After two consecutive sessions of losses resulting from geopolitical jitters, UK equity markets finally bounced back at the start of trading on Thursday.
However, gains are likely to be constrained as long as the threat of military action against the Syrian government from the US, UK and France remains.
At 8.45 pm, the FTSE 100 added 40 points at 6,470, while the wider FTSE 250 index gained 75 points at 14,000.
Among today’s main movers was Shaft Sinkers (LON:SHFT), with the group’s shares jumping as much as 12% in early trade after it revealed has been chosen as the preferred bidder in a public tender for Kazchrome JSC.
The project award, worth around US$75 million (£48mln), is subject to the negotiation and conclusion of a contract scheduled to be completed by the end of September.
It could be the mine shaft contractor’s first contract in Kazakhstan and its third contract outside its main market of South Africa.
Shaft Sinkers has been looking to diversify away from the country due to the widespread unrest that hit South Africa’s mining industry last year.
Another riser was Aminex (LON:AEX). The oil & gas exploration and production company is acquiring privately-owned Canyon Oil and Gas in a deal that brings in new management, a producing asset and potential for an injection of cash.
Canyon co-founders Jay Bhattacherjee and Philip Thompson will respectively become chief executive and chief operating officer of the London listed Plc. Two other members of the Canyon team will also join Aminex.
Bullabulling Gold (LON:BGL) also gained ground after it confirmed that gold mineralisation continues beneath the power infrastructure on its proposed mine location after completing a short drill programme.
The group managed to shrink its loss to US$3.2mln in the six months ended 30 June 2013, compared to a loss of US$6.4mln in the first half of 2012.
The company’s CEO Philip O’ Quigley expects the second half to be even busier than the first. He said the group’s attention has now switched to securing a new farm-out on their acreage in Australia, preparing for the testing of the Kutvolgy-1 well in Hungary and working with Chevron under our Cooperation Agreement in South Africa.
The company said arrangements to finance its own mill for the San Jose mine continue to advance. The new El Bote plant will have the capacity to treat 1,500 tonnes per day and is expected to result in significant cost savings, the firm revealed.
Kalimantan Gold (LON:KLG, CVE:KLG) also failed to impress investors although it revealed it has swung into profit in the first half of 2013 as exploratory work progressed on its KSK copper-gold project in Indonesia.