Blue chips took a back seat to small caps today as traders shifted attention to the AIM market following the conclusion of the earnings reporting season in the FTSE 100.
Closely followed Falklands focused oil and gas explorer Rockhopper Exploration (LON:RKH) was the most actively searched for UK stock on Google Finance this morning with investors looking for an explanation for the recent poor performance of the ocmpany's share price.
Shares in Rockhopper slipped 12 percent to 142.5 pence in early deals today, which was blamed on the generally weak sentiment in the markets in the wake of Standard & Poor’s downgrade of the US debt rating to AA-plus.
Oil prices have fallen sharply as a result of the move, dragging down oil and gas stocks.
Some of Rockhopper’s sector peers, however, bucked the trend after releasing update operational updates.
The announcement of a new discovery by Max Petroleum (LON:MXP) emerged atop the list of today’s most popular RNS statements.
Max reported that electric logs from its KZIE-1 exploration well in the East Kyzylzhar I prospect in Kazakhstan indicated 17 metres of net oil pay in two reservoirs. The well is expected to be placed on test production in 60 to 90 days.
This is the company’s fifth discovery since the renewal of its post-salt exploration programme in January 2010. Max is set to test another three post-salt prospects during this quarter.
“We are well positioned to execute on our exploration programme regardless of macro market conditions and look forward to continue generating significant value for our shareholders in the very near-term,” said executive co-chairman of Max Petroleum Robert Holland.
Separately, Max said that its UTS-2 well in the Uytas field has intersected 12 metres of net oil pay, confirming the Uytas discovery.
Fellow AIM quoted oil explorer Range Resources (LON:RRL) has also announced an oil discovery today.
The firm said that logs from the MD 247 well on the Morne Diablo Block in Trinidad have indicated about 145 feet of net oil pay in the shallow Forest Formation, an established producing horizon on the block.
Casing is currently being run in the well in preparation for production testing next week.
Both Range Resources and Max Petroleum did well this morning after the discovery announcements. Range advanced 5.5 percent to 12.25 pence, while Max rose 2 percent to 11.5 pence.
Chariot Oil & Gas (LON:CHAR) also did well, rallying 5 percent to 126.25 pence after striking a farm out deal with supermajor BP (LON:BP.).
Under the terms of the farm-out agreement, BP will earn 50 percent of Chariot’s interest in Block 2714A offshore Namibia, giving BP a total stake of 25 percent.
In return BP will cover Chariot’s drill costs for the first well and past exploration costs incurred.
Back in June, Brazilian energy major Petrobras exercised its option to acquire a 50 percent stake in the block.
Meanwhile, gold’s latest record rally was among the hot topics on message boards today, particularly among investors in gold mining companies. Solomon Gold (LON:SOLG) investors opined that the current gold prices are not fully reflected in the value of small cap exploration companies such as Solomon.
The company has provided a few upbeat updates over the past month. Back in July, Solomon reported high grade intercepts from the Kauffmans-Homestead prospect at its Rannes project in Queensland and positive early results from the Mbetilonga project on the Solomon Islands.
Drilling results from Mbetilonga revealed that a new porphyry target is emerging at the Hahala Prospect, in the western section in the western section of the project.