There was more positivity from the mining sector on Wednesday with drilling updates, financial results statements and analyst commentary.
Results from the latest holes confirm the thickness and continuity of near surface higher grade copper mineralisation.
Capital Drilling Plc (LON:CAPD) shares advanced 13% after a guardedly optimistic assessment of prospects and hiked the interim dividend payment by more than a third.
Reporting on a solid six months in which revenues grew 5% and underlying earnings were stable, the company said it had detected “positive signs of improvement, resulting in increased tendering”.
Shanta Gold Plc (LON:SHG) said full-year production is expected to be towards the upper end of its guidance range of 82,000 to 87,000 ounces. If the company hits its annual target, it would represent an annual record for the New Luika gold mine.
The shares rose more than 4% in early deals as the company lowered all-in-sustaining-cost guidance to US$730 to US$780 an ounce, a 20 cent reduction at both ends of the guidance range.
Some 28.5mln new Metal Tiger shares are being issued to high net worth investors and certain existing shareholders. The shares are being priced at 3.85p.
Xtract Resources PLC (LON:XTR) said it hasn’t yet received a US$2mln down-payment on the US$15mln purchase of the company’s Manica gold project in Mozambique. Buyers Nexus Capital Limited and Mineral Technologies were expected to have provided the initial funds by August 12.
The law firm will assist the Tanzania-focused mineral exploration and development company with the preparation and negotiation of commercial arrangements and agreements pertaining to the MCPP power purchase agreement (PPA) with the Tanzanian Government and TANESCO (Tanzania's parastatal power distribution company).
Xtract, in a stock exchange announcement, said the two sides were currently in talks over the present structure of the deal, which was originally struck for US$17.5mln.
In the hydrocarbons sector revealed the progress it is making behind the scenes as it works towards the start of drilling at its helium project in Montana.
The company told investors it expects to be drilling within the next 30 days, with two wells planned.
In the meantime it has been filing for permits and bonds with the State of Montana, and has been holding conversations with several parties that may potentially partner the company in a joint venture. These companies include international industrial gas companies, Highlands said.
Independent Oil and Gas Plc (LON:IOG) has revealed an initial success with its pivotal Skipper appraisal well in the North Sea.
The company has told investors that the well was drilled successfully to a depth of 3,860 feet and it has fulfilled its pre-drill objective of recovering good quality ‘reservoir condition’ oil samples.
SOURCE: Proactive Investors