BHP Billiton, the world's largest diversified resources group, said Tuesday that its output of iron ore, copper, nickel, aluminium and metallurgical coal reached record levels for the fiscal year ended June, helped by phased expansions at existing projects at a time of strong demand.

In Western Australia's Pilbara region, BHP's iron ore mines produced 25.75 million tonnes of iron ore in the June quarter, up six percent on the same period a year earlier and taking annual output to 98.20 million tonnes, up eight percent.

Copper output rose to 342,100 tonnes in the final quarter of its fiscal year, up 17 percent year-on-year and lifting annual output by seven percent to 1.25 million tonnes. BHP said copper output was boosted by the commissioning of a sulphide leach plant at the 57.5 percent owned Escondida mine in northern Chile in the second half of 2006.

The production data come ahead of BHP Billiton (nyse: BBL - news - people )'s full-year profit report on Aug 22 when it is expected

to post a record net income of about 13 billion US dollars, up from last year's 10.45 billion dollars.

The group's petroleum division produced 14.46 million barrels of oil equivalent for the three months to June, down one percent from a year ago, and taking full-year output to 56.72 million barrels, unchanged from a year earlier.

Nickel output for the June quarter totaled 47,700 tonnes, up 15 percent from a year earlier. That brought full-year production to a record 186,300 tonnes, up seven percent from fiscal 2006.

Output of metallurgical coal rose 21 percent year-on-year to 11.13 million tonnes in April-June, taking annual output to 38.43 million tonnes, an all-time high and up eight percent from the year before. BHP Billiton said the strong performance of the group's coal mines in Queensland, including record output from the Goonyella and Saraji mines pushed metallurgical coal output to record levels.

Energy or thermal coal output reached 22.28 million tonnes in the June quarter, up two percent from a year earlier, lifting full-year production by one percent to 87.02 million tonnes.

Aluminium output for the quarter was unchanged at 334,000 tonnes, but still brought output for the past year to June to a record 1.34 million tonnes, up two percent from the previous year. BHP said it was the sixth consecutive year of record aluminium production.



bruce.hextall@thomson.com

bhx/ms

COPYRIGHT
Copyright AFX News Limited 2007.

Canadian National Railway Co.'s second-quarter profit fell 29 percent without last year's big gain from lower tax rates, and the company cut its full-year earnings expectations after a tough first half.

Canada's biggest railway, which has major operations in the United States, said on Monday that the quarter was marred by trying weather conditions, native blockades of its Ontario mainline and the surging Canadian dollar.

Still, CN Rail launched a new year-long share buyback, under which the company could repurchase up to 6.6 percent of its stock, worth as much as C$2 billion ($1.9 billion) at the current level.

In the quarter, it earned C$516 million, or C$1.01 a share, down from year-earlier C$729 million, or C$1.35 a share.

The latest period included a C$30 million gain from a lower Canadian tax rate. That compared with a C$250 million tax-rate reduction gain in the second quarter of 2006.

Excluding those items, income was C$486 million, or 95 Canadian cents a share, up from C$479 million, or 89 Canadian cents a share. That beat the average estimate among analysts polled by Reuters Estimates by 3 Canadian cents a share.

Revenue rose 1 percent to C$2 billion.

The Montreal-based company's operating ratio, a measure of efficiency, was 60 percent, virtually flat with a year earlier.

CN Rail said it performed well in the face of such problems as the week-long shutdown in June of its line to Prince Rupert, British Columbia, due to flooding, weakness in forest products shipments and native blockades of its Toronto-Montreal line.

The railroad now expects an increase in full-year earnings of about 5 percent, down from the previous forecast of 10 percent or more, it said.

The lowered outlook is a reflection of the weak first-half -- which also included a lengthy labor dispute in the first quarter -- not pessimism about the second part of the year, Vice-President James Foote told analysts.

In the quarter, forest products revenue fell 7 percent and intermodal was off 3 percent. CN reaped revenue gains from petroleum and chemicals, where sales rose 7 percent and automotive shipments, which climbed 17 percent, it said.

Last week, CN's main competitor, Canadian Pacific Railway, revealed it had received a takeover approach from a private equity group led by Brookfield Asset Management.

One option discussed for a CP Rail bid was the split-up of the railway into separate operating and infrastructure units.

CN Chief Financial Officer Claude Mongeau said his company had considered such a restructuring but had ruled it out.

"When you review it in detail, you realize there is a lot of leakage from an economic standpoint -- tax recapture, transfer taxes for the actual splitting of the assets," Mongeau said.

"Quite frankly, our analysis, unless we're missing something, would show that even at very rich valuations for the real estate, there is just no compelling case."

CN Rail shares rose 37 Canadian cents to C$60.35 on the Toronto Stock Exchange, representing a gain of nearly 20 percent this year.

World oil prices slid yesterday after reports that Opec could raise its crude output amid near record-high energy prices, analysts said.

New York’s main oil futures contract, light sweet crude for delivery in September, sank 90¢ to close at $74.89 per barrel. On Friday, the previous contract, for August delivery, climbed to $76.13, its highest level since August 9, 2006.
In London, Brent North Sea crude for September delivery dropped 78¢ to settle at $75.86 a barrel.

“The market fell under pressure from comments by Opec President and UAE Energy Minister Mohamed al-Hamli, who said on Sunday that oil’s strength and near-record prices are of concern and that the group is prepared to pump more oil if needed,” Sucden analyst Michael Davies said.

“In addition, the head of Opec research said that a fair price for producers and consumers is around $60-65 per barrel. This statement was a first indication that the group is prepared to do something about rising crude prices.”

Mike Fitzpatrick of Man Financial said: “Opec targeting $60 to 65 per barrel oil prices as fair to both consumers and producers may also be encouraging more traders to book profits.”

Opec is scheduled to meet on September 11 in Vienna, Austria, home to the 11-nation group’s headquarters.

Under rising demand, geopolitical tensions and infrastructure problems, oil is commanding high prices not seen for nearly a year, luring speculators who are pushing prices ever skyward.

In the past month, crude prices have climbed about $7 in London and $5 in New York.
On Friday, oil prices dipped as traders paused for profit-taking in the heated rally. Still, yesterday, Brent was within striking distance of its record high of $78.64 a barrel.

The historic peak was struck on August 7, 2006 after a pipeline spill forced British firm BP to close production at Prudhoe Bay, the biggest oil field in the US.
New York crude has some ground to go before reaching its all-time high of $78.40 a barrel, set on July 13, 2006.

AFP

Peabody Energy and ConocoPhillips entered into an agreement to explore developing a commercial-scale coal-to-substitute natural gas (SNG) facility using proprietary ConocoPhillips E-GAS technology.

E-GAS technology converts coal or petroleum coke into a clean synthesis gas, allowing virtually all impurities to be removed.

The project would be developed as a mine-mouth facility at a location where Peabody has access to large reserves and existing infrastructure. It would be designed to annually produce 50 billion to 70 billion cubic feet of pipeline quality SNG from more than 3.5 million tons of Midwest sourced coal, according to a release.

Peabody and ConocoPhillips would participate in project ownership along with other potential equity partners. The preliminary design and economic assessment is expected to be complete in early 2008.

Jim Mulva, ConocoPhillips chairman and CEO, said in a statement, "This project, as currently envisioned, would be designed to deliver over 1.5 trillion cubic feet of SNG in its first 30 years of operation from proven, domestic coal reserves."

ConocoPhillips (NYSE: COP) is an integrated energy company and one of the largest natural gas producers in North America. With about 38,700 employees worldwide, the firm operates in more than 40 countries and has assets of $173 billion.

St. Louis-based Peabody Energy (NYSE: BTU) is one of the world's largest coal producers.

OIL prices could hit $100 a barrel within months, oil analysts warned yesterday, unless Opec (Organisation of the Petroleum Exporting Countries) starts to up its oil output in the immediate future.


Some analysts suggest the spike in price will not hit until sometime next year, but others stress that pressure on demand is bringing the day of the $100pb dangerously close.

Speculators are bracing oil to go above $100pb and have up to $5bn sunk into futures at $100pb going forward.

They gain only if oil goes above that level which is a very strong indicator of how some key market watchers are thinking.

Meanwhile, oil prices dipped yesterday when the Opec cartel said it might increase production if high energy prices threatened global growth.

Opec president Mohammed Al Hamli said the organisation was “concerned” about higher prices, although it was not aware that dearer oil was damaging international growth at this point.

In a highly volatile market, news that Chevron had restarted its 270,000-bpd refinery in El Segundo, California, closed since early June, also helped market sentiment about the direction of the price for the black gold.

Chevron’s refinery restart and the Opec’s expressed concerns about the threat from higher oil prices helped ease sentiment on the oil front at the start of a new week, analysts said.

Sceptics warn however, with rising global demand the fragility of global oil supplies will see the price of oil go above $100pb within the next 12 months.

But by 10am yesterday, London’s benchmark Brent crude contracts for September delivery fell 52 cents to $77.57 per barrel as markets took their cue from the Opec statement.

Analyst at the New York Office of Man Financial John Kilduff said: “We’re only a headline of significance away from $100 oil.

“The unrelenting pressure of increased demand has left the market a coiled spring.”

New disruptions of Nigerian or Iraqi supplies, or any military strike against Iran, might trigger the rise, Mr Kilduff said in a recent interview.

Opec’s comments yesterday have eased tensions somewhat in the market.

Oil fell more than $1 to below $77 a barrel on Monday after some funds booked profits as OPEC expressed concern over near record prices and pledged to pump more crude if needed.

London Brent crude, now more reflective of global prices than US oil, traded at $76.54 by 1450 GMT after sliding as much as $1.22 to $76.42 a barrel. It hit $78.40 last week, just shy of its all-time high of $78.65 hit last August.

US crude traded $1.16 lower at $74.63. “There has not been any positive news over the weekend and we could be seeing some profit taking by funds with long positions,” one trader said. OPEC President and United Arab Emirates Energy Minister Mohammed al-Hamli said on Sunday that oil’s strength was a worry but the world economy was still growing in spite of it.

“The statement is important as it could be the first indication that OPEC may be willing to consider easing up on its supply allocations at its September meeting, and could be accounting for the softer opening we are seeing so far today,” a Man Financial report said.

