Nel ASA and Evotec Shares Rise! When Will DRC Gold Take Off?

DRC Gold Reaches Milestone on the Road to Gold Production

DRC Gold aims to establish a presence in one of Africa’s most historic gold-producing regions. The Kilo-Moto gold belt in the northeast of the Democratic Republic of the Congo hosts significant gold deposits and is home to Barrick Mining’s Kibali mine, one of the largest producing gold mines on the continent. DRC Gold is looking to secure access to two promising gold projects in this very region.

DRC Gold has signed an option agreement that allows it to acquire an initial 55% stake in Giro Goldfields. The centrepiece of the planned acquisition is the Giro Gold project. The Kebigada deposit has a historical resource estimate of around 4.1 million ounces of gold. Of this, 2.44 million ounces were classified as „Indicated“ and a further 1.67 million ounces as „Inferred“. The figures date from 2020 and still need to be confirmed by further investigations. The Nizi gold project offers additional upside potential. Gold was already being mined on the 113 km² site at the beginning of the last century. However, mining at the time focused on just two of seven known major gold veins. Accordingly, DRC Gold sees good prospects for developing further deposits through modern exploration programmes.

DRC’s German CEO Klaus Eckhof is pursuing ambitious plans. He has been active in the African gold sector for decades and has an important network there. Once the transaction is completed, the Giro Gold project is to be advanced toward production. At the same time, management is looking for further acquisition opportunities in the region. The option agreement also allows DRC Gold to increase its stake further in the future.

Evotec Delivers a Positive Surprise

Evotec has recently delivered negative surprises, with its share price falling more than 50% over the past six months. But yesterday, the biotech company exceeded analysts’ expectations with its preliminary financial results for the first nine months of 2026. Evotec shares rose by over 9%. In an initial reaction, RBC assessed the figures positively. The analysts reiterated their Buy recommendation and set Evotec’s fair value at EUR 10 per share.

Unaudited calculations show the Hamburg-based drug discovery company generated Group revenue of around EUR 465 million. Adjusted EBITDA was EUR -42.8 million. Evotec is maintaining its full-year guidance. Accordingly, Group revenue is still expected to be between EUR 570 and 610 million. Adjusted EBITDA is expected to be between EUR -70 and -105 million. Evotec intends to publish its full financial results for the third quarter and the first nine months on November 5, 2026.

Nel ASA Shares Jump on News

Nel ASA shares are gaining new momentum. Since Tuesday, the share price has climbed from EUR 0.19 to EUR 0.21, driven by two announcements. Firstly, the hydrogen specialist has received an order worth around USD 12 million through its US subsidiary Nel Hydrogen US. The customer is an unnamed, globally active US-based technology company. The order includes several container-based MC-series PEM electrolysers and related services. The systems enable decentralised hydrogen production directly at the point of use and, thanks to their modular design, can be flexibly adapted to different requirements. The stacks required for the electrolysers are manufactured at Nel’s US plant in Wallingford. Delivery is scheduled for 2027. Nel sees the order as confirmation of the technical performance and market readiness of its MC series.

Secondly, Nel attracted attention with a collaboration with Rheinmetall. Under this collaboration, the companies intend to work together on the decentralised production of synthetic fuels in the future. To this end, the Norwegian company and Germany’s largest defence group have signed a memorandum of understanding. The aim is to develop solutions for local production of low-emission fuels, particularly for the defence sector and critical infrastructure. Nel’s electrolyser technology is to be combined with Rheinmetall’s Giga-PtX concept. Synthetic fuels are to be produced using renewable hydrogen. These are intended to replace conventional fuels without requiring adaptations to existing propulsion systems. Producing them directly at the point of consumption is intended to reduce dependence on long supply chains and increase supply security.

However, there still appears to be a long way to go before implementation. First, Norway must assess technical and economic feasibility. This includes potential production sites, the availability of renewable energy and suitable carbon sources, as well as the necessary infrastructure. Joint pilot projects are also conceivable. Norway offers favourable conditions thanks to its extensive renewable electricity generation and industrial infrastructure.

Conclusion 

The muted reaction toward Nel ASA shows that the stock market can put both announcements into perspective. The order from the US is welcome, but small. The collaboration with Rheinmetall offers future potential, but nothing more than that. DRC Gold is working on exciting projects without much fanfare. If it actually succeeds in acquiring a majority stake in a gold project with more than 4 million ounces and advancing it towards production, the shares could undergo a complete re-rating. Evotec has delivered a positive surprise for a change. However, it did not raise its full-year guidance. Therefore, yesterday’s share price reaction should not be overestimated.

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