StockMarketWire.com - Edenville Energy [LON:EDL] was up in late trading after it revealed significant progress on the Rukwa coal to power project

Edenville said it has started the formal review process of the Rukwa power plant feasibility with Tanzania's Ministry of Energy and Minerals (MEM) and Tanesco, the state body for power generation, transmission and distribution.

Edenville says this is a key step in advancing the Rukwa coal to power project to the development stage. This formal process will review and assess proposed power generation projects to satisfy commercial and regulatory requirements.

The company says it is most encouraged that the power plant feasibility has been positively received and is in the review stage with the MEM and Tanesco.

Edenville says this will enable the company to advance negotiations relating to power purchase agreement (PPA) tariffs and plan the integration of Edenville's power plant into Tanzania's transmission and distribution infrastructure programme. Agreement of base tariff rates will better define capital and operating expenditure requirements, allowing accurate modelling by Engineering, Procurement and Construction (EPC) groups as part of the formal tender process.

Chief executive Rufus Short said: "We now see Edenville's Rukwa Coal to Power Project making significant progress in three areas - the MEM/Tanesco review of the Power Plant Feasibility Study, the submission of the Mining Licence application and discussions with EPC partners. We're moving forward on these fronts in parallel, each allowing better definition of the project's economic and technical parameters, taking us closer to the point of a formal relationship with an EPC partner.

"I am very encouraged by the recent discussions we had with the MEM, which underlined the absolute necessity of coal fired power generation in Tanzania and I am confident we will continue to receive valuable input and support from the Tanzanian authorities. We will continue to update our shareholders on key developments as they occur."

* * *

BHP Billiton [LON:BLT] expects to take a $2.8bn hit on its onshore US oil and gas business.

The gas-focused Hawkville field accounts for the substantial majority of this charge reflecting its geological complexity, product mix, acreage relinquishments and amended development plans.

The remainder relates to the impairment of goodwill associated with the Petrohawk acquisition.

Following this impairment, the group's onshore US business will have net operating assets of approximately US$24bn.

The value of this business is supported by ongoing cost reductions and improving well performance which help offset increased commodity price volatility and lower near term capital expenditure.

Consistently positive results from the appraisal and development of the Permian have also unlocked significant value and we now see the ultimate potential of this field at over 150 kboe/d (up from its previous estimate of 100 kboe/d).

BHP Billiton petroleum president, Tim Cutt, said: "While the impairment of the Hawkville is disappointing, it does not reflect the quality of our broader Onshore US business. The Black Hawk continues to exceed expectations, the Permian offers significant upside across multiple zones and the Haynesville, one of the industry's premier dry gas positions, provides an excellent development option as market conditions improve. With industry-leading drilling costs and recoveries, we are well positioned to realise significant value for shareholders as we develop our high-quality resource base."

* * *

Griffin Mining [LON:GFM] has confirmed that all resolutions put to shareholders at the annual general meeting today were passed.

* * *

Hochschild Mining [LON:HOC] is on track to meet its 2015 production target of 24.0 million attributable silver equivalent ounces.

Second quarter production totalled 4.8 million attributable silver equivalent ounces consisting of 3.4 million ounces of silver and 23,400 ounces of gold. The total includes the first contribution of just over 5,000 gold equivalent ounces from its flagship low cost Inmaculada mine.

First half production totalled 8.7 million attributable silver equivalent ounces consisting of 6.3 million ounces of silver and 40,600 ounces of gold.

The company says 2015 all-in sustaining costs are on track to be $15-16 per silver equivalent ounce ($13-14 assuming current silver-to-gold ratio).

Chief executive Ignacio Bustamante said: "We are excited to report that our Inmaculada mine delivered its first production in early June and the other operations also contributed to what was a solid operating quarter with costs for the half year expected to be in line with expectations.

"The ramp-up process at Inmaculada is progressing and we expect to hit our six to seven million ounce production target for 2015. The company is on the point of converting its significant long term investment into low cost value accretive growth."

* * *

Tri-Star Resources [LON:TSTR] has received a preliminary third-party independent technical report commissioned to review its proprietary 'clean roasting' technology and specifically its application to refractory gold.

The report, prepared in connection with the Company's agreed conditional deal to sell its intellectual property rights to joint venture company Strategic & Precious Metals Processing LLC (as previously announced on 5 June 2015) highlights four key attributes pertaining to Tri-Star's technology:

- Tri-Star's clean roasting technology, which is a two-step process consisting of a reduction roast followed by an oxidation roast, is confirmed as a viable technology for treating refractory gold ores;

- The report's preliminary economic assessment based on a representative suite of feed-stocks generates an estimated Net Present Value of close to US$1 billion and an Internal Rate of Return of 45%. This is based on a nominal 500,000tpa processing facility based in the Middle East producing 500,000 ounces of gold per annum;

- A detailed comparative analysis of 39 selected gold projects either at advanced stages of development or nearing production highlighted major competitive advantages that the Tri-Star technology and facility could offer;

- The clean roasting technology provides a process for refractory gold concentrates treatment which should be highly efficient and cost effective with distinct advantages over competing treatment processes combined with full environmental compliance.





At 3:45pm:

[LON:AQP] Aquarius Platinum Ltd share price was +0.23p at 6.98p

[LON:BEM] Beowulf Mining PLC share price was +0.01p at 1.33p

[LON:BKY] Berkeley Resources Ltd share price was +0.25p at 15.5p

[LON:BLT] BHP Billiton PLC share price was +2.25p at 1238.25p

[LON:CEY] Centamin PLC share price was +0.3p at 59.85p

[LON:CHL] Churchill Mining PLC share price was -0.5p at 39p

[LON:CZA] Coal of Africa Ltd share price was +0.26p at 4.36p

[LON:EDL] Edenville Energy PLC share price was +0.01p at 0.07p

[LON:FDI] Firestone Diamonds PLC share price was -0.75p at 30.5p

[LON:FRES] Fresnillo PLC share price was +3.5p at 680p

[LON:GEMD] Gem Diamonds Ltd share price was -1p at 135.75p

[LON:GFM] Griffin Mining share price was -0.25p at 36.25p

[LON:HOC] Hochschild Mining PLC share price was -2.37p at 96.63p

[LON:KMR] Kenmare Resources PLC share price was +0.04p at 3.7p

[LON:TSTR] TriStar Resources PLC share price was +0.01p at 0.14p

[LON:VED] Vedanta Resources PLC share price was +12.7p at 464.8p



Story provided by StockMarketWire.com