ABN Newswire

Richard Cottee Joins Austin Exploration (ASX:AKK) Board As Non Executive Chairman

newsroom@abnnewswire.net — Tue, 24 Jan 2012 09:55:59 GMT

Austin Exploration Limited (ASX:AKK) (OTCQX:AUNXY) today announce that internationally respected petroleum industry executive, Mr Richard Cottee, will join the Company's Board of Directors as Non-Executive Chairman, effective 24 February 2012.

Mr Cottee is the former CEO of one of Australia's most successful oil and gas industry growth stories - Queensland Gas Corporation (QGC) - which was acquired by British Gas (BG Group)(LON:BG) for A$5.7 billion. Most recently Mr Cottee was CEO of Nexus Energy (ASX:NXS).

Australian-based Austin Exploration has expanding oil and gas interests in the United States, including highly-promising North American oil and gas shale assets acquired last year in the Niobrara and Eagle Ford shale regions. In Australia, Austin has a Cooper Basin oil and gas prospect in joint venture with Beach Energy.

Mr Cottee's appointment as Chairman was announced today by Austin Exploration Director, Dr Mark Hart, who will vacate the Chairman position and continue as President and executive director of the Company.

"We are extremely enthusiastic about having someone of Richard Cottee's international energy experience, outstanding reputation for driving company market development, and intense business savvy to join our Company as Chairman," Dr Hart said today.

"Richard is one of the strongest business executives that I have ever worked with. He is a great leader who has expertise at every discipline throughout a public company and huge depth in all facets of the energy sector," he said.

"With Mr Guy Goudy continuing as Chief Executive Officer and executive director, Austin Exploration's leadership will combine the financial experience, technology expertise and deal-making acumen needed to drive the Company's development."

Mr. Cottee is a lawyer by background and commenced his career with Allen's Arthur Robinson before holding commercial positions with Itochu (TYO:8001) and Santos (ASX:STO). He also spent six years with Freehills, Allens & Mallesons covering the resource sector and six years as an executive director of Cyprus Australia Coal.

His involvement at Queensland Gas Company ("QGC") included the position of Managing Director from 2002 until 2008 when the company was taken over by the BG Group. Over this period QGC grew from a market capitalisation of around A$20 million to an ASX100 company with a market capitalisation of A$5.7 billion.

Mr. Cottee is also a former Vice President and Managing Director of NRG Energy Ltd in London, and Chief Executive of CS Energy Ltd in Brisbane.

Mr. Cottee said he was enthusiastic about joining Austin Exploration as Chairman at a time when the Company had successfully assembled an attractive group of assets, is cash flow positive and has the potential to take its share value to new heights.

"Austin has an experienced Board and a professional team of executives and management and I look forward to working with them towards achieving greater progress for the Company and its shareholders," Mr Cottee said.

Guy Goudy
Company Director
Austin Exploration Limited
c/o HLB Mann Judd
Tel: +613-9606-3888
GuyG@AustinExploration.com
http://www.austinexploration.com

Asian Activities Report for May 4, 2011: China National Petroleum Corporation To Invest In Liquefied Natural Gas Limited (ASX:LNG)

newsroom@abnnewswire.net — Wed, 4 May 2011 12:20:02 GMT

Liquefied Natural Gas Limited (ASX:LNG) has executed a Share Placement Agreement with a wholly owned subsidiary of China National Petroleum Corporation, China's largest producer and supplier of crude oil and natural gas. China National Petroleum Corporation will subscribe for 53,250,000 shares to obtain approximately 19.9% holdings in Liquefied Natural Gas Limited. The proceeds will fund the development of the 3 million tonne per annum Fisherman's Landing liquefied natural gas project wholly owned by Liquefied Natural Gas Limited in Queensland.

Tap Oil Limited (ASX:TAP) has agreed to sell a 25% interest in the highly prospective WA-351-P exploration permit in Western Australia to Japan Australia LNG Pty Ltd, an Australian-based company owned equally by Mitsubishi Corporation (TYO:8058) and Mitsui & Co., Ltd.(TYO:8031). The sale is expected to generate a net A$26 million for Tap Oil and its holding in the permit will reduce to 20%. BHP Billiton (ASX:BHP) (NYSE:BHP) will retain a 55% interest as the Operator. The permit has an estimated potential of 2-3 Tcf of natural gas and drilling is expected in late 2011 or early 2012.

