Sydney, Oct 16, 2007 (ABN Newswire) - The share market started in negative territory and that's where it stayed. The big retail and institutional banks weighed on the market.

The S&P/ASX 200 Index closed down 47 points to 6692, and on the futures market the SPI 200 closed down 57 points.

To company news now. Shares in Santos were placed on a trading halt today before being put back on the market in late trade. The oil and gas producer said in a statement that the trading halt was in relation to the South Australian government's review of a 15 per cent shareholding limit on the firm. Late this afternoon it was confirmed that the South Australian government had removed the company's 15 per cent ownership cap. According to Sky News, the cap had been in place for the past 28 years, and was put there to secure the state's natural gas supply and block an expected takeover by corporate raider Alan Bond. The cap will be fully removed over a 12 month period to allow for a smooth transition. Shares in the Santos closed 0.72% lower at $15.10.

The full report is available at the following video and audio links.

Video Link

http://abnnewswire.net/fnnlnk/GP09XCFO


Audio Link

http://abnnewswire.net/lnk/47O38322


And junior explorer Fairstar Resources has begun a hostile takeover of Golden West Resources. Under the terms of the off-market takeover, Fairstar is offering five fully paid Fairstar shares for every share held in Golden West. According to Fairfax press, the post-takeover company will have exposure to iron ore, gold, uranium and oil through its combined projects. Conditions of the offer mean Fairstar will need to receive at least 50 per cent acceptances from Golden West's shareholders for the deal to go ahead. Shares in Golden West Resources closed 3.32% higher at $2.18.

In other news today, a date has been set for a federal court hearing between the Seven Network and News Limited for the 10th of December. The court will then make a decision on costs following Seven's failed battle over its C7 subscription television channel.

OneSteel has signed another long term iron ore deal with a Chinese firm to begin on November the 1st. The deal involves six million tonnes of iron ore, and has a term of more than nine years.

Wesfarmers says it produced 1.56 million tonnes of metallurgical coal from its Curragh mine in Queensland during the three months to September 30. That's a 0.8 per cent increase on the previous quarter but a 2.1 per cent decrease on the corresponding quarter in 2006.

And pharmaceutical developer Starpharma Holdings says it's signed a deal to develop condoms coated with Starpharma's VivaGel product.

Now to today's best and worst performers. The best performing index today was the Energy index gaining 127 points to 16,222, while among the worst performing indices was the Financials Excluding Property index shedding 100 points to 7653.

Pan Australian Resources was the best performer in the S&P/ASX top 200 rising 8.88% to 92 cents; Roc Oil Company and OneSteel also climbed higher.

Jubilee Mines was the worst performing stock today losing 3.9% to $16.75; Energy Resources and Centro Property Group also retreated.

To commodities now, gold is currently trading at $762.50 US an ounce and light crude is 60 cents firmer at $86.73 US a barrel.

Source: Finance News Network © 2007 http://www.finnewsnetwork.com.au

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