Fox-Davies Capital Tuesday Energy and Mining News Wrap

Matra Petroleum (MTA) is raising £5.35m through a two stage placing of 535m new ordinary shares at 1p per share. The completion of the first stage of 123.5m shares is expected on 10 July 2009, while the second stage is subject to shareholder approval at an EGM expected to be held on 24 July 2009. Some £3.88m will be used to drill an up-dip appraisal well to the Sokoloshoe discovery on the Arkhangelovskoe licence in Oremburg, Russia. The remainder of the funds will be used for general business purpose.

Petra Diamonds (PDL) announced that the company has achieved its stated objective of increasing annual production to over 1M carats (production for the period 1,108,815 carats), recording a five-fold increase over the previous financial year (200,287 carats).
Mine gross revenue for the period was US$94.4M, a 22.1% increase on the year to 30 June 2008 (US$77.3M) Group revenue for the period was US$69.1M (2008: US$76.9M)

Avocet Mining (AVM) announced that it has issued and allotted 423,717 new ordinary shares of 5 pence each as partial consideration for the cancellation of all outstanding share options over the ordinary shares of Wega Mining ASA following the completion of Avocet's acquisition of Wega Mining. Of the 423,717 Shares issued today, 352,609 Shares are subject to lock-in arrangements whereby the Shares may not be sold or otherwise transferred prior to 7 January 2010.

The company also announced positive results from initial scout drilling on the Seruyung project in northeast Kalimantan, Indonesia. Seruyung is a heap leachable high-sulphidation epithermal system similar to the Company's North Lanut gold mine. The property was previously drilled by Indochina Goldfields Limited who estimated a contained gold resource of 330,000 ounces in 1999. Avocet is targeting a resource in excess of 500,000 ounces of gold.

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