified by geophysics.
- Initial drilling covers just 1/40th of the identified 20 km strike extent of the oxide layering zone in the Dykes River intrusion.
Drilling also confirmed massive to semi-massive oxide layering, hosting VTM mineralization, with significant widths up to 210 meters within the drill core. The geological context identified by Dr. Al Miller’s petrographic studies substantially advanced the understanding of Radar Property mineralization. These findings indicate that the VTM mineralization system is advantageous for simplified metallurgical processing and potentially improves economic outcomes.
Figure 2: The prospective oxide layering zone on the Radar property extends for an inferred 20km strike length, as shown on a compilation of historical airborne geophysics, which SAGA confirmed in the 2024 field programs.
Figure 3: Hawkeye Zone displays a 500m strike by 350m width magnetic anomaly drilled in the winter 2025 program. (2024 Saga Metals. TMI Magnetic Survey).
Given the success of the maiden drill program within the Hawkeye zone over a 500 m strike and the strong correlation between drill core, rock samples and geophysics (Figure 3), SAGA plans to repeat this model over the five priority targets along the 20 km strike length of the oxide layer. The geophysical anomaly drilled in the Hawkeye zone is potentially one of the lesser anomalies. Early indications from geophysics being conducted over the Trapper zone report an even stronger magnetic response.
Qualified Person
Paul J. McGuigan, P. Geo. is an Independent Qualified Person as defined under National Instrument 43-101 and has reviewed and approved the technical information related to the Radar Ti-V-Fe Project disclosed in this news release.
About Saga Metals Corp.
Saga Metals Corp. is a North American mining company focused on the exploration and discovery of critical minerals that support the global transition to green energy. The company’s flagship asset, the Double Mer Uranium Project, is located in Labrador, Canada, covering 25,600 hectares. This project features uranium radiometrics that highlight an 18km east-west trend, with a confirmed 14km section producing samples as high as 0.428% U 3 O 8 and uranium uranophane was identified in several areas of highest radiometric response (2024 Double Mer Technical Report).
In addition to its uranium focus, SAGA owns the Legacy Lithium Property in Quebec’s Eeyou Istchee James Bay region. This project, developed in partnership with Rio Tinto, has been expanded through the acquisition of the Amirault Lithium Project. Together, these properties cover 65,849 hectares and share significant geological continuity with other major players in the area, including Rio Tinto, Winsome Resources, Azimut Exploration, and Loyal Lithium.
SAGA also holds additional exploration assets in Labrador, where the company is focused on the discovery of titanium, vanadium, and iron ore. With a portfolio that spans key minerals crucial to the green energy transition, SAGA is strategically positioned to play an essential role in the clean energy future.
On Behalf of the Board of Directors
Mike Stier, Chief Executive Officer
For more information, contact:
Saga Metals Corp.
Investor Relations
Tel: +1 (778) 930-1321
Email: info@SAGAmetals.com
www.SAGAmetals.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this release. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Disclaimer
This news release contains forward-looking statements within the meaning of applicable securities laws that are not historical facts. Forward-looking statements are often identified by terms such as ‘will’, ‘may’, ‘should’, ‘anticipates’, ‘expects’, ‘believes’, and similar expressions or the negative of these words or other comparable terminology. All statements other than statements of historical fact, included in this release are forward-looking statements that involve risks and uncertainties. In particular, this news release contains forward-looking information pertaining to the Company’s Radar Ti-V-Fe project. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include, but are not limited to, changes in the state of equity and debt markets, fluctuations in commodity prices, delays in obtaining required regulatory or governmental approvals, environmental risks, limitations on insurance coverage, risks and uncertainties involved in the mineral exploration and development industry, and the risks detailed in the Company’s final prospectus in Manitoba and amended and restated final prospectus for British Columbia, Alberta and Ontario dated August 30, 2024, filed under its SEDAR+ profile at www.sedarplus.ca, and in the continuous disclosure filings made by the Company with securities regulations from time to time. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward-looking statements only as expressly required by applicable law.
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/e5fcaa32-0144-4ab1-8675-6311908d44c5
https://www.globenewswire.com/NewsRoom/AttachmentNg/4d825e7b-917e-4d9b-a851-f4e0bb4edee0
https://www.globenewswire.com/NewsRoom/AttachmentNg/19f0eab7-33e1-4997-b231-965227540f9a
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Group Eleven Resources Corp. (TSXV: ZNG) (OTC Pink: GRLVF) (FSE: 3GE) (‘Group Eleven’ or the ‘Company’) is pleased to announce assay results from four new holes from the ongoing drill program at the Company’s 100%-owned Ballywire zinc-lead-silver discovery (‘Ballywire’), PG West Project (‘PG West’), Republic of Ireland.
