Interim Results

Regency Mines PLC 30 March 2005 REGENCY MINES PLC UNAUDITED INTERIM RESULTS FOR THE PERIOD TO 31ST DECEMBER 2004 Chairman's Statement It is with great pleasure that I present the first interim statement in respect of your Company. The period to 31 December was the period in which the preparatory work for the fund raising and the Company's admission to AIM was carried out. This culminated in the issue of our Prospectus on 31st December 2004 to raise up to £500,000 by way of an Offer for Subscription. Review - corporate The fundraising was successfully completed having been oversubscribed, and Regency was admitted to trading on AIM on 22 February 2005. As we expand and our affairs grow in complication our administrative and financial controls will need to keep up, and to ensure adequate resource in this area John Watkins joined the Board as a non-executive director on 30 March 2005. John, aged 61, is a chartered accountant and a former partner of Ernst & Young and Neville Russell. His directorships include Starvest plc where he is finance director and Lisungwe plc a Malawi mineral exploration company where he is chairman. John's appointment strengthens the financial controls of our Company and I would like to welcome him to the Board. Review - market Metal markets have been strong, and the impact of Chinese demand has been identified as the single most important factor. Indian steel production per head is a fraction of that of China, and the likely growth of Indian demand, in the view of the Directors is, one of the major trends that can be extrapolated from current data. Chinese growth remains strong, but the economy is highly controlled and contains imbalances that may either continue at tolerable levels for some time or may halt growth with the consequent risk of economic and political instability. The relatively free Indian economy and the likely growth of Indian demand can, in the view of the Directors, sustain a number of years of balanced growth and is likely to require high commodity inputs. The demand for commodities, in the view of the Directors, is likely to remain strong and although the impact of marginal supply/demand changes on prices cannot be predicted with accuracy, the amplitude of down-cycles over the next few years may be restricted. Review - exploration We are encouraged by continuing exploration activity by other companies on the borders of our Lake Johnston tenements and with Image Resources' fourth quarter statement reporting 2 metre intercepts from RC drilling at Lake Percy at 0.6% and 0.7% Nickel. Image Resource has laid a track across our E63/879 tenement to bring in a rig for drilling at their E63/547 tenement. We are considering scheduling some early drilling in the area to make use of this track. In the general Forrestania/Lake Johnston area, Western Areas' recent discovery hole FFD 163 at Flying Fox T5 which encountered a 34 metre intersection grading4.4% Nickel is encouraging for the prospectivity of these belts. Shareholders should be aware however that results in nearby tenements may have no significant implications for the Regency tenements. Following completion of our acquisition of the Bundarra copper mining field in Queensland, we are assembling data and developing an exploration plan. Review - business development Following Admission, we acquired the Mt Ida tenement in the Eastern Goldfields of Western Australia, where we have a gold prospect and evidence of good grade banded ironstone mineralisation from previous exploration. We have also recently pegged the Mt Hope tenement near Menzies, which is prospective for a similar style of iron mineralisation. In Tasmania, we have pegged two large prospective iron ore properties on trend from and surrounding the old Savage River 300 million ton magnetite iron ore mine, which is owned by Stemcor Holdings. The comparator for a project based on this deposit style could be Grange Resources' Southdown project in Western Australia, although in Tasmania the necessary infrastructure already exists. Regency has acquired these iron ore projects with a view to expanding its base metals portfolio and currently intends to fund the development of these properties without recourse to the Regency shareholders. General I would like to record my appreciation and thanks to our new investors who supported the Offer and to our professional advisers for their support during the fund raising and the Admission to AIM. I am confident that your Company is well positioned to grow in the coming months. The Directors are constantly reviewing opportunities that are being presented, and are focusing on the search for ventures that might produce early cash flow. Andrew Bell 30 March 2005 Independent Review Report to Regency Mines Plc Introduction We have been instructed by the Company to review the financial information set out on pages 3 to 5 and we have read the other information contained in the interim report and considered whether it contains any apparent misstatements