MEC Resources Announce Significant Gas Features

Offshore Sydney Basin – Significant Gas Features  

 

New hydrocarbon indicators revealed 
Evidence of extensive gas generation 
Key consultants appointed and potential joint venture partner discussions underway 
Advent looking to secure an appropriate drill rig 

MEC Resources Ltd (ASX:MMR) advises that its investee entity Advent Energy Ltd (Advent) has interpreted significant new seismically indicated gas features in an ongoing review of its exploration data for the PEP11 offshore Sydney Basin project (JV partner - Bounty Oil & Gas NL (ASX: BUY)).

Advent has previously reported the prospective P10 unrisked gas resource estimate of 16.3 trillion cubic feet for the permit (ASX: MMR 27 October 2008). 

Key indicators of hydrocarbon accumulation features have been interpreted from the ongoing review of 2004 seismic data. If confirmed by drilling, these seismic features are of immense significance to any commercial development of the project. The seismic features include apparent Hydrocarbon Related Diagenetic Zones (HRDZ), potential Amplitude Versus Offset (AVO) features and flat spots.  

MEC Resources Managing Director David Breeze said that the seismic evidence of extensive gas generation and migration is continuing to be examined by Advent and independent geologists and geophysicists.  

In a further step towards commercial development of the project, Advent has appointed lead consultants RPS Group for the environmental planning and approvals process. DU-EL Drilling Services has been appointed for well construction and project management to assist with the next stage of the project’s development. 

Advent is also continuing to pursue joint venture discussions and is looking to secure an appropriate drilling rig to test PEP11. The current market downturn and lower level of operational activity has presented Advent with a number of options to achieve the latter within a relatively quicker timeline.

“We are confident that our work to date shows evidence of a prospective deeper gas source in the area. Advent will now prioritise research and exploration to further prioritise drilling targets,” Mr Breeze said.  

“Additional mapping to look at the details of the hydrocarbon indicators and their relationship to the deeper prospective structures will clearly be helpful in providing a fuller picture of the hydrocarbon potential of the basin.”

An inferred gas chimney in a seismic profile was initially confirmed by Timothy Berge. Mr Berge has published widely in this area and is a consultant geophysicist with extensive international experience with multinational oil companies. Additionally, collaboration with the CSIRO in Perth, Western Australia, has yielded for the first time a fully independently derived and interpreted gas chimney feature from revision of the velocity model of the seismic data and reprocessing work.

Advent believes the gas seep structures already identified on the continental shelf warrant further independent review and is in discussions with the CSIRO and other independent geophysicists to progress this.  

Interpretation of Seismic Survey Data Continues 

HRDZ (Hydrocarbon Related Diagenetic Zones) are indicators of hydrocarbon migration. Comparisons have been made between HRDZ observed in the 2004 Baleen seismic survey data and those by Geoff O’Brien, formerly of Geoscience Australia and R. Cowley, over the Skua, Swift and Tahbilk fields in the prolific Bonaparte Basin and over the Browse Basin. Comparisons and other images are available in full at www.adventenergy.com.au
  

Review of amplitude versus offset data (AVO)

As part of its ongoing exploration, Advent has continued to analyse data covering potential key hydrocarbon indicators detected over PEP11 in an attempt to further understand the extent of hydrocarbon charge observed indirectly as gas seeps at the seabed surface and on seismic data. A recent review of the results of an earlier study of amplitude versus offset data (AVO) analysis undertaken by an independent contractor indicates the possible presence of hydrocarbons adjacent to structures previously identified in PEP 11. 

The analysis of the potential AVO on seismic line B4-15 is displayed in the seismic section below. Ongoing AVO work is aimed at extending the anomalies onto adjacent seismic lines.

Further AVO analyses will contribute to assisting the interpretation of seismic data already acquired.

“The AVO work done so far is encouraging for the possible presence of gas effects in the target zones and we eagerly await the conclusion of further studies.” Mr Breeze said.  



Flat spots are potential hydrocarbon indicators that can demonstrate gas/oil, gas/water or oil/water interface events. Advent has identified candidate sites with this direct hydrocarbon indicator feature. A review is underway of potential locations on the northern end of the main structural trend containing the Baleen and Fish prospects.

Advent believes the new data proves the offshore Sydney Basin to be a petroleum basin with excellent potential for the discovery of gas and oil. Advent’s work to date has confirmed hydrocarbon generation and migration in the offshore Sydney Basin.