Highlights:
- 25-3552-31, a 65m step-out hole, intersected two strongly mineralized horizons:
- Cu-Ag horizon (starting at 348.7m downhole)
- 19.9m of 1.46% Cu and 356 g/t Ag, including
- 12.0m of 2.30% Cu and 560 g/t Ag, including
- 6.4m of 3.72% Cu and 838 g/t Ag
- Zn-Pb-Ag horizon (starting at 297.0m downhole)
- 47.1m of 4.5% Zn+Pb (3.1% Zn and 1.4% Pb) and 22 g/t Ag, including
- 25.9m of 7.4% Zn+Pb (5.1% Zn and 2.3% Pb) and 35 g/t Ag, including
- 12.9m of 11.0% Zn+Pb (7.7% Zn and 3.2% Pb) and 57 g/t Ag, including
- 3.7m of 20.4% Zn+Pb (15.8% Zn and 4.6% Pb) and 151 g/t Ag
- Cu-Ag horizon (starting at 348.7m downhole)
- Up to 10.45% Cu (over 0.80m) and up to 1,880 g/t Ag (over 0.86m) intersected in the Cu-Ag horizon; to the Company’s knowledge, this represents the highest-grade Ag intercept in Ireland over the last >60 years (by any operator) and similarly, one of the highest-grade Cu intercepts
- Cu-Ag horizon consists of replacement-style mineralization along the base of the Waulsortian Limestone in proximity to a fault structure; mineralization appears to consist mostly of tennantite-tetrahedrite (detailed mineralogy work to be undertaken in due course)
- Noteworthy is the presence of elevated antimony in the Cu-Ag zone, grading 0.27% Sb within the above 6.4m interval (including 0.80m of 10.45% Cu, 1215 g/t Ag and 0.83% Sb)
- This hole expands the footprint of the 2.6km long discovery trend by at least 65m down-dip, to a total of at least 170m down-dip along this section (and remains open further down-dip)
- Drilling continues at Ballywire with two rigs testing (i) the NE extension and (ii) 1.3km ENE of the Ballywire discovery in the vicinity of the prospective ‘D’ gravity-high anomaly; a third rig was added this week, testing the deeper Cu-Ag target (below the Waulsortian Limestone)
‘Intersecting spectacular copper-silver grades over significant thicknesses is a pivotal moment for the Ballywire discovery,’ stated Bart Jaworski, CEO. ‘These results not only strongly point to a stratigraphically deeper Cu-Ag horizon but also represent a proof of concept that substantial grades and thicknesses of copper and silver exist at the discovery, in addition to excellent grades of Zn-Pb. The growing presence of critical minerals at Ballywire, namely, copper, germanium and now potentially antimony, highlights the rising strategic importance of this discovery for Ireland, the EU and our shareholders. With today’s Cu-Ag milestone, continued drilling to the NE and along our prospective 6km trend, plus the start of drilling with our third rig, we are poised to further grow shareholder value as the year progresses.’
Exhibit 1. Cross-Section Showing New Drilling (25-3552-31) at Ballywire Discovery
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit1.jpg
Note: True width of mineralized intervals in 25-3552-31, as a percent of down-hole interval, is estimated to be 50-70%
Exhibit 2. Plan Map Showing New Drilling and Intersected High-Grade Cu-Ag Mineralization
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit2.jpg
New Step-Out Holes at Ballywire Discovery
The Ballywire prospect at the Company’s 100%-owned PG West Project in Republic of Ireland, represents the most significant mineral discovery in Ireland in over a decade. First announced in Sept-2022, the discovery has 52 holes drilled and reported by Group Eleven to date, including the most recent four holes (25-3552-30, -31, -32, and -33) reported today (see Exhibits 1 to 7).
High-grade Zn-Pb mineralization from 25-3552-31 (see Page 1 and Exhibits 1 to 4) consists predominantly of sphalerite, galena and pyrite. High-grade Cu-Ag mineralization in this hole consists of suspected tennantite/tetrahedrite, chalcopyrite, sphalerite, galena and pyrite along and/or close to the base of the Waulsortian Limestone (see Exhibit 1). Noteworthy is the presence of elevated antimony within the Cu-Ag zone. For example, the 6.39m interval below, grading 3.72% Cu and 838 g/t Ag, also grades 0.27% Sb (including 0.80m of 10.45% Cu, 1215 g/t Ag and 0.83% Sb).
Exhibit 3. Summary of Assays from 25-3552-31 at Ballywire
| Item | From (m) |
To (m) |
Int (m) |
Zn (%) |
Pb (%) |
Zn+Pb (%) |
Ag (g/t) |
Cu (%) |
| 25-3552-31 | 155.00 | 155.84 | 0.84 | 8.41 | 1.70 | 10.11 | 93.8 | – |
| And | 188.89 | 192.61 | 3.72 | 2.34 | 0.22 | 2.56 | 11.9 | – |
| Incl. | 190.82 | 191.75 | 0.93 | 4.77 | 0.45 | 5.22 | 25.2 | – |
| And | 296.95 | 344.07 | 47.12 | 3.13 | 1.37 | 4.50 | 21.6 | – |
| Incl. | 300.76 | 301.70 | 0.94 | 5.21 | 0.72 | 5.93 | 13.9 | – |
| And | 309.07 | 334.96 | 25.89 | 5.10 | 2.27 | 7.37 | 35.4 | – |
| Incl. | 310.00 | 322.88 | 12.88 | 7.72 | 3.24 | 10.95 | 57.4 | – |
| Incl. | 315.49 | 319.20 | 3.71 | 15.81 | 4.56 | 20.37 | 151.1 | – |
| And | 347.79 | 370.42 | 22.63 | 0.47 | 0.51 | 0.98 | 315.8 | 1.30 |
| Incl. | 348.71 | 368.60 | 19.89 | 0.49 | 0.57 | 1.07 | 356.5 | 1.46 |
| Incl. | 348.71 | 360.73 | 12.02 | 0.59 | 0.79 | 1.38 | 560.1 | 2.30 |
| Incl. | 353.39 | 360.73 | 7.34 | 0.68 | 1.27 | 1.95 | 768.0 | 3.36 |
| Incl. | 354.34 | 360.73 | 6.39 | 0.65 | 1.46 | 2.11 | 838.0 | 3.72 |
| Incl. | 354.34 | 355.20 | 0.86 | 0.77 | 0.06 | 0.83 | 1880.0 | 5.73 |
| And | 355.20 | 356.09 | 0.89 | 0.09 | 0.02 | 0.11 | 516.0 | 1.12 |
| And | 356.09 | 357.02 | 0.93 | 0.40 | 8.47 | 8.87 | 399.0 | 1.16 |
| And | 357.02 | 357.98 | 0.96 | 0.36 | 1.15 | 1.51 | 128.0 | 1.19 |
| And | 357.98 | 358.78 | 0.80 | 2.44 | 0.21 | 2.65 | 1215.0 | 10.45 |
| And | 358.78 | 359.84 | 1.06 | 0.33 | 0.06 | 0.38 | 979.0 | 3.92 |
| And | 359.84 | 360.73 | 0.89 | 0.45 | 0.03 | 0.48 | 871.0 | 3.52 |
Note: True width of the mineralized interval in hole 25-3552-31, as a percentage of the down-hole interval, is estimated to be 50-70%; for photographs of Cu-Ag rich core, see Appendix and www.groupelevenresources.com.