Orocobre Limited (ASX:ORE) (TSE:ORL) announced the results of its definitive Feasibility Study of the Salar de Olaroz lithium-potash brine project in Argentina. The Project has a large resource base of 6.4 million tonnes of lithium carbonate and is expected to initially produce 16,400 tonnes of battery grade lithium carbonate and 10,000 tonnes of potash per annum. Orocobre will finalise the Joint Venture Agreement and financing with partner Toyota Tsusho Corporation (TYO:8015) to move the project to commercial production.

AusQuest Limited (ASX:AQD) is currently undertaking major drilling programs to test priority gold prospects at Comoe Project in Burkina Faso. Initial assay results indicated the potential presence of a large gold mineralised system which is open in all directions. First assays from key diamond drilling program are expected in early May.

Asia Business News
Tel: +61-2-9247-4344
http://www.abnnewswire.net

Australian Market Report of December 23, 2010: Coalworks (ASX:CWK) Formed Vickery South Coking/Thermal Coal Joint Venture with ITOCHU (TYO:8001)

newsroom@abnnewswire.net — Thu, 23 Dec 2010 13:30:00 GMT

Coalworks Limited (ASX:CWK) today announced that its wholly owned subsidiary Coalworks (Vickery South) Pty Ltd (Coalworks) has signed a joint venture agreement with ICRA Vickery Pty Ltd, a wholly owned subsidiary of ITOCHU Corporation (TYO:8001), for its Vickery South coking/thermal coal project. ITOCHU has spent initial A$5 Million to earn 29% of the Joint Venture interest. Coalworks has now initiated the measured drilling program at Vickery South, to support completion of Bankable Feasibility Study next year.

Icon Energy Limited (ASX:ICN) had signed separate Placement Agreements with three Chinese investors, injecting an additional A$5.9 million funds into the Company. The placements will assist the Company's key coal seam and shale gas operations onshore Queensland, South Australia and Victoria. They will also assist its connections in China as the Company continues to progress its commercialisation negotiations with Shenzhen SinoGas (HKG:0260) and other parties.

Seek Limited (ASX:SEK) today announced that SEEK Asia, a newly formed subsidiary, has executed a share purchase agreement to acquire 60% of JobsDB, a leading online employment company with operations throughout South East Asia. The acquisition significantly enhances SEEK's investment in the highly strategic and attractive South East Asian online employment sector. SEEK is already a 22.4% shareholder in JobStreet Corporation. For the 12 months to 31 December 2010, JobsDB is expected to achieve revenue of HK$320 million and EBITDA of HK$120 million.

White Energy Company Limited (ASX:WEC) has exercised an option to acquire Cascade Coal Pty Limited for A$486 million plus assumed liabilities of A$14 million. Cascade owns the highly prospective Mt Penny Coal Project, located in the Western Coalfield of New South Wales. The project is expected to produce up to 3.8 million tonnes of saleable export quality thermal coal per annum initially, increasing to 6.5 million tonnes per annum, based on Cascade's conceptual development plans.

Asia Business News
Tel: +61-2-9247-4344
http://www.abnnewswire.net

Beach Energy Limited (ASX:BPT) And ITOCHU Corporation (TYO:8001) Investigating South Australian Locations For Proposed Liquefied Natural Gas Facility

newsroom@abnnewswire.net — Thu, 25 Nov 2010 11:24:49 GMT

Beach Energy Limited (ASX:BPT) (PINK:BEPTF) and ITOCHU Corporation (TYO:8001) have identified potential South Australian sites for a proposed mid-scale Liquefied Natural Gas (LNG) facility.

The Memorandum of Understanding between Beach and ITOCHU, relating to a proposed LNG facility, has progressed as a result of discussions with the South Australian Government and a recent visit to various locations in South Australia. It is intended that this facility would be supplied from Beach's extensive gas portfolio, which includes both conventional and unconventional gas resources.

