Petro Matad brought up short by objections to its Heron-1 well

A look at the day's major movers, including RTC, Volga Gas, easyHotel and CyanConnode

A yurt on the steppes of Mongolia
One steppe forward, two steppes back for Petro Matad

Shares in Petro Matad Limited (LON:MATD) slumped by 20% to 6.25p after it revealed it had run into trouble with a provincial government in Mongolia.

The provincial government has challenged Petro Matad's legal right to use the land at its Heron-1 prospect on the basis that a tripartite agreement between two central government agencies and the province has not been executed.

Petro Matad maintained that it has always followed the land permitting regulations as required under the production sharing agreement, in accordance with instructions from the Ministry of Mining and the industry regulator MRPAM, and said the absence of a tripartite land-use agreement between government agencies has never previously been an issue.

1.00pm: Inland Homes buoyed by planning permission decision over its Cheshunt development

Inland Homes PLC (LON:INL) was a member of the lonely band of shares on the rise on Monday, after some planning consent news.

The shares rose 3.2% to 68.6p after the brownfield developer said it had received planning consent at Cheshunt Lakeside, Hertfordshire, further to the signing of a Section 106 agreement – a so-called “developer contribution”.

Inland is looking to create an “urban village” just off the A10 in Cheshunt, comprising 1,725 homes, a plethora of shops and a new primary school.

11.40am: Recruiter breaks silence on Brexit blues

Brexit appears to have claimed another victim in the form of RTC Group PLC (LON:RTC), which was down 9.6% at 52p.

Things have been quiet for several months from the engineering and technical recruitment group but in its half-year results, it revealed that its ATA subsidiary has encountered headwinds due to uncertainties over the UK’s future relationship with the European Union.

Basic earnings per share in the first half of 2019 fell to 3.86p from 4.38p the year before.

10.30am: Volga Gas lowers production guidance

Lower month-on-month production in July sent the shares of Volga Gas PLC (LON:VGAS) 21% lower to 38.5p in early deals.

The average production in July 2019 was 4,885 barrels of oil equivalent per day, which was 21.1% lower than in the month before.

Lower gas processing capacity was driven by a three-day shut-down for scheduled plant maintenance combined with a reduction in output from the Vostochno-Makarovskoye gas field in response to the recently observed higher water cut, announced on 17 July 2019.

9.30am: easyHotel succumbs to bid from major shareholder; CyanConnode ticks higher after deal with Chinese manufacturer

The board of easyHotel PLC (LON:EZH) has recommended a 95p a share cash offer for the company, sending the shares soaring 35% to 95.5p.

The bid for the hotels franchise business has been made by a consortium of Cadim Fonds Inc, which is part of Ivanhoé Cambridge, and ICAMAP Investments, which is already a major shareholder in the company.

Ivanhoé Cambridge holds interests in more than 1,000 buildings, primarily in the industrial and logistics, office, residential and retail sectors, while ICAMAP is an independent property fund manager.

Smart meter technology company CyanConnode Holdings PLC (LON:CYAN) has agreed to collaborate in certain territories with the Chinese manufacturer, Hexing Electrical.

As part of the collaboration, Hexing will integrate CyanConnode's radio frequency modules into its meters and CyanConnode's Omnimesh Advanced Metering Infrastructure platform with Hexing's Meter Data Management System, to create a cost-effective turnkey solution.

"As a leading provider of advanced metering infrastructure, we are pleased to offer CyanConnode's IPv6-based Omnimesh solution as part of Hexing's portfolio. CyanConnode's RF Mesh technology provides a cost-effective, scalable communication network that can be integrated and deployed with ease,” said Fan Jianqing, the general manager of the international trade department at Hexing.

Proactive news headlines

Mosman Oil & Gas Ltd (LON:MSMN) said it expected initial oil in mid-September as a third well was spudded at the Stanley project in east Texas.

Oriole Resources PLC's  (LON:ORR) area of interest at the Medina Bafe target has expanded to 16 sq km after more indications of gold were found by IAMGOLD, its partner on the project in Senegal.

Property franchiser Belvoir Group PLC (AIM:BLV) said sales and profits in the first half were both “comfortably ahead” of the same period last year.

European Metals Holdings Ltd (LON:EMH) has been granted an extension to the exploration licence that covers the two granted Preliminary Mining Permits at its Cinovec lithium project in the Czech Republic.

Faron Pharma Oy (LON:FARN) has unveiled plans to raise up to £2.8mln to complete an early clinical study on its promising cancer drug.

Thor Mining PLC (LON:THR)(ASX:THR) has responded to a query from the Australian Securities Exchange in regards to its cash position.

Anglo African Oil & Gas PLC (LON:AAOG) intends to drill a sidetrack from its last well to access the deeper Djeno structures at Tilapia in the Republic of Congo.

Polarean Imaging PLC (LON:POLX) said it's on track to complete recruitment to its phase III clinical trial by the end of the current quarter following the enrolment of the first patient to its third site.

Pharmaceutical products development veteran Jørgen Wittendorff has been appointed as head of manufacturing at Silence Therapeutics PLC (LON:SLN).

Custodian REIT PLC (LON:CREI), the UK property investment company, has sold an industrial warehouse in Wolverhampton for £6.6mln.

Providence Resources PLC (LON:PVR) has again extended the deadline for an outstanding payment of US$10mln related to the farm-out of the Barryroe oil field, in Ireland’s Celtic Sea.

Argentex Group PLC (LON:AGFX) has appointed a former senior investment advisor of The World Bank to its board. Lena Wilson has joined the foreign exchange services group as senior independent director and chairwoman of the nominations committee.

Kavango Resources PLC (LON:KAV) closed out the six months to 30 June 2019 with US$808,000 cash in the bank. The company booked a loss of US$295,000.

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