or material inconsistencies with the financial information. This report, including the conclusion, has been prepared for and only for the Company for the purpose of their interim report and for no other purpose. We do not, therefore, in producing this report, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing. Directors' responsibilities The interim report, including the financial information contained therein, is the responsibility of, and has been approved by the Directors. Review work performed We conducted our review in accordance with guidance contained in Bulletin 1999/4 issued by the Auditing Practices Board as if that Bulletin applied. A review consists principally of making enquiries of the Directors and applying analytical procedures to the financial information and underlying financial data and based thereon, assessing whether the accounting policies and presentation have been consistently applied unless otherwise disclosed. A review excludes audit procedures such as tests of controls and verification of assets, liabilities and transactions. It is substantially less in scope than an audit performed in accordance with Auditing Standards and therefore provides a lower level of assurance than an audit. Accordingly we do not express an audit opinion on the financial information. Review conclusion On the basis of our review we are not aware of any material modifications that should be made to the financial information as presented for the period ended 31st December 2004. CHAPMAN DAVIS LLP Chartered Accountants 2 Chapel Court London SE1 1HH Consolidated Profit and Loss Account (Unaudited) For the period from 10th September 2004 to 31st December 2004 Notes £ TURNOVER - COST OF SALES - ______ GROSS PROFIT - Administrative expenses (12,664) ______ OPERATING LOSS (12,664) Taxation 2 - ______ LOSS ON ORDINARY ACTIVITIES AFTER TAXATION (12,664) ===== Loss per share : 4 Basic (34.3)p Diluted (0.6)p ===== Consolidated Balance Sheet (Unaudited) At 31st December 2004 Notes £ FIXED ASSETS Exploration expenditure 48,667 ______ CURRENT ASSETS Debtors 12,750 Cash at bank and in hand 42,760 ______ 55,510 ______ CREDITORS: Amounts falling due within one year (35,000) ______ NET CURRENT ASSETS 20,510 ______ NET ASSETS 69,177 ===== CAPITAL AND RESERVES Called up share capital 72,000 Profit and loss account (12,664) Other reserves 9,841 ______ SHAREHOLDERS' FUNDS 6 69,177 ===== Consolidated Cash Flow Statement (Unaudited) For the period ended 31st December 2004 Notes £ CASH INFLOW FROM OPERATING ACTIVITIES 20,774 Capital expenditure and financial investment (8,014) ______ CASH INFLOW BEFORE FINANCING 12,760 Financing 30,000 ______ INCREASE IN CASH IN THE PERIOD 5 42,760 ===== Notes to the Interim Report For the period ending 31st December 2004 1. PRESENTATION OF INTERIM RESULTS This interim report was approved by the Directors on 30th March 2005. The interim results have not been audited, but were the subject of an independent review carried out by the Company's auditors, Chapman Davis LLP. Their review confirmed that the figures were prepared using applicable accounting policies and practices consistent with those to be adopted in the annual report. The financial information contained in this interim report does not constitute statutory accounts as defined by Section 240 of the Companies Act 1985. All shareholders will receive a copy of this interim report, which can also be obtained from the Company's registered office at 55 Gower Street, London WC1E 6HQ. 2. TAXATION No taxation has been provided due to losses in the period. 3. DIVIDENDS The Directors do not recommend the payment of a dividend. 4. LOSS PER SHARE Weighted Average Loss Number of Per share £ Shares pence Basic Loss for the period (12,664) 36,960 (34.3) Effect of dilutive securities: Options - 2,053,097 33.7 ______ ________ _____ Diluted Loss for the period (12,664) 2,090,057 (0.6) ====== ======= ==== On 2nd February 2005 the Company raised £500,000, before expenses, by the allotment of 25,000,000 Ordinary Shares of 0.1p each. 5. RECONCILIATION OF NET CASHFLOW TO MOVEMENT IN NET FUNDS £ Increase in cash in the period 42,760 Net funds at beginning of period - ______ Net funds at end of period 42,760 ===== 6. RECONCILIATION OF MOVEMENT IN SHAREHOLDERS' FUNDS Share Profit Other capital and loss reserves account Total £ £ £ £ At 10th September 2004 - - - Loss for the period - (12,664) (12,664) Issue of shares 72,000 - 72,000 Consolidation adjustment 9,841 9,841 ______ ______ ______ ______ At 31st December 2004 72,000 (12,664) 9,841 69,177 ===== ===== ===== ===== Enquiries: Andrew Bell 07766 474849 Regency Mines plc Chairman Ron Marshman / John Greenhalgh 020 7628 5518 City of London PR Limited Public Relations John Simpson 020 7512 0191 ARM Corporate Finance Ltd Nominated Adviser This information is provided by RNS The company news service from the London Stock Exchange

Companies

Corcel (CRCL)
UK 100
FTSE quotes by TradingView

Latest directors dealings

All directors dealings today