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Santos Limited (STO) said, in a presentation to the Melbourne Mining Club today, it is in detailed and advanced discussions with a number of Asian LNG buyers for train one and train two offtake and equity in the Gladstone LNG project. The company said the project is on track for a final investment decision (“FID”) in the middle of this year and first LNG cargoes in 2014. Australia’s largest producer of gas for domestic consumption said its strategy is to safely deliver a base business, grow its LNG business, and pursue focused growth in Asia. The company said it has been making steady and substantial progress with its GLNG project being 90% through its downstream FEED as well as 75% through dual FEED for the upstream component. Santos added that it has a binding offtake agreement in place with PETRONAS for 2 million tonnes per annum, plus a further 1 mtpa at GLNG’s sole option, valid until FID.

Woodside Petroleum Limited (WPL) announced the successful completion of a retail bookbuild, which was conducted on February 3. The company said the retail bookbuild priced at $43.10 per share, represented a 2.4% premium to the underwritten issue price for the entitlement offer announced in December. Woodside cash proceeds of $1.00 per share, for the sale of the relevant entitlements, would be returned to renouncing and ineligible retail shareholders. 

Coeur d’Alene Mines Corporation (CXC) announced the discovery of a new high-grade vein system at its Kensington Gold Mine, which is scheduled to commence production in the third quarter of 2010 at the rate of approximately 120,000 ounces of gold annually. The company said the new structure, named the Kimberly, is a gold-bearing vein system exposed in the decline from the mill to the Kensington mine, within the exploration district Coeur controls around the mine in Alaska. Coeur said eight phase-one core holes intersected very significant gold mineralisation in a drilling program initiated in 2009. The company said assays ranged from 0.144 ounces per ton to over 1.29 ounces per ton, with a total of 14 core holes completed in the fourth quarter.

Victoria Petroleum NL (VPE) said most roads in the northern Cooper Basin have been closed to all traffic by Santos following recent heavy rains in northern South Australia. The operator for the Growler/Snatcher/Mirage oil fields said the road oil tankers are unable to transport these fields oil production to the Santos operated Moomba/Dullingari- Port Bonython Oil Pipe Line. Victoria said this has necessitated the temporary shut-in of the oil fields as oil storage tanks at the oil fields are at full capacity.

Botswana Metals Limited (BML) shares surged Thursday after the company said drilling at its Airstrip Copper anomaly in Africa intercepted significant copper and silver mineralisation. The company said the best results were at a depth of 52 metres and returned a 4m intersection of 16.99% copper (Cu), including 1m at 25% Cu and 1m at 23% Cu, and 1071 g/t silver (Ag) or approximately 33 ounces silver per ton. Botswana said additional drilling would now be conducted within February 2010. The company said the discovery is within walking distance of the Maibele North Nickel discovery, which it is now reassessing in light of the Airstrip results.

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