Flagging this for anyone interested in doing a bit of research on UK penny stock Neo Energy Metals (ticker NEO on main London exchange).
Neo is a small and newish mining company in the process of doing a deal with South African mining giant Sibanye Stillwater for rights to the Beisa uranium and gold mine. Deal was agreed before uranium and gold surge and is still subject to clearance from SA government. Worth researching the history of the deal, the large in-situ resource Neo will acquire if it goes through and potential risks with the clearances required.
Last month things got very interesting. Neo appointed as Chairman, Neal Froneman.
Froneman was the founder of Sibanye and until last year its CEO. He is the current Chair of the World Gold Council. He’s worth Googling.
This appears to be about as big an appointment you could get to the board of a penny stock mining company.
Today was NEO’s AGM and we got to hear from Froneman for the first time….
And he spends the first 20 mins of the meeting talking about what some might consider a boring topic - he talks about corporate governance and how he is going to run the company properly! That level of reassurance coming from someone of his experience/calibre in a penny stock is very rare in my experience.
But moving on from the corporate stuff here are a couple of snippets:
Skip to 1h 11mins if you want to hear about him planning to buy shares: -
"Let it be well known that I intend to buy shares"
"I think this company has tremendous potential and future value".
Skip to 1h 30 mins if you want to hear about why he has taken the Chairman role at NEO - the quality of the board/people and the quality of the assets.
Yes, there are still risks here with regulatory approval and funding needing confirmation (although both of those addressed with confidence at the AGM), but you don’t see the convergence of both high value mining assets and such a high quality board in a penny stock very often.
AGM video is here if anyone wants to start their research with that. It includes updated company presentation and technical details on the uranium and gold assets:
[https://youtu.be/utLjj0xyj40](https://youtu.be/utLjj0xyj40)
