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Proactive news summary: African Potash, Falcon Oil, Allergy Therapeutics, Northcote, Rightster ...

It's deja vu all over again for African Potash as it inked another fertiliser deal.
News round-up

Potash sounds like something you’d find in a hippie’s dustbin but it’s clearly the up and coming fertiliser product, especially in Africa.

African Potash (LON:AFPO) inked its second deal to supply fertiliser to a country in the Common Market for Eastern and Southern Africa, known as COMESA for short.

This time the tentative agreement is with an unnamed Malawian, which will take 50,000 metric tonnes a year over an initial three years.

Last week the AIM-listed trader tied up a deal for the same quantity with a Zambian fertiliser supply group.

Closer to home, Sirius Minerals (LON:SXX), which is developing a potash project in York, said its issued share capital now totals 2,216mln shares, after a number of warrants were exercised, bringing the amount raised from the converted warrants to £9.25mln.

“In our view, the warrant funds are very welcome in that they should allow the company to accelerate engineering design work that would normally be undertaken after completion of a Definitive Feasibility Study (DFS),” said Shore Capital.

Also issuing shares is Rightster (LON:RSTR), the YouTube marketing specialist. It has allotted 6.2mln shares pursuant to a £849,938 earn-out clause relating to its acquisition of VML.

In other funding news, Hummingbird Resources (LON:HUM) has topped up the bridging loan with fund manager Taurus by another US$5mln.

The additional cash will fund due diligence and development work at the Yanfolila gold project in Mali.

Range Resources (LON:RRL) is to receive a second tranche of funding from fund manager Beijing Sibo after shareholders approved the finance package at the end of last week.

The oil explorer should receive US$22.1mln within the next five business days.

Philip O'Quigley, boss of Range’s sector peer Falcon Oil & Gas (LON:FOG, CVE:FO), hailed an “excellent start” to drilling at Australia’s Beetaloo Basin.

The first well, Kalala S-1, intercepted more than 500 metres of shale gas with a net pay (the potentially economic portion) of 150 metres.

Also buoyed by drilling results was Northcote Energy (LON:NCT). Northcote's stock surged as the Lutcher Moore #20 well (LM #20) at the Shoats Creek field, Beauregard Parish, substantially exceeded its pre-drill expectations in multiple areas including thickness of pay-zone, oil cut and daily rates achieved during testing.

New World Oil & Gas (LON:NEW) is looking at acquiring projects and attracting partners for its current sites despite turbulence in the oil sector.

The oil minnow said it has now looked at seven projects that have the potential to generate immediate or near-term cash-flow.

Perhaps New World should talk to Trinity Exploration & Production (LON:TRIN), which has sold its 100% stake in the Gaupo-1 block for US$2.8mln as part of its retrenchment plan.

Another company retrenching is Asiamet Resources (LON:ARS), which is considering selling or hiving off the Jelai epithermal gold scheme in North Kalimantan as it focuses on two core copper projects.

Fellow gold miner Shanta Gold (LON:SHG) expects a much better second half after development work its two main open pits at New Luika in Tanzania knocked its interim results.

Revenues over the six months to June fell to US$31.9mln (US$58.3mln) through a combination of lower production, lower sales and a lower gold price.

There was an interim loss of US$10.3mln (profit US$7.7mln).

Egypt-focused gold explorer Alexander Nubia (CVE:AAN) has had positive exploration results recently but remains cautious on overall market conditions, it told investors in its half year report.

Exploration expenditures increased to C$803,624 in the six months to June 30 compared to C $305,875 in the same six months in 2014 as the firm spent funds from a private placing it said.

Overall, the net loss came in at C$991,763 compared to C$591,041 in 2014.

Kincora Copper (CVE:KCC) is looking at new properties around its existing Bronze Fox property in Mongolia after the application process for the east of Mongolia re-opened last week.

The explorer ended the half year to June with cash of C$1.42mln, enough for a year and surface exploration, including infill mapping and geochemistry, around both projects.

The company posted a loss of C$194,000 (C$755,000) in the three months to June.

Mariana Resources (LON:MARL) is eyeing a further boost to the resource at its gold and copper project at Hot Maden after assays from exploration of extensions to the main target.

A maiden resource of 3mln ounces for the project in Turkey was published last month but chief executive Glen Parsons already expects an increase to that figure, while noting increasing grades of zinc that had not been included previously.

Rare Earth Minerals (LON:REM) has mobilised a second drill rig at Sonora in Mexico following its recent supply deal with lithium battery giant Tesla Motors (NASDAQ:TSLA).

The second rig has been mobilised to speed up drilling of the remaining holes, which is hoped to be completed this month.

Diamondcorp (LON:DCP) is on schedule to complete its first diamond sale next month.

Installation of safety measures for the underground conveyor belt system at its Lace mine is expected to be completed during September ahead of the ramp up in commercial production during the fourth quarter of this year.

Moving on to pharma, Allergy Therapeutics (LON:AGY) said a dose ranging study for its Pollinex Quattro Birch treatment has recruited its first patient.

In all 350 will be taken onto the phase IIb programme, which has been set up to determine the optimum amount of the drug that should be administered.

Lastly, shares in clean energy and home improvement group Entu (LON:ENTU) plummeted after it ditched its loss-making solar business and issued a profit warning for 2015.

The company estimated it will lose more than £2mln from its solar activities this year, compared to a budgeted profit contribution of £1.6mln.


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