A report citing the head of OPEC’s research division saying a fair price for producers and consumers would be around $60-$65 also weighed on the price. Consumer governments have called repeatedly on the Organisation of the Petroleum Exporting Countries to boost output to ease high prices. But OPEC has resisted so far, saying crude supplies are more than ample.

“If we see there is a need for more oil, we will supply more. But if we supply more now, it will go straight to stocks,” the OPEC president told Reuters. “Whether we are going to have to change by the end of the year, I don’t know.”

OPEC is scheduled to meet next on September 11 in Vienna. Other analysts said OPEC’s comments were unlikely to have a lasting impact on prices, given lingering supply worries. Analysts expect funds, which have been an important force in the latest oil rally, to set the near-term tone for oil prices, especially when most of them decide to book profits.

Data from the US Commodity Futures Trading Commission last week showed net long positions of speculators on the New York Mercantile Exchange crude oil market had fallen in the week to July 17 from record highs in the preceding week. “Some of them (funds) have huge profits in their books. Some are long since $60 a barrel. That’s huge money to cash in,” said Frederic Lasserre, head of commodities research at SG CIB.

“There is this idea that there could be massive selling as soon as we touch last year’s historical highs... And like last year, once you start to see the funds start taking profits, the downward spiral can be quite rapid.”

“The risk is for a near-term pull-back in oil,” added Citigroup in a research note. Even as oil hovers near record highs, global economies are proving resilient to surging energy prices and oil consumption has remained strong.

Economic growth in China, the world’s second-largest oil consumer, accelerated to 11.9 per cent in the second quarter, an 11-1/2-year high, though Reuters calculations show apparent oil demand growth was more tepid at 2.1 per cent in June.

U.S Stocks have closed higher Monday on above-forecast results from Schering-Plough Corp. and Merck & Co. and merger news in the financial, oil-drilling and equipment-rental sectors.

The Dow Jones Industrial Average ended up 92 points, at 13,943

The S&P 500 ended 7.4 points higher at 1,541.

The Nasdaq Composite advanced 2.9 points to 2,690.

-----------------------------

European stocks advanced Monday, helped by gains generated by commodity-related equities and automakers.

The pan-European Dow Jones Stoxx 600 index rose to 395.01.

Europe's regional indexes also picked up
momentum toward the end of the session.

The German DAX 30 index closed up to 7,944.21.

The French CAC-40 index moved up to 6,009.16.

The U.K.'s FTSE 100 index advanced to 6,624.40.

-----------------------------------

Crude-oil futures closed below $75 a barrel Monday after exports from an Angolan oil facility resumed and key oil producers made a positive forecast on global crude supplies.

The Organization of the Petroleum Exporting Countries said that the group was concerned about high prices and would be ready to supply more oil if needed.

Crude oil for September delivery lost 90 cents to close at $74.89 a barrel on the New York Mercantile Exchange.

Against this backdrop, August reformulated gasoline prices fell 6.05 cents to close at $2.1041 a gallon.

August heating oil dropped 3.61 cents to end at $2.0561 a gallon.

With elections looming in several states, starting with Gujarat, the Centre is in no mood to hike petrol and diesel prices, leaving oil retailers to deal with the losses. While state-owned oil marketing companies (OMCs) will eventually be compensated with oil bonds, private sector majors like Reliance Industries (RIL) and Essar Oil (EOL) have no such recourse.

RIL has lost over Rs 2,100 crore and Essar Rs 240 crore since they started their retail operations. As international crude prices continue to hold firm at the $75 per barrel level, RIL has decided to increase petrol and diesel prices by Rs 1.50 per litre from Monday. Essar Oil is likely to follow suit.

Public sector OMCs are losing Rs 180 crore per day with India’s largest marketer, Indian Oil (IOC), alone losing Rs 90 crore per day on the sales of petrol, diesel, kerosene and liquefied petroleum gas (LPG). It is losing Rs 5.90 per litre on petrol, Rs 4.80 per litre on diesel, Rs 14.16 on kerosene and Rs 190 per cylinder on LPG sales.

Petroleum minister Murli Deora could not be reached for comment. However, petroleum ministry sources ruled out possibilities of any fuel price hike in the near future. They, however, said the OMCs would be suitably compensated.

“We have over lost Rs 10,200 crore till July this year. We are seeking compensation from the government in the form of oil bonds and discount from upstream oil companies,” IOC director-finance SV Narasimhan told ET.

Oil bonds and discounts from upstream oil companies are not available to private sector oil firms. As a result, they are forced them to sell their products above PSU prices and lose market share. With the latest Rs 1.50 per litre hike, RIL’s selling price would be Rs 2.50 more than PSU oil firms’. An RIL official confirmed the increase, but declined to give further details.

“There is no way out for the private players, but to increase prices because the more you sell, the more you lose,” says an analyst tracking the sector.

RIL has lost over 60% of market share in petrol and diesel retail sales in the April-June quarter 2007, compared with the same period last fiscal. RIL has received export-oriented unit status for its refinery and is exporting most of the products.

However, its peers, including Essar Oil and Shell, gained market share during the said period, as they increased their presence in the period. RIL with 1,300 operational retail outlets had captured 14% market share from the OMCs, but lost it substantially as its products were priced higher.

“We are reviewing the situation and will take a final call in the next two days,” an Essar official said. Essar Oil, which has 1,250 operational retail outlets, plans to increase this to 1,500 by March 2008. The company is presently selling its products at Rs 1.50 to Rs 4.50 higher than OMCs and has lost around Rs 4.75 on petrol and Rs 4 on diesel sales.

The high oil price is not only good news for the big exploration companies - silicon producers and coal miners could also benefit.

OIL has been one of the big investment surprises of 2007. At the start of the year, analysts thought it would fall back, but this month an international energy watchdog warned that a supply crunch could send prices soaring to record levels.

The price of crude has already leapt 25% since January, when it briefly dipped below $50 a barrel after mild weather in America and Europe convinced investors that demand would fall. That view was wide of the mark and the Paris-based International Energy Agency predicts a severe shortage over the next five years as China, India and other fast-developing countries consume more, while oil-producing nations supply less.

The oil price hit $78.40 a barrel on the London market last week, not far off the peak of $78.64 a year ago after conflict broke out in Lebanon. Investment bank Goldman Sachs suggests it could rise as high as a record $95.

Even oil-price bears think it could surge to record levels if the hurricane season in the Atlantic, or political problems in West Africa and the Middle East, disrupt supply.

Eric Chaney at Morgan Stanley, an investment bank, said: “Seven to ten hurricanes are expected in the Atlantic, of which three to five are expected to be worse than normal. A supply-side disruption, caused for instance by an embargo against Iran, would send prices higher.”

Increased oil prices will be bad news for businesses and consumers – the AA warned last week that petrol, which now averages about 97p a litre, could breach £1 within weeks - but they are good news for investors. We ask the experts for some tips.

1 Buy the giants

“They may seem dull but the large oil and gas companies such as BP and Shell are where the biggest opportunities exist,” said Tim Guinness, manager of the Investec Global Energy fund.

BP has had a bad year: shares slumped 5% to 599½p as the company has been beset by bad news. But a change in management and the pickup in oil prices means fund managers are tipping the oil giant. In 2003 its shares traded on a price/earnings ratio of 19 and paid a first-quarter dividend of 3.45p. Now they are on a p/e of 11 and it paid a dividend of 5.15p, giving a yield of 3.5%.

Analysts also recommend Shell and Total.

2 Bag a takeover target

Smaller exploration and production firms are also tipped, partly because they could become the subject of bid speculation, which is usually good news for investors in the target firm. Colin McLean at SVM Asset Management said: “As the oil price goes up, the industry giants are going to want to add to their reserves. The easiest way is to buy small companies that are already doing the job.”

McLean’s potential takeover targets include Tullow Oil, an oil and gas exploration and production company that operates in the North Sea, Africa and India. He also suggests Venture Production, which focuses on the North Sea.

Graham Neale at Killik, a stockbroker, likes Premier Oil, which has already been the subject of takeover rumours and received a bid approach last year which fell through.

He said: “Even if it isn’t a target it is a cash-generative business with a geographically diverse portfolio and looks good value.”

If you would prefer to invest in a fund that focuses on the smaller end of the market, Mark Dampier at Hargreaves Lansdown, a financial adviser, backs the Junior Oils trust. The biggest holding in its portfolio is Dragon Oil, an exploration company focused on Turkmenistan.

3 Plug into silicon

Alternative energies such as solar and wind power will become big business if the oil price remains at its current high levels.

However, solar power is severely hampered by a shortage of its raw material - silicon. It has been used for years in micro-chips, but is also a key material in photo-voltaic cells.

Analysts therefore say that silicon manufacturers, rather than solar-panel firms themselves, will be the main beneficiaries of the alternative-energy boom.

Hemlock Semiconductor, the biggest silicon supplier in the world, is listed on the US stock market, while German group Wacker Chemie is the second biggest.

4 Go nuclear

Nuclear power could also make a comeback. It already provides 20% of Britain’s electricity, and Labour has indicated it is prepared to build more plants.

There are 30 reactors under construction around the world and China is talking about building another two a year for 15 years. Even Russia says it wants a quarter of its energy needs to be met by nuclear power by 2025.

The obvious way to capitalise on this surge in reactor construction is to invest in uranium, the raw material needed to produce nuclear power.

Uranium Participation, a Canadian fund that is listed on the Toronto Stock Exchange, buys uranium to benefit from price increases.

Analysts said the high oil price could even lead to a revival of Britain’s coal industry. The main beneficiaries would be mining groups with coal divisions such as BHP Billiton, Anglo American and Rio Tinto, all listed in London.

5 Gain from others’ pain

The surge in oil prices means that some firms are hurting. Big petrol consumers such as airlines are particularly vulnerable. To survive in an era of higher oil prices they will have to become more efficient by upgrading their aircraft.

That’s good news for Rolls-Royce, the aircraft engine manufacturer, according to David Marchant, global fund manager at Insight Investments, part of the Halifax group.

source : time online

Atlas Copco (STO:ATCOA) (STO:ATCOB) has signed an agreement to acquire the assets of Mafi-Trench Corporation, a leading U.S.-based supplier of turboexpanders for the oil and gas industry.

