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Kinetiko Energy Ltd. (AU:KKO)
ASX:KKO
Australian Market

Kinetiko Energy Ltd. (KKO) AI Stock Analysis

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AU:KKO

Kinetiko Energy Ltd.

(Sydney:KKO)

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Neutral 46 (OpenAI - 5.2)
Rating:46Neutral
Price Target:
AU$0.07
▼(-7.14% Downside)
The score is held down primarily by the lack of revenue, persistent losses, and ongoing cash burn (funding risk). A low-leverage balance sheet provides some financial flexibility, while technical indicators are only mildly constructive and valuation metrics offer limited support due to negative earnings and no dividend.
Positive Factors
Strategic Partnerships
The partnership with FFS Refiners for LNG development enhances Kinetiko's strategic positioning in the energy market, potentially leading to increased production capacity and market share in the long term.
Market Expansion
The OTCQB listing expands Kinetiko's investor base, providing access to North American capital and increasing liquidity, which can support future growth and strategic initiatives.
Operational Progress
Successful gas production tests at Brakfontein indicate strong project viability, enhancing Kinetiko's potential to commercialize its gas resources and improve long-term revenue prospects.
Negative Factors
Cash Flow Challenges
Negative cash flow indicates ongoing cash consumption, which may necessitate further capital raising and could impact financial stability if not addressed.
Lack of Revenue
The absence of revenue reflects the early-stage nature of Kinetiko's operations, posing risks to financial sustainability and necessitating successful project commercialization.
Persistent Losses
Continued losses and negative cash flow highlight financial challenges, potentially limiting operational flexibility and requiring strategic adjustments to achieve profitability.

Kinetiko Energy Ltd. (KKO) vs. iShares MSCI Australia ETF (EWA)

Kinetiko Energy Ltd. Business Overview & Revenue Model

Company DescriptionKinetiko Energy Limited explores for gas and coal bed methane. Its flagship property is the Amersfoort project located in South Africa. The company was incorporated in 2010 and is based in Subiaco, Australia.
How the Company Makes MoneyKinetiko Energy Ltd. generates revenue primarily through the exploration and development of coal bed methane gas projects. The company monetizes its gas reserves by extracting and selling natural gas to local and regional energy markets. It may also enter into joint ventures or partnerships with other energy companies to share resources and expertise, which can lead to shared revenue streams. Additionally, Kinetiko's operations are supported by funding from investors and government incentives aimed at promoting clean energy projects. The company's success in converting its exploration activities into commercial production is a key factor contributing to its earnings.

Kinetiko Energy Ltd. Financial Statement Overview

Summary
Kinetiko Energy Ltd. operates in a challenging sector with no revenue generation, leading to continuous losses and negative margins. Despite strong equity and low leverage, the company is heavily reliant on external financing to cover operational deficits. Improvement in revenue generation is critical for sustainable growth.
Income Statement
Kinetiko Energy Ltd. has consistently reported zero revenue over the past years, leading to gross and net losses. The net profit margin is negative due to continuous net losses, and the absence of revenue growth indicates a challenging business environment. The EBIT and EBITDA margins are also negative, highlighting operational inefficiencies.
Balance Sheet
The company maintains a strong equity position with a minimal debt load, as evidenced by a low debt-to-equity ratio. The equity ratio is robust, indicating financial stability and low leverage. However, the continuous net losses impact the overall equity growth and return on equity.
Cash Flow
Operating cash flow is negative, reflecting ongoing challenges in generating cash from operations. Free cash flow is consistently negative; however, substantial financing activities suggest reliance on external funding. The free cash flow to net income ratio is unfavorable due to persistent net losses.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue0.000.000.000.000.000.00
Gross Profit-146.24K-146.24K-784.46K-46.86K-21.94K-5.58K
EBITDA-1.70M-5.70M-3.98M-4.22M-3.93M-1.78M
Net Income-1.69M-5.56M-5.32M-4.34M-5.82M-1.70M
Balance Sheet
Total Assets72.74M72.74M74.96M13.22M9.86M7.84M
Cash, Cash Equivalents and Short-Term Investments1.89M1.89M7.21M3.56M1.35M190.86K
Total Debt109.98K109.98K1.47M250.00K250.00K0.00
Total Liabilities841.40K841.40K2.73M999.42K720.62K298.91K
Stockholders Equity71.79M71.79M72.14M12.22M9.14M7.54M
Cash Flow
Free Cash Flow-5.72K-5.46M-3.78M-3.99M-3.83M-1.97M
Operating Cash Flow-5.02K-5.02M-3.75M-3.86M-3.64M-1.96M
Investing Cash Flow-698.54K-698.54K-4.03M-1.73M-1.24M-234.53K
Financing Cash Flow394.93K394.93K11.44M7.81M6.04M1.27M

