Mining and Exploration

UK oil explorer Max Petroleum has announced the discovery of a zone of oil in a well in Kazakhstan, sending its shares soaring.

Testing at the UTS-1 well on the Uytas prospect in Western Kazakhstan has revealed 16 metres of oil at shallower depths than the current position, with the oil column potentially stretching for 86 metres.

The company said it would now drill ahead from the current intermediate depth of 300 metres to explore deeper targets at around 900 metres, before returning to the shallower zones to test the find.

London-based Sirius Petroleum has entered a conditional agreement to purchase a 40 per cent participating interest in Nigeria’s Ke oil field and the surrounding Ke farmout area.

In order to fund the development of Ke, the company is preparing to place 313.9 million new shares, representing 30.73 per cent of the enlarged share capital to raise £15.67 million.

The metal and mineral resources of Turkey have been under-exploited for decades. Afrasia Mining and Energy Consulting (AME) and Red Crescent Resources (RCR)are bringing South African and global expertise into alliance with local knowledge. Ruari McCallion found out more.

Mining is often about an underground world of tunnels towards the centre of the earth. At Pike River Coal, however, the challenge of New Zealand’s geology has resulted in tunnelling uphill and a reliance on water. New CEO Peter Whittall explains all to Andrew Pelis.

The recent earthquake in Christchurch, New Zealand reveals the geological complexity of the South Island. For Pike River Coal, however, while earth tremors are no major problem, geology has proved to be an uphill struggle.

US gas company Chesapeake Energy is to sell a third of its interest in the Eagle Ford Shale project to China’s CNOOC for $1.08 billion.

Chesapeake will continue to manage the project in South Texas, conducting all leasing, drilling, operation and marketing activities.

CNOOC will fund 75 per cent of Chesapeake's share of drilling and other costs until an additional $1.08 billion has been paid, which Chesapeake expects to happen by the end of 2012.

The Conference Board of Canada has released a less than conclusive report on BHP Billiton’s hostile $38.6-billion takeover bid for Saskatchewan’s PotashCorp.

The report indicates that there will be little short-term benefit to Canada in terms of jobs if the international mining conglomerate succeeds in its hostile bid for PotashCorp, and that the provincial government’s tax revenue could be hit by as much as C$2 billion over the next ten years.

The story of Frontier Mining is one of an amazing turnaround. Jane Bordenave finds out how the company went from bust to boom in just 12 months.

While it is listed on the London Stock Exchange, Frontier Mining is in fact a Kazakh mineral exploration and development operation that has been working in Kazakhstan since 1998. It is involved in gold and copper mining and was bought in 2009 by a group of investors led by entrepreneur Erlan Sagadiev.

The meteoric growth of Perth-based Catalpa Resources has been down to a solid strategy and a culture of excellence—as well as a dash of bravery, as managing director Bruce McFadzean tells Andrew Pelis.

International power and automation technology group ABB intends to expand its mining interests in South Africa with the acquisition of the mine hoist related business of local manufacturer Coilmech, for an undisclosed sum.

ABB plans to incorporate the acquisition into subsidiary ABB South Africa’s process automation portfolio for customers in the mining sector.