Mafi-Trench provides machinery including expander compressors and expander generators, which treat gases at cryogenic temperatures. Applications are mainly for the hydrocarbon markets, including natural gas processing, petrochemicals and power generation. The company had sales in 2006 of approximately MSEK 360 (MUSD 54) and more than 120 employees. For more information see http://www.mafi-trench.com

“The acquisition of Mafi-Trench will add a strong brand name to the Group and broaden our offering for gas treatment and purification,” says Ronnie Leten, President of Atlas Copco’s business area Compressor Technique. “This gives us a solid presence in the entire oil and gas value chain, from upstream to downstream.” Privately-owned Mafi-Trench is headquartered in Santa Maria, California and also has operations in India. Following the completed acquisition, the company will belong to Atlas Copco’s Gas and Process division, which is part of the Compressor Technique business area.

The transaction is planned to be closed during the third quarter.

Atlas Copco is a world leading provider of industrial productivity solutions. The products and services range from compressed air and gas equipment, generators, construction and mining equipment, industrial tools and assembly systems, to related aftermarket and rental. In close cooperation with customers and business partners, and with more than 130 years of experience, Atlas Copco innovates for superior productivity. Headquartered in Stockholm, Sweden, the Group’s global reach spans more than 150 markets. In 2006, Atlas Copco had 25 900 employees and revenues of BSEK 51 (BEUR 5.6). Learn more at www.atlascopco.com.

Gas and Process is a division within Atlas Copco’s Compressor Technique business area. It develops, manufactures and markets large, customized gas and process compressors and turbo expanders, and their respective aftermarket products. Its products are used primarily by the oil and gas, chemical/petrochemical process and power industries worldwide, and also by industries that specialize in gas production through air separation. The divisional headquarters and main production center is located in Cologne, Germany.

Indonesia and South Korea will sign US$8.5 billion in mining, oil and gas investment cooperation agreements this week, Indonesia's Ministry of Energy and Mineral Resources said Monday.

The contracts are mainly for projects in Indonesia and reflect South Korea's aim to secure more energy resources to meet growing domestic demand.

Indonesian President Susilo Bambang Yudhoyono, visiting South Korea from Monday until Wednesday, will oversee the signing of a US$5.5 billion direct coal liquefaction project in Kalimantan Timur, said a release from the ministry.

The project will bring together Indonesia's PT Nuansa Cipta Coal Investment and South Korea's Kenertec Co., Posco Engineering & Construction Co. and Samsung Securities Co.

Indonesia's state-owned railway company PT Kereta Api and Cipta Coal Investment will also pair up with Kenertec and Posco for a US$2 billion project to build coal transportation infrastructure in East Kalimantan.

The remaining deals -- all of which are still preliminary -- include oil and gas exploration and production projects and the development of a petroleum gas plant in southern Sumatra, the ministry said.

GOLD shares were the shining star lighting up the JSE when it closed on Friday, with oil stocks adding extra muscle to the local bourse.

The all share index ended 0,24% higher. Resources added 0,13%, and the gold mining index soared 1,33% while the platinum mining indices fell 0,98%.

Industrials rose 0,34% and financials added 0,28%, and banks closed 0,41% higher.

“There was interest seen in oil share prices like Sasol, and gold shares had a nice move on the gold price on the back of a lower dollar,” a trader said.

However, overseas markets were nervous on the back of high oil prices, and there was inflation worries in the market, said the trader. He said the JSE was losing a bit of ground toward the end of the day, but didn’t do too badly considering where the Dow was, with the bourse seeing some profit taking.

The market was mixed, with pressure seen on platinum shares, but BHP Billiton was up nicely although later during the day it gave up some of its gains, the trader said.

He said Nedbank was still looking good on the back of the Standard Chartered buyout rumour, and nice interest was seen in some retail stocks.

In resources, Anglo American was up 90c to R449,90 and BHP Billiton eased 0,24% to R210.

Gold miner AngloGold climbed R7,96 to R314,50, Gold Fields climbed R1,11 to R125 and Harmony edged up 0,30% to R102,56.

Among platinum stocks, Anglo Platinum weakened R6 to R1086, Lonmin tumbled R12,65 to R520,55, and Impala Platinum retreated 1,33% to R224.

Elsewhere, fixed line phone operator Telkom added R1,20 to R170,70 and cellphone network provider MTN Group added R2,80 to R104,30, with Altech gaining 2,25% to R63,50.

Nedbank added 0,70% to R143, Standard Bank rose 58c to R106,23, Absa was up R1,39 to R133,03, but FirstRand gave up 1c to R23,59.

Diversified industrial group Barloworld weakened 1,53% to R125,06 and Remgro slipped 0,49% to R184,10.

In life insurance, Discovery pulled back 0,07% to R29,73 and Old Mutual was 0,12% lower to R24,75. Liberty International was 75c lower at R158,65.

Clothing retailer Truworths edged up 0,24% to R37,50, but Foschini lost 85c to R60,50.

Construction groups Murray and Roberts, PPC and Group Five shed 3,51%, 0,21% and 0,91% to R75,53, R48,40 and R65,50 respectively.

Medi-Clinic shed 50c to R25,40 and Netcare eased 35c to R13,80.

South African near-dated futures ended slightly weaker on Friday, reversing earlier gold price-related gains, as a weak opening on Wall Street dampened the upbeat mood. The near-dated Alsi contract finished 0,42% lower, or 115 points, at 26950.

"We had a good run on the back of a strong gold price but the momentum was dampened by Wall Street’s weak opening," a trader said.

He said the market pushed up by as much as 300 points earlier after the bullion price broke above $680/oz but Wall Street’s decline in early trade forced it to rethink the uptrend.

A SAFEX official said a total of 30606 Alsi contracts traded compared with 30888 on Thursday.

South African white maize futures ended barely changed Friday as traders struggled to find a clear-cut path after the Chicago Board of Trade (CBOT) gave mixed signals. “There was bit of profit taking but we didn’t find anything to move in either direction,” trader said. December white maize, the most active, fell R5 to R1776 per ton and September was up just R1 at R1738. I-Net Bridge

Norway's Government Pension Fund - Global, formerly known as the National Petroleum Fund, has been criticised for investments in a minig company which is being blamed for damaging the environment in the Philippines.

The Pension Fund has invested NOK 860 million in the Canadian mining company Barrick Gold, which owns the company Place Dome in the Phillipines.

Place Dome is blamed for dumping toxic waste on the Marinduque Island, polluting the environment for the islanders.

Geologists have documented dangrous levels of led, mercury and arsenic in the waste which has been deposited on the shore, polluting the water.

According to the aid organization Oxfam, several children have died from heavy metal poisoning in the area.

Local fishermen and the island authorities have now started legal proceedings against Barrick Gold.

Head of the environmental organization Bellona, Frederic Hauge, says the Pension Fund must withdraw its investments from Barrick Gold.

- This is a company and a place which has been known for its destroyed environment for a long time, Hauge says.

Barrick Gold has refused to take any responsibility for the pollution on Marinduque, despite that fact that a Nevada court has ruled that the company may be held responsible for the damage to the environment on the island.

(NRK)

Crude oil fell a second day in New York on signs U.S. fuel stockpiles may increase as refiners increase output.

Gasoline futures dropped last week after U.S. refiners raised operating rates to a seven-week high and Exxon Mobil Corp., BP Plc and Valero Energy Corp. restarted units in Texas. Gasoline extended last week's 2.7 percent decline today on signs higher production will restore below-average U.S. inventories.

``Ultimately that is going to be a consideration'' for oil prices, said Peter Beutel, president of energy consultant Cameron Hanover Inc. in New Canaan, Connecticut. ``I don't know that that is going to happen immediately.''

Crude oil for September delivery fell as much as 44 cents, or 0.6 percent, to $75.35 a barrel, in after-hours electronic trading on the New York Mercantile Exchange. It was at $75.48 at 8:20 a.m. in Singapore.

The contract fell 28 cents to $75.79 on July 20. The August contract, which expired the same day, fell 35 cents, or 0.5 percent, to $75.57 after earlier reaching $76.13, the highest intraday price for the front-month oil contract since Aug. 10.

Gasoline demand in the U.S., the world's biggest oil user, has peaked in June or July in four of the past five years.

``The roll from the summer months to a shoulder season month is significant,'' said Tobin Gorey, commodity strategist at Commonwealth Bank of Australia Ltd. in Sydney. ``We still think that prices are going to stay high. But that doesn't mean they're going to shift outside the usual seasonal patterns.''

Recent Gains, Brent

New York oil prices rose 18 percent the past seven weeks after unexpected declines in U.S. gasoline inventories and as oil output cuts in Africa pushed Brent futures near a record.

Brent crude oil for September settlement was at $77.35 a barrel today, down 29 cents, on the London-based ICE Futures exchange. It fell 3 cents on July 20.

Gasoline for August delivery fell 0.89 cents, or 0.4 percent, to $2.1557 a gallon in after-hours trade. It fell 1.2 percent to $2.1646 on July 20.

Oil prices have moved more than $1 a barrel in a day in recent weeks and it's not clear whether they can get to the record $78.40 a barrel reached last year, Cameron Hanover's Beutel said.

``It's going to be a very tough two weeks here or so while this market tries to decide,'' he said. ``I'm not convinced that we're done with the upside yet.''

Oil reached a record last July after Israeli troops crossed into Lebanon to attack Iranian-backed Hezbollah forces. Iran is the second-biggest oil producer in the Organization of Petroleum Exporting Countries.

OPEC, Speculators

OPEC pumps 40 percent of the world's oil and will review its current production ceiling at a meeting Sept. 11. The group last week increased its fourth-quarter demand forecast for its members' oil to 31.1 million barrels. It pumped about 30 million barrels a day in June, according to a Bloomberg survey.

Last year's record price ``was all event-risk,'' Commonwealth's Gorey said. ``This year is all supply-demand stuff. OPEC could put an extra half a million or a million barrels on the market very easily.''

Hedge-fund managers and other large speculators trimmed their bets on rising oil prices last week, according to U.S. Commodity Futures Trading Commission data.

The speculative net-long position in New York oil futures, the difference between orders to buy and sell crude, fell to 109,423 contracts on July 17, down 2.6 percent from a record the week before. Contracts to sell oil rose 0.5 percent.

