Regency Mines (LON:RGM) shares surged as it revealed it was mulling acquiring interests in USA oil and gas projects with proven production.
The company also revealed that drilling had started at the Fraser Range South nickel-copper project in Western Australia.
Regency chairman Andrew Bell said: "With natural resource markets still relatively weak we are giving priority to the acquisition and development of low risk, low cost, cash generating assets with development potential.
"This cash can then be utilised to cover our vastly reduced overhead obligations as well as to maintain and where appropriate explore our existing portfolio of mineral exploration assets."
An American consulting firm with expertise in Texas and Louisiana will perform due diligence on the assets with an initial report expected to be completed in the next month.
"We have investigated oil and gas opportunities in the United States both before and after investing in an onshore project at Horse Hill here in the United Kingdom," said Bell.
In the same statement, Regency said RAM, in which it is entitled to a 7.1% stake, has kicked off a 1,500 metre reverse circulation programme in Australia.
Regency has retained a 4% stake, and a royalty, in the Fraser Range Project.
RAM has now begun a drill campaign in the Fraser Range to further its understanding of the geology and to determine the relationship between the previously identified soil anomaly and electromagnetic conductors, said Regency.
Given the proximity to Sirius's Crux anomaly any findings of significance should generate substantial investor interest.
Regency shares added 18.18% to 0.065p.