ArcelorMittal Announces Leadership Transition for Flat Carbon South America Operations

Luxembourg, 20 March 2009 (19:00 CET) – ArcelorMittal today announces that as part of his original retirement plan, José Armando Campos has stepped down. Management Committee member, Mr. Campos, 60, will retire from his executive duties on 31st March 2009. However, he will continue with ArcelorMittal in an advisory capacity, so that the company’s Brazilian operations will continue to benefit from his skills and experience.
Mr. Campos began his tenure with the organization in 1992, leaving the Brazilian mining firm CVRD to join Companhia Siderúrgica de Tubarão (CST) as it was being privatized. He became President and CEO of CST in 1997. He has held the same positions at ArcelorMittal Brasil since its formation – through the integration of CST, Vega do Sul, and BelgoMineira – in 2005. He has been a member of the Brazilian Steel Institute (IBS) and was its President from 2002 to 2005. He has also been a member of the Brazilian Metallurgy and Materials Society since 1972 and is on the Board of Directors of the Brazilian Business Council for Sustainable Development (CEBDS).
Benjamin Baptista, who has been appointed to the position of Vice President and CEO, Flat Carbon South America (FCSA), will succeed José Armando Campos. Mr. Baptista currently serves as Vice President, Commercial for FCSA. An engineer, he has had a broad range of executive experience since joining the company in 1983, including extensive project and
operational responsibilities. His knowledge and experience managing commercial coordination and critical customer relationships for FCSA will contribute substantially to the realization of ArcelorMittal’s strategic growth objectives in this important region.
Commenting, Aditya Mittal, Chief Financial Officer and member of ArcelorMittal’s Group Management Board responsible for Flat Carbon Americas said:
“José Armando has provided exceptional service to ArcelorMittal and to the employees of FCSA.
Based in large part on his personal integrity and commitment to people development, FCSA has
become one of the most well respected operations in our Group as well as in the entire Brazilian
economy. His leadership during the integration of Arcelor and Mittal was invaluable, and we are
pleased that our Brazilian operations will continue to benefit from his counsel. We are also very
confident and excited that Benjamin will provide the executive leadership and vision required to carry FCSA through this challenging economic period and on to the next generation of success for
ArcelorMittal’s operations in the region.”

About ArcelorMittal

ArcelorMittal is the world's leading steel company, with operations in more than 60 countries.
ArcelorMittal is the leader in all major global steel markets, including automotive, construction, household appliances and packaging, with leading R&D and technology, as well as sizeable captive supplies of raw materials and outstanding distribution networks. With an industrial presence in over 20 countries spanning four continents, the Company covers all of the key steel markets, from emerging to mature. Through its core values of sustainability, quality and leadership, ArcelorMittal commits to operating in a responsible way with respect to the health, safety and wellbeing of its employees, contractors and the communities in which it operates. It is also
committed to the sustainable management of the environment and of finite resources. ArcelorMittal recognises that it has a significant responsibility to tackle the global climate change challenge; it takes a leading role in the industry's efforts to develop breakthrough steelmaking technologies and is actively researching and developing steel-based technologies and solutions that contribute to combat climate change.
In 2008, ArcelorMittal had revenues of $124.9 billion and crude steel production of 103.3 million tonnes, representing approximately 10 per cent of world steel output. ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT), Paris (MT), Brussels (MT), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and Valencia (MTS).

Statement by IMF Managing Director Dominique Strauss-Kahn on the European Union’s Announcement of Financial Support for the IMF

March 20, 2009 

The Managing Director of the International Monetary Fund (IMF), Mr. Dominique Strauss-Kahn, made the following statement today:

“I welcome the announcement today by the European Union to support the IMF lending capacity in the form of a loan to the IMF totaling €75 billion (about US$100 billion). This is a major contribution to maintaining the stability of financial and capital markets, and clearly demonstrates the strong commitment to multilateralism.

“This leadership from the European Union, like the one already demonstrated by the Government of Japan, is an important step toward stabilizing the global financial system during this period of unprecedented stress. The commitment will serve to increase confidence that the IMF’s resources will be sufficient to meet the financing needs of its member countries—particularly our emerging market members—should they need to turn to the IMF for support. It signals that the international community stands ready to provide strong backing to emerging markets that will strengthen their resiliency against financial market turmoil.