Crude oil was expected to fall this week, according to a Bloomberg News survey of 33 analysts on July 19. Fourteen, or 42 percent, said oil prices would decline. Twelve, or 36 percent, said prices will increase and seven forecast little change.

To contact the reporter on this story: Gavin Evans in Wellington at gavinevans@bloomberg.net

Hydro and Brazilian mining company CVRD have signed an agreement to develop a new alumina refinery in northern Brazil, strengthening Hydro's future alumina supply. Hydro will hold a 20-percent share in the refinery.

The new refinery will be located close to Belem in the state of Para, approximately 5 km from Alunorte, the world's largest alumina refinery, owned 57 percent by CVRD and 34 percent by Hydro. The new plant is to be developed in four stages, each of 1.85 mill tons per year of alumina production and with a final output of 7.4 mill tons per year.

"Participation in the new refinery project is an important element of Hydro's strategy to expand our global primary aluminium and raw materials production,'' said Hydro President and Chief Executive Officer Eivind Reiten. ``We will grow our upstream aluminium activities with a focus on alumina and primary aluminium, in parts of the world with access to natural resources on competitive terms.''

Investment cost in the first stage for the total project is preliminary estimated at US$1.5 billion.

Construction is expected to begin mid 2008, following an anticipated final build decision in first quarter next year. Production start-up is scheduled for the first half of 2011, and the plan calls for a staged development of the remaining capacity increases. Hydro will have the right to participate with the same share in all future expansions.

Bauxite for the new refinery will be delivered by CVRD from its operation in Paragominas, in Para, through capacity in the existing bauxite slurry pipeline, currently partly supplying Alunorte.

Hydro recently announced the decision to go ahead with the construction of the Qatalum primary aluminium plant in Qatar which will have an initial annual capacity of 585,000 tons of primary aluminium and reach full production in 2010.

Hydro participates in the third expansion of Alunorte, which will reach total annual production capacity of approximately 6.5 million tons. This expansion, combined with a full ramp up of Qatalum, provides Hydro with an equity coverage in excess of 70 percent alumina. The new alumina refinery in Brazil will be an important element in strengthening Hydro's equity position and facilitates further expansion in primary aluminium, including the possible doubling of capacity in Qatalum.

``The agreement confirms the close and lasting partnership between Hydro and CVRD, which began in 2000 by Hydro acquiring a strategic stake in Alunorte. These steps we take to reposition Hydro's aluminium and alumina portfolio will further strengthen our competitive position,'' Reiten said.

Certain statements contained in this announcement constitute ``forward-looking information'' within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. In order to utilize the ``safe harbors'' within these provisions, Hydro is providing the following cautionary statement.

Certain statements included within this announcement contain (and oral communications made by or on behalf of Hydro may contain) forward-looking information, including, without limitation, those relating to (a) forecasts, projections and estimates, (b) statements of management's plans, objectives and strategies for Hydro, such as planned expansions, investments, drilling activity or other projects, (c) targeted production volumes and costs, capacities or rates, start-up costs, cost reductions and profit objectives, (d) various expectations about future developments in Hydro's markets, particularly prices, supply and demand and competition, (e) results of operations, (f) margins, (g) growth rates, (h) risk management, as well as (i) statements preceded by ``expected'', ``scheduled'', ``targeted'', ``planned'', ``proposed'', ``intended'' or similar statements.

Although Hydro believes that the expectations reflected in such forward-looking statements are reasonable, these forward-looking statements are based on a number of assumptions and forecasts that, by their nature, involve risk and uncertainty. Various factors could cause Hydro's actual results to differ materially from those projected in a forward-looking statement or affect the extent to which a particular projection is realized. Factors that could cause these differences include, but are not limited to, world economic growth and other economic indicators, including rates of inflation and industrial production, trends in Hydro's key markets, and global oil and gas and aluminium supply and demand conditions. For a detailed description of factors that could cause Hydro's results to differ materially from those expressed or implied by such statements, please refer to the risk factors specified under ``Risk review - Risk factors'' on page 134 of Hydro's Annual Report 2006 (including Form 20-F) and subsequent filings on Form 6-K with the US Securities and Exchange Commission.

No assurance can be given that such expectations will prove to have been correct. Hydro disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.


Contact:

Norsk Hydro ASA
Press contacts:
Inger Sethov
+47 22532036
Cellular: +47 95022359
Inger.Sethov@hydro.com
Thomas Knutzen
+47 22539115
Cellular: +47 90612359
Thomas.Knutzen@hydro.com
Investor contact:
Stefan Solberg
+47 22539280
Cellular: +47 91727528
Stefan.Solberg@hydro.com
Drammensveien 264
N-0240 Oslo
Norway
+47 22538100
Fax: +47 22532725
www.hydro.com

Source: Norsk Hydro

New Frontier Energy, Inc., a natural resource company engaged in the exploration, acquisition and development of oil and gas properties in the United States, today announced that production casing has been set in the Robidoux 13-6 and the Wyoming State 34-13-89 1R wells, which are the third and fourth wells of the 2007 summer drilling program at the Slater Dome Field.3

"The preliminary results from the Robidoux 13-6 and Wyoming State 34-13-89 1R wells are very encouraging, and we have commenced drilling the fifth well of the 2007 drilling program," said Paul Laird, president of New Frontier Energy, Inc. "The latest two wells were a strategic part of the 2007 development plan in that the Wyoming state well is approximately five miles from our existing Slater Dome CBM production. We have long believed that the Basal Isle and Williams Fork coal seams that New Frontier Energy has been producing since 2005, which currently accounts for our 12 Bcf of proven reserves, are contiguous across most of the 34,400 net acres held at Slater Dome. When the Wyoming State 34-13-89 1R well is producing gas into the pipeline, we will be one step closer toward establishing a much larger development area."

About New Frontier Energy, Inc.

Based in Denver, CO, New Frontier Energy, Inc. is an independent natural resource company engaged in the exploration, acquisition and development of oil and gas properties. New Frontier Energy has interests in three principal properties, the Slater Dome Field, located in northwest Colorado and south central Wyoming; the Flattops Prospect located in southwest Wyoming; and the Focus Ranch Federal Unit, located in Routt County Colorado adjacent to and southeast of the Slater Dome Field. The company's primary focus is on the development and expansion of the Slater Dome and the Flattops prospects. Both projects are coal bed methane located in the Sand Wash Basin in northwest Colorado and southwest Wyoming -- the south eastern end of the "Atlantic Rim." The company owns a majority of the limited partnership interests in the 18-mile gas gathering line that delivers gas from the Slater Dome and Flattops prospects to a transportation hub. The company's common stock is listed on the over the counter bulletin board under the symbol "NFEI." Additional information about New Frontier Energy, Inc. can be found at the Company's website www.nfeinc.com.

Forward-looking Statements

The statements contained in this press release which are not historical fact are forward-looking statements that involve certain risks and uncertainties including, but not limited to, decreases in prices for natural gas and crude oil, unexpected decreases in gas and oil production, the timeliness, costs and success of development activities, unanticipated delays and costs resulting from regulatory compliance, and other risk factors described from time to time in the Company's periodic reports filed with the Securities and Exchange Commission. No assurances can be given that these statements will prove to be accurate. A number of risks and uncertainties could cause actual results to differ materially from these statements. While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested herein. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.


Contact:

For further information contact:
New Frontier Energy, Inc.
Paul G. Laird
President
(303) 730-9994

Investor Contact:
BC Capital Partners
Bill Conboy
Phone: (303) 415-2290


Source: New Frontier Energy, Inc.

China's June crude oil output rose 2.5 pct year-on-year to 15.72 mln tons, the National Bureau of Statistics said.

Raw coal output was up 9.8 pct from a year earlier at 202.4 mln tons in June, it added.

China also produced 49.19 mln tons of steel products in June, up 21.8 pct from a year earlier, according to the bureau.


kelly.zang@xfn.com

----------
xfnkz/xfnjanm

Copyright AFX News Limited 2007.

Crude oil fell after Reuters reported the Organization of Petroleum Exporting Countries was concerned about high oil prices and their impact on the world economy.

The group may pump more oil to increase supplies, though it's unclear whether extra production will be needed this year, OPEC President Mohamed al-Hamli said, according to Reuters. OPEC, which produces 40 percent of the world's oil, considers $60 to $65 a barrel a ``reasonable'' price for crude, KPC World, the monthly bulletin of the Kuwait Petroleum Corp. reported.

``The prospect that OPEC will consider increasing output in the third or fourth quarter is sending us lower today,'' said Eric Wittenauer, an energy analyst at A.G. Edwards & Sons Inc. in St. Louis. ``Expectations that crude-oil inventories will fall during the remainder of the summer have pushed prices higher. OPEC may now make more crude oil available in the months ahead.''

Crude oil for September delivery fell $1.04, or 1.4 percent, to $74.75 a barrel at 9:31 a.m. on the New York Mercantile Exchange. Futures reached $76.13 on July 20, the highest intraday price for a front-month contract since Aug. 10. Prices are up 23 percent this year.

Brent crude oil for September settlement declined 24 cents, or 0.3 percent, to $77.40 barrel on the London-based ICE Futures exchange.

There is little evidence so far that high energy costs have affected economic growth, al-Hamli, who is also the United Arab Emirates' oil minister, told Reuters in an interview yesterday. Adjusted for inflation and a weaker dollar, crude is no higher than it was three decades ago, al-Hamli said.

The dollar traded near a record low against the euro today, making dollar-priced oil imports cheaper for the 13 nations that share the euro. In U.S. dollars, West Texas Intermediate, the New York-traded crude benchmark, is up 0.9 percent in the past 12 months. Oil has dropped 7.4 percent in euros, 9 percent in British pounds and has risen 5.3 percent in yen.

In the past, members of the Organization of Petroleum Exporting Countries have said a falling dollar justified higher prices because oil-producing countries sell oil in dollars and often buy goods in euros.

To contact the reporter on this story: Mark Shenk in New York at mshenk1@bloomberg.net .

Energy Transfer Partners, L.P. announced today that the Partnership has entered into a new $2.0 billion revolving credit facility maturing in July 2012. The new credit facility replaces its existing $1.5 billion credit facility.

