Strategic Natural Resources. Miner to Major company in the making

Coal, one of the fossil fuels.

2 Million tonnes sold.

Take a good look at this company there’s an awful lot of interest beginning to grow. Particularly among Privateers who think that Strategic could become a multi-bagger over the next few months.

Strategic Natural Resources PLC (“SNR”) was established on 5 October 2004 as a vehicle to develop, own and manage natural resource extraction enterprises in Southern Africa. As its first project, SNR acquired control of Elitheni Coal in the Eastern Cape some 200 miles north-east of Port Elizabeth. The principal assets of Elitheni are a new order mining right over 92 km2 as well as new order prospecting rights over an additional 1,700 km2 for coal which it holds in the Eastern Cape, South Africa.

The company are a miner and at present the big question or anchor holding them back is funding. However they do have some mouth-watering assets (coal) that if managed,mined and funded correctly could see this company dramatically rise over the coming year. I’ve had literally several days of digging around asking various contacts where they see this company in 12 months. The vast majority all see the company sp significantly higher than were it currently sits but all temper their forecasts with the caveat of funding! We’ve had a couple of rns releases this week (as foretold) one was Director buys and the other was company share options.. If you look at the news in its entirety over the last few months it looks and feels as if the Board are quietly positioning themselves to reap the benefit from funding news which several sources think is imminent. They’ve also recruited very well over the last several months which should be seen as another pointer re’ the funding concerns expressed by potential institutions. (If their Board and management are experienced and competent then funding is easier to negotiate) Now there’s no doubt that they will get the funding in place the big question is what form this funding will take; ie institutional placement or general placement open to existing holders. My suspicion is that it will be a combination of the two.

Strategic Natural resources Chief Executive (David Nel)  reported in early June that the company strategy is; ” now well advanced converting our plans into realities”.  And they expect this year will be “a year filled with enormous activity and delivery”  which should “lead up to the successful shipment of our first vessel of coal.” Now that was back in June of this year so things will or should have moved on by now. They must be close to resolving the funding issue. There was a fly in the ointment here with a disputed loan which in the end cost the company about £1.3 million pounds to settle now even though it was a kick in the teeth at least it’s now settled. Which leaves the runway clear for Strategic to focus on their Elitheni mine asset which has already  sold the first 2 million tonnes of coal in an agreement with the Trasteel Group.The off-take of the coal is over a two-year period and this 2 million tonnes actually represents approx’ 1% of their existing resource so you can imagine as to just how much coal there is at the Elithene mine. This is a major coal miner in the making subject to funding. I wouldn’t concern myself with the operating loss/debt as if as looks likely they get the funding then this will be wiped out with a stroke of the pen.

There’s much more to them so get researching and stick them on a watch-list for news regarding their funding.



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  1. JPM says:

    Spot on Daniel

  2. Z T says:

    Hadn’t heard of this company before, Thanks Dan

  3. istockinfo says:

    Top Man Dan!

    This company has massive potential.

    When they listed on AIM originally in 2007 they had a higher marketcap then with only 15Mt of Coal then they have now with 150Mt!

    All readers should take a position for the impending newsflow.

  4. Mb says:

    Top post Dan!

    This company has massive potential!

    When these listed on AIM in 2007 they had a higher marketcap then with only 15Mt of coal then they do now with 150Mt!

    All readers should take a position for the impending newsflow….

  5. Mb says:

    Top post Dan!

    This company has great potential!

  6. Mathew says:

    Fantastic write up Dan

    Haven’t heard of them until yesterdays write up

    So Dan who are these Trasteel company mentioned all over the boards???

    Thank you Dan, Top man 🙂

  7. A sleeping giant. Huge potential and one of the most underrated companies around.

    I think BMD should do a follow up piece in more detail with a deeper understanding The share price certainly will not stay at this current price for long. If investors want a multi-bagger underpinned by value assets then SNRP is definitley a place to invest. Lots going on right now and surely about to re-rate. When funding is secured, Evolution rated this at £1. Look at Trasteel and then look at Transnet in SA. Look at the potential coal in place. Look at what they already have in measured, indicated and inferred resources. Look at the $ and £ value of the first Trasteel deal.

    £1 doesn’t even begin to define the value of SNRP!

  8. adam says:

    guys this blog needs to be reported to the fsa. Dan has ramped mta and caused many to lose money on his buy rec. Now he wants nothin to do with the company so now it will make ppl ignore this blog. Dan has no inside contacts trust me

    • Mike MaG says:

      Adam are you for real? Give your head a shake bro. Your posting tosh. So Dannos faith in a company his belief that they will come good is to be reported to the fsa/ People like you are creeps. Read what it says in the left hand column jerkoff. Research your investments. I’m in mta im also in strategic natural I’ve been emailing dans blog for the last 3 months asking him to do a write up on this company. I rate them as a buy now report me to the fsa you chicken livered lilly!

      Micheal MaGuire

    • kennyb... says:

      Shuddup ya buffoon,what about all the times he’s called it right!!!

      And you don’t seriously think Dan hasn’t been reported to the FSA,do you?….well do you ???? you maniac twerp

  9. Nick Roberts says:

    Thanks for tip Dan the Man! This stock is clearly under the radar and they are not a one-trick poney! You really have a knack for finding the right shares. Thanks a lot.

    The Trasteel hook-up shows their good deal making.

  10. kennyb... says:

    This is the first time i disagree with you,the threat of black empowerment and all the corruption that goes with it is enough to make me steer well clear of this stock,i will guarantee you that all money will be filtered to the powers that be.

  11. bizz2bizz says:

    Have a look at Strategic Minerals as well ( The guy behind it is Walter Doyle who, was one of the original investors which started Sirius Minerals. This guy is a serious mining entrepreneur. Have a look at the web site. The intention is to prove up a minimum circa 1bio ton Iron Ore asset in Townsville, Australia. Work is well on it’s way as detailed in the news flow. The recently announced purchase will really add to the story. DYOR but I think this one will be an earner