“We hope that other countries may now provide their own support to our efforts to restore stability to the global economy.

“I also welcome the decision to double the EU's own balance of payments support facility for non-euro area members as a contribution to strengthening confidence in a region severely tested by the global financial crisis.”

February 2009 crude steel production for the 66 countries reporting to worldsteel

Brussels, 20 March 2009 – World crude steel production for the 66 countries reporting to the World Steel Association (worldsteel) was 84 million metric tons (mmt) in February 2009. This is -22% lower than February 2008. 

Crude steel production showed a continued decrease in nearly all the major-steel producing countries in February 2009 compared to the same month 2008 except Iran and China.

Iran recorded an increase of 15.9% in February 2009 producing 0.9 mmt of crude steel and the Middle East is the only region showing production growth this month. 

China’s crude steel production for February 2009 was 40.4 mmt, an increase of 4.9% on February 2008. Japan produced 5.5 mmt of crude steel in February 2009, down -44.2% compared to the same month last year. South Korea showed a decrease of -24.8% from February 2008, producing 3.2 mmt of crude steel in February 2009. 

In the EU, Germany produced 2.6 mmt of crude steel in February 2009, a decrease of -31.6% from February 2008. Italy’s crude steel production was 1.7 mmt, down -39.9% compared to the same month last year. France showed a decrease of -35.7% from February 2008, producing 1.0 mmt in February 2009. Spain’s crude steel production for February 2009 was 0.9 mmt, - 35.7% less than the same month last year.
 
The US produced 3.8 mmt of crude steel in February 2009, a decrease of -54.2% compared to the same month last year. Brazilian production was 1.7 mmt, -39% less than in February 2008. 
 
Russia showed a -32.1% decrease from February 2008, producing 4.1 mmt of crude steel in February 2009. Ukraine produced 2.3 mmt of crude steel in February, a -33.6% decrease on the same month 2008.
 

 
Notes to Editors:

· The World Steel Association (worldsteel) is one of the largest and most dynamic industry associations in the world. worldsteel represents approximately 180 steel producers (including 18 of the world's 20 largest steel companies), national and regional steel industry associations, and steel research institutes. worldsteel members produce around 85% of the world's steel.

 

Strategic reorganization of ThyssenKrupp

Reorganization of the segments into two divisions - Executive Board reduced by three members / Intensified economic downturn significantly impacting the Group 
The economic situation in almost all countries and industries has deteriorated in recent weeks with even greater speed and severity than expected. The global economy finds itself in a deep recession. ThyssenKrupp is adapting to the changed economic environment and positioning itself more strongly as an integrated materials and technology Group. To this end the Group is to be reorganized into two divisions. The aim is to sharpen the focus of business activity and create a leaner, more efficient structure, including in the administrative areas. This is expected to yield additional sustainable cost savings of up to €500 million per year.

In an extraordinary meeting on March 27, 2009, the Supervisory Board of ThyssenKrupp AG will be requested to approve the following items:

ThyssenKrupp will reorganize the five segments Steel, Stainless, Technologies, Elevator and Services into two divisions. The Steel, Stainless and Services segments will be combined in a new Materials division. The Technologies and Elevator segments will be joined to form a new Technologies division.

From April 1, 2009 the Steel segment headed to date by Dr. Karl-Ulrich Köhler (52) and the Stainless segment headed by Jürgen H. Fechter (46) will both be managed by Edwin Eichler (50), Executive Board Chairman of ThyssenKrupp Services. Also as of April 1, 2009, the Elevator segment headed to date by Edwin Eichler will be managed by Dr. Olaf Berlien (46), who will also remain Executive Board Chairman of ThyssenKrupp Technologies.

The new Group structure is to be implemented as of the beginning of the new fiscal year on October 1, 2009. 

The planned adjustments at all levels of the administrative departments will also be reflected in the Executive Board of ThyssenKrupp AG. Jürgen H. Fechter and Dr. Karl-Ulrich Köhler, both members of the Executive Board of ThyssenKrupp AG, are to stand down from the Executive Board by mutual agreement at March 31, 2009. They will continue to be available to the Group in an advisory capacity. No reappointment will be made for the position held by Dr. Wolfram Mörsdorf (60), whose term of office is due to end on April 14, 2009. In accordance with the resolution of the Supervisory Board and as already reported at the Annual General Meeting on January 23, Dr. Ulrich Middelmann (64), Vice Chairman of the Executive Board of ThyssenKrupp AG, will stand down from the Executive Board of ThyssenKrupp AG at the close of the Annual General Meeting on January 21, 2010. 