Beach has over 1.4 TCF of gas resources booked in the Cooper Basin and Victoria and is currently pursuing an aggressive shale gas program in the Cooper Basin to identify further gas reserves. The first of the two planned exploratory shale gas wells, Encounter-1, has consistently realised high gas readings through the target Permian section and is now preparing to cut a second planned core in the Epsilon formation.

The proposed LNG facility and offloading terminal would have a capacity of 1 million tonnes per annum. A facility of this scale would require approximately 60 petajoules of gas per annum and depending on location specifics, capital expenditure of approximately $A1 billion. It is intended that the LNG from this facility would be exported into Far-East markets, including Japan.

Beach Managing Director, Reg Nelson, said "The Minister for Transport, Infrastructure and Energy, the Honourable Patrick Conlon, was able to meet with Beach and ITOCHU, and emphasized the importance to the State of South Australia of large scale infrastructure projects. South Australia appears to be an excellent choice for a future LNG facility, and such a project would generate significant employment for the state. We estimate it could be in the thousands during the development stage and in the hundreds during the ongoing operational phase. From a revenue perspective, we anticipate this project has the capacity to generate many billions of dollars should a long-term contract be executed. Importantly an opportunity such as this will further accelerate the next phase of the Cooper Basin as one of Australia's major sources of long-term gas supply".

Hector Gordon
Corporate
Beach Energy Limited 
Tel: +61-8-8338-2833

Steve Masters / Nicola Frazer
Investor Relations
Beach Energy Limited 
Tel: +61-8-8338-2833

Beach Energy Limited (ASX:BPT) Quarterly Report For The Period Ending 30 June 2010

newsroom@abnnewswire.net — Tue, 27 July 2010 11:59:38 GMT

Beach Energy Limited (ASX:BPT) (PINK:BEPTF) releases quarterly report for the period ending 30 June 2010.

CORPORATE

A Production Sharing Agreement (PSA) over the Lake Tanganyika concession was signed on 23 June 2010. The PSA is structured into three exploration phases (4+4+3 years) for a total term of 11 years.

The specific terms of the PSA are confidential. However, due to requirements related to operating in the western, more remote region of Tanzania, they are more favourable than the standard terms published on the Tanzania Petroleum Development Corporation website: http://www.tpdc-tz.com.

Subsequent to the end of the quarter, Beach entered into a non-binding memorandum of understanding with ITOCHU Corporation (TYO:8001) (PINK:ITOCY) of Japan to investigate and discuss the potential for a future business arrangement in connection with supply of gas from Beach's onshore Australian portfolio to a potential integrated LNG project.

PRODUCTION & SALES

Total production during the quarter was 1.6 MMboe, 7% lower than the previous quarter (1.7 MMboe). The decrease was due to a combination of the heavy impact of flooding in the Cooper Basin and unscheduled down time at the BMG operation. As reported in the March quarter, oil pipelines on Beach operated areas and gas storage facilities continue to help alleviate the affects of Cooper Basin flooding.

Oil production from the Beach operated, Cooper Basin fields exceeded expectations due to the performance of the Callawonga field.

An airstrip to support the PEL 92 fields is complete and the first field staff crew change using this airstrip occurred in June.

Total oil and gas sales volumes for the June quarter were 2.3 MMboe, an increase of 19% from the March quarter due to higher sales from existing inventory of both oil and gas (higher demand). Revenue of A$125.8 million for the June quarter is up by 23% due to the higher sales volumes as well as higher prices and a higher proportion of oil sales.
No new hedging arrangements were entered into during the quarter.

EXPLORATION & DEVELOPMENT

Capital expenditure rose by 154% in the June quarter due to the recovery from flooding in the Cooper Basin coupled with an insurance recovery and reallocation of costs which reduced exploration and appraisal capital costs in the previous quarter by A$8.3 million.

COOPER & EROMANGA BASINS

Flooding in the Cooper Basin began to recede during June, although Beach's operations in the Western Flank region will continue to be adversely affected and commencement of drilling in this area may not be possible until the end of 2010. All three Santos-operated (ASX:STO) (PINK:SSLTY) rigs, operating further eastward, commenced drilling in late June. While access will remain problematic in some areas of the basin for months to come, most of the Santos operations will return to normal over the coming weeks.