Three other holes released today were drilled in a 150m gap to the NE of 25-3552-31 (25-3552-30, -32 and -33; see Exhibit 2). Hole 25-3552-30 returned nil mineralization, 25-3552-32 returned three intervals of mineralization up to 0.94m of 2.4% Zn+Pb (0.9% Zn and 1.5% Pb) and 8 g/t Ag, and 25-3552-33 returned three intervals of mineralization up to 0.82m of 2.9% Zn+Pb (1.1% Zn and 1.8% Pb) and 7 g/t Ag. These zones of mineralization are narrower and weaker than those at the main discovery trend but generally in line with recent holes drilled further to the ENE (see holes G11-3552-24, -26 and 28 in news release dated 25-Mar-2025). Disseminated copper mineralization, as well as, mineralized veins and fractures, is strengthening towards the north, suggesting massive sulphide mineralization may be present further north (see northern-most purple line in Exhibit 4). A second mineralized trend is also emerging to the south where the interpreted Cu-Ag rich ‘feeder’ fault pierced by drilling along the main discovery trend appears to correlate with mineralization approx. 350m along strike to the ENE, intersected in G11-3552-08 (see solid and dashed purple lines in Exhibit 4). Drilling is ongoing in the NE area to test the above targets.
Copper-Silver Target
Today’s results add to a growing body of evidence that support the interpretation of a Cu-Ag ‘feeder’ fault parallel to and spatially associated with the main Zn-Pb-Ag discovery at Ballywire (see Exhibit 4). With up to 10.45% Cu and 1,880 g/t Ag in a mineralized horizon near a steeply dipping structure, mineralizing fluids are interpreted to have emanated from deeper in the sedimentary sequence (see Exhibit 5). Meanwhile, the stratigraphy of the region suggests that the Lower Limestone Shale horizon exists approximately 100-200m below the discovery horizon (base of the Waulsortian Limestone). This horizon hosts four well known Cu-Ag historic occurrences in the surrounding area (see Denison, Oola, Gortdrum and Tullacondra in Exhibit 8, located approx. 5km, 9km, 10km and 45km away from Ballywire, respectively).
These historic Cu-Ag occurrences can be interpreted as the eroded remnants of originally more vertically extensive mineralizing systems, likely representing the roots of stratigraphically higher Zn-Pb-Ag mineralization. At Ballywire, the mineralizing system has the potential to be much larger than its neighbouring occurrences (based on a relatively larger footprint to date); additionally, any Cu-Ag mineralization would notionally be intact below the existing Zn-Pb-Ag mineralization.
Given the compelling nature of this exploration model, Group Eleven added a third rig and began drilling this deeper Cu-Ag target this week.
Exhibit 4. Plan Map Showing Interpreted Cu-Ag ‘Feeder’ at Ballywire
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit4.jpg
Exhibit 5. Cross-Section Showing Hypothesized Cu-Ag Mineralization in the Lower Limestone Shale
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit5.jpg
Exhibit 6. Oblique 3D View of Cu-Ag Mineralization at Ballywire
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit6.jpg
Note: Bodies shown (calcite, Zn-Pb-Ag and Cu-Ag) are not constrained by any grade cut-off and are meant for illustrative purposes only
Exhibit 7. Regional Gravity at Ballywire Showing 6km Long Prospective Trend
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit7.jpg
Notes to Exhibit 8: (a) Pallas Green MRE is owned by Glencore (see Glencore’s Resources and Reserves Report dated December 31, 2024); (b) Stonepark MRE: see the ‘NI 43-101 Independent Report on the Zinc-Lead Exploration Project at Stonepark, County Limerick, Ireland’, by Gordon, Kelly and van Lente, with an effective date of April 26, 2018, as found on SEDAR; and (c) the historic estimate at Denison was reported by Westland Exploration Limited in ‘Report on Prospecting Licence 464’ by Dermot Hughes dated May, 1988; the historic estimate at Gortdrum was reported in ‘The Geology and Genesis of the Gortdrum Cu-Ag-Hg Orebody’ by G.M. Steed dated 1986; and the historic estimate at Tullacondra was first reported by Munster Base Metals Ltd in ‘Report on Mallow Property’ by David Wilbur, dated December 1973; and later summarized in ‘Cu-Ag Mineralization at Tullacondra, Mallow, Co. Cork’ by Wilbur and Carter in 1986; the above three historic estimates have not been verified as current mineral resources; none of the key assumptions, parameters and methods used to prepare the historic estimates were reported and no resource categories were used; significant data compilation, re-drilling and data verification may be required by a Qualified Person before the historic estimates can be verified and upgraded to be compliant with current NI 43-101 standards; a Qualified Person has not done sufficient work to classify them as a current mineral resource and the Company is not treating the historic estimates as current mineral resources. ‘Rathdowney Trend’ is the south-westerly projection of the Rathdowney Trend, hosting the historic Lisheen and Galmoy mines.
Exhibit 8. Regional Map of Ballywire Discovery and Surrounding Cu-Ag Historic Occurrences
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_exhibit8.jpg
Qualified Person
Technical information in this news release has been approved by Professor Garth Earls, Eur Geol, P.Geo, FSEG, geological consultant at IGS (International Geoscience Services) Limited, and independent ‘Qualified Person’ as defined under Canadian National Instrument 43-101.
Sampling and Analytical Procedures
All core drilled at Ballywire is NQ (47.6mm) and is cut using a rock saw. Sample intervals vary between 0.42m to 1.3m with the majority of samples in the 0.79m to 0.99m range. The half-core samples are bagged, labelled and sealed at Group Elevens core store facility in Limerick, Ireland. Selected sample bags are examined by the Qualified Person. Transport is via an accredited courier service and/or by Group Eleven staff to ALS Laboratories in Loughrea Co. Galway, Ireland. Sample preparation at the ALS facility comprises fine crushing 70%
Quality Assurance/Quality Control (QA/QC) Information
Group Eleven inserts certified reference materials (‘CRMs’ or ‘Standards’) as well as blank material, to its sample stream as part of its industry-standard QA/QC programme. The QC results have been reviewed by the Qualified Person, who is satisfied that all the results are within acceptable parameters. The Qualified Person has validated the sampling and chain of custody protocols used by Group Eleven.