Kinetiko Energy Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.07
Price Trends
50DMA
0.07
Positive
100DMA
0.07
Positive
200DMA
0.07
Positive
Market Momentum
MACD
<0.01
Negative
RSI
62.61
Neutral
STOCH
65.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:KKO, the sentiment is Positive. The current price of 0.07 is above the 20-day moving average (MA) of 0.07, above the 50-day MA of 0.07, and above the 200-day MA of 0.07, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 62.61 is Neutral, neither overbought nor oversold. The STOCH value of 65.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:KKO.

Kinetiko Energy Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
AU$80.47M12.7810.27%13.04%10.44%-55.67%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
56
Neutral
AU$77.26M24.306.72%
50
Neutral
AU$264.57M-53.23-3.58%22.50%
49
Neutral
AU$34.04M-10.00-7.26%-220.00%
46
Neutral
AU$118.28M-19.74-7.73%17.02%
46
Neutral
AU$99.43M-60.00-18.71%33.33%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:KKO
Kinetiko Energy Ltd.
0.08
<0.01
5.48%
AU:CUE
Cue Energy Resources Limited
0.12
0.03
27.78%
AU:MAY
Melbana Energy Limited
0.01
-0.01
-53.85%
AU:ECH
New Zealand Oil & Gas Limited
0.35
0.03
11.29%
AU:PCL
Pancontinental Energy NL
0.01
>-0.01
-29.41%
AU:IVZ
Invictus Energy Limited
0.17
0.09
106.25%

Kinetiko Energy Ltd. Corporate Events

Kinetiko Energy Launches OTCQB Trading to Tap North American Investors
Dec 23, 2025

Kinetiko Energy has secured approval to commence trading on the North American OTCQB Market under the ticker KKOBF from 23 December 2025, complementing its existing ASX listing and providing North American investors with improved visibility, US dollar trading access and enhanced liquidity in the stock. The move is timed to coincide with key development milestones at its Brakfontein pilot gas project and a broader operational program in South Africa, and is expected to broaden the company’s investor base to include sector-focused North American funds and energy majors, potentially supporting future strategic partnerships and funding pathways without adding extra reporting burdens.

Kinetiko Energy Director Increases Stake with $1M Share Acquisition
Dec 3, 2025

Kinetiko Energy Ltd. has announced a change in the director’s interest, with Mxolisi Donal Mbuyisa Mgojo acquiring 15,384,615 ordinary fully paid shares through a participation in placement valued at $1,000,000. This change reflects a strategic move to strengthen the director’s stake in the company, potentially impacting its governance and signaling confidence in its future operations.

Kinetiko Energy Issues New Shares to Support Gas Exploration
Dec 3, 2025

Kinetiko Energy Limited has issued 15,384,615 new fully paid ordinary shares to Talent 10 Holdings, a related party of a company director, at an issue price of $0.065 per share. This issuance, part of a previously announced placement, allows the new shares to be tradeable immediately under the Corporations Act exemption. This strategic move is expected to enhance Kinetiko’s financial positioning, supporting its ongoing gas exploration and development activities in South Africa.

Kinetiko Energy Ltd Announces Quotation of New Securities on ASX
Dec 3, 2025

Kinetiko Energy Ltd has announced the quotation of 15,384,615 ordinary fully paid securities on the Australian Securities Exchange (ASX), marking a significant step in its financial operations. This move is expected to enhance the company’s market presence and provide additional resources for its ongoing projects, potentially impacting stakeholders positively by increasing the company’s capital base.