Beach Operated

Development

A successful extended production test was conducted on the Brownlow gas/condensate discovery (PEL 106FI Block, Beach 50%). Data from the testing is being assessed to determine gas volumes. Maximum gas flow rates were over 18 MMcfd. The well is now shut in.

Canunda-1 in PEL 106FI (Beach 50%, Drillsearch 50% (ASX:DLS) (PINK:DRLLF)) was flow tested at an initial rate of 10.5 MMcfd, with a condensate to gas ratio (CGR) of 180 bbl/MMcf. With unexpectedly high CGR for the area, the flow has been restricted to 1-3 MMcfd due to liquids storage and trucking constraints. Testing is ongoing.

Exploration

The previously reported six well drilling program has been increased to up to five wells in PEL 91 (Beach 40%) and seven wells in PEL 92 (Beach 75%). The start date for the program remains dependent upon the extent of flooding in the region and rig availability. Prospects to be addressed are within existing or recently acquired 3D seismic data areas and near to recent discoveries.

The recently acquired Acavus 3D seismic survey in ATP633P (Beach 100%, Santos earning 50%) is currently being processed and an intermediate product has been received in house.

Due to the extensive flooding event across the Basin and its impact on operations Beach has been granted a six month extension/ suspension of license conditions on its operated permits in the South Australian Cooper Basin. This extension does not affect our right to carry out operations on the permits as required, but extends the permit term by six months.

Shale Gas

Drilling of a two well exploration program targeting Shale Gas potential within the South Australian portion of the Nappamerri Trough, is now expected to commence in mid to late August with Encounter-1, followed by Holdfast-1 in mid-October. The program is expected to cost approximately A$19 million. Weather conditions in Thailand have hindered completion of maintenance work on some of the Ensign 16 rig components and their subsequent shipment to Australia, causing the small delay. Holdfast-1, originally planned to spud in mid July as the first well in the program, will now follow Encounter-1 due to ease of access following Cooper Basin flooding (Beach - Operator, 90%, Adelaide Energy 10% (ASX:ADE)).

Santos Operated - Oil

Drilling operations in the Cooper Basin are currently still restricted to one rig (in Queensland) as floodwaters recede across the Cooper Creek system. Two oil wells have been completed since the previous report, both of which were successful (Total66 Block, Beach 30%).

Joint venturers are in discussions regarding development options for the Charo Oil Field (SA FFA, Beach 20.21%).

A draft relinquishment plan for ATP 259P (Queensland) provided by Santos is under review. A submission for the 33% relinquishment is due by the end of September.

Santos Operated - Gas and Permian Oil Development

Two rigs recommenced drilling a seven well gas program in the Coonatie Field in South Australia in late June.

EGYPT

North Shadwan (Beach 20%)

First production from the NS-377 Oilfield is expected during the second half of 2010. Partial relinquishment of the permit (25%) is due in early August and no drilling commitment is required to enter into the next phase of the concession.

South East July (Beach 20%)

Reprocessing of seismic data is underway. Opportunities for future drilling will be assessed after receipt of results.

BMG PROJECT (Beach 30%)

Basker sub-surface study work has progressed with future development options to be discussed by the Joint Venture in late July.

OTHER EXPLORATION

Australia - PEP 168, Onshore Otway Basin (Beach 50%)

A 50% equity in permit PEP-168 was transferred to Beach as part of the arrangement to re-structure Somerton Energy Limited (formerly Essential Petroleum Limited (ASX:SNE)). Beach assumed operatorship of the permit subsequent to the end of the quarter.

Albania - Durresi Block (Beach earning 25%)

San Leon Energy Plc (LON:SLE) (PINK:SLGYF), based in Dublin, has completed a takeover of Island Oil and Gas (LON:IOG), the designated Operator of the Durresi concession.

The Joint Venture continues to wait on ratification of the Petroleum Complimentary Agreement (PCA) by the Council of Ministers.

Geothermal - Paralana Project (Beach 21% - earning)

Paralana-2 is expected to be fracture stimulated in the September 2010 quarter.

Subsequent to the end of the quarter, a A$62.8 million grant Funding Deed under the Commonwealth Government's Renewable Energy Demonstration Program (REDP) was executed. The grant monies (exclusive of GST) are to be applied to the development of a 30MW geothermal demonstration project post the proof of concept stage currently underway at the Paralana Project.

