Skip to main content
The Markets by Proactive
Go to Proactive Australia

Pharma & Biotech

Proactive news summary: dotDigital, Green Dragon Gas, LGO Energy, Medusa Mining, Mosman Oil & Gas...

By way of a change, we start with a slew of technology stories.

Minds + Machines (LON:MMX), the top-level domains owner and operator, saw revenue surge from September when ten of its newly acquired Internet names became generally available.

Sales totalled £2.9mln in the six months to December, with £2.2mln generated in the last four months.

DotDigital (LON:DOTD) is to spend £3mln over the next two years beefing up its operations in the US and Australia to build on strong demand for its bulk email software.

Profits rose by 17% in its latest six months to December to £2.54mln on sales 32% higher at £10mln.

Digital social media platform Audioboom (LON:BOOM) will relaunch its Android app with new features on Wednesday.

Chief executive Rob Proctor said: "The launch of our iOS app at the end of last year was a huge success, and we're excited now at long last to bring the same functionality to our Android users.”

Electronic invoicing specialist Tungsten (LON:TUNG) straddles the technology and banking sectors, and today it issued an impromptu trading update saying it remains confident in its long term prospects.

The announcement came after the shares shed a fifth of their value today, after some investment web sites questioned the company’s business model and the strength of the balance sheet.

The mining sector was its usual hotbed of corporate news.

Improved operating performance at its Co-O mine in the Philippines meant Medusa Mining (ASX:MML) posted better production, revenue and profit in its latest half year.

For the six months ended December 31, the miner exceeded guidance and says it's on track to produce 95,000 to 100,000 ounces of gold for the full year to end-June.

Net profit for the six months was up 90% to US$24.8mln compared to US$13mln in the same period in 2013, on revenues of US$62.2mln compared to US$34mln - an 83% rise.

Xtract Resources (LON:XTR) shares soared as it brought gold production "back on track" at the Chepica project in Chile and re-negotiated its earn-in option deal for the property.

Only in the last two weeks has the miner hit the reef horizon after two previous attempts failed, meaning development has now been re-established.

The group expects to generate a profit in April next year (2015).

In the energy sector, Green Dragon Gas (LON:GDG) has seen the value of its gas reserves in China rise by 53% despite the slide in oil prices.

In its annual audit, net 2P reserves were 63% higher at 426.8 Bcf. Reserve engineer Netherland Sewell & Associates, which carried out the audit, estimated these were worth US$4.3bn, 53% higher than last time.

The 2P number is the most commonly used benchmark, but the more conservatively measured 1P reserves also rose by 17% to 147.8 Bcf, with a value 63% higher at US$1.46bn.

LGO Energy (LON:LGO) has secured a US$25mln long-term financing with BNP Paribas to support ongoing production growth in Trinidad.

The financing deal will fund development drilling at the Goudron field where production has grown to over 2,000 barrels per day and is set to expand further.

Alongside the BNP Paribas facility LGO has also raised £6.72mln via a share placing at 2.5p per share.

Also on the financing trail, Range Resources' (LON:RRL) board has sent a letter to shareholders urging they vote in favour of a US$60mln funding with Core Capital.

Among other factors, it says it will provide the firm with an additional US$50mln facility and allow it to refinance its debt position.

Wentworth Resources’ (LON:WRL) latest exploration well onshore Mozambique has been unsuccessful.

The Kifaru well was drilled to a depth of 3,100 metres and hit all targeted zones, but did not find economic reservoirs.

Hoping for better luck is Mosman Oil & Gas (LON:MSMN), which is preparing for the start of an extended flow test at the Petroleum Creek project, onshore New Zealand.

A rig has now been mobilised to the Cross Roads-1 well, where a downhole pump and nodding donkey will be installed. The plan is to perforate and complete the discovery in the Cobden limestone reservoir.

The well will then be flow tested for up to 60 days.

New World and Gas (LON:NEW) has been given until March 15 to complete its work commitments for licences 1/08, 1/09 and 2/09 in Denmark.

The extension gives the company more time to propose additional technical work to further de-risk prospects, it said in a statement.

The company owns 25% of the licences, which cover the Danica Jutland and Danica Resources projects.

Finally, pharmaceuticals developer ValiRx’s (LON:VAL) solid tumour treatment VAL201 has successfully completed the first stage of its phase I/II trial.

The compound was safe and well tolerated at the doses tested and the trial will move on to safety and tolerability testing at a higher dosage.