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Wishbone Gold shares rise as new Thai entity makes first gold shipment

A look at some of the top risers and fallers in London today
gold
Wishbone expects gold shipment volumes from Thailand to rise over coming months

Wishbone Gold PLC (LON:WSBN) shares jumped as it announced the first shipment of gold from Thailand through a recently formed entity.

The first gold delivery was sent to Dubai last week by Asian Commerce and Commodities Trading Co Ltd, which was recently formed to expand Wishbone’s presence in Asia.

The entity is 51% owned by Wishbone’s Thai local partner, who is connected to the ruling royal family, and 49% owned by Wishbone.

Wishbone plans to increase its stake in the entity to 95% after three months of operations. It expects shipment volumes to rise over coming months.

Shares shot up 23% to 0.5p each.

Energiser Investments PLC (LON:ENGI) shares dropped 18% to 0.25p as it said it invested £494,000 in a 7.5% short-term loan secured on an office property in Croydon.

The loan lasts nine months and represents 30% of the estimated current value of the 21,900 square-foot property.

Energiser said the property is let to a number of commercial tenants who can be removed at short notice to enable the residential conversion.

1.45pm: Faroe Petroleum shares rise as it sells stake in Fenja

Oil and gas company Faroe Petroleum plc (LON:FPM) is to sell a 17.5% working interest in the Fenja development in the Norweigan sea to Suncor Energy Norge AS for US$54.4mln.

Shares edged up 8% to 98.70p.

Faroe will use the proceeds of the sale to reduce its capital expenditure on the project, improve its balance sheet and fund its portfolio of Norwegian field developments.  

It will retain a 7.5% holding in Fenja and said it remains “fully committed” to the project, adding that it believes the investment from Suncor reflects the “attractiveness” of the development.

Total gross recoverable reserves from the Fenja development are expected to reach 97 million barrels of oil equivalent, 72% of which is oil.

Oracle Power PLC (LON:ORCP) shares climbed after Pakistan's Private Power and Infrastructure Board approved the issue of notice to proceed and letter of intent for the Thar thermal power station.

The approvals are for the development of a 700MW coal based power plant, as the first phase of a 1,400MW power plant.

Initially, the plan was for a 660Mw first phase, but this was increased slightly to reflect new requirements in Pakistan for more efficient technology.

Shares rose 8% to 1.6p. 

12.30pm: Anglo Asian Mining climbs, Frontera slides

Anglo Asian Mining Plc (LON:AAZ) shares edged higher after saying it has refinanced the majority of its existing debts with a new US$15mln facility.

The loan facility is on a 7% fixed interest rates over two years.

“Firstly, this will enhance our overall financial performance by lowering the cost of our debt through the reduction of interest payments,” said chief executive Reza Vaziri.

“It will also enable the redeployment of capital otherwise earmarked for principal repayments in 2018 to accelerate our exploration and optimisation plans, which should further improve our long-term production at our Gedabek project.”

Shares grew 8% to 43p.

Frontera Resources Corp. (LON:FRR) was under the cosh as it raised £2.5mln through the issue of shares to support its oil and gas operations.

The fundraising included a fully underwritten offer via PrimaryBid.com with proceeds to be used to fund work on oil wells in Georgia.

The company will issue 536,480,687 new ordinary shares pursuant to the offer.

Shares fell 15% to 0.48p.

11.00am: Acacia on the back foot as full year earnings drop

Acacia Mining PLC (LON:ACA) shares plunged after scrapping its final dividend and reporting a sharp decline in full year earnings.

The company lost US$264mln in revenue last year after the Tanzania government banned Acacia from exporting gold and copper concentrates. The government claims Acacia owes royalties on undeclared exports.

Revenue fell 29% to US$752mln for the year to December 31, 2017 as gold production dropped 7% to 767,883 ounces and gold sales declined 22% to 592,861 ounces.

Underlying earnings (EBITDA) decreased 38% to US$257mln.

