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BoI to increase overdraft interest

Bank of Ireland (BoI) has announced plans to increase interest rates on overdrafts and a number of its personal and graduate loan products.

It will also cut the interest paid to customers whose current accounts are in credit from 0.75 to 0.25 per cent.

The bank attributed the changes to the increased cost of providing such products during an economic downturn.

The cost of its personal overdrafts will go up from 12.3 per dent to 13.4 per cent, third-level student loans will rise from 10.8 per cent to 11.9 per cent, while terms loans will increase from 12.4 to 13.5 per cent.

Conroy posts loss but reports progress

Exploration company Conroy Diamonds and Gold posted a retained loss of €183,126 in the six months to November 30th, 2009, but made progress in several areas, the company has said.

At its Clontibret operation, Conroy said it had moved beyond the exploration stage and appointed Wardrop Engineering to carry out a scoping study, which will help determine if the current gold resource can support a profitable operation.

The study will also consider the implications presented by nearby gold discoveries at Clay Lake in Co Armagh and Glenish.

Factory gate prices up 1.5% in January

Factory gate prices rose 1.5 per cent in January compared to a month earlier, according to data from the Central Statistics Office.

This compares to an increase of 0.4 per cent for January 2009. The latest rise narrows the decrease over the year to January to 2.8 per cent, compared to an annual fall of 3.8 per cent in December 2009.

The yearly decline was driven by a fall of 9.6 per cent in basic chemicals, a 4.1 per cent fall in office machinery and computers and 3.7 per cent in radio, television and communication equipment.

However tobacco products rose 7.8 per cent.

Euro-zone economic sentiment eases

Euro-zone economic sentiment eased marginally this month against January, defying market expectations of a small rise and adding to concerns about a recovery in the economy.

Euro-zone sentiment eased to 95.9 points from 96.0 in January against expectations of a rise to 96.2, the European Commission said, as pessimism among households and retailers offset gains in industry and services.

“The relapse . . . adds to the current heightened concerns over the strength and sustainability of the euro-zone’s recovery from recession,” said Howard Archer, economist at IHS Global Insight. – (Reuters)

San Leon Energy set to acquire Island

Exploration group San Leon Energy is set to acquire Island Oil and Gas in a deal valued at £13 million.

San Leon said yesterday it had agreed to buy Island in an all-shares deal, which values the company at 10.11 pence a share, or a total of £13.24 million (€14.7 million).

Island shareholders will receive one new San Leon share for every 2.3 Island shares that they hold.

San Leon, chaired by former Smart Telecom chief executive Oisín Fanning, approached Dublin-based Island in October with an offer to acquire the group.