Beowulf Mining

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12/07/2010 Robert Tyerman

Sweden-focused Beowulf Mining says assays show 'commercial grades' of iron ore at its Kallak deposit and is buying new permits.

The AIM-quoted company, chaired by entrepreneurial Clive Sinclair-Poulton, says holes in the project's eastern zone have shown grades of 37.5% iron at a 35-metre width, with one hole further west showing 30.5%. Ely-based Beowulf also reports grades of more than 45% in three holes in Kallak's 'main zone'. The company has, meanwhile, issued shares at 3.7p to Canada's Tasman Metals to acquire nearby permits at Nakerivaara and Parkijaure.

Beowulf, which has previously suggested a potental iron ore resource of up to 150m tonnes at Kallak and 250m tonnes at another project, Routevare, is understood to be targeting 500m tonnes in all and has a copper, gold and uranium project at Bellek.

Highlighted by Growth Company Investor at 2.38p last August and again at 3.88p in March, the shares have now reached 4.25p and, though a future fundraising remains a possibility, should have further to go if current progress is maintained.

Tags: AIM, Commodities, Fundraisings

Sector: Mining

Companies: Beowulf Mining

Market cap: £6.2m

PE Forecast: n/a

Share price: 4.25p