"The new credit facility enhances our financial flexibility, providing greater liquidity at a lower cost," said Brian Jennings, Energy Transfer's Chief Financial Officer. "Securing this facility provides access to capital to fund our multi-year pipeline expansion projects."

Energy Transfer Partners, L.P. is a publicly traded partnership owning and operating a diversified portfolio of energy assets. ETP's natural gas operations include intrastate natural gas gathering and transportation pipelines, natural gas treating and processing assets located in Texas and Louisiana, and three natural gas storage facilities located in Texas. These assets include approximately 12,200 miles of intrastate pipeline in service, with an additional 400 miles of intrastate pipeline under construction, and 2,400 miles of interstate pipeline. ETP is also one of the three largest retail marketers of propane in the U.S., serving more than one million customers across the country.

Energy Transfer Equity, L.P. (NYSE:ETE - News) owns the general partner of Energy Transfer Partners and approximately 62.5 million ETP limited partner units. Together ETP and ETE have a combined enterprise value of approximately $20 billion.

The information contained in this press release is available on our website at www.energytransfer.com.


Contact:

Investor Relations:
Energy Transfer
Renee Lorenz, 214-981-0700 (office)
or
Media Relations:
Gittins & Granado
Vicki Granado, 214-504-2260 (office)
214-498-9272 (cell)

Source: Energy Transfer Partners, L.P.

Platina Energy Group has been rated "Speculative Buy" with a target price of $1.50 by Beacon Equity Research Analyst, Lisa Springer, CFA.

The full report is available at http://www.BeaconEquityResearch.com.

Anyone interested in receiving alerts regarding Platina Energy Group research should email members@beaconequityresearch.com with "PLTG" in the subject line.

In the report, the analyst writes, "Platina Energy Group is an independent exploration and production company with multiple oil and gas lease properties in North America and a proprietary enhanced recovery technology. The Company, headquartered in Cheyenne, Wyoming, owns proved reserves valued in excess of $60 million and is currently producing oil from wells on its Young County prospect in Texas. The Company's strategy is to minimize risk by holding a diversified portfolio of energy and related investments. The Company currently owns oil and gas leases in the Palo Duro Basin in Texas, the Appalachian Basin in eastern Tennessee and in Young County, Texas."

Other companies in the natural resource development market include Marathon Oil (NYSE: MRO - News), International Oil&Gas (OTCBB: IOGH - News), Suncor Energy Inc (NYSE: SU - News), and Abraxas Petroleum Corp (AMEX: ABP - News).

Beacon Equity Research Disclosure

The analysts contributing to this report do not hold any shares of Platina Energy Group (PLTG). Additionally, the analysts contributing to this report certify that the views expressed herein accurately reflect the analysts' personal views as to the subject securities and issuers. The analyst(s) writing this report recognize and aspire to all of the CFA Institute Guidelines for Independent Research. Beacon Equity Research ("Beacon") certifies that no part of the analysts' compensation was, is, or will be, directly or indirectly, related to the specific recommendation or views expressed by the analysts in the report. Beacon Equity Research has been compensated two hundred fifty thousand free trading shares from a non-controlling third party (European American) for enrollment in its research program. This report is based on data obtained from sources we believe to be reliable, but is not guaranteed as to accuracy and does not purport to be complete. As such, the report should not be construed as advice designed to meet the particular investment needs of any investor. Any opinions expressed herein are subject to change.


Contact:

Beacon Equity Research
Jeff Bishop, 469-361-6239
editor@beaconequityresearch.com
www.BeaconEquityResearch.com
or
Platina Energy Group
Blair Merriam, 307-637-3900

Source: Platina Energy Group

Torrent Energy Corporation (the "Company") (OTC BB:TREN.OB - News) announced today that material progress has been achieved during the last 45 days on a number of mission critical fronts required to bring its Coos Bay Coal Bed Methane natural gas project into commercial production. These milestones include: third party reservoir modeling which lends further credibility to internal field potential calculations; the completion of successful testing for a waste water disposal plan; and completion of initial design work for the gathering system to serve the first five Westport wells.

Specific operational progress during the past 45 days for Torrent's coal-bed methane (CBM) natural gas project located in Coos Bay, Oregon, and operated by its subsidiary Methane Energy Corp. ("Methane"), includes:


-- Methane has commissioned and received an independent engineering
report from MHA Petroleum Consultants forecasting future gas and water
production from a typical Westport well utilizing the field permeability
data discussed in Torrents April 24, 2007, press release. The Westport
wells 16-16 and 9-21 are currently producing gas to flare and formation
water to storage with the goal to history match the MHA deliverability
models in the coming months.

-- Methane has, during the last two months, successfully completed
testing of a water treatment system based upon licensed Texas A & M
technology that allows for the inexpensive treatment of future frac water
and produced water. Final permitting of a cost effective water management
and disposal system capable of processing 2,000 barrels of water per day is
expected in late-August.

-- Methane has signed a Memorandum of Understanding ("MOU") with an
Oregon-based pipeline company to facilitate the design and construction of
the initial gas gathering system at the Westport project area. The system
will tie in the initial five Westport wells and deliver gas into the Coos
County pipeline. The system will include sufficient capacity to add
additional Westport wells as they are drilled.

"We now have a complete reservoir data set and operational solutions related to gas and water production to fully evaluate the economic viability of the Westport CBM resources identified in our Coos Bay project," said Torrent's president and CEO, John Carlson. "Under a scenario of expected capital and operating costs and local gas pricing mechanisms we can now calculate potential reserves and values on a per unit well basis that illustrate the positive rates of return on a full field development project."

These new results confirm the economic viability of the Coos Bay project and a full field development has the potential of developing a future un-risked asset value of between $160 million and $500 million. This range represents the potential economic development of the Coos Bay assets as a function of coal depth, drilling spacing area and under current costs and technology.

Carlson added, "We realize that this has been a long haul for investors, management and staff involved in the project, but not unexpected for a new CBM basin located in an area considered to be a frontier location. Now that we are closing in on the final details before going to commercial production, we are confident that Coos Bay will not only be well worth the wait, but will serve as a strong base for Torrent's expansion strategy by establishing solid positive cash flows for many years to come. The next few months will be an exciting time as we prepare for commercial production once the final water permits are received and pipeline construction starts."

About Torrent Energy Corporation

Torrent Energy Corporation is a growing exploration company focusing on developing non-conventional natural gas reserves in the Northwestern United States. The Company's primary objective is to create value for stakeholders by applying strong technical expertise to projects. The current focus of the Company's Oregon subsidiary, Methane Energy Corp., is on the exploration of the Coos Bay Basin project in southwestern Oregon where the Company currently has a land portfolio that includes over 118,000 acres of prospective land. For more information please visit www.torrentenergy.com.

On behalf of the Board of Directors,


TORRENT ENERGY CORPORATION
John Carlson, President & CEO

Safe Harbor Statement This news release includes statements about expected future events and/or results that are forward-looking in nature and subject to risks and uncertainties. Forward-looking statements in this release include, but are not limited to, that the Westport wells can match the MHA deliverability models in the coming months; that final permitting of the initial 2,000 barrels of water per day water management system is expected in late-August; the Oregon based pipeline company facilitate the design and construction of the initial gas gathering system at the Westport project area which will tie in the initial five Westport wells and deliver gas into the Coos County pipeline; that the system will include sufficient capacity to add additional Westport wells as they are drilled; that full field development has the potential of developing a future un-risked asset value of between $160 million and $500 million; and that that we are closing in on the final details before going to commercial production.

It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Factors that could cause actual results to differ materially include that our contractual partners may not perform as expected, the uncertainty of the requirements demanded by environmental agencies, the Company's ability to raise financing for operations, inability to maintain qualified employees or consultants, competition for equipment, inability to obtain drilling permits, potential delays or obstacles in drilling and/or interpreting data, market fluctuations and spot prices for gas, and the possibility that no commercial quantities of gas are found or recoverable. For more risk factors about our Company, readers should refer to risk disclosure in our most recent 10-K filed on Edgar.


Contact:

For further information please contact:

Investor Relations in the U.S.
Pfeiffer High Investor Relations, Inc.
Geoff High, Principal
Phone: 303-393-7044
Email: Email Contact

Investor Relations in Canada
CHF Investor Relations
Kelly Cody, Associate Account Manager
Phone: 416-868-1079 ext. 223
Email: Email Contact

Torrent Energy Corp.
John Carlson, President & CEO
Phone: 503-224-0072
Email: Email Contact


Source: Torrent Energy

Teton Energy Corporation ("Teton") announced today that on July 19, 2007, BNP Paribas increased the Company's borrowing base to $10 million from $6 million on its senior credit facility. The borrowing base was increased to $6 million on March 12, 2007.

Company Description. Teton Energy Corporation is an independent oil and gas exploration and production company based in Denver, Colorado. Teton is focused on the acquisition, exploration and development of North American properties and has current operations in the Rocky Mountain region of the U.S. The Company's common stock is listed on the American Stock Exchange under the ticker symbol "TEC." For more information about the Company, please visit the Company's website at http://www.teton-energy.com.

Forward-Looking Statements. This news release may contain certain forward-looking statements, including declarations regarding Teton and its subsidiaries' expectations, intentions, strategies and beliefs regarding the future within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements contained herein are based upon information available to Teton's management as at the date hereof and actual results may vary based upon future events, both within and without the control of the Teton's management, including risks and uncertainties that could cause actual results to differ materially including, among other things, the impact that additional acquisitions may have on the Company and its capital structure, exploration results, market conditions, oil and gas price volatility, uncertainties inherent in oil and gas production operations and estimating reserves, unexpected future capital expenditures, competition, governmental regulations and other factors discussed in the Company's Annual Report on Form 10-K for the year ended December 31, 2006, filed with the Securities and Exchange Commission. More information about potential factors that could affect the Company's operating and financial results are included in Teton's annual report on Form 10-K for the year ended December 31, 2006. Teton's disclosure reports are on file at the Securities and Exchange Commission and can be viewed on Teton's website at http:// www.teton-energy.com. Copies are available without charge, upon request from the Company.