Dr. Alan Hippe (42) - Chief Financial Officer of ThyssenKrupp AG effective April 1, 2009 - will take over as of this date responsibility for Controlling, Accounting and Financial Reporting, Taxes and Customs, Mergers & Acquisitions, Materials Management as well as Corporate Finance and Investor Relations. From April 1, 2009 until his retirement, Dr. Ulrich Middelmann will concentrate on the implementation of the new Group structure and on the corporate program ThyssenKrupp PLUS. He will also be in charge of Compliance.

"With this structural and personnel reorganization, ThyssenKrupp will be able to respond more quickly to the market and implement strategic measures more efficiently. This means we are in the best position to emerge stronger from this difficult economic situation," says ThyssenKrupp's Executive Board Chairman Dr. Ekkehard Schulz.

Provided the economic situation improves in the 2nd half of the year as a result among other things of the economic stimulus programs introduced, ThyssenKrupp expects to report positive operating earnings - before project and restructuring costs - for the 2008/2009 fiscal year. Earnings will be significantly affected by project costs for the new steel plants, restructuring expenditure among other things for personnel measures, and write-downs. The drastic slump in demand for carbon steel, stainless steel and in international materials distribution is having a severe impact on business at ThyssenKrupp. Some areas of the capital goods business - in particular automotive supplies and civil shipbuilding - are also showing a worse than expected earnings development. Earnings in the Elevator segment remain very encouraging and are fully in line with expectations. Overall ThyssenKrupp currently expects to report only slightly positive operating earnings - before project and restructuring costs - in the 1st half of the current fiscal year 2008/09. For the 2nd quarter a loss is therefore expected. In particular the severe capacity underutilization and price pressure as well as anticipated further write-downs on inventories will weigh heavily on results. 

With sales of 53.4 billion euros and 199,374 employees in over 70 countries, ThyssenKrupp is one of the world's major technology groups and occupies excellent positions on the international markets. The three main business areas of steel, capital goods and services, organized in five segments - Steel, Stainless, Technologies, Elevator and Services - mark out the Group's areas of competence. 

Index Numbers of Wholesale Prices in India (Base: 1993-94=100)Review for the week ended 7th March, 2009

The official Wholesale Price Index for 'All Commodities' (Base: 1993-94 = 100) for the week ended 7th March, 2009 declined by 0.4 percent to 226.7 (Provisional) from 227.7 (Provisional) for the previous week. 

The annual rate of inflation, calculated on point to point basis, stood at 0.44 percent (Provisional) for the week ended 07/03/2009 (over 08/03/2008) as compared to 2.43 percent (Provisional) for the previous week (ended 28/02/2009) and 7.78 percent during the corresponding week (ended 08/03/2008) of the previous year. 

The movement of the index for the various commodity groups is summarized below:- 

1. PRIMARY ARTICLES (Weight 22.02%) 

The index for this major group declined by 1.0 percent to 245.5 (Provisional) from 248.1 (Provisional) for the previous week. The groups and items for which the index showed variations during the week are as follows:- 

The index for ‘Food Articles’ group declined by 0.7 percent to 242.5 (Provisional) from 244.2 (Provisional) for the previous week due to lower prices of gram (5%), tea and fruits & vegetables (3% each), jowar and condiments & spices (2% each) and masur (1%). However, the prices of moong and fish-marine (2% each) moved up 

The index for ‘Non-Food Articles’ group declined by 2.1 percent to 223.4 (Provisional) from 228.3 (Provisional) for the previous week due to lower prices of raw cotton and linseed (5% each), rape & mustard seed and groundnut seed (4% each), copra (2%) and gingelly seed and sunflower (1% each). However, the prices of raw rubber (3%) moved up. 

2. FUEL, POWER, LIGHT & LUBRICANTS (Weight 14.23%) 

The index for this major group declined by 0.8 percent to 321.0 (Provisional) from 323.5 (Provisional) for the previous week due to lower prices of aviation turbine fuel and electricity for agriculture (8% each), light diesel oil (7%) and bitumen (2%). However, the prices of naphtha and furnace oil (3% each) and electricity for domestic, commercial and industry and railway traction (1% each) moved up. 

