PROSPECTING – AUSTRALIA

Explorers ditch ASX as downturn bites

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Original article by Tess Ingram
The Australian Financial Review – Page: 26 : 17-Mar-16

Analysis by BDO shows that about 16 per cent of the 753 Australian-listed exploration companies had no active exploration program in the December 2015 quarter. Meanwhile, 25 exploration companies delisted, were placed in administration or opted to exit the sector during the period. Meanwhile, nearly 50 per cent of companies that remain in the sector are estimated to be able to finance operating expenditure for no more than two quarters.

CORPORATES
BDO CHARTERED ACCOUNTANTS AND ADVISERS, DORAY MINERALS LIMITED – ASX DRM, BARRICK GOLD CORPORATION

Junior explorers under pressure

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Original article by Amanda Saunders
The Australian Financial Review – Page: 18 : 28-Sep-15

BDO estimates that about 20 per cent of the 780 smaller resources companies that are listed on the Australian sharemarket do not have active exploration programs. Smaller explorers spent an average of $A481,000 on exploration programs in the June 2015 quarter, compared with $A980,000 during the same period in 2013. Sherif Andrawes of BDO expects more junior explorers to go private or be subject to a reverse takeover.

CORPORATES
BDO AUSTRALIA LIMITED

Exploration ‘zombies’ on rise as mining cash dries up

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Original article by Tess Ingram
The Australian Financial Review – Page: 21 : 1-Jul-15

Data from accounting firm BDO shows that smaller Australian-listed exploration companies spent an average of $A539,000 on exploration during the March 2015 quarter. However, about 20 per cent of the 793 junior explorers invested less than $A10,000 on exploration during the period, while 12 per cent did not undertake any exploration programs. Only one explorer listed at the lower end of the market during the quarter.

CORPORATES
BDO AUSTRALIA LIMITED, CSIRO, NORTHERN STAR RESOURCES LIMITED – ASX NST, LA MANCHA RESOURCES INCORPORATED, SARACEN MINERAL HOLDINGS LIMITED – ASX SAR, EXCELSIOR GOLD LIMITED – ASX EXG, RAMELIUS RESOURCES LIMITED – ASX RMS

Mining exploration dips by 76pc in three years

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Original article by Tess Ingram
The Australian Financial Review – Page: 12 : 2-Jun-15

Data from the Australian Bureau of Statistics shows that mining corporations spend just $A381m on exploration programs in the March 2015 quarter, which is 13.4 per cent lower than previously. Spending on exploration in Queensland and Western Australia were hardest hit, recording declines of 32 per cent and 12 per cent respectively. Expenditure on iron ore exploration fell by 43.4 per cent during the quarter, and it has fallen by 76 per cent over the last three years.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, ASSOCIATION OF MINING AND EXPLORATION COMPANIES, BOART LONGYEAR LIMITED – ASX BLY

Miners forgo exploration

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Original article by Tess Ingram
The Australian Financial Review – Page: 13 : 8-Dec-14

MinEx Consulting MD Richard Schodde expects Australian resources group to continue reducing their expenditure on exploration programs in the near-term. Australian Bureau of Statistics data shows that mining companies spent just $A439.8m on exploration in the September 2014 quarter, compared with more than $A1bn in March 2012. Schodde notes that the decline in exploration will adversely affect government revenue

CORPORATES
MINEX CONSULTING PTY LTD, AUSTRALIAN BUREAU OF STATISTICS, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG

Former MD to repay company $500,000

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Original article by Paul Garvey
The Australian – Page: 20 : 23-Sep-14

The Federal Court of Australia has ordered the former MD of explorer MHM Metals to repay over $A500,000 to the company. It found that John Rogers had misappropriated company funds through the sale of a boat in 2008. The company also plans to pursue claims for $A5 million against one of Rogers’ private companies, with allegations of related party transactions and conflicts of interest

CORPORATES
MHM METALS LIMITED – ASX MHM, FEDERAL COURT OF AUSTRALIA, PROJECT DEVELOPMENT CORPORATION PTY LTD

Fall in exploration spending sets off alarm bells

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Original article by Paul Garvey
The Australian – Page: 20 : 2-Sep-14

New data by the Australian Bureau of Statistics show expenditure on exploration by resources groups during the three months ending 30 June 2014 declined 7.5% to $A444m seasonally adjusted. Association of Mining & Exploration Companies CEO Simon Bennison warns of the long-term negative impact of the drop on the economy overall. The drilling services sector is already being affected

CORPORATES
BOART LONGYEAR LIMITED – ASX BLY, ASSOCIATION OF MINING AND EXPLORATION COMPANIES, AUSTRALIAN BUREAU OF STATISTICS

Ore reserves up but exploration down

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Original article by Sarah-Jane Tasker
The Australian – Page: 18 : 31-Jul-14

PricewaterhouseCoopers (PwC) energy, utilities and mining industry leader Jock O’Callaghan says resources groups in Australia have significantly reduced their spending on exploration work. The first annual mining benchmarking study by PwC shows that such activities in 2013-14 accounted for just 6% of total capital expenditure by the sector. While ore reserves did still increase during the year, there are now fears not enough new projects will be prepared for the post-2025 period

CORPORATES
PRICEWATERHOUSECOOPERS