Interim Results
Anglesey Mining PLC
13 December 2000
Anglesey Mining plc
Interim Report to Shareholders
During the six months to 30 September 2000 we observed what we believe to be
the first signs of a recovery in market conditions for the financing of
smaller mining companies. It is a plausible conjecture that investors who
burned their fingers in the internet boom of the early part of the year began
to look for other, more traditional, opportunities for high growth investment.
Whatever the reasons we are encouraged by the change of sentiment and renewed
interest in the minerals sector.
Financial
The loss for the half year was £40,939, down by 37% compared to the
corresponding period last year, this being almost entirely due to the reduced
level of activity. Interest charged rose in line with the increased level of
borrowing. Expenditure on the Parys property dropped to £12,400 from £45,000,
also due to decreased activity.
Parys Mountain
In practical terms work at Parys Mountain has been kept to a bare minimum
since the commencement of the financial year. We remain convinced that a major
drilling programme is required and justified. The planned drilling programme
of 10,000 metres of surface drilling in ten to fifteen holes is, in our view,
the best way to enhance the value of the property. This planned programme is
budgeted to cost about £500,000 and would last approximately one year. We
continue to seek sources of finance to fund this programme.
Dolaucothi
The continuing low price of gold and the lack of interest from investors has
blunted our enthusiasm for Dolaucothi. We are currently in negotiation with
the Crown over the terms of the lease and we are considering other options,
possibly including a disposal of this property.
New Projects
As mentioned in the Annual Report for 2000, during the past year we reviewed
the Bula zinc deposit in Ireland which had been placed on the market by its
bankers. This deposit is immediately adjacent to Europe's largest zinc mine at
Tara. Our evaluation confirmed that the Bula deposit could be developed as a
small independent mine. However, a resumption of the protracted litigation
which has surrounded Bula delayed the sale process. We have now been advised
that this litigation has been substantially resolved and, in conjunction with
Minco plc, we have recently submitted a formal offer to acquire the orebody.
We expect to hear from the Receiver early in 2001.
We have also evaluated a number of other proposals whereby the company would
acquire new projects in the minerals business or indeed in other businesses.
We have noticed a increase in the number of opportunities being presented to
us and whilst some of these opportunities remain under consideration it is the
view of the board that such a transaction will only be undertaken when it is
demonstrably in the best interests of shareholders. The board is of the view
that the recent weakness in the company's share price does not reflect the
underlying value of the company or the Parys Mountain property.
On behalf of the board of directors
John F Kearney
Chairman
13 December 2000
Unaudited consolidated balance sheet
30 September 30 September
2000 1999
Fixed assets £ £
Intangible assets 12,157,634 12,057,365
Tangible assets 186,206 186,418
Total fixed assets 12,343,840 12,243,783
Current assets
Debtors 101,893 107,506
Total current assets 101,893 107,506
Current liabilities (note 1)
Creditors - amounts due within one (816,972) (621,546)
year
Net current liabilities (715,079) (514,040)
Net assets 11,628,761 11,729,743
Shareholders' funds
Share capital 6,650,745 6,607,693
Share premium 5,737,346 5,737,746
Profit & loss account - deficit (759,330) (615,696)
Total shareholders' funds 11,628,761 11,729,743
Equity shareholders' funds 10,767,583 10,868,565
Non equity shareholders' funds 861,178 861,178
Unaudited consolidated profit and loss account
Six months to 30 Six months to 30
September 2000 September 1999
£ £
Turnover - -
Net operating expenses - continuing 40,939 66,629
operations
Interest receivable - -
Interest payable 29,620 24,495
Loss on ordinary activities before 70,559 91,124
and after taxation
Loss per share - basic 0.1 pence 0.1 pence
Loss per share - fully diluted 0.1 pence 0.1 pence
The directors are unable to recommend a dividend.
There are no minority interests or extraordinary items.
Unaudited consolidated cash flow statement
Six months to 30 Six months to 30
September 2000 September 1999
£ £
Net cash outflow from continuing (25,042) (57,423)
operating activities
Returns on investments and servicing of
finance
Interest received - -
Interest paid (13) -
(13) -
Taxation
UK Corporation tax paid - (1,500)
- (1,500)
Capital expenditure and financial
investment
Payments to acquire intangible (13,681) (45,306)
fixed assets
Payments to acquire tangible - -
fixed assets
Net cash outflow from capital investment (38,736) (104,229)
and financial investment
Net cash outflow before financing (38,736) (104,229)
Financing
Increase in loans 35,306 92,493
Expenses of share issues in (200) (200)
year
35,106 92,293
Decrease in cash (3,630) (11,936)
Notes : -
1. Current liabilities include £666,227 due to Juno Limited, the ultimate
parent company.
2. The half year figures are unaudited. The accounts have been prepared on a
basis consistent with that of the accounts for the year ended 31 March
2000. The auditors' report on those accounts was not qualified and did not
contain a statement under section 237 of the Companies Act 1985.
3. This interim statement is being posted to all shareholders and is displayed
on the company's website at www.angleseymining.co.uk. Copies are available
on request from the company's registered office.