Polymetal removes bottleneck, Allied Minds allies two funding sources

London open

The FTSE 100 is predicted to fall 13 points on opening on Monday, having at 6,858.95 closed slightly lower at the end of last week.

Stocks to watch

Polymetal International has approved the de-bottlenecking project at the Amursk POX plant that will expand capacity by around 50% in terms of concentrate processed. "We believe capital-light debottlenecking of the Amursk POX plant is the best approach given the steady increase in Polymetal's refractory reserve base", said chief executive officer Vitaly Nesis.
"The project leverages existing infrastructure and skills base to strengthen our competitive advantage in the industry and materially improve the economics of our flagship Kyzyl project".

Venture capital-style investor Allied Minds has arranged a one-year debt facility Silicon Valley Bank in the US, while a UK-based subsidiary has raised funds for a biotech project from institutional investors. Secured over certain group assets, the $20m one-year facility from the SVB has diversified the FTSE 250 group's capital structure and is "a powerful endorsement of the group's growth and development prospects", said chief executive Chris Silva.

Newspaper round-up

Leaving the EU may not not happen anytime soon given that civil servants charged with the task don’t yet have an office and hold meetings in Starbucks. Some estimates suggest “full Brexit” may take 10 years and involve up to 10,000 people, not only in the new and other so-called “hot” departments such as foreign, home, environment and business, but across the civil service nationally, at an administrative cost of close to £5bn. - The Guardian

Militants whose attacks on oil rigs and pipelines in the Niger Delta helped to force up oil prices this year announced a conditional ceasefire yesterday. The Niger Delta Avengers, and other groups have disrupted production in Africa’s biggest oil exporter in the past six months, reducing Nigeria’s output by about 700,000 barrels a day, or one third. While other groups in the oil-rich south are unlikely to adhere to the truce, any pause in the attacks could exert downward pressure on the oil price. - The Times

House prices are expected to fall across the UK next year as years of robust growth end and uncertainty over Brexit saps demand for property. Countrywide, the estate agent, said that it expects a slowdown in the economy next year because the shadow of Brexit will hinder trade and economic growth. This will affect house prices and transaction levels as people worry about job security and their household income. - The Times

US close

US stocks faltered slightly on Friday amid thoughts of a possible rate hike in September and hawkish comments from, among others, former Federal Reserve chief Alan Greenspan.

The Dow Jones Industrial Average DJIA, slid 45.13 points, or 0.2%, to close at 18,552.57, down 0.1% over the week; the S&P 500 index dropped 3.15 points to 2,183.87; the Nasdaq Composite index lost 1.77 points to close at 5,238.38 but made an eighth straight week of gains.

Earlier, Greenspan said low levels of interest rates in the States could not be maintained for much longer and that "when they do they could move up and surprise us with the degree of rapidity which may occur".