Beowulf battles winter

31st May 2011 07:05

Sweden-focused mineral exploration company Beowulf Mining endured a harsh winter of epic proportions but remains on course to complete its drilling programme by the end of the second quarter of 2011."The Anglo-Saxons graphically described the harshness of winter by saying 'the cold bit like Grendel', thereby combining images from the Beowulf saga with the cold reality of our northern climates," said Beowfulf's chairman, Clive Sinclair-Poulton, in lyrical mode."During the winter of 2010/2011 Grendel bit hard and long in northern Sweden. It was the coldest regional winter for more than 100 years with average temperatures of approximately -30 degrees centigrade during the period from November 2010 to January 2011, only returning to a more typical average of -17 degrees centigrade in February 2011," Sinclair-Poulton added, explaining why the company had to commission a second drilling rig to catch up on its drilling schedule at its Kallak South project area.The board is seeking to accelerate the Kallak project towards potential future production and has set up a wholly owned subsidiary in Sweden, Beowulf Mining AB, with offices in Stockholm to facilitate the process of securing an exploitation (mining) licence and completing the other formalities required under Swedish law. An independent Swedish consultancy company, Hifab AB, has also been appointed to conduct an environmental impact study on the Kallak licences and oversee the completion of the requisite reports in connection with the mining licence application.In the meantime, the company has no revenue. In the first three months of 2011 it lost £0.13m before tax, compared to a loss of £0.01m in the first quarter of last year. --jh