About Group Eleven Resources
Group Eleven Resources Corp. (TSXV: ZNG) (OTC Pink: GRLVF) (FSE: 3GE) is drilling the most significant mineral discovery in the Republic of Ireland in over a decade. The Company announced the Ballywire discovery in September 2022, demonstrating high grades of zinc, lead, silver, copper, germanium and locally, antimony. Key intercepts to date include:
- 10.8m of 10.0% Zn+Pb and 109 g/t Ag (G11-468-03)
- 10.1m of 8.6% Zn+Pb and 46 g/t Ag (G11-468-06)
- 10.5m of 14.7% Zn+Pb, 399 g/t Ag and 0.31% Cu (G11-468-12)
- 11.2m of 8.9% Zn+Pb and 83 g/t Ag (G11-3552-03)
- 29.6m of 10.6% Zn+Pb, 78 g/t Ag and 0.15% Cu (G11-3552-12) and
- 11.8m of 11.6% Zn+Pb, 48 g/t Ag (G11-3552-18)
- 15.6m of 11.6% Zn+Pb, 122 g/t Ag and 0.19% Cu (G11-3552-27)
- 12.0m of 1.4% Zn+Pb, 560 g/t Ag, 2.30% Cu and 0.17% Sb (25-3552-31), including
- 6.4m of 2.1% Zn+Pb, 838 g/t Ag, 3.72% Cu and 0.27% Sb (25-3552-31)
Ballywire is located 20km from Company’s 77.64%-owned Stonepark zinc-lead deposit1, which itself is located adjacent to Glencore’s Pallas Green zinc-lead deposit2. The Company’s two largest shareholders are Glencore Canada Corp. (16.1% interest) and Michael Gentile (16.0%). Additional information about the Company is available at www.groupelevenresources.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Bart Jaworski, P.Geo.
Chief Executive Officer
E: b.jaworski@groupelevenresources.com | T: +353-85-833-2463
E: j.webb@groupelevenresources.com | T: 604-644-9514
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Information
This press release contains forward-looking statements within the meaning of applicable securities legislation. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of the Company, including the timing, content, cost and results of proposed work programs, the discovery and delineation of mineral deposits/resources/ reserves and geological interpretations. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-Looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located. All of the Company’s public disclosure filings may be accessed via www.sedarplus.ca and readers are urged to review these materials, including the technical reports filed with respect to the Company’s mineral properties.
APPENDIX – CORE PHOTOS
COPPER-SILVER ZONE IN HOLE 25-3551-31
(With Key Assay Results and Brief Descriptions of Key Mineralogy)
Core Boxes 103-105
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_009full.jpg
Core Boxes 106-108
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_010full.jpg
Core Boxes 109-111
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_011full.jpg
(1) Close-Up Core Photo
Above: Dolomitized Waulsortian Limestone, cross-cut by sulphide bearing veins (suspected tennatite-tetrahedrite, chalcopyrite and/or pyrite)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_012full.jpg
(2) Close-Up Core Photo
Above: Suspected tennantite/tetrahedrite (grey), chalcopyrite and pyrite (yellow) and calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_013full.jpg
(3) Close-Up Core Photo
Above: Chalcopyrite with some pyrite (yellow) and suspected tennantite/tetrahedrite (grey), calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_014full.jpg
(4) Close-Up Core Photo
Above: Semi-massive chalcopyrite and pyrite (yellow), galena (reflective grey)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_015full.jpg
(5) Close-Up Core Photo
Above: Waulsortian Limestones (grey), calcite (white), pyrite and chalcopyrite (yellow)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_016full.jpg
(6) Close-Up Core Photo
Above: Suspected tennantite and tetrahedrite (dark grey), chalcopyrite (yellow), calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_017full.jpg
(6a) Close-Up Core Photo
Above: Suspected tennantite and tetrahedrite (dark grey), chalcopyrite (yellow), calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_018full.jpg
(7) Close-Up Core Photo
Above: Suspect tennantite and tetrahedrite (dark grey), chalcopyrite (yellow), calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_019full.jpg
(8) Close-Up Core Photo
Above: Chalcopyrite (yellow), suspected tennantite/tetrahedrite (grey), calcite (white)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_020full.jpg
(9) Close-Up Core Photo
Above: Fault zone (juxtaposing sub-Waulsortian lithologies against Waulsortian Limestone)
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5685/251260_d0b183a384f7ba3f_021full.jpg
1 Stonepark MRE is 5.1 million tonnes of 11.3% Zn+Pb (8.7% Zn and 2.6% Pb), Inferred (Apr-17-2018)
2 Pallas Green MRE is 45.4 million tonnes of 8.4% Zn+Pb (7.2% Zn + 1.2% Pb), Inferred (Glencore, Dec-31-2024)
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/251260
News Provided by Newsfile via QuoteMedia
This post appeared first on investingnews.com
Alvopetro Energy Ltd. (TSXV: ALV) (OTCQX: ALVOF) announces an operational update, financial results for the three months ended March 31, 2025 and details for both our Q1 2025 earnings call and our upcoming annual general and special meeting.
All references herein to $ refer to United States dollars, unless otherwise stated and all tabular amounts are in thousands of United States dollars, except as otherwise noted.
President & CEO, Corey C. Ruttan commented:
‘A 41% increase in Q1 2025 sales volumes provides a strong start to the year and we are well positioned for an exciting organically funded 2025 capital program. We now have the ability to invest in high rate of return opportunities in Brazil and the Western Canadian Sedimentary Basin. Our first two wells in Canada are exceeding expectations and we are looking forward to an expanding capital program including a strong inventory of oil drilling locations. These new opportunities further strengthen our disciplined capital allocation model, balancing returns to stakeholders and organic growth.’
