Resource stocks round-up: ZincOx, Cadogan, Afferro...

Also included in this round-up: ENK, Toledo Mining, Sylvania Platinum, Max Petroleum, Jupiter Energy, Global Petroleum, Coal of Africa

ZincOx Resources says the initial production test at its Korean recycling plant saw production ramped up to 50% of capacity and produced zinc concentrate and direct reduced iron. The operation of the final piece of equipment, the hot briquetting machine, will occur during the next test run. While operating, the plant was inspected by officials from the Korean Ministry for the Environment and the Start Up Permit was issued earlier today (Monday).

Ukraine focused explorer Cadogan Petroleum has reported profits before tax for 2011 of $152.6 million (2010: $0.8 million). Revenues of $7.0 million (2010: $5.0 million) comprised sales of gas from the Debeslavetska, Cheremkivska fields and Zagoryanska 3 well. Cost of sales increased to $6.3 million in 2011 from $4.1 million in 2010 to give a gross profit of $0.7 million (2010: $0.9 million). Profit on disposal of subsidiaries amounted to $164.9 million. Against its key performance indicators, barrels of oil equivalent per day rose from 268 in 2010 to 297 in 2011, proved and probably reserves were stable at 2.6million barrels of oil equivalent. The price per 1000 cubic metres rose from $307.3 to $395.1m barrels. Earnings per share were 65.6cents in 2011 against a mere 0.6 cents in 2010.

Afferro Mining has confirmed that, following discussions with the Cameroon Government, it will gain access to the proposed railway line through the south of Cameroon. Afferro had a series of ministerial meetings last week in Yaound, the capital city of Cameroon. In these meetings the Government emphasised its commitment that the infrastructure should also serve third party mining projects to develop the nascent Cameroonian iron ore industry. Afferro is in discussions with the government regarding the possibility of participating in the financing of the special purpose vehicle being set up to develop the railway.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

ENK, the nickel explorer, says its bankable feasibility study (BFS) at its Acoje project in the Philippines is going well. Key decisions, such as the definition of the staged approach to construction and the site layout have been finalised and communicated to engineering consultants. The project will now consist of a first stage with a nickel production capacity of 15,000 tonnes per annum of nickel and a second stage, which would mirror the process plant installation in stage one with a corresponding increase in nickel output in line with plant feed grades. The total resources on site are estimated to be 720,000 tonnes of contained nickel.

Toledo Mining says its Berong nickel mine in the Philippines produced 183,000 wet metric tonnes of nickel at an average grade of 1.88% Ni in the first quarter. Direct ore shipping operations resumed in early March when the shipping window reopened for the Berong port. This resulted in two shipments to China. The stock was down 5.6% by 10:14.

Sylvania Platinum, the platinum group metals processor and developer, has submitted a "mining right application" to the Department of Minerals Resources to develop its Everest North project in the Bushveld complex of South Africa. The stock had gained 2.9% by 11:13.

Max Petroleum, an oil and gas exploration and production company focused on Kazakhstan, says it has successfully sidetracked the well around drilling tools that became stuck in early April. The Company will now drill ahead through a thin layer of salt using high density drilling mud. The company expects the well to reach total depth of 7,250 metres in June 2012. The stock was up 0.9% by 11:15.

Western Kazakhstan focused oil firm Jupiter Energy says trial production at its J-50 and J-52 wells has started. Initial combined production rate is expected to be around 600 bopd. The stock had gained 0.44% by 11:12.

Global Petroleum had sunk 4.8% in morning trading after revealing its Chairman, Mark Savage will step down once a replacement for his position can be found. Mr Savage has been a Non-Executive Director of Global since November 1999 and Non-Executive Chairman since April 2007. Global also said total production from the two Eagle Ford horizontal wells in which it has an interest in Texas, was 482 barrels of oil equivalent per day.

Coal of Africa has completed commissioning of the Vele coking colliery and has delivered trial thermal coal to the Musina siding. By 11:32 the stock had gained 1.4%.