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The Australian share market Tuesday resumed trading after a long weekend and started nearly no change. Overnight the US stocks closed slightly lower despite strong economic data from Europe and upbeat comments from a Federal Reserve official helped to support much of the session. However, the market sentiment was dented after credit rating agency Moody's lowered its rating on Greece's debt to "junk" status.

In the economic data due on Tuesday, the Reserve Bank of Australia's minutes for monetary policy meeting of June and credit/debit card data for April; the Australian Bureau of Statistics releases lending finance data for April.

Company News

Asciano (ASX:AIO) said it has secured a long term contract with Anglo American Metallurgical Coal Pty Ltd for the movement of a total of 16.5 million tonnes per annum of coal in Queensland commencing 1 January 2012. The signing of this 10 year agreement will generate additional revenue of over A$775 million. The deal will see Asciano hauling 10.9 million tonnes per year from Anglo American's German Creek facility, which currently is serviced by QRNational, Asciano said. It also will take 5.75 million tonnes per year currently hauled for Anglo American by Pacific National from Moranbah North.

Buru Energy Limited (ASX:BRU) has entered into a binding Farm-in Agreement with Mitsubishi Corporation (TYO:8058) to jointly explore and develop the Canning Superbasin in the Kimberley region of the northwest of Western Australia. Under the agreement, Mitsubishi has the right to earn an equal interest to Buru in the majority of Buru's exploration permits by spending up to A$152.4 million on exploration and development. The Japanese trading house also has the right to acquire an interest in Buru's production permits in exchange for an additional cash payment. Buru says the transaction creates a strategic partnership that draws on the strengths of both parties to realise their vision of the potential of the Canning Superbasin as a major oil and gas supply centre.

Property investor and developer Finbar Group Ltd (ASX:FRI) has upgraded its annual profit guidance as it has continued to secure a consistent level of sales and achieve a high conversion rate in settlements for apartment stock in completed projects. The additional revenue received from these completed units has supported second half earnings. As a result, Finbar is increasing its profit guidance to approximately A$23 million after tax for the financial year to June 30 2010. The company previously had forecast annual net profit of over A$21 million.


Michelle Liang
Asia Business News Asia Bureau
Tel: +61-2-9247-4344

Related Companies

Mitsubishi Corporation

Finbar Group Limited

Buru Energy Limited

Asciano Group

Related Industry Topics:
Alternative Energy Construction Energy General Financial General Real Estate General Mining Australian Economy