Operational Update
April Sales Volumes
|
Natural gas, NGLs and crude oil sales: |
April 2025 |
March 2025 |
Q1 2025 |
|
Brazil: |
|||
|
Natural gas (Mcfpd), by field: |
|||
|
Caburé |
12,532 |
12,652 |
11,710 |
|
Murucututu |
945 |
1,877 |
2,093 |
|
Total natural gas (Mcfpd) |
13,477 |
14,529 |
13,803 |
|
NGLs (bopd) |
126 |
146 |
135 |
|
Oil (bopd) |
– |
12 |
10 |
|
Total (boepd) – Brazil |
2,372 |
2,580 |
2,446 |
|
Canada: |
|||
|
Oil (bopd) – Canada |
90 |
– |
– |
|
Total Company – boepd (1) |
2,462 |
2,580 |
2,446 |
|
(1) Alvopetro reported volumes are based on sales volumes which, due to the timing of sales deliveries, may differ from production volumes. |
April sales volumes in Brazil averaged 2,372 boepd, including natural gas sales of 13.5 MMcfpd and associated natural gas liquids sales from condensate of 126 bopd, based on field estimates. Murucututu sales volumes were impacted by downtime on the 183-A3 well to complete an intervention to enhance productivity through the isolation of lower intervals. In Canada , the two wells drilled in the first quarter of 2025 came on production in April (50% working interest). After the initial clean-up period, oil sales commenced contributing an additional 90 bopd net to Alvopetro in April and bringing the Company’s total sales to 2,462 boepd, based on field estimates, a decrease of 5% compared to March and an increase of 1% compared to Q1.
Quarterly Natural Gas Pricing Update
Effective May 1, 2025 , our natural gas price under our long-term gas sales agreement with Bahiagás has been adjusted to BRL2.08 /m 3 , a 7% increase from the February 2025 price of BRL1.95 /m 3 . All natural gas sales from May 1, 2025 to July 31, 2025 will be sold at BRL2.08 /m 3 ( $11.09 /Mcf, net of applicable sales taxes, based on average heat content to date and the April 30, 2025 BRL/USD exchange rate of 5.66).
Development Activities – Brazil
On our 100% Murucututu natural gas field, we spud the 183-D4 well targeting the Caruaçu Formation approximately 110 metres structurally updip of our 183-A3 success. Operational challenges associated with the drilling rig led to significant delays and while drilling the main target Caruaçu intervals we became differentially stuck ultimately resulting in the loss of the bottom hole assembly. We are currently drilling a sidetrack of the lower 680 metres of the well. We estimate total costs for the project of $7.7 million , of which $3.7 million was incurred in Q1 2025.
On the unitized area (the ‘Unit’) which includes the Caburé natural gas field, we have five development wells planned for 2025, with the first wells expected to be drilled starting this quarter.
Western Canadian Strategic Entry
On February 5, 2025 , we announced a new strategic entry into Canada (the ‘Farmin’). Under the Farmin we agreed to fund 100% of two earning wells in exchange for a 50% non-operated working interest in 12,243 acres of land focused on the Mannville Stack heavy oil resource in Western Saskatchewan . This is currently one of the leading plays in the Western Canadian Sedimentary Basin with high original oil place reservoirs that are being effectively exploited using open hole multilateral drilling technology. Our objective with the strategic entry into Canada was to expand our inventory of highly prospective opportunities but with a differentiated risk profile. The early results from our first two earning wells in Western Canada demonstrate this vision. Within 45 days of finalizing the Farmin, with our partner, we had obtained two well licenses, surface access, constructed two well pads and drilled two multilateral wells with a total of over 15 kilometres of open hole reservoir contact. When we completed the Farmin we had established a gross initial production rate target of 100 to 120 bopd per well. Both earning wells were on production by early April and both are exceeding our pre-Farmin expectations. We have further expanded our joint Mannville focused land base up to 15,861 acres (7,931 acres net) and are looking forward to drilling up to an additional four (2.0 net) multilateral wells through the rest of 2025.
Financial and Operating Highlights – First Quarter of 2025
- Alvopetro’s updated long-term gas sales agreement came into effect on January 1, 2025 increasing our contracted firm volumes by 33%. As a result, our average daily sales increased to 2,446 boepd (1) in Q1 2025 (+44% from Q1 2024 and +41% from Q4 2024).
- Our average realized natural gas price decreased to $10.44 /Mcf in Q1 2025 (-17% from Q1 2024 and -1% from Q4 2024), due mainly to the devaluation of the BRL relative to the USD, which depreciated 18% compared to the average rate in Q1 2024. Our overall averaged realized sales price was $63.67 per boe (-16% from Q1 2024).
- With higher sales volumes, our natural gas, oil and condensate revenue increased to $14.0 million (+19% from Q1 2024 and +37% from Q4 2024).
- Our operating netback (2) in the quarter was $50.77 per boe (- $15.39 per boe from Q1 2024 and – $4.32 per boe from Q4 2024), due mainly to additional royalties in the quarter as well as lower realized sales prices. Royalties in the quarter increased to $7.60 per boe due to the recognition of additional gross-overriding royalty (‘GORR’) applicable on certain properties held by Alvopetro. The computation of the GORR was in dispute with the GORR holders, mainly with respect to the computation on natural gas. Subsequent to March 31, 2025 , Alvopetro received the findings of the appointed arbitral tribunal wherein the tribunal found in favour of the GORR holders. Alvopetro has estimated the additional GORR owing pursuant to the decision and recognized such amount (including inflation) as additional royalties in Q1 2025 as well as the estimated interest owing on the balance outstanding as finance expense. The computation of the additional GORR remains subject to the approval of, and adjustment by, the tribunal.
- We generated funds flows from operations (2) of $9.2 million ( $0.25 per basic share and $0.24 per diluted share), increases of $0.7 million compared to Q1 2024 and $2.3 million compared to Q4 2024 due mainly to higher sales volumes, partially offset by higher royalties and lower realized sale prices.
- We reported net income of $6.1 million , an increase of $1.5 million compared to Q1 2024 due to higher revenues and foreign exchange gains (compared to foreign exchange losses in Q1 2024), partially offset by higher royalties and higher depletion and depreciation.
- On February 5, 2025 , we announced the terms of a Canadian farmin agreement (the ‘Farmin’), pursuant to which Alvopetro agreed to fund 100% of two earning wells in exchange for a 50% non-operated working interest in 12,243 acres (6,122 net acres) of land in Western Saskatchewan . The two earning wells were drilled in the quarter at a total cost to Alvopetro of $2.6 million . With completion of the two earning wells, Alvopetro’s working interest share is now 50%.