Source: Teton Energy Corporation

Arawak Energy Corporation (the "Company" or "Arawak") is pleased to announce an exploration success in its 100% owned Besbolek block in Kazakhstan. Exploration well No. 50 has discovered oil in a previously untested structure in the south of the block. The exploratory concept of the extension of the Upper Triassic paleo-flows into the down-faulted southern Besbolek block was confirmed by the drilling and testing of the exploration well.

Open hole logs establish three hydrocarbon-bearing intervals.

The primary oil accumulation was encountered in the upper Triassic sediments within the lower interval of 347 - 379 meters with gross sand thickness of 33 meters and effective net pay of about 30 meters. On July 19, 2007, the well was perforated in the Upper Triassic interval which resulted in a strong natural flow rate of 90 barrels of oil per day ("bopd") on a 3 mm choke with 7 atm FTP. After the installation of artificial lift we expect the production rate to increase to 250-400 bopd. Extended production testing is still in progress. The oil is of 30 degree API gravity, which is lighter than the main Triassic pool.

The other two hydrocarbon accumulations were penetrated in the Middle Jurassic intervals of 205-213 and 220-230 meters. The exact saturation content will be established after perforating and production testing of the pay intervals. It can be presumed that the oils within these intervals will also be lighter with a higher gas factor than typical Besbolek crude.

The Company's preliminary assessment of reserves discovered indicates likely additions of between 3 to 6 million barrels of proved and probable reserves. These figures will be confirmed after further follow-up wells and updates to the Company's reserves to be undertaken by reserve auditors at year end. Proved and probable reserves attributed to the Besbolek block as of the date of the last audited reserve report, 31 December 2006, were 5.8 million barrels. 28.2 million barrels of proved and probable reserves have been attributed to all of the Company's properties in Kazakhstan.

The 3D seismic model of South Besbolek reveals a complex faulted structure with up to five separate multi-level tectonic blocks. The first appraisal well, No. 51, has already been spudded and is presently drilling at 250 meters and has encounterd encouraging hydrocarbon shows in the Jurassic sediments. A further appraisal drilling program of three to four additional wells is planned for this year to delineate the southern block.

In second half of 2007, Arawak plans a balanced drilling program of exploration, appraisal and development drilling at Besbolek. The Company's drilling program at Besbolek has just been stepped up with the program to the year end increased to 18 wells from the previous 14. All of these wells have been permitted and presently, a 2-rig program is underway. Well No. 50 is the first of 4 exploration leads generated through the 21 square km. 3D seismic shoot acquired, processed and interpreted in 2006.

Alastair McBain, CEO said "We are delighted by the results of the well 50 flow test, which is our first Kazakhstani well with natural flow. Together with the follow up results from well 51 this suggests a significant increase in our reserves on the Besbolek block. This is the perfect start to our ambitious 2007 Kazakhstan drilling program, where we now have 2 rigs running in each of the Besbolek and Akzhar blocks, and demonstrates the excellent technical capabilities of our in house G&G group. We have 3 other new leads identified in the Besbolek block which will be drilled this year as well as numerous leads at Akzhar and we look forward to further good news. The shallow nature of the plays is ideal for our low cost multi well drilling program."

The TSX does not accept responsibility for the adequacy or accuracy of
this release.


Arawak's common shares are listed for trading on the TSX under the symbol "ABG". The Company is engaged in the exploration, development and production of oil and natural gas in Kazakhstan, Russia and Azerbaijan. The Company's three producing fields and two exploration blocks in Kazakhstan are held through its 100% wholly-owned subsidiary Altius Energy Corporation ("Altius"). Altius' main producing field is Akzhar, extended in 2006 from 3.8 to 71.5 sq km, with smaller fields at Besbolek and Karataikyz. The two exploration blocks, Alimbai and East Zharkamys III, are also situated in western Kazakhstan. Arawak's assets in Russia are held through ZAO PechoraNefteGas ("PNG") and LLC NK Recher-Komi ("Recher-Komi") in which Arawak has a 50% interest with the remaining interest being held by Lundin Petroleum AB. Also in Russia, Arawak holds a 100% interest in the Kymbozhyuskaya exploration block. In the Azerbaijan Republic, the Company's asset is its interest in the South West Gobustan Exploration Development and Production Sharing Agreement (the "EDPSA"). Commonwealth Gobustan Limited ("CGL"), in which Arawak has a 37.17% interest, holds an 80% interest in the EDPSA with the remaining 20% owned by SOCAR Oil Affiliate.

This press release includes "forward looking statements", which are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward looking statements. These risks and uncertainties include, but are not limited to, risks associated with the oil and gas industry (including operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections in relation to production, costs and expenses and health, safety and environmental risks), the risk of commodity price and foreign exchange rate fluctuations, the uncertainty associated with commercial negotiations and negotiating with foreign governments and risks associated with international activity. Although Arawak believes that its expectations represented by these forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Additionally, the estimates of reserves and future net revenue for individual properties may not reflect the same confidence level as estimates of reserves and future net revenue for all properties, due to the effects of aggregation. Due to the risks, uncertainties and assumptions inherent in forward-looking statements, prospective investors in the Company's securities should not place undue reliance on these forward-looking statements. For a detailed description of the risks and uncertainties facing Arawak, readers should refer to Arawak's Annual Information Form as filed at www.sedar.com.

Source: Arawak Energy Corporation

Transocean Inc. agreed to buy GlobalSantaFe Corp. for about $17 billion, combining the world's two largest offshore oil and gas drillers.

The new company will be triple the size of its largest peer by sales, Noble Corp., with 146 rigs and an order backlog of $33 billion. Transocean and GlobalSantaFe, both based in Houston, called the transaction a merger in a statement, with shareholders on neither side getting a premium for their stock.

Transocean's Robert Long, who will remain chief executive officer, said the deal will create a company offering a full range of drilling to customers worldwide. Rig rates are surging as producers push their search for reserves to deeper waters. Rents for deepwater rigs rose 13 percent from a year earlier to a June average of $494,957 a day, ODS-Petrodata Inc. reported.

``It's a hot sector, these stocks are going straight up,'' said Philip Maywah, an analyst at Alexander Alternative Capital in Miami, whose hedge fund holds Transocean shares. ``I'm very, very happy. I just wish I had more.''

Shares of Transocean rose $6.20, or 5.6 percent, to $116.17 at 9:57 a.m. in New York Stock Exchange composite trading. GlobalSantaFe climbed $4.28, or 5.7 percent, to $79.02. Before today, the stocks had jumped 36 percent and 27 percent, respectively, this year.

Shareholders of the companies will receive a combined $15 billion in cash, Transocean and GlobalSantaFe said today in their statement.

$53 Billion

Transocean stockholders will receive $33.03 in cash and 0.6996 share of the combined company for each of their shares. GlobalSantaFe owners will get $22.46 in cash and 0.4757 share. The company will have an enterprise value, or market value plus net debt, of about $53 billion.

The $33 billion order backlog is for drilling contracts extending as far out as 2015.

``It monetized some of that giant backlog that's out there,'' Roger Read, an analyst at Natexis Bleichroeder in Houston, said of the merger agreement.

The company, to be named Transocean and governed by an equal number of board members from both sides, will have five deepwater rigs under construction. The transaction will yield annual cost savings of $100 million to $150 million by 2010, the companies said.

``It will put increasing pressure on other companies in the industry to do the same thing,'' said Michael Drickamer, an analyst at Morgan Keegan & Co. in Memphis, Tennessee, who rates shares of Transocean and GlobalSantaFe at ``outperform'' and doesn't own stock in either.

Cash Payouts

Because the drillers were earning money faster than they could reinvest it wisely, giving cash to shareholders through the deal makes sense, Drickamer said.

The combined company will own 29 rigs capable of drilling in water depths of more than 5,000 feet, according to Jud Bailey, an analyst at Jefferies & Co. There are currently about 70 such rigs in the world, with nearly that many under construction.

Bailey, who rates Transocean at ``hold'' and GlobalSantaFe at ``buy,'' said he was ``shocked'' by the takeover. Transocean was ``the dominant player in the deepwater market, but at 60 new deepwater rigs being built, and they only had four of them, they were going to lose market share over the next five years,'' he said. ``That's what compelled this.''

GlobalSantaFe's CEO, Jon Marshall, will be president of the combined company. The transaction is scheduled to close by the end of this year, pending approval by shareholders.

Competitive Markets

Bailey and other analysts said combining the two largest offshore drillers won't raise monopoly concerns because the business is too global and competitive for any one contractor to have a stranglehold on any particular market.

Goldman, Sachs & Co. is advising Transocean on the transaction, and Lehman Brothers Inc. is adviser for GlobalSantaFe. Affiliates of the two firms also will arrange financing of the $15 billion in payouts to shareholders.

The payouts should prompt other drillers to return money to shareholders through dividends or stock buybacks,'' said Maxime Carmignac, who counts shares of Transocean and GlobalSantaFe Corp. among the 12 billion euros ($16.6 billion) in assets she helps oversee at Carmignac Gestion in Paris.

``These companies have been sitting on huge amounts of cash but have not been returning cash to shareholders,'' she said.

To contact the reporter on this story: Amy Strahan in Houston at astrahan@bloomberg.net .

Gran Tierra Energy Inc. (Nachrichten) (OTC Bulletin Board: GTRE), a company focused on oil exploration and production in South America, today announced that its application for two Technical Evaluation Areas (TEAs) in the Putumayo Basin in southern Colombia have been approved by the Agencia Nacional de Hidrocarburos (ANH).

The approval of the two TEAs follows the recent announcements of the Costayaco and Juanambu oil discoveries operated by Gran Tierra Energy that tested flow rates up to 5,906 barrels of oil per day and 778 barrels of oil per day respectively. The two TEAs are located near the Orito Field, the largest oil field in the Putumayo Basin. With granting of these two TEA contracts, Gran Tierra Energy will be the largest private exploration license holder in the Putumayo Basin.

Dana Coffield, President and CEO stated, "The awards of these two blocks give Gran Tierra Energy an expansive land area to evaluate and apply our acquired knowledge base from our two recent oil exploration discoveries in the Putumayo Basin. This advances our strategy of actively acquiring new assets for evaluation so as to develop an inventory of new opportunities for drilling in the future as our existing inventory of prospects is drilled."

