Thor Mining rose almost 8% after the firm said a feasibility study at its Molyhill mine reported positive results, including EBIT returns indicating for a 21-month payback period. It also indicated production costs of A$125/mtu concentrate (after deduction of molybdenum bi-product credits) compared with revenue of A$354/mtu. The study found the mine would have a lifespan of four years.
Gold and copper exploration company KEFI Minerals pleased investors after it said tests on a site in Saudi Arabia confirmed the presence of high grade gold and silver over substantial widths and strike lengths. It said diamond drilling would begin at the Jibal Qutman Licence in the current quarter, pushing shares up 7%.
Orsu Metals Corporation, the London-based metals exploration and development company, said it was working with Barclays Bank and UniCredit Bank Austria to arrange a project finance facility of up to $90m to finance the company’s Karchiga Project in Kazakhstan. The firm said the money would help it begin construction at the copper mine in the second half of this year.
Georgian oil and gas explorer, Frontera Resources, saw its share price drop 12% after it exercised an option to create 28m new shares in the company at a price well below that of the market. The firm triggered the Standby Equity Distribution Agreement as a short term buffer after gas sales from its Mtsare Khevi Gas Complex were delayed by a problem with government permits relating to transportation of gas.
Shares in Berkeley Resources dropped sharply after it announced it had ended a long-running dispute with Spanish firm ENUSA. The deal struck will see Berkeley take a 100% interest in, and the exploitation rights to, State Reserves 28 and 29 while waiving its rights to mine in State Reserves where ENUSA has undertaken rehabilitation. ENUSA will receive a production fee equivalent to 2.5% of the net sale value (after marketing and transport costs) of any uranium produced within the Addendum Reserves. Berkeley’s shares dropped 9% following the news.
Oxus Gold has clarified the volume of its share capital following an issue of shares, as announced on 27 July 2012. The company’s issued share capital now consists of 419,722,329 ordinary shares of 1p each, none of which were held in treasury, the firm said.