- Capital expenditures totaled $8.4 million , including costs for the two wells drilled in Canada , final costs on the 183-B1 re-entry, and costs associated with drilling the 183-D4 well on Alvopetro’s 100% Murucututu field.
- Our working capital (2) surplus was $9.7 million as of March 31, 2025 , decreasing $3.4 million from December 31, 2024 .
|
(1) Alvopetro reported volumes are based on sales volumes which, due to the timing of sales deliveries, may differ from production volumes. |
|
(2) Refer to the sections entitled ‘ Non-GAAP and Other Financial Measures ‘. |
The following table provides a summary of Alvopetro’s financial and operating results for the periods noted. The consolidated financial statements with the Management’s Discussion and Analysis (‘MD&A’) are available on our website at www.alvopetro.com and will be available on the SEDAR+ website at www.sedarplus.ca .
|
As at and Three Months Ended March 31, |
||||||
|
2025 |
2024 |
Change (%) |
||||
|
Financial |
||||||
|
($000s, except where noted) |
||||||
|
Natural gas, oil and condensate sales |
14,013 |
11,752 |
19 |
|||
|
Net income |
6,070 |
4,550 |
33 |
|||
|
Per share – basic ($) (1) |
0.16 |
0.12 |
33 |
|||
|
Per share – diluted ($) (1) |
0.16 |
0.12 |
33 |
|||
|
Cash flows from operating activities |
8,817 |
8,213 |
7 |
|||
|
Per share – basic ($) (1) |
0.24 |
0.22 |
9 |
|||
|
Per share – diluted ($) (1) |
0.23 |
0.22 |
5 |
|||
|
Funds flow from operations (2) |
9,222 |
8,513 |
8 |
|||
|
Per share – basic ($) (1) |
0.25 |
0.23 |
9 |
|||
|
Per share – diluted ($) (1) |
0.24 |
0.23 |
4 |
|||
|
Dividends declared |
3,643 |
3,296 |
11 |
|||
|
Per share (1) (2) |
0.10 |
0.09 |
11 |
|||
|
Capital expenditures |
8,375 |
2,439 |
243 |
|||
|
Cash and cash equivalents |
17,264 |
17,450 |
(1) |
|||
|
Net working capital (2) |
9,742 |
15,047 |
(35) |
|||
|
Weighted average shares outstanding |
||||||
|
Basic (000s) (1) |
37,312 |
37,282 |
– |
|||
|
Diluted (000s) (1) |
37,752 |
37,693 |
– |
|||
|
As at and Three Months Ended March 31, |
||||||
|
2025 |
2024 |
Change |
||||
|
Operations |
||||||
|
Average daily sales volumes (3) : |
||||||
|
Natural gas (Mcfpd), by field: |
||||||
|
Caburé (Mcfpd) |
11,710 |
9,236 |
27 |
|||
|
Murucututu (Mcfpd) |
2,093 |
430 |
387 |
|||
|
Total natural gas (Mcfpd) |
13,803 |
9,666 |
43 |
|||
|
NGLs – condensate (bopd) |
135 |
78 |
73 |
|||
|
Oil (bopd) |
10 |
12 |
(17) |
|||
|
Total (boepd) |
2,446 |
1,701 |
44 |
|||
|
Average realized prices (2) : |
||||||
|
Natural gas ($/Mcf) |
10.44 |
12.57 |
(17) |
|||
|
NGLs – condensate ($/bbl) |
81.05 |
87.89 |
(8) |
|||
|
Oil ($/bbl) |
64.96 |
65.06 |
– |
|||
|
Total ($/boe) |
63.67 |
75.94 |
(16) |
|||
|
Operating netback ($/boe) (2) |
||||||
|
Realized sales price |
63.67 |
75.94 |
(16) |
|||
|
Royalties |
(7.60) |
(2.02) |
276 |
|||
|
Production expenses |
(5.30) |
(7.76) |
(32) |
|||
|
Operating netback |
50.77 |
66.16 |
(23) |
|||
|
Operating netback margin (2) |
80 % |
87 % |
(8) |
|||
Notes:
|
(1) |
Per share amounts are based on weighted average shares outstanding other than dividends per share, which is based on the number of common shares outstanding at each dividend record date. The weighted average number of diluted common shares outstanding in the computation of funds flow from operations and cash flows from operating activities per share is the same as for net income per share. |
|
(2) |
See ‘Non-GAAP and Other Financial Measures’ section within this news release. |
|
(3) |
Alvopetro reported volumes are based on sales volumes which, due to the timing of sales deliveries, may differ from production volumes. |
Q1 2025 Results Webcast
Alvopetro will host a live webcast to discuss our Q1 2025 financial results at 8:00 am Mountain time on Thursday May 8, 2025. Details for joining the event are as follows:
DATE: May 8, 2025
TIME : 8:00 AM Mountain/ 10:00 AM Eastern
LINK: https://us06web.zoom.us/j/83279531812 https://us06web.zoom.us/j/84476502014
DIAL-IN NUMBERS: https://us06web.zoom.us/u/kcHhjt9Duj
WEBINAR ID : 844 7650 2014
The webcast will include a question-and-answer period. Online participants will be able to ask questions through the Zoom portal. Dial-in participants can email questions directly to socialmedia@alvopetro.com .
Annual General Meeting
Alvopetro’s annual general and special meeting (the ‘Meeting’) will be held on Wednesday, June 18, 2025 at the offices of Torys LLP (Suite 4600, 525 8 th SW, Calgary, Alberta ) beginning at 9:30 a.m. Mountain time. The management information circular and all related materials will be available on our website and www.sedarplus.ca later this month.
All interested parties are invited to attend the Meeting. We will also be broadcasting the meeting via live webcast for the interest of all shareholders. Please be advised that shareholders will not be able to vote any shares through this webcast format. Details for joining the event are as follows:
DATE: June 18, 2025
TIME : 9:30 AM Mountain/ 11:30 AM Eastern
LINK: https://us06web.zoom.us/j/83279531812 https://us06web.zoom.us/j/89512204386
DIAL-IN NUMBERS: https://us06web.zoom.us/u/kenh5nLlte
WEBINAR ID : 895 1220 4386
Corporate Presentation
Alvopetro’s updated corporate presentation is available on our website at:
http://www.alvopetro.com/corporate-presentation .
