Silver production adds new shine to Hochschild
IT WASN’T just the FTSE 100 mining giants that were in focus on a big day for the sector – a host of AIM-listed players were also making waves.
Gold and silver miner Hochschild said revenues were £261.5m in the six months to June 30.
The firm turned round last year’s first-half loss into a pre-tax profit of £46.5m over the period. It also revealed that silver production was ahead of expectations. Shares gained 6.7pc, or 19.6p to 313.7p. Oil and gas company Cairn
Energy rallied as it revealed drilling in Senegal was set to recommence shortly. The firm has upped its oil estimate for the site. Cairn also has assets in the North Sea, from which it is intending to get its first oil in 2017.
The group made a loss of £30m in the first six months of the year, down from a £177m loss over the same period last year. Shares climbed 4.6pc, or 9p to 204p. AIM-listed potash producer Sirius Minerals stumbled slightly in its stellar run as the group’s directors said there were a number of inherent uncertainties at its Yorkshire project. The firm said work to secure the finance needed for its North Yorkshire underground mine was ongoing and extensive.
Sirius is looking to raise around £850m to fund the first phase of a fertiliser mine, which it hopes will initially produce 10m tonnes of potash a year with potential annual revenues of up to £2.3bn.
It has also announced a potential de-icing salt opportunity at the project which could generate additional revenues.
Sirius reported a loss of £4.1m in the six months to June 30, lower than the £4.7m loss recorded between April and September last year.
Chief executive Chris Fraser said it had been a ‘period of progress’. Shares in the fertiliser firm have more than doubled over the past
year. Yesterday they slipped 1.4pc, or 0.5p to 36p. Rockhopper Exploration said it had completed the acquisition of assets in Egypt for £9.2m. The purchase of Beach Egypt should boost the firm’s production to between 1,500 and 1,800 barrels of oil per day for the rest of this year. Shares advanced 0.8pc, or 0.25p to 31.75p.
The FTSE 100 closed down for the first time in almost a fortnight, losing 0.68pc, or 47.27 points to finish at 6893.92.
BAE Systems was among the greatest fallers of the day, down 2.3pc, or 12p to 521.5p. Last week star fund manager Neil Woodford revealed he had sold his £160m stake in the business because of concerns about its pension deficit. On the alternative market Cambridge Cognition climbed as it announced results from a study into the effectiveness of using gadgets to access brain health.
The neuroscience business said wearable technology such as the Apple Watch and Microsoft Band could be used to accurately measure cognitive performance in everyday life with its software. Around 450m people across the world are living with some form of mental illness, the firm said, and the cost of treatment and care was likely to double by 2030. Cambridge said its Cognition Kit software could help doctors and patients better understand and manage day-to-day brain health by measuring key factors in real time.
Participants in a study wore wearable technology which monitored their stress levels and physiological activity on a day-to-day basis and while they completed micro tests to measure attention, memory, mood and reaction speed. Shares rocketed 30pc, or 12p to 52.5p.
Software supplier SCISYS surged forward as it announced it had transformed a £1m net debt position to a £1.4m net cash position in the six months to June 30.
The business, which provides IT solutions and support services to the space, defence and media sectors among others, said a strong order book had put it well ahead of the same period last year. SCISYS doesn’t expect Brexit to adversely affect its business, and said a weaker pound could help as half of its work was conducted in euros. Shares soared 4.8pc, or 4p to 88p.