Kinetiko Energy Ltd Successfully Passes All AGM Resolutions
Nov 28, 2025

Kinetiko Energy Ltd announced the successful passage of all resolutions at its Annual General Meeting held on November 28, 2025. Notably, resolutions 6 and 7 were passed as special resolutions, indicating strong shareholder support for the company’s strategic initiatives, including the renewal of proportional takeover provisions and approval of a 10% placement facility. These developments are expected to enhance Kinetiko’s operational flexibility and position in the energy market.

Kinetiko Energy Issues New Shares to Boost Liquidity and Support South African Gas Projects
Nov 24, 2025

Kinetiko Energy Limited has issued 33,122,637 new fully paid ordinary shares to sophisticated and professional investors at $0.065 per share, as part of a previously announced placement. This issuance, under section 708A(5)(e) of the Corporations Act, allows the new shares to be tradeable immediately, enhancing the company’s liquidity and potentially strengthening its financial position. This strategic move could bolster Kinetiko’s operations and support its long-term energy projects in South Africa, aligning with its goal to contribute to the country’s energy transition.

Kinetiko Energy Ltd Announces Quotation of New Securities on ASX
Nov 24, 2025

Kinetiko Energy Ltd has announced the quotation of 33,122,637 ordinary fully paid securities on the Australian Securities Exchange, effective from November 21, 2025. This move is part of a previously announced transaction, potentially enhancing the company’s market presence and providing additional capital for its operations, which could impact stakeholders positively by increasing liquidity and investment opportunities.

Kinetiko Energy Ltd Announces Proposed Securities Issue
Nov 11, 2025

Kinetiko Energy Ltd has announced a proposed issue of securities, with a total of 48,507,262 ordinary fully paid securities set to be issued. This move is part of the company’s strategy to raise capital, potentially impacting its operational capabilities and market positioning by providing additional financial resources to support its growth initiatives.

Kinetiko Energy Initiates Trading Halt Ahead of Capital Raising Announcement
Nov 10, 2025

Kinetiko Energy Ltd, listed on the Australian Securities Exchange, has requested a trading halt on its securities pending an announcement regarding a successful capital raising. This trading halt is expected to last until the announcement is made or until normal trading resumes on November 12, 2025. The halt is a strategic move by Kinetiko Energy to manage the dissemination of information and maintain market stability, indicating a significant development in its financial operations that could impact its market positioning and stakeholder interests.

Kinetiko Energy Secures Funding to Boost LNG Production
Nov 5, 2025

Kinetiko Energy Ltd has received an initial funding tranche of R6,200,000 from FFS Refiners to accelerate the development of a pilot gas plant for LNG production at Brakfontein as part of Project Alpha. This funding is part of a Joint Development Agreement aimed at co-developing the project, which includes drilling additional wells, certifying gas reserves, and applying for production rights. The initiative is expected to support a 5,000tpa LNG plant and potentially expand production capacity significantly in future phases, enhancing Kinetiko’s industry positioning and offering growth opportunities for stakeholders.

Kinetiko Energy Advances Gas Production and Strategic Partnerships
Oct 31, 2025

Kinetiko Energy Ltd has reported significant progress in its gas production testing program at the Brakfontein site, with the 271-KA03PT06 well achieving a peak gas flow rate of 1,600 Mscfd, the highest recorded for the site. The company has also renewed exploration rights for key areas and entered into a joint development agreement with FFS Refiners to co-develop a pilot LNG plant. These developments are part of Kinetiko’s strategy to accelerate its gas commercialization efforts in South Africa, supported by a strong financial position and strategic board appointments.

Kinetiko Energy Ltd. Announces Digital-First Annual General Meeting
Oct 29, 2025

Kinetiko Energy Ltd. has announced the details of its upcoming Annual General Meeting, scheduled for November 28, 2025, in Perth, WA. The company has opted for digital distribution of the meeting notice, encouraging shareholders to access documents online and submit proxy votes electronically. This move aligns with modern corporate governance practices and reflects Kinetiko’s commitment to sustainability and operational efficiency.