Social Media
Follow Alvopetro on our social media channels at the following links:
Twitter – https://twitter.com/AlvopetroEnergy
Instagram – https://www.instagram.com/alvopetro/
LinkedIn – https://www.linkedin.com/company/alvopetro-energy-ltd
Alvopetro Energy Ltd. is deploying a balanced capital allocation model where we seek to reinvest roughly half our cash flows into organic growth opportunities and return the other half to stakeholders. Alvopetro’s organic growth strategy is to focus on the best combinations of geologic prospectivity and fiscal regime. Alvopetro is balancing capital investment opportunities in Canada and Brazil where we are building off the strength of our Caburé and Murucututu natural gas fields and the related strategic midstream infrastructure.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Abbreviations:
|
$000s |
= |
thousands of U.S. dollars |
|
boepd |
= |
barrels of oil equivalent (‘boe’) per day |
|
bopd |
= |
barrels of oil and/or natural gas liquids (condensate) per day |
|
BRL |
= |
Brazilian Real |
|
Mcf |
= |
thousand cubic feet |
|
Mcfpd |
= |
thousand cubic feet per day |
|
MMcf |
= |
million cubic feet |
|
MMcfpd |
= |
million cubic feet per day |
|
NGLs |
= |
natural gas liquids (condensate) |
|
Q1 2024 |
= |
three months ended March 31, 2024 |
|
Q1 2025 |
= |
three months ended March 31, 2025 |
|
Q4 2024 |
= |
three months ended December 31, 2024 |
|
USD |
= |
United States dollars |
|
GAAP or IFRS |
= |
IFRS Accounting Standards |
Non-GAAP and Other Financial Measures
This news release contains references to various non-GAAP financial measures, non-GAAP ratios, capital management measures and supplementary financial measures as such terms are defined in National Instrument 52-112 Non-GAAP and Other Financial Measures Disclosure . Such measures are not recognized measures under GAAP and do not have a standardized meaning prescribed by IFRS and might not be comparable to similar financial measures disclosed by other issuers. While these measures may be common in the oil and gas industry, the Company’s use of these terms may not be comparable to similarly defined measures presented by other companies. The non-GAAP and other financial measures referred to in this report should not be considered an alternative to, or more meaningful than measures prescribed by IFRS and they are not meant to enhance the Company’s reported financial performance or position. These are complementary measures that are used by management in assessing the Company’s financial performance, efficiency and liquidity and they may be used by investors or other users of this document for the same purpose. Below is a description of the non-GAAP financial measures, non-GAAP ratios, capital management measures and supplementary financial measures used in this news release. For more information with respect to financial measures which have not been defined by GAAP, including reconciliations to the closest comparable GAAP measure, see the ‘ Non-GAAP Measures and Other Financial Measures ‘ section of the Company’s MD&A which may be accessed through the SEDAR+ website at www.sedarplus.ca .
Non-GAAP Financial Measures
Operating Netback
Operating netback is calculated as natural gas, oil and condensate revenues less royalties and production expenses. This calculation is provided in the ‘ Operating Netback ‘ section of the Company’s MD&A using our IFRS measures. The Company’s MD&A may be accessed through the SEDAR+ website at www.sedarplus.ca . Operating netback is a common metric used in the oil and gas industry used to demonstrate profitability from operations.
Non-GAAP Financial Ratios
Operating Netback per boe
Operating netback is calculated on a per unit basis, which is per barrel of oil equivalent (‘boe’). It is a common non-GAAP measure used in the oil and gas industry and management believes this measurement assists in evaluating the operating performance of the Company. It is a measure of the economic quality of the Company’s producing assets and is useful for evaluating variable costs as it provides a reliable measure regardless of fluctuations in production. Alvopetro calculated operating netback per boe as operating netback divided by total sales volumes (boe). This calculation is provided in the ‘ Operating Netback ‘ section of the Company’s MD&A using our IFRS measures. The Company’s MD&A may be accessed through the SEDAR+ website at www.sedarplus.ca . Operating netback is a common metric used in the oil and gas industry used to demonstrate profitability from operations on a per boe basis.
Operating netback margin
Operating netback margin is calculated as operating netback per boe divided by the realized sales price per boe. Operating netback margin is a measure of the profitability per boe relative to natural gas, oil and condensate sales revenues per boe and is calculated as follows:
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Three Months Ended March 31, |
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|
2025 |
2024 |
|||
|
Operating netback – $ per boe |
50.77 |
66.16 |
||
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Average realized price – $ per boe |
63.67 |
75.94 |
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Operating netback margin |
80 % |
87 % |
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Funds Flow from Operations Per Share
Funds flow from operations per share is a non-GAAP ratio that includes all cash generated from operating activities and is calculated before changes in non-cash working capital, divided by the weighted average shares outstanding for the respective period. For the periods reported in this news release the cash flows from operating activities per share and funds flow from operations per share is as follows:
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Three Months Ended March 31, |
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$ per share |
2025 |
2024 |
||
|
Per basic share: |
||||
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Cash flows from operating activities |
0.24 |
0.22 |
||
|
Funds flow from operations |
0.25 |
0.23 |
||
|
Per diluted share: |
||||
|
Cash flows from operating activities |
0.23 |
0.22 |
||
|
Funds flow from operations |
0.24 |
0.23 |
||
Capital Management Measures
Funds Flow from Operations
Funds flow from operations is a non-GAAP capital management measure that includes all cash generated from operating activities and is calculated before changes in non-cash working capital. The most comparable GAAP measure to funds flow from operations is cash flows from operating activities. Management considers funds flow from operations important as it helps evaluate financial performance and demonstrates the Company’s ability to generate sufficient cash to fund future growth opportunities. Funds flow from operations should not be considered an alternative to, or more meaningful than, cash flows from operating activities however management finds that the impact of working capital items on the cash flows reduces the comparability of the metric from period to period. A reconciliation of funds flow from operations to cash flows from operating activities is as follows:
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Three Months Ended March 31, |
||||
|
2025 |
2024 |
|||
|
Cash flows from operating activities |
8,817 |
8,213 |
||
|
Changes in non-cash working capital |
405 |
300 |
||
|
Funds flow from operations |
9,222 |
8,513 |
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Net Working Capital
Net working capital is computed as current assets less current liabilities. Net working capital is a measure of liquidity, is used to evaluate financial resources, and is calculated as follows:
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As at March 31 |
|||
|
2025 |
2024 |
||
|
Total current assets |
25,090 |
24,149 |
|
|
Total current liabilities |
(15,348) |
(9,102) |
|
|
Net working capital |
9,742 |
15,047 |
|
Supplementary Financial Measures
‘ Average realized natural gas price – $/Mcf ‘ is comprised of natural gas sales as determined in accordance with IFRS, divided by the Company’s natural gas sales volumes.