North Dakota, USA June - South Antelope, Williston Basin (Beach 23% (18.5% revenue interest))

The Henderson 4-25H oil appraisal well reached a final total depth of 4865 metres measured depth (3320 metres true vertical depth). Well-site shows throughout the reservoir target are encouraging and a multistage fracture stimulation will be undertaken as planned.

Tanzania, East African Rift, Lake Tanganyika South

A Production Sharing Agreement (PSA) over the Lake Tanganyika concession was signed on 23 June 2010. The PSA is structured into three exploration phases (4+4+3 years) for a total term of 11 years. Beach will conduct geophysical surveys and geological studies in the first phase to determine the range of drilling opportunities available. Beach has a well commitment in each of the second and third exploration phases but has the option, at the end of each phase, to relinquish the remaining acreage without further obligation. Prior to the execution of the PSA, Beach undertook planning work in respect of the upcoming geophysical surveys and depending on weather, hopes to complete aerial gravity and magnetic surveys over the concession during the 2010 calendar year.

FINANCIAL INFORMATION

Profit guidance was issued in June indicating a full year underlying net profit after tax in the range of A$30 million to A$40 million. Although production from the Santos operated Cooper Basin fields has improved since the March quarter, it continues to be heavily impacted by flooding and resultant equipment damage. BMG production has been reduced by ongoing unscheduled downtime due to a failed FPSO thruster requiring a drydock repair, and more recently, repair of the disconnectable turret mooring.

During the June quarter Beach paid a partially franked interim dividend of 0.75 cents per share based on its interim financial results for the six months ended 31 December 2009.

Beach continues to be in a strong financial position with an increasing cash reserve of A$169.9 million, nil debt and a A$25 million working capital facility at its disposal. Cash reserves rose by A$29.2 million primarily due to deferral of maintenance and capital costs resulting from flooding in the Cooper Basin.

At 30 June 2010, 102,550,672, 2008 Bonus Options expired and were not exercised and 1,410 Bonus Options were exercised during the quarter.

DRILLING PROGRAM

Beach participated in six conventional oil/gas wells during the June quarter. All of the wells drilled were successful.

----------------------------------------------------------
Area     Category         Wells   Successes   Success Rate 
----------------------------------------------------------
Cooper  Exploration - Oil   1        1          100% 
        Development - Oil   2        2          100% 
        Development - Gas   2        2          100% 
----------------------------------------------------------
USA -     Appraisal - Oil   1        1          100% 
Nth Dakota 
----------------------------------------------------------
                    TOTAL   6        6          100%
----------------------------------------------------------

For the complete Beach Energy Quarterly Report, please refer to the following link:

http://www.abnnewswire.net/media/en/docs/63398-ASX-BPT-178879.pdf

Corporate
Reg Nelson / Hector Gordon 
Beach Energy Limited 
+61-8-8338-2833

Investor Relations
Steve Masters / Nicola Frazer 
Beach Energy Limited 
+61-8-8338-2833

Beach Energy Limited (ASX:BPT) Announces Strategic Alliance With ITOCHU Corporation (TYO:8001) For Liquefied Natural Gas Project Opportunity

newsroom@abnnewswire.net — Tue, 6 July 2010 12:49:29 GMT

Beach Energy Limited (ASX:BPT) (PINK:BEPTF) is pleased to announce that today it entered into a nonbinding memorandum of understanding (MOU) with ITOCHU Corporation (ITOCHU) of Japan to investigate and discuss the potential for a future business arrangement in connection with supply of gas from Beach's onshore Australian portfolio to a potential integrated LNG project.

Beach's Managing Director, Mr Reg Nelson said "Beach has built a strong relationship with ITOCHU over a number of years and we are looking forward to working together to research the potential for us to jointly invest in an integrated LNG project opportunity."

ITOCHU is one of Japan's largest and diversified general trading companies. It has interests in many business sectors throughout the world, including energy and resources both in Australia and elsewhere.

