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COMPANY SNAPSHOT: Cairn Energy, Petrofac, Petroceltic International, Solo Oil, Camco

12th Jul 2011, 7:54 am by Sergei Balashov COMPANY SNAPSHOT: Cairn Energy, Petrofac, Petroceltic International, Solo Oil, Camco

The absence of news from the blue-chips threw the spotlight on the small and mid-caps this morning.

An intriguing tie-up between the struggling directories group Yell (LON:YELL) and the software giant Microsoft caught the imagination this morning.

However, the corporate update that generated the most interest early on was an announcement from Premier Oil (LON:PMO). The FTSE 250 oil firm said it expects to achieve a significant increase in production to about 60,000 barrels of oil a day.

Sticking with the oil and gas sector Cairn Energy (LON:CNE) completed the sale of a 10 per cent stake in Cairn for US$1.36 billion, while the oil engineering firm Petrofac (LON:PFC) announced it had landed a contract with Marathon Oil.

Starting in August 2011, Petrofac will deploy its engineering, construction, operations and maintenance services under the terms of the new contract, valued at £36 million.

Small cap oil firm Petroceltic International (LON:PCI) reported that its AT-6 well, the third well in the current appraisal campaign on the Ain Tsila gas discovery, intersected a 45 metre net pay interval.

AT-6’s results have confirmed the extension of the field at what company considers to be a significant step-out from the previously drilled wells.

The rig will now move to drill a further vertical appraisal well in the far southwest of the field, AT-7. The spudding of the AT-7 well is expected in late July.

Solo Oil (LON:SOLO) reported that its Ausable No.5 well in Ontario has been successfully completed with the initial results indicating that the well has met or exceeded expectations.

The company now plans to tie-in the well to the central Ausable process facility within the next 7 - 10 days to conduct an online test to better determine oil, gas and gas liquids production rates.

Moving to the mining sector, North River Resources (LON:NRRP) reported high grade intersections from the drilling campaign at its Namib lead-zinc mine in Namibia.

Some of the best intersections included 2 metres at 12.16 percent zinc and 2.24 percent lead and 8.11 metres at 8.09 percent zinc.

Thirteen of the 14 drill holes included in the drilling programme intersected what North River said were the main mineralisation targets.

Away from natural resources, Telit Communications (LON:TCM) expects its revenues for the first half of 2011 to reach US$81 million, an increase of 36 percent compared to the same period last year.

The machine to machine (m2m) wireless technology specialist expects to have US$2.4 million in the bank at the end of the half year period.

In March this year, Telit closed the acquisition of Motorola's m2m division. Motorola m2m contributed around 20 percent of the group’s revenues during the half year period.

In IT, Allocate Software (LON:ALL) has launched new product branding across its core workforce management, governance, risk and compliance healthcare services to reflect the completion of its integration with Dynamic Change.

Elsewhere, Helius Energy (LON:HEGY) announced that its non-executive director Angus McDonald has increased his stake in the company from 19.12 percent to 24.12 percent after buying 4.36 million shares at a price of 16 pence per share.

And finally, Camco International (LON:CAO) said this morning that it has executed a series of forward sale transactions locking in a “favourable” price for 1.5 million tonnes of carbon credits.

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