Kinetiko Energy’s Flow Testing Yields Promising Gas Volumes
Oct 20, 2025

Kinetiko Energy Ltd has reported significant gas volumes from its ongoing flow testing at two production test wells in the Brakfontein area. The wells have shown strong gas flows, with one well maintaining consistent production and the other stabilizing after an initial decline. The high methane content and sustained flow rates are expected to enhance project economics and reserve estimates, supporting the development of a micro LNG pilot plant in collaboration with FFS Refiners.

Kinetiko Energy Showcases Gas Project to South African Officials
Oct 16, 2025

Kinetiko Energy Ltd recently hosted a successful site visit and gas flaring demonstration at its Brakfontein gas project, attended by key government officials, including South Africa’s Minister of Mineral and Petroleum Resources. The event highlighted the commercial production potential of Kinetiko’s shallow sandstone reservoir and marked a significant milestone towards the company’s gas commercialization efforts. The Brakfontein cluster is integral to Project Alpha, a joint initiative with FFS Refiners to develop a micro-LNG plant, initially producing 5,000 tonnes per annum, with scalability to 125,000 tpa. The presence of government representatives underscored strong support for Kinetiko’s domestic gas development, reinforcing its role in South Africa’s energy landscape.

Kinetiko Energy and FFS Refiners Partner for LNG Development in South Africa
Oct 13, 2025

Kinetiko Energy Ltd has entered into a binding Joint Development Agreement with FFS Refiners to co-develop a pilot gas plant for LNG production at Brakfontein, marking the commencement of Phase 1a of Project Alpha. This agreement includes initiatives such as drilling additional wells, gas testing, and creating a business case for further development, with a joint funding commitment of approximately R64,312,000. The collaboration aims to secure LNG supply to the South African market, with plans to scale production significantly in future phases, potentially impacting the Southern African energy market by contributing to sustainable energy solutions.

Kinetiko Energy Appoints New Director with Strategic Holdings
Oct 10, 2025

Kinetiko Energy Limited has announced the appointment of Mxolisi Donal Mbuyisa Mgojo as a new director, effective from October 3, 2025. Mgojo holds indirect shareholdings in Phefo Power (Pty) Ltd and Talent 10 Holdings (Pty) Ltd, with significant stakes in both companies, indicating potential strategic alignments or influence in Kinetiko’s future operations.

Kinetiko Energy Hosts Government Dignitaries at Gas Project Site
Oct 9, 2025

Kinetiko Energy Ltd is hosting South African government dignitaries at its gas production test wells site in Brakfontein, Mpumalanga Province, as part of its efforts to commercialize its gas projects. This visit highlights Kinetiko’s strategic role in South Africa’s energy future, leveraging its substantial onshore gas resources to support the country’s shift from coal to modern power solutions.

Kinetiko Energy Achieves Record Gas Flow Rates at Brakfontein Well
Oct 6, 2025

Kinetiko Energy Ltd has announced successful extended flow tests at its production test well 271-KA03PT06, located in Brakfontein, with gas flow rates reaching up to 188 Mscfd and a high methane content of 98.5%. This achievement more than doubles the flow rates of a previous well and supports the commercial viability of the Brakfontein cluster, which is set to supply a planned micro LNG pilot plant. The results are expected to enhance the development economics and reserve estimates, providing confidence in the geology and commercial potential of the wells.

Kinetiko Energy Strengthens Board with Strategic Appointment
Oct 6, 2025

Kinetiko Energy Ltd has appointed Mr. Mxolisi Mgojo as a Non-Executive Director, bringing his extensive experience in the mining and energy sectors to the company. This strategic appointment is expected to enhance Kinetiko’s efforts to become a key onshore gas producer in South Africa, leveraging Mr. Mgojo’s expertise in dealing with government institutions and attracting domestic capital, thereby strengthening its market position and contributing to the country’s energy security.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 30, 2025