Corporate
Reg Nelson 

Investor Relations
Steve Masters / Nicola Frazer 

Beach Energy Limited 
Tel:+61-8-8338-2833

Australian Market Report of May 4, 2010: Coalworks (ASX:CWK) Signs Farm In Agreement with Itochu (TYO:8001)

newsroom@abnnewswire.net — Tue, 4 May 2010 13:30:21 GMT

The Australian market opened modestly higher today ahead of the Reserve Bank of Australia's interest rate decision. Material and mining shares continued their losing streak in early trade due to the mining tax concerns. But Wall Street's solid gains overnight helped to support the Australian shares with improving US economic data.

Today the Reserve Bank of Australia is to unveil its interest rate decision for the month. The central bank is broadly expected to increase the official rate by 25 basis points to 4.5 per cent on the back of rising inflation and surging property prices. This could be the sixth rate hike in the last seven months.

Company News

Coalworks Limited (ASX:CWK) wholly owned subsidiary, Coalworks (Vickery South) Pty Ltd (CVS), has today signed a Farm In Agreement with ICRA Vickery Pty Ltd, a subsidiary of Itochu Corporation (TYO:8001), to develop its coal project in the booming Gunnedah Basin of NSW in a deal worth A$11 million. Itochu Corporation is a major Japanese trading house which has extensive experience in the development of coal mines and the global marketing and sale of coal. Coalworks has announced a maiden resource of 42 million tonnes of export quality thermal coal with coking coal potential which Coalworks believes will be mined by open cut methods.

Shopping centre giant Westfield Group (ASX:WDC) said today it is undertaking pre-development activity on approximately A$10 billion of future development opportunities in United States, United Kingdom, Australia and New Zealand. The group expects to commence approximately A$1 billion of development projects in 2010 with A$800 million and Australia and US$200 in the United States. Westfield was experiencing strong results in the first quarter from the Australian and New Zealand portfolios, notwithstanding the anticipated softening sales growth for the quarter. The company also said conditions in the United States and the United Kingdom were also improving.

Newcrest Mining Limited (ASX:NCM) and Lihir Gold Limited (ASX:LGL) have entered into a Merger Implementation Agreement under which it is proposed that Newcrest will acquire all of Lihir's ordinary shares under a Scheme of Arrangement. Lihir shareholders will receive one Newcrest share for every 8.43 Lihir shares they own plus A$0.225 cash per share, less any interim dividend declared or paid by Lihir for the half-year to June 30, 2010. Based on Newcrest's closing price of A$32.06 on Monday, the implied offer price values Lihir at approximately A$9.5 billion.

Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net

CSR (ASX:CSR) Now Can Move on Demerger Plan

newsroom@abnnewswire.net — Fri, 23 Apr 2010 16:44:16 GMT

Australian building materials and sugar producer, CSR Limited, now can move on its plan to separate its sugar and renewable energy business, after the Federal Court accepted an appeal from CSR in relation to lower court's ruling to block the company's demerger proposal in February.

The earlier court decision had called into question a demerged CSR's capacity to pay future asbestos claims. Friday CSR shares were strongly up on the latest Federal Court decision.

CSR says it believes that a separation of its two very different operating businesses has the potential to create additional value for shareholders. The demerged sugar and renewable energy business will be renamed as Sucrogen and be listed on the Australian Securities Exchange. The company's building material operations would remain under the CSR name.

CSR also denied the speculation that Japan's Mitsubishi (TYO:8058) and Mitsui (TYO:8031) did not approach to buy its sugar business, but reiterated it it's continuing its talks with China's Bright Food about the A$1.75 billion bid to takeover Sucrogen.

Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net

Asian Markets Overview of March 26, 2010: Itochu (TYO:8001) to Buy 15% Stake In Kalahari (LON:KAH)

newsroom@abnnewswire.net — Fri, 26 Mar 2010 13:30:30 GMT

Wall Street Thursday closed with little change after the market trimmed its early gains. US stocks rose for most of the session, but in the afternoon the market declined as falls in crude oil future hit the energy shares. Higher metal price could help the Asian markets Friday to offset some negative sentiment that cut gains on Wall Street. Asian bourses ended mixed Thursday while fiscal concerns in euro zone persist. Hong Kong and Shanghai markets lost more than 1 per cent each. However, Japan's Nikkei 225 Average added 0.1 per cent, South Korea's Kospi rose 0.4% and Taiwan's Taiex finished 0.2% higher.