3. MANUFACTURED PRODUCTS (Weight 63.75%) 

The index for this major group remained unchanged at its previous week's level of 199.2 (Provisional). The groups and items for which the index showed variations during the week are as follows:- 

The index for ‘Textiles’ group rose by 0.1 percent to 140.5 (Provisional) from 140.4 (Provisional) for the previous week due to higher prices of hessian & sacking bags and hessian cloth (1% each). However, the prices of woollen yarn (6%) declined. 

The index for ‘Paper & Paper Products’ group declined by 0.3 percent to 204.2 (Provisional) from 204.9 (Provisional) for the previous week due to lower prices of newsprint (2%). 

The index for ‘Chemicals & Chemical Products’ group declined by 0.2 percent to 214.2 (Provisional) from 214.7 (Provisional) for the previous week due to lower prices of oxygen gas in cylinder (14%), liquid chlorine (3%), acetylene and titanium dioxide (2% each) and acid (all kinds), oxygen, methanol and soda ash (sodium carbonate) (1% each). However, the prices of calcium ammonium nitrate n-content and bopp film (2% each) moved up. 

The index for ‘Machinery & Machine Tools’ group rose by 0.1 percent to 172.4 (Provisional) from 172.2 (Provisional) for the previous week due to higher prices of computer & computer based systems (7%). However, the prices of ball bearings (1%) declined. 

4. FINAL INDEX FOR THE WEEK ENDED 10th January 2009 

For the week ended 10/01/2009, the final wholesale price index for ‘All Commodities’(Base:1993-94=100) stood at 229.7 as compared to 230.0 (Provisional) and annual rate of inflation based on final index, calculated on point to point basis, stood at 5.46 percent as compared to 5.60 percent (Provisional) reported earlier vide press note dated 23/01/2009

Statement of Finance Ministry on Inflation

Annual (year-on-year) rate of inflation declined to 0.4 per cent for the week ended March 7, 2009 from 2.4 per cent in the week ended February 28, 2009. The drop of 199 basis points in inflation is the steepest since the week ended November 1, 2008. In the last 30 years, there is no record of inflation falling this low since 1977-78. 

Year-on-year Inflation by Commodity groups 

Commodity group-wise, the fall in overall inflation in the current week is as below: 

i. In ‘primary articles’, inflation decreased to 4.4 per cent in the week under reference, against 5.8 per cent in the earlier week. In ‘food articles’, inflation fell to 7.4 per cent after having been stable at 8.3 per cent in the previous two weeks. In ‘non-food articles’, inflation decelerated to (-) 1.7 per cent compared to 1.3 per cent last week. In ‘minerals’, the rate of decline continued steady at (-) 1.2 per cent since the week ended February 14, 2009. 

ii. In ‘fuel and power’, inflation clocked (-) 6 per cent versus (-) 5.1 per cent in the earlier week. 

iii. In ‘manufactured products’, inflation rate decreased to 1.3 per cent in the current week, from 4.0 per cent last week. Inflation in most sub-groups declined or remained steady relative to rates recorded in the previous week. The notable exceptions have been in dairy products & oil cakes under food products, jute, hemp & mesta textiles under the textiles sub-group and electrical appliances & apparatus under machinery and machine tools. The basic metals, alloys and metal products sub-group recorded a steep deceleration in inflation to (-) 11 per cent from 1 per cent in the previous week, arising from intensified declines in iron & steel and non-ferrous metals. 

Year-on-year inflation in the combined food index

Inflation in the food index (wt = 25.43 per cent) for the week ended March 7, 2009 declined to 6.0 per cent compared to 7.5 per cent last week. 

Contribution to inflation by Commodity groups

Contribution of commodity groups to the year-on-year headline inflation for the week ended March 7, 2009 compared to the previous week is as below: 

• Primary articles contributed 227 per cent to inflation, a quadrupling from its share of 56 per cent in the previous week. 

• Fuel and power depicted negative contribution at (-) 289 per cent relative to (-) 46 per cent in the earlier week, registering a six-fold drop. 

• In manufactured products, the contribution to inflation was 166 per cent in the week under reference, from 90 per cent in the previous week.