Putumayo A covers an area of 1,409 square kilometers (570,000 acres) and is to be held 100% by Gran Tierra Energy. The effective date of the contract will be the date the formal contract is signed. The evaluation period is 12 months. During this time, Gran Tierra Energy has an obligation to conduct 400 kilometers of seismic reprocessing and geologic studies. The company will have a preferential right to apply for an Exploration&Production contract in the area during the evaluation stage and match or improve any bid by third parties to convert all or a portion of the TEA to an exploration license.

Putumayo B covers an area of 440 square kilometers (109,000 acres) and is to be held 100% by Gran Tierra Energy. The effective date of the contract will be the date the formal contract is signed. The evaluation period is for 11 months. During this time, Gran Tierra Energy has an obligation to conduct 100 kilometers of seismic reprocessing and geologic studies. Gran Tierra Energy shall have a preferential right to apply for an Exploration&Production contract in the area during the evaluation stage and match or improve any bid by third parties to convert all or a portion of the TEA to an exploration license.

If converted to an Exploration and Production contract through the ANH, the retained acreage would be subject to the new and fiscally attractive ANH royalty/tax contract which includes no additional state participation.

About Gran Tierra Energy Inc.

Gran Tierra Energy Inc. is an international oil and gas exploration and production company, headquartered in Calgary, Canada, incorporated and traded in the United States and operating in South America. Gran Tierra Energy holds interests in producing and prospective properties in Argentina, Colombia and Peru. To date, Gran Tierra Energy has pursued a strategy that focuses on establishing a portfolio of producing properties, and development and exploration opportunities, through selective acquisitions, to provide a base for future growth. Additional information concerning Gran Tierra Energy is available at http://www.grantierra.com. Investor inquiries may be directed to info@grantierra.com or 1-800-916-GTRE (4873).

Aztec Oil & Gas, Inc. (OTC BB:AZGS.OB - News) announced today that the Company's Chief Executive Officer, Franklin C Fisher, Jr. is featured in an exclusive interview with http://www.wallst.net. The interview, which was conducted approximately one and one half weeks ago and was not posted earlier due to technical difficulties at wallst.net, is now available on http://www.wallst.net.

The interview, which will be Mr. Fisher's first formal interview since his appointment as Aztec Oil & Gas' CEO, will cover topics including the Company's market potential, growth initiatives, competitive edge, recent news, etc. Under the administration of Mr. Fisher, Aztec plans to increase its flow of information to the Company's current and future shareholders through additional interviews and press releases over the next several quarters.

To hear the interview in its entirety, visit http://www.wallst.net, and click on ``Interviews.'' The interview can be accessed either by locating the company's ticker symbol (AZGS.OB) under the OTCBB section on the left-hand column of the ``Interviews'' section of the site, or by entering the company's ticker symbol in the Search Archive window.

Excelsior Energy Limited is pleased to announce it has signed a binding Farm-in Agreement with an Alberta based private company, ("AlbertaCo") to acquire a 75% interest in 18 contiguous sections (11,520 acres) of land in the West Surmont area south of Fort McMurray ("the Asset"), in the heart of the Athabasca oil sands area.

The Asset is located in close proximity to a number of active SAGD (steam assisted gravity drainage) Projects which are in various stages of development which include ConocoPhillips' Surmont Project, and Statoil's Leismer and Corner Project areas.

Excelsior is acquiring its interest by paying 100% of the accrued land costs, future seismic and drilling costs totalling $21.6 million, and a cash bonus of $2.3 million to earn its 75% interest. The cash payment will be made upon completion of the seismic program. The Company has also agreed to pay AlbertaCo a supplemental payment of up to $2.9 million which is contingent upon successful drilling results and the parties agreement to continue operations, and is payable by funding AlbertaCo's 25% share of continuing operations.

The productive reservoir is the McMurray Formation which is comprised of high quality fluvial and estuarine channel sands. There are 13 wells drilled on the Asset and a further 25 wells drilled on adjacent sections that confirm the presence of the reservoir oil sands with gross oil sand thicknesses ranging between 8 meters and 29 meters.

The first stage of the project is to shoot approximately 108 kilometres of 2D seismic to tie the existing wells and to delineate the size and number of potential SAGD oil sand pods. The Company is investigating the possibility of acquiring the seismic program in late summer and we will provide an update once the timing is confirmed. An exploration well program of 18 wells to further delineate the potential SAGD Pods and identify a core area for a pilot project, is planned for winter 2007/8. The Company anticipates engaging a third party, National Instrument 51-101 compliant engineering evaluation once the 2D seismic has been acquired, processed and interpreted.

About Excelsior Energy

The Company is active in oil sands exploration and appraisal in the Hangingstone and West Surmont areas near Fort McMurray, Alberta and will hold a 75% working interest in 57 contiguous sections on completion of its farm-in obligations. The Company also holds a 100% working interest in Blocks 16/1a and 16/6c in the UK North Sea and a minor interest in gas production in Alberta. The Company's strategy is to capture oil and gas appraisal and development opportunities where we can leverage Management's diverse international experience and field development expertise. This includes heavy oil reservoir engineering and development of complex fields. The scale of the oil sands resource opportunity in Alberta complements Excelsior's international portfolio and strategy.

Forward-Looking Statements: This news release contains statements about future events that are forward looking in nature and, as a result, are subject to certain risks and uncertainties such as changes in plans or the occurrence of unexpected events. Actual results may differ from the estimates provided by management. Readers are cautioned not to place undue reliance on these statements.


Contact:

David A. Winter
Excelsior Energy Limited
President and Chief Executive Officer
(403) 537-1015 ext 101
Email: d.winter@excelsior-energy.com

Robert Bailey
Excelsior Energy Limited
Vice President Engineering and Chief Operating Officer
(403) 537-1015 ext 102
Email: r.bailey@excelsior-energy.com

Source: Excelsior Energy Limited

SK Energy, South Korea's largest oil refiner, said Sunday it has won a bid to develop an oil field in Peru's offshore Trujillo basin.

The company, formerly SK Corp., said in a release that it won the right to develop 100 percent of the field, known as Peru Offshore Block Z-46, in bidding sponsored by Peru's oil licensing company Perupetro.

"Considering its proximity to major oil production sites in Peru, and a number of discoveries in the region, Block Z-46 looks very promising,'' SK Energy President and CEO Shin Heon-cheol, said in the statement.

SK Energy said that including the latest field, it is active in 26 blocks in 14 countries, including Egypt, the Ivory Coast, Russia, Brazil, Madagascar and Britain. SK Energy plans to invest 544 billion won (US$596 million; euro431 million) in its global exploration and production business this year.

The company said it expects its proven reserves to total 700 million barrels by 2010.

Industrially advanced but resource-poor South Korea imports almost all its oil.

Perupetro had said in May that some 37 companies had expressed interest in bidding for the rights to 19 oil and gas fields, encouraged by the South American country's political stability and high international oil prices.

Daniel Saba, president of Perupetro, said at the time that most of the companies were from the United States, Canada and Asia, but refused to name them. The auction opened in January and companies had until July 12 to bid.

In February, Indian leaders and activists criticized Peru's decision to open up oil exploration in the Peruvian jungle - where some of the fields are located - saying doing so would pose health and environmental risks to isolated area communities.

AP

A senior official from France's giant oil company 'Total' here on Sunday voiced the company's firm determination to bolster cooperation with Iran. Speaking during a meeting with the chairman and vice-chairman of the Iranian parliament's Energy Commission, Director of Total's Exploration and Production Department reiterated his company's policy to continue expansion of cooperation with Iran.

He described Iran as an ancient country with an age-old civilization, and reminded the long cooperation background between Total and the National Iranian Oil Company (NIOC).

The official further underlined Total's resolve and full preparedness to increasingly expand cooperation with Iran despite all the external pressures exerted - specially by the US - on companies willing to cooperate with Iran in the energy sector.

For his part, chairman of Iranian parliament's Energy Commission Kamal Daneshyar pointed to Total's good performance and background in cooperating with Iran's oil and gas projects despite external pressures, and expressed the hope that the two sides' cooperation would further boost through the company's increased participation and investment in Iranian projects.

Also during the same meeting, the vice-chairman of the Iranian parliament's Energy Commission Mohsen Yahyavi mentioned impenetrability to political pressures, competitive prices, employment of Iranian experts and attention and care for Iran's religions and cultural values and sanctities as among the main factors playing an effective role in the continuation and bolstering of the two sides' cooperation.

THE interim reporting season heats up this week when a raft of heavyweights from the banking, oil and pharmaceutical sectors are due to unveil figures.

BP and Royal Dutch Shell report first-half profits figures after facing different challenges in an eventful quarter for the oil majors.

The two firms report as the price of oil hovers around $78 a barrel - near last August's record high.

Analysts' consensus forecasts for Royal Dutch Shell are expecting the firm to post underlying earnings of $6.76 billion (£3.3bn) for the second quarter - 7 per cent higher than the $6.31bn reported last year.

The profits are expected to be higher despite continued security problems for Shell in Nigeria, where the company is losing around 180,000 barrels of oil a day in the Western Delta due to attacks from militants.

Meanwhile, BP prepares to post its first set of figures without Lord Browne, who was forced to resign in May after lying to a court over his relationship with former partner Jeff Chevalier.

But analysts expect new chief executive Tony Hayward's inaugural results day tomorrow will see the company's second quarter underlying profits fall to around $5.05bn, down from $6.12bn last time.

Production difficulties at its US refineries are behind the expected profits fall, according to Evolution Securities analyst Richard Griffiths.

But there has been some good news for BP over the period. In May the firm announced a return to Libya after more than 30 years under a £900 million exploration deal.

The five interest rate rises since last August may have been hitting consumers hard in the pocket, but it seems they have also been playing havoc with mortgage lender margins.

While lenders have tended to waste no time in passing on the interest rate hikes, they still have a number of borrowers on fixed-rate deals that are yet to come to an end.

Add to this the worries over default rates sparked off by the sub-prime crisis in the US and the sector has had its share of troubles of late. With interims due next week from a number of major players, the sector is set to be watched closely.

First up is Northern Rock on Wednesday. The group highlighted the issue of falling fixed-rate margins last month when it issued what was effectively a profits warning. The group said it would suffer a drop in net interest income of around £180m to £200m as it waited for customers to come off cheap mortgages fixed two or three years ago. Arrears levels had also increased slightly due to the rate hikes.

