Shuka Minerals PLC, the Africa-focused mining developer and operator, announced on Monday that it has secured a further loan facility to support the completion of its acquisition of Leopard Exploration & Mining Ltd, as it reported a widened pretax loss for the financial year ending 2024.
The London and Johannesburg dual-listed company recorded a pretax loss of £2.0 million, up from £1.7 million the previous year. This increase in losses is attributable in part to a sharp revenue decline, which dropped to £2,305 in 2024 from £194,346 in 2023. The company’s administrative expenses also rose markedly by 26%, from £1.4 million to £1.8 million, reflecting the costs associated with operational maintenance and strategic transitions.
Shuka Minerals continues to face operational headwinds, notably at the Rukwa coal mine in Tanzania, which has been managed on a care and maintenance basis by its subsidiary, Edenville International Tanzania Ltd. The Rukwa operation struggled throughout 2024, impacting revenue generation. However, a recent reassessment of the mine’s resource potential, combined with active joint venture negotiations, has prompted the company to allocate a restart capital expenditure budget of USD150,000, with the aim of resuming targeted production levels by the third quarter of 2025.
To facilitate its strategic acquisition of Leopard Exploration & Mining Ltd—a move considered pivotal to its expansion plans in Zambia—Shuka has agreed to an additional £1.5 million unsecured, non-dilutive loan facility. The outstanding payment to complete the Leopard Exploration transaction stands at USD1.35 million.
The latest funding complements a previously secured £500,000 interest-free loan from Gathoni Muchai Investments, initiated in December 2024. Furthermore, Shuka confirmed the extension of its £2 million convertible loan note with AUO Investments (Dubai) by twelve months, pushing maturity to March 2026, with repayment deferred until March 2027.
Looking ahead, the company described the Leopard Exploration deal and its involvement in the Kabwe project as “company-changing milestones” for its growth trajectory within the African mining landscape. These developments are anticipated to significantly enhance its strategic presence in Southern and Eastern Africa.
As of market close on Monday, shares in Shuka Minerals rose by 1.1% to 5.16 pence on the London Stock Exchange, while remaining unchanged at ZAR1.37 on the Johannesburg Stock Exchange.