Shares tumbled 14% to 147.8p.

Going the other way, Pennant International Group PLC (LON:PEN) shares rose as it said it was on track to deliver full results in line with expectations with a strong order book and “significant” bids in progress.

The group, which supplies technical training to the defence, rail, aerospace and naval sectors, expects revenue of more than £18mln and underlying earnings (EBITA) of about £2.1mln.

The order book stands at about £33mln at year-end and Pennant said it is “confident about its prospects for the future”.

Shares increased 11% to 84p. 

9.30am: Game Digital shares lifted by Sports Direct deal

Game Digital PLC (LON:GMD) said it plans to put concessions and gaming areas into some Sports Direct International PLC (LON:SPD) stores after agreeing a collaboration with the sportswear company.

Shares in the computer games retailer jumped 12% to 42.6p in morning trade.

Mike Ashley’s Sports Direct has bought a 50% stake in the intellectual property rights of Game Digital’s BELONG gaming arenas for £3.2mln. In return, Sports Direct will receive half of the unit’s profits.

Sports Direct will also provide loan facilities of up to £55mln to fund new venues for the arenas and to develop its website and related tournament management system.

“Having launched the BELONG brand just over a year ago, we have now opened 19 arenas and are very encouraged by the popularity and performance of these locations,” said Game Digital’s chief executive Martyn Gibbs.

“We look forward to collaborating with Sports Direct to increase the availability and scale of BELONG and to capitalise on the increasing overlap between sports and esports fans by bringing this unique experience to a wider consumer base."

On the downside, Up Global Sourcing Holdings PLC (LON:UPGS) shares fell more than 41% to 35.8p as it cut its full year earnings guidance after reporting a drop in half-year revenue.

The consumer goods company said revenue for the first half ended January 31, 2018, fell to £48.4mln from £68.1mln the same period a year ago.

UP blamed “ongoing challenges in the general merchandise retail market” and more caution from consumers in placing orders as they come under pressure from rising inflation and stagnant wage growth.

Results also included a one-off charge of £4mln to £5mln of revenue as a result of switching to free on board to landed arrangements with a key European customer.

The company said orders from new business opportunities with a number of supermarkets and retailers are expected to fall in fiscal year 2019, instead of in the second half, as previously anticipated.  

Therefore, it now expects to report a full year underlying earnings of £6mln to £7mln, below current market expectations.

Proactive news headlines:

Oracle Power PLC (LON:ORCP) has ticked off another requirement for the Thar thermal power station in Pakistan. The Private Power and Infrastructure Board has approved the issue of a Notice to Proceed (NOP) and Letter of Intent (LOI) to the company's subsidiary Thar Electricity (Private) Limited (TEPL). Big Pic in November.

Anglo Asian Mining Plc (LON:AAZ) has refinanced the majority of its existing debts with a new US$15 million facility at 7%. Anglo Asian’s debts are well supported by cash flow, and the announcement comes not long after the company projected that it would produce between 78,000 and 84,000 gold equivalent ounces from its mines in Azerbaijan this year.

88 Energy Ltd (LON:88E) has secured “a level of certainty” that it will receive A$6.75mln of additional capital funding in March, after entering into an underwriting agreement related to listed share options. There are around 340mln listed options which are exercisable at 2 Australian cents before a deadline of March 2 (current ASX price: 2.9 Australian cents).

Thor Mining PLC (LON:THR) has revealed that the Kapunda project in South Australia contains an inferred resource of 119,000 tonnes of copper contained. Thor is earning in to an effective 45% of Kapunda. The plan is to extract the copper using in-situ leaching.

Allergy Therapeutics plc (LON:AGY) said results of its phase II clinical trial are due to be published ahead of expectations early in the second-half following the completion of patient recruitment. The study of its PQ Grass immunotherapy, an aluminium-free, ultra-short course hay fever treatment, is designed to evaluate dose response and safety.