Analysts have since revised expectations for full-year underlying profits, from £430m to £421m, but, given the further rate rise since Northern Rock's last update, there may be worse to come if rates do increase as predicted to 6 per cent.

Bradford & Bingley, which follows on Thursday, is forecast to report only a modest narrowing of margins and its mortgage book is thought to have stayed strong in the first half, with analysts at Hitchens Harrison & Co predicting a doubling in volume on the same time last year. The consensus is for a 11 per cent rise in pre-tax profits to £182.4m.

However, the figures could overshadow hidden risks, according to Hitchens Harrison. B&B specialises in buy-to-let and self-certification mortgages, which are two high-risk areas and particularly vulnerable to housing market movements, say the analysts, who will be looking closely at the lender's outlook on the sector for any signs of trouble.

On Friday, Alliance & Leicester, which last month announced that finance director David Bennett is to become the new chief executive, is set to deliver a 9 per cent rise in operating profits to £293m, according to analysts. The figures are due to confirm the group's recent upbeat trading statement, which said full-year trading would at the top end of expectations after strong performances across the business.

But it has easy comparatives, having posted lower half-year profits last year - at £268m, down £4m on 2005 - amid a slowdown in unsecured loans.

Pharmaceuticals giants GlaxoSmithKline and AstraZeneca are also due with interim figures after a tough six months for the two businesses.

In a period where the wider FTSE 100 index has added more than 7 per cent, GlaxoSmithKline has seen its value fall 7 per cent, with Astra suffering a near-5 per cent decline.

The main culprit behind Glaxo's woes has been the scare over the company's diabetes treatment, Avandia, following claims in May that it increased the risk of heart attacks.

Glaxo has vigorously disputed the study, reported in the New England Journal of Medicine, and countered with its own research and an expensive advertising campaign - but the damage to its share price was done.

Analysts are expecting interim profits of £1.85bn, compared with £1.89bn last time.

The continued strength of the pound against the dollar has also worked against Glaxo - knocking the firm's sales by 4 per cent to £5.59bn for the first quarter - as the company struggles with a more competitive environment its anti-nausea drug Zofran, antidepressant Wellbutrin and allergy treatment Flonase.

While AstraZeneca's woes have not been as dramatic as its peer, its move into the vaccines market in April after paying $15.2bn for its US rival MedImmune underwhelmed the City.

Analysts believed that AstraZeneca had overpaid for the firm, which owns and manufactures Synagis, a leading treatment for respiratory tract infections in babies and children.

Transport and coach group National Express managed to limit reputational damage earlier this month, with a well-timed upbeat trading statement, given that it coincided with news it had lost a major rail franchise to rival Stagecoach.

But just weeks after it missed out on the expanded East Midlands rail franchise, the group suffered a further blow with the announcement it had lost the competition to run the new, expanded long-distance Cross Country rail franchise to Arriva.

Even sparkling interims on Thursday are unlikely to detract from the disappointment. The consensus figures for the past six months expect around £77.1m in pre-tax profits.

The group said recently its trains division had seen passenger numbers rise 6 per cent in the first six months of the year with 2 per cent growth for its coach business

and all eyes will now be on the results of the Intercity East Coast franchise, due later this summer.

Retailer Sport Direct International - owner of the Sports World chain - has had a torrid time on the stock market since flotation at the end of February.

While the results for the year to the end of April are set to be in line with the £180m to £185m expected in underlying earnings, next year is thought to show a marked drop on the analyst consensus of £220m to £230m expected.

Pizza delivery firm Domino's Pizza is expected to deliver appetising half-year results today after an excellent start to the year.

Launches of new pizzas such as the Meateor, Hot Stuff and Pepperoni Passion have helped it enjoy a strong first half, which has already seen like-for-like sales jump by more than 14 per cent in the 16 weeks to 26 April.

Domino's posted full-year pre-tax profits of £14.2m in 2006, although analysts are expecting this to rise to around £17m this year.
HANGING ON THE IPHONE

WOLFSON Microelectronics will unveil its first-half profits on Wednesday but all eyes will be looking ahead for guidance on whether the slowdown which has hit the semiconductor industry has been cleared.

Shares in Wolfson almost halved in value last year as the Edinburgh-based technology firm, which supplies chips for well known consumer gadgets, warned the market was not growing as quickly as had been expected last October.

However analyst forecasts have improved recently, with shares rising on hopes of an impact from sales of the Apple iPhone. Within hours of going on sale, technology buffs had pulled the new iPhone apart, quickly reporting that Wolfson was supplying the phone's audio chip.

Earlier this week Wolfson shares hit a near five-month high of 323.25p. Analysts have forecast sales in the second quarter, traditionally the strongest for Wolfson, to come in at around $48.1 million, with first half profits of around $11.6m, but the most attention will be placed on the outlook forecast.

Although first-half results are not expected to have been impacted by sales of the latest must-have gadget, Wolfson, already a major supplier to Apple, is expected to receive a substantial boost, improving its outlook, with Apple aiming to sell ten million of the phones in its first year.

Russian President Vladimir Putin and U.S. President George W. Bush spent most of their time at the “lobster summit” at Kennebunkport, Maine, discussing how to prevent the growing tensions between their two countries from getting out of hand.

The media and international affairs experts have been portraying missile defense in Europe and the final status of Kosovo as the two most contentious issues between Russia and the United States, with mutual recriminations over “democracy standards” providing the background for the much anticipated onset of a new Cold War. But while this may well be true for today, the stage has been quietly set for a much more serious confrontation in the non-too-distant future between Russia and the United States – along with Canada, Norway and Denmark.

Russia has recently laid claim to a vast 1,191,000 sq km (460,800 sq miles) chunk of the ice-covered Arctic seabed. The claim is not really about territory, but rather about the huge hydrocarbon reserves that are hidden on the seabed under the Arctic ice cap. These newly discovered energy reserves will play a crucial role in the global energy balance as the existing reserves of oil and gas are depleted over the next 20 years.

Russia has the world's largest gas reserves and is the second largest exporter of oil after Saudi Arabia, but its oil and gas production is slated to decline after 2010 as currently operational reserves dwindle. Russia’s Natural Resources Ministry estimates that the country’s existing oil reserves will be depleted by 2030.

The 2005 BP World Energy Survey projects that U.S. oil reserves will last another 10 years if the Arctic National Wildlife Refuge is not opened for oil exploration, Norway’s reserves are good for about seven years and British North Sea reserves will last no more than five years – which is why the Arctic reserves, which are still largely unexplored, will be of such crucial importance to the world’s energy future. Scientists estimate that the territory contains more than 10 billion tons of gas and oil deposits. The shelf is about 200 meters (650 feet) deep and the challenges of extracting oil and gas there appear to be surmountable, particularly if the oil prices stay where they are now – over $70 a barrel.

The Kremlin wants to secure Russia's long-term dominance over global energy markets. To ensure this, Russia needs to find new sources of fuel and the Arctic seems like the only place left to go. But there is a problem: International law does not recognize Russia’s right to the entire Arctic seabed north of the Russian coastline.

The 1982 International Convention on the Law of the Sea establishes a 12 mile zone for territorial waters and a larger 200 mile economic zone in which a country has exclusive drilling rights for hydrocarbon and other resources.

Russia claims that the entire swath of Arctic seabed in the triangle that ends at the North Pole belongs to Russia, but the United Nations Committee that administers the Law of the Sea Convention has so far refused to recognize Russia’s claim to the entire Arctic seabed.

In order to legally claim that Russia’s economic zone in the Arctic extends far beyond the 200 mile zone, it is necessary to present viable scientific evidence showing that the Arctic Ocean’s sea shelf to the north of Russian shores is a continuation of the Siberian continental platform. In 2001, Russia submitted documents to the UN commission on the limits of the continental shelf seeking to push Russia's maritime borders beyond the 200 mile zone. It was rejected.

Now Russian scientists assert there is new evidence that Russia’s northern Arctic region is directly linked to the North Pole via an underwater shelf. Last week a group of Russian geologists returned from a six-week voyage to the Lomonosov Ridge, an underwater shelf in Russia's remote eastern Arctic Ocean. They claimed the ridge was linked to Russian Federation territory, boosting Russia's claim over the oil- and gas-rich triangle.

The latest findings are likely to prompt Russia to lodge another bid at the UN to secure its rights over the Arctic sea shelf. If no other power challenges Russia’s claim, it will likely go through unchallenged.

But Washington seems to have a different view and is seeking to block the anticipated Russian bid. On May 16, 2007, Senator Richard Lugar (R-Indiana), the ranking Republican on the Senate Foreign Relations Committee, made a statement encouraging the Senate to ratify the Law of the Sea Convention, as the Bush Administration wants. The Reagan administration negotiated the Convention, but the Senate refused to ratify it for fear that it would unduly limit the U.S. freedom of action on the high seas.

Lugar used the following justification in his plea for the United States to ratify the convention: “Russia has used its rights under the convention to claim large parts of the Arctic Ocean in the hope of claiming potential oil and gas deposits that might become available as the polar ice cap recedes due to global warming. If the United States did not ratify the convention, Russia would be able to press its claims without the United States at the negotiating table This would be directly damaging to U.S. national interests.” President Bush urged the Senate to ratify the convention during its current session, which ends in 2008.

The United States has been jealous of Russia’s attempts to project its dominance in the energy sector and has sought to limit opportunities for Russia to control export routes and energy deposits outside Russia’s territory. But the Arctic shelf is something that Russia has traditionally regarded as its own. For decades, international powers have pressed no claims to Russia’s Arctic sector for obvious reasons of remoteness and inhospitability, but no longer.

Now, as the world’s major economic powers brace for the battle for the last barrel of oil, it is not surprising that the United States would seek to intrude on Russia’s home turf. It is obvious that Moscow would try to resist this US. intrusion and would view any U.S. efforts to block Russia’s claim to its Arctic sector as unfriendly and overtly provocative. Furthermore, such a policy would actually help the Kremlin justify its hardline position. It would certainly prove right Moscow’s assertion that U.S. policy towards Russia is really driven by the desire to get guaranteed and privileged access to Russia’s energy resources.