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IATA expects higher net profit margins for African airlines this year

Published: 03 Jun 24

The global representative body for the airline industry, the International Air Transport Association (IATA), has forecast that African airlines would enjoy a higher net profit margin this year than they did last year. The figures were released at the IATA Annual General Meeting, in Dubai. The association predicted that African carriers would record a net profit of $0.1-billion this year. While this was in the same ball park as the figure for last year (also given as $0.1-billion), this year they would achieve a net profit margin of 0.6%, as against an estimated 0.4% for last year. Net profit per passenger was forecast to be $0.90 for this year, as against the $0.50 estimated for last year.

Power Metal, ACAM propose uranium-focused JV

Published: 03 Jun 24

Aim-listed Power Metal Resources has entered into a legally binding subscription agreement with ACAM for the latter to invest £2-million in Power Metal by way of a loan note with attaching warrants. It has also entered into an eight-week exclusivity period and a nonbinding term sheet with ACAM with the intention of forming a uranium-focused joint venture (JV) involving Power Metal’s entire portfolio of uranium licences.

Image of ECDC CEO Ayanda Wakaba, ECDC board member Pumeza Bija, Cacadu Development Agency CE Eldrid Uithaler and African Panelbeaters and Motor Mechanics Association president Sisa Mbangxa

ECDC announces R50m scheme to boost small black auto businesses

Published: 03 Jun 24

The Eastern Cape Development Corporation (ECDC) has launched a R50-million blended finance scheme to aid emerging Eastern Cape-based micro, small and medium-sized automotive component suppliers, as well as aftermarket service providers. ECDC CEO Ayanda Wakaba says the focus of the Automotive Operator Blended Finance Scheme is to bridge the funding gaps facing small and medium-sized operators owing to resource constraints, lack of a business history, the absence of collateral, the informal nature of their business operations, as well as barriers to market that impact access to opportunities.

Caledonia publishes PEA on Bilboes project ahead of new feasibility study

Published: 03 Jun 24

Gold miner Caledonia Mining Corporation has confirmed that it will develop the Bilboes sulphide gold project, in Zimbabwe, in a single phase instead of multiple phases as initially planned, and with a revised approach to the tailings storage facility (TSF). In a preliminary economic assessment (PEA) published on May 30, Caledonia and consultancy DRA Projects finds that the TSF will be built on a modular basis to reduce initial capital expenditure and improve economic returns; however, this revised approach constitutes a significant change to the project.

Osino shareholders approve Yintai’s takeover offer

Published: 03 Jun 24

The majority of TSX- and NYSE-listed Osino Resources Corporation’s shareholders have voted in favour of Chinese miner Yintai Gold’s buyout of Osino at a cash consideration of C$1.90 apiece. The companies are now working to obtain approvals from regulatory authorities in Namibia and China.

Some parties are still objecting to the election results announced on Sunday night

Business urges all parties to accept election results and work together to rebuild country

Published: 03 Jun 24

Organised business has urged political leaders to accept the 2024 election results and to prioritise the crafting of stable governance arrangements underpinned by a commitment to the Constitution, as well as the economic reforms needed to support growth and job creation. For the first time since 1994, no single party emerged from the May 29 poll with an outright majority, with the African National Congress slumping to only 40% of the vote from 57.5% in 2019.

Nigeria has released almost all blocked airline funds, switching IATA’s primary focus to Asia

Published: 03 Jun 24

Africa is no longer the continent holding the greatest amount of airline funds blocked from repatriation by governments, the International Air Transport Association (IATA) has reported, at its AGM, in Dubai. (IATA is the global representative body for the airline industry.) This is the result of rapid progress by Nigeria in releasing previously blocked funds, augmented by a parallel process in Egypt. In June last year, Nigeria was holding $850-million in blocked airline funds. As of April, this year, 98% of this amount had been released, leaving only $19-million blocked. This remaining amount is still being held while the Nigerian Central Bank continues its verification process on outstanding forward claims by commercial banks.

With ARM as strategic investor, Surge Copper kick starts Berg PFS work

Published: 03 Jun 24

TSX-V-listed Surge Copper has initiated its prefeasibility study (PFS) work on its Berg property, in British Columbia, having completed a C$5-million funding package. The biggest component of the funding package is the recently completed C$3.9-million strategic placement with JSE-listed African Rainbow Minerals (ARM), which is now a new cornerstone strategic investor.

De Beers invites entries for 2024 Shining Light Awards programme

Published: 03 Jun 24

Diamond miner De Beers has invited entries from Canadian, Botswanan, Namibian and South African young diamond jewellery designers for its 2024 Shining Light Awards programme. The Shining Light Awards programme aims to recognise talented youth and boost their careers in the jewellery business, as well as add further local value through downstream beneficiation in the countries in which De Beers operates.

Absa PMI dips to 43.8 in May amid uncertainty

Published: 03 Jun 24

The Absa Purchasing Managers’ Index (PMI) fell below 50 points to 43.8 points in May, from 54 points in April, despite the fact that there was no loadshedding that month. Absa states that the deterioration, instead, seems to have been driven by a significant drop in demand ahead of the national elections.