Wishbone Gold PLC (LON:WSBN) has confirmed that a new Thai entity has now been set up, and highlighted that the first successful delivery of gold has now taken place. It currently owns 49% of the newly created Asian Commerce and Commodities Trading Co (ACCT), though arrangements are in place that could see Wishbone increase its stake up to 95%.

The cancer specialist Scancell Holdings Plc’s (LON:SCLP) said its lead drug has received a glowing write-up in a leading cancer journal as it released data from melanoma patients five years on from receiving the treatment. Immuno-therapy SCIB1, which is expected to progress into phase II clinical trials in the second-half of the year, was the focus of a peer-reviewed paper in OncoImmunology.

Sound Energy PLC (LON:SOU) has secured a new eight year petroleum agreement giving it rights to the Sidi Moktar project area, onshore Morocco. The new project area, to be referred to as ‘Sidi Moktar Onshore’, covers a 4,499 square kilometres including the Sidi Moktar Nord, Sud and Ouest permit areas.

Echo Energy Plc (LON:ECHO) has revealed plans for its projects in Argentina where it will drill four new exploration wells this year.

Accesso Technology Group PLC (LON:ACSO), the ticket and queue management firm, has announced a five year extension to its existing agreement with Cedar Fair Entertainment Company (NYSE:FUN), the US amusement Park corporation.

Savannah Resources Plc (LON:SAV) is accelerating exploration at its Mina do Barroso lithium project in Portugal, following the intersection of good grades at NOA and Grandao deposits. Savannah already has an established resource based around results from the nearby Reservatorio deposit.

Canada-based copper miner Rambler Metals & Mining PLC (LON:RMM) (CVE:RAB) achieved record throughput at its Ming mine in Newfoundland in the last three months of 2017. Production for the year overall was also a record with the level of ore processed rising by 27% to 339,631tonnes, which generated 3,968 tonnes of saleable copper and 3,357 ounces of gold.

Active Energy Group PLC (LON:AEG) has announced that its first commercial CoalSwitch™ plant in Utah, United States was officially opened on Friday 9 February 2018. The event consisted of an introduction to Active Energy, its Utah operations, management team and a demonstration of the reactors which can produce five tonnes per hour of finished CoalSwitch™ product.  A video of the presentation has been uploaded to the company's website.

Falcon Oil & Gas Ltd. (AIM:FOG) (TSXV: FO) said it has been informed by Burlingame Asset Management, LLC that they now hold 48,772,302 common shares in Falcon, representing 5.24% of the company’s issued and outstanding shares.

Scotgold Resources Limited (LON:SGZ) announced that it has been informed by Loch Lomond and the Trossachs National Park Authority that arrangements have been made for a site visit and hearing to determine the company's application for the development of Cononish Gold and Silver Mine. The group said these will take place on 27 February, with the site visit at 10.15am,at Dalrigh Car Park, and the hearing at 1.30pm at Crianlarich Village Hall.

Block Commodities Limited, formerly known as African Potash Limited (LON:AFP0) announced that it has completed its change of name with effect from 8:00am today. The company said its new name reflects the strategy of the group to focus on the development of commodities ecosystems in Africa based on blockchain technology.

Capital Networks has issued a research report on TAG Oil Ltd (TSE:TAO) following news that it and its joint venture partner, Melbana Energy (30%), have commenced drilling operations operations on the Pukatea-1 exploration well. Analysts Lionel Therond noted that, based on injection rates and pressure data in the main Cheal permit field, current expectations are that a more definitive uplift of production and recovery factors will likely be seen by mid-2018.

Capital Networks has issued a research report on Rose Petroleum (LON:ROSE) following the completion of the initial structural interpretation of the 3D seismic data it acquired over its Gunnison Valley unit in the Paradox Basin, Utah, USA. Analyst Lionel Therond noted that all options are envisaged, including joint venture and farm-in arrangements, to ensure that any dilution to existing shareholders is kept to an absolute minimum, while still realising the full value of the project.


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