‘ Average realized NGL – condensate price – $/bbl ‘ is comprised of condensate sales as determined in accordance with IFRS, divided by the Company’s NGL sales volumes from condensate.
‘ Average realized oil price – $/bbl ‘ is comprised of oil sales as determined in accordance with IFRS, divided by the Company’s oil sales volumes.
‘ Average realized price – $/boe ‘ is comprised of natural gas, condensate and oil sales as determined in accordance with IFRS, divided by the Company’s total natural gas, NGL and oil sales volumes (barrels of oil equivalent).
‘ Dividends per share ‘ is comprised of dividends declared, as determined in accordance with IFRS, divided by the number of shares outstanding at the dividend record date.
‘ Royalties per boe ‘ is comprised of royalties, as determined in accordance with IFRS, divided by the total natural gas, NGL and oil sales volumes (barrels of oil equivalent).
‘ Production expenses per boe ‘ is comprised of production expenses, as determined in accordance with IFRS, divided by the total natural gas, NGL and oil sales volumes (barrels of oil equivalent).
BOE Disclosure
The term barrels of oil equivalent (‘boe’) may be misleading, particularly if used in isolation. A boe conversion ratio of six thousand cubic feet per barrel (6 Mcf/bbl) of natural gas to barrels of oil equivalence is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All boe conversions in this news release are derived from converting gas to oil in the ratio mix of six thousand cubic feet of gas to one barrel of oil.
Contracted Natural Gas Volumes
The 2025 contracted daily firm volumes under Alvopetro’s long-term gas sales agreement of 400 e 3 m 3 /d (before any provisions for take or pay allowances) represents contracted volumes based on contract referenced natural gas heating value. Alvopetro’s reported natural gas sales volumes are prior to any adjustments for heating value of Alvopetro natural gas. Alvopetro’s natural gas is approximately 7.8% higher than the contract reference heating value. Therefore, to satisfy the contractual firm deliveries Alvopetro would be required to deliver approximately 371e 3 m 3 /d (13.1MMcfpd).
Well Results
There is no representation by Alvopetro that the information contained in this news release with respect to initial production data from the wells drilled in Canada is necessarily indicative of long-term performance or ultimate recovery. The reader is cautioned not to unduly rely on such data as such data may not be indicative of future performance of the well or of expected production or operational results for Alvopetro in the future.
Forward-Looking Statements and Cautionary Language
This news release contains forward-looking information within the meaning of applicable securities laws. The use of any of the words ‘will’, ‘expect’, ‘intend’, ‘plan’, ‘may’, ‘believe’, ‘estimate’, ‘forecast’, ‘anticipate’, ‘should’ and other similar words or expressions are intended to identify forward-looking information. Forward‐looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly from the expectations discussed in the forward-looking statements. These forward-looking statements reflect current assumptions and expectations regarding future events. Accordingly, when relying on forward-looking statements to make decisions, Alvopetro cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties. More particularly and without limitation, this news release contains forward-looking statements concerning the expected natural gas price, gas sales and gas deliveries under Alvopetro’s long-term gas sales agreement, future production and sales volumes, plans relating to the Company’s operational activities, proposed exploration and development activities and the timing for such activities, capital spending levels, future capital and operating costs, the anticipated outcome of the GORR dispute, the timing and taxation of dividends and plans for dividends in the future, anticipated timing for upcoming drilling and testing of other wells, and projected financial results. Forward-looking statements are necessarily based upon assumptions and judgments with respect to the future including, but not limited to the success of future drilling, completion, testing, recompletion and development activities and the timing of such activities, the performance of producing wells and reservoirs, well development and operating performance, expectations and assumptions concerning the timing of regulatory licenses and approvals, equipment availability, environmental regulation, including regulations relating to hydraulic fracturing and stimulation, the ability to monetize hydrocarbons discovered, the outlook for commodity markets and ability to access capital markets, foreign exchange rates, the outcome of any disputes, the outcome of redeterminations, general economic and business conditions, forecasted demand for oil and natural gas, the impact of global pandemics, weather and access to drilling locations, the availability and cost of labour and services, and the regulatory and legal environment and other risks associated with oil and gas operations. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results achieved during the forecast period will vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. Current and forecasted natural gas nominations are subject to change on a daily basis and such changes may be material. In addition, the declaration, timing, amount and payment of future dividends remain at the discretion of the Board of Directors. Although we believe that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because we can give no assurance that they will prove to be correct. Since forward looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, reliance on industry partners, availability of equipment and personnel, uncertainty surrounding timing for drilling and completion activities resulting from weather and other factors, changes in applicable regulatory regimes and health, safety and environmental risks), commodity price and foreign exchange rate fluctuations, market uncertainty associated with trade or tariff disputes, and general economic conditions. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Although Alvopetro believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Alvopetro can give no assurance that it will prove to be correct. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on factors that could affect the operations or financial results of Alvopetro are included in our AIF which may be accessed on Alvopetro’s SEDAR+ profile at www.sedarplus.ca . The forward-looking information contained in this news release is made as of the date hereof and Alvopetro undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
SOURCE Alvopetro Energy Ltd.
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