ASA Resource Group PLC (LON:ASA) took a bath today as the board revealed some seriously dodgy dealings at its Freda Rebecca gold mine in Zimbabwe.
Having received an anonymous tip-off, the board said it was extremely disappointed to report that there is strong evidence of funds amounting to several million US dollars being transferred from the accounts of Freda Rebecca (FRGM) to entities in China, without full value being received by FRGM.
The shares plunged 46% to 1.125p on the announcement.
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ASA has an 85% interest in FRGM.
Also taking a battering today was Zoo Digital Group PLC (LON:ZOO) after news of a fund-raising.
The shares lost a sixth of their value, sliding to 9.375p, as the sub-titling specialist proposed to raise £2.58mln through a share placing and subscription at 9p a share.
As the placing price is lower than the current nominal value of the shares, the board is proposing a capital reconstruction that will effectively lower the nominal value and thus allow the new shares to be issued at the proposed price.
9.23 ... Motif Bio and SDX Energy
Motif Bio PLC (LON:MTFB) chief executive Graham Lumsden hailed as a “significant achievement” the successful completion of a phase III clinical trial of its next-generation antibiotic, iclaprim.
The REVIVE-1 global study assessed the drug’s ability to treat patients with acute bacterial skin and skin structure infections.
The top-line results revealed it scored well against one of the leading products, vancomycin, on two counts.
The news sent shares in Motif surging 21%, while Amphion Innovations PLC (LON:AMP), which holds a significant stake in Motif, was up 31%.
Also going well was SDX Energy Inc (CVE:SDX, LON:SDX), which has confirmed a new gas discovery at the South Disouq project, where exploration drilling continues.
The company told investors this morning that the SD-1X well has encountered conventional natural gas bearing horizons in the Abu-Madi targets. It hit some 65 feet of net pay with average porosity of 25% in line with pre-drill estimates.
The shares were up 13% at 55.14p.
Proactive news summary
The exploration and development firm Sound Energy PLC (LON:SOU) said a drill rig will soon be on its way from its Tendrara licence in Morocco to start work on two wells at Sidi Moktar, its second gas asset in the country.
The company has also confirmed it will go it alone with the exploration of Sidi Moktar, rather than bringing in a partner, thanks to its strong financial position.
China-focused coal bed methane gas group Green Dragon Gas Ltd (LON:GDG) has announced that its development plan for the Qinshui Basin Chengzhuang Cooperative CBM Block has been approved by the Consultation Center of China National Petroleum Corporation.
Clinical stage biopharma group Faron Pharmaceuticals Ltd (LON:FARN) has partnered with the University of Birmingham as it looks to advance its potential cancer immunotherapy, Clevegen.
Faron will work with the “world-renowned” UoB Medical School to develop and initiate a liver cancer programme testing Clevegen in clinical trials.
The south-eastern Europe focused property and investment company, Secure Property Development and Investment PLC (LON:SPDI), has signed a leasing deal in Romania which increases the company's current net rental income by almost 10%.
Echo Energy - the Independent Resources plc (LON:IRG) reboot led by Sound Energy execs - is raising £23mln of new capital and is working on an acquisition in South America.
LGO Energy PLC (LON:LGO) has confirmed that its second new well at the Goudron field has come online, adding 80 barrels to daily oil production.