Company News

Japan's Nippon Steel Corp (TYO:5401) decided to raise the April contract price for H-beams, which are mainly used as steel frames in buildings and factories, by a record high of just over 20 percent on the month to around 80,000 yen a ton. The price increase comes after Japan's major steelmakers accepted a 55 per cent hike in the price of coking coal from BHP Billiton (ASX:BHP) for the April-June quarter. The Japanese steel industry relies on BHP Billiton for around 20 percent of its coking coal needs.

Japanese trading firm Itochu Corp (TYO:8001) will buy a 15 percent stake for 8.5 billion yen in London-based mining company Kalahari Minerals Plc (LON:KAH), in a move to secure supply of uranium for Japan. Kalahari holds a 40 per cent interest in Australia's Extract Resources Limited (ASX:EXT), which is the sole stakeholder in Rossing South uranium project in Namibia. The deal will give Itochu an effective stake of 6 percent in Rossing South.

Industrial & Commercial Bank of China (SHA:601398) (HKG:1398), the world's biggest lender by market value, said it plans to sell up to 25 billion yuan in convertible bonds to shore up capital. It will not need to do further fundraising in the next three years after this planned bonds sale. Yesterday the bank posted a 16% rise in 2009 net profit to 128.65 billion yuan, up from 110.84 billion yuan a year earlier. The bank also said this year it aims to increase its total assets by 12 per cent, or 1.43 trillion yuan, down from a 21 per cent surge in 2009.

Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net

Asian Markets Overview of March 12, 2010

newsroom@abnnewswire.net — Fri, 12 Mar 2010 13:30:21 GMT

Banking shares continued to push the US market higher overnight, despite resources and industrial sectors were hurt by worries that China may tighten its policy to cool the overheating economy after the country's latest inflation data. Consumer price index for February in China rose a faster-than-expected 2.7% in February from a year earlier. Thursday Asian markets closed mixed. Several major markets dropped after Chinese economic data. Japan's Nikkei index was up 1 per cent and Hong Kong's Hang Seng Index inched up 0.1%. Taiwan's Taiex lost 0.4 per cent and South Korea's Kospi shed 0.3 per cent. China's Shanghai Composited gave up most of its early gains and closed with a 0.1 per cent gain.

Company News

The big TV makers have announced their plans to introduce 3D TVs in coming months, betting they will become the next hot products in electronics market. LG Electronics Inc. (SEO:066570) said it is in talks with Britain's largest pay-television provider, British Sky Broadcasting Group PLC (LON:BSY), to supply 3D televisions during the first half of this year. The company is also in talks with several electronics retailers in the U.S. and Europe to sell its 3D TVs. Japanese giant Panasonic (TYO:6752) launched its first three-dimensional TV in the US on Wednesday.

Japanese real estate developer Mitsui Fudosan Co. (TYO:8801) said it will build a large mall in China with Japanese trader Itochu Corp. (TYO:8001) and others including Chinese firms in the spring of next year. It will be the first time for the realtor to participate in the commercial complex business overseas, and Mitsui aims to increase profits by utilizing its know-how on commercial facility development and management in Japan. The mall, which will sell luxury brand items at discount prices, will have a floor space of about 16,960 square meters and house about 100 shops. The company plans to launch similar commercial centers in China and other East Asian countries.

Australian miner Cape Lambert Resources (ASX:CFE) has signed formal agreement to sell its 100% interest in Lady Annie copper project to China Sci-Tech Holdings Ltd (HKG:0985) for about A$135 million. China Sci-Tech has completed its due diligence and paid a A$5 million deposit, with a further A$125 million to be paid on completion of Sale Agreement. Cape Lambert said it intends to make A$0.08 to A$0.10 return to shareholders following receipt of A$125 million.

Air China said (SHA:601111) (HKG:0753) it will raise about 6.5 billion yuan via an issue of new shares, becoming the second Chinese carrier to announce fundraising plans this week. Air China plans to sell its new shares privately to a handful of investors. It would use the proceeds of the new share issue for working capital and to help lower debt.

Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344
Email: michelle.liang@abnnewswire.net