stateside
Covenant to trade mining for energy
2010-07-16 18:02 ET - News Release
Mr. Frank Port reports
COVENANT RESOURCES ABANDONS EARLY STAGE MINING PROPERTY TO FOCUS ON OIL AND GAS
Covenant Resources Ltd., in order to focus on oil and gas opportunities, has decided to allow the option on its early stage Piebiter mining property to lapse.
Based on the difficult market conditions for junior exploration companies in the mining sector, and based on the limited success to date on the exploration of the Piebiter property, the company felt that it was in the best interests of shareholders to suspend any further expenditures on the mining property.
Covenant's board of directors determined that there were other superior opportunities available in the energy sector. The company is currently in discussions with a private oil and gas company and expects a letter of intent to be drafted within the next couple of weeks.