Beowulf Mining

Sweden-focused Beowulf Mining will drill soon at its Routevare iron ore project after a 17% first-half loss increase to £222,000.

The Ely-based company suggests there is 'good potential' to increase the estimated resource at Routevare from 140 to 200m tonnes following an independent scoping study from the Raw Materials Group of Sweden, confirming a 'significant' resource there amenable to open-pit mining.

AIM-quoted Beowulf, steered by entrepreneurial chairman Clive Sinclair-Poulton, says the study also confirms a similar position at its Kallak project, where a nearly complete 3,500-metre drilling programme has yielded some 'encouraging' initial assays and the company hopes to establish a formal resource estimate of 150m tonnes. Both projects are in Jokkmokk in northern Sweden, and, says Sinclair-Poulton, are among 'Scandinavia's largest known remaining iron ore deposits still awaiting commercial exploitation'.

Beowulf also has a joint venture with Aussie-quoted Energy Ventures to explore copper, gold and uranium prospects at Ballek, also in northern Sweden and recently issued shares to Canada's Tasman Metals to acquire permits at Nakerivaara and Parkijaure at the southern end of Kallak. Having raised £1m at 2.5p in March, the company ended June with £752,000 cash.

Highlighted by Growth Company Investor a year ago at 2.38p, Beowulf shares now trade at 5.75p. Partial profit-taking might be prudent, but it is worth holding a significant chunk for further significant potential growth.