Strike Resources (SRK)

Minerals and iron ore player Strike Resources has told shareholders that the turmoil and volatility in world financial markets has cut the company's market capitalisation to $48 million, which is below its cash position of about $72 million.

• Oct 28, 2008
• David Ciampa

Russian takes aim and hits on Strike

Russian steel maker Metalloinvest has demonstrated its confidence in continued strong iron ore prices by investing $103 million in junior miner Strike Resources.

• Jul 29, 2008
• Jo Clarke

Gloucester Coal's quarterly sales up 15pc

Gloucester Coal (GCL) The coalminer has reported total coal sales of 545,000 tonnes over the June quarter, up 15 per cent from the prior year's figure, amid continuing strong demand for its products. The company said coking coal sales were up 10 per cent for the June quarter against the prior year, while thermal coal sales increased by 19 per cent. Total coal sales for the 12 months to June increased by 12 per cent on the prior year. Gloucester said total production over the June quarter was lower than the same period in 2007, as it targeted the higher valued coking coal amid port capacity restraints. The company said it expected "substantial" price increases in coking coal to result from its ongoing negotiations with Japanese steel mill customers. Shares in Gloucester gained 65¢, or 6.4 per cent, on Monday, to close at $10.76. Strike Resources (SRK) The minerals explorer has announced a $103 million capital raising through a share placement to Russian-owned Gallagher Holdings to help fund its flagship iron ore project in Peru. The company said the shares were issued at $2.75 each, representing almost a 40 per cent premium to Strike's closing price on July 24. The placement is to occur in two stages, with the first $49.7 million tranche to proceed shortly. The second tranche would require approvals from Strike shareholders and the Foreign Investment Review Board, and was also dependent on the satisfactory completion of due diligence by Gallagher, the company said. Gallagher, which is an unlisted holding company owned by Russia's Mettaloinvest Holding, nominated its chairman to join the Strike board. Shares in Strike gained 3.8 per cent on Monday, to close at $2.05. Cape Lambert Iron Ore (CFE) Shares in the mineral explorer plunged 32.3 per cent on Monday, following reports that it would proceed with the sale of its flagship iron ore project in the Pilbara to China Metallurgical Group for $400 million, after shareholders voted in favour of the transaction. It has been speculated that Cape Lambert's largest shareholder, Russian steel-making and mining giant Evraz Group, will launch a takeover bid for the company. Shares in Cape Lambert closed 26¢ lower at 54.5¢ on Monday.

• Jul 28, 2008
• Patrick Commins

Briefs

Amcor sells film plant

• Jun 3, 2008
• Tracy Lee, Staff reporter, Neil Shoebridge, Simon Evans, Tracy Lee

There's more hematite in those hills, it just needs rail lines

Fortescue's boat has sailed, but is there promise in other Pilbara miners, asks Paul Garvey.

• May 31, 2008
• Paul Garvey.

• Street Talk

Street Talk

BG keeps Contact cards close to chest

• May 12, 2008
• Edited by: Michael Vaughan (Michael.Vaughan@afr.com.au)

Strike Resources surges on Peruvian mine interest

Strike Resources (SRK) Strike became a popular small cap trade on Tuesday, surging 9.5 per cent, an almost fivefold surge in volumes, after the iron-ore hopeful said a major mining name was interested in purchasing its Peruvian assets for around $650 million. The figure is well ahead of the company's current market capitalisation of $241.4 million and values its stakes in its key Apurimac and Cuzco iron ore projects in Peru at around $450 million. Strike made the statement in response to media speculation in Peru, clarifying that talks are underway but that no binding agreement has been reached. The interested bidder wasn't named. Strike's shares rose 9.5 per cent to $2.66 in its largest intraday move for two months. Antisense Therapeutics (ANP) The drug developer moved one step closer to commercialisation of its drug to treat multiple sclerosis with news the second generation inhibitor underwent Phase II clinical trials with MS patients. The market liked the news and bid the stock up another 5.3 per cent to 6¢ in what has become a gravity-defying 3 months for the shares that have now gained 58 per cent since late 2007 despite the wider market rout. Indeed, the wider small cap biotech sector has been the quiet achiever of the sector in the year-to-date with stocks such as QRXPharma and Biota Holdings also making headway against deep losses in small cap peers, down just 5.4 per cent and 2.9 per cent against losses of 16.2 per cent on the Small Ords Index. Blackham Resources (BLK) Gold explorer Blackham became the latest mining minnow to become embroiled in the fall-out from the collapse of Opes Prime, which continued on Tuesday with another handful of companies entering Opes-induced trading halts on Tuesday. The $17.9 million company's statement was not much different from the half a dozen already issued by directors in those unlucky mining juniors who used Opes' stock lending facilities to buy shares in their companies. The company said Blackham director and a number of other shareholders bought shares in arrangement with Opes, though the full extent of those holdings is still being clarified. Other small caps entering Opes-related trading halts on Tuesday included Jumbuck, Ansearch and Q limited. Blackham Resources stock last traded at 59¢, down 1.7 per cent, on Monday before the trading halt was announced.

• Apr 1, 2008
• Emily Parkinson

In brief

Strike looks at Peru sell-off

• Mar 15, 2008
• Staff reporter