Final Results

RNS Number : 7108V

Great Western Mining Corp. plc

20 April 2016

 

Great Western Mining Corporation PLC

("Great Western Mining", "GWM" or the "Company")

Final Results for the year ended 31 December 2015

Great Western Mining, the AIM (AIM: GWMO) and ESM quoted mineral exploration company is pleased to report its Final Results for the year ended 31 December 2015.

Results Highlights:

·      Loss for Year €340,707 (2014 restated: €368,712)

·      Basic and diluted loss per share (cent): 0.01 (2014: 0.01)

·      Net current assets at year end: €839,366

Operational Highlights:

·      M2 Strike Length doubled to 4 Km.

·      Drill Permit obtained for Target 4 ("M4")

·      Land acquired as sight for Pilot Heap Leach Facility

·      M5 Carlin-Style Gold potential confirmed

·      Encouraging Soil Grid completed on M1 Copper-Gold Target

Chief Executive, David Fraser commented:

"2015 has been a year of solid progress for Great Western Mining. The Company is in the strong position of having valid drill permits on its two most advanced Copper-Gold targets, M2 and M4, and has received confirmation of the exciting Carlin-style Gold potential of M5. The beginning of 2016 has seen the Company appoint a mining engineer to conduct technical studies as the first stage of a pre-feasibility study in support of a mining license application to the US Bureau of Land Management. Costs remain under control and the Company remains well positioned to exploit the considerable resource potential of its claims"

ENQUIRIES:

Great Western Mining Corporation Plc David Fraser, Chief Executive		[phone] (via Walbrook)
Davy (Nomad, ESM Adviser & Joint Broker) John Frain Roland French		[phone]        [e-mail] [e-mail]
Beaufort Securities Ltd (Joint Broker) Jon Belliss Elliot Hance		[phone]
Walbrook PR (UK PR and IR) Paul Cornelius Gary Middelton Nick Rome		[phone]      [e-mail]

Chairman's Statement:

Dear Shareholder,

Enclosed herewith are Great Western Mining Corporation PLC's audited results for the year to 31 December 2015, together with a report from the Chief Executive on the Group's operations in Nevada and a notice of annual general meeting. 

The Group remains debt-free with its costs tightly controlled and at the year-end reported net current assets of €0.84 million (2014: €1.42 million).  It incurred a loss of €0.34 million (2014 restated: €0.37 million) for the financial year as it does not yet benefit from production revenues.

The mining industry operates in a harsh environment at present as commodity prices have fallen dramatically over the last year and Great Western faces its share of headwinds but is weathering them well. 

We have made good progress in Nevada during 2015 and are now gearing up to develop a pilot production plant as the first stage in commercialising the copper and gold resource that has been established.  When this has been accomplished, the Group will have moved from pure exploration to the development of commercial operations. If we can successfully commercialise our main assets in a down cycle, we will be very well placed once the markets improve, as they inevitably will in time.

During the year Emmett O'Connell, previously Executive Chairman, stood down from the Board and severed day-to-day links with the Company.  In a long career, Emmett has launched and managed a number of successful businesses and has been a well-known entrepreneur in Ireland and beyond.  Great Western was his last venture and, in taking over the reins, the current Board sends Emmett all good wishes for a long, healthy and enjoyable retirement.   

Continuing support of our shareholders is much appreciated. We look forward to seeing as many shareholders as possible at the forthcoming AGM which will be held in Dublin on 19 May.

BRIAN HALL

Chairman

Chief Executive's Report:

Dear Shareholders

I am pleased to report to shareholders that 2015 has been another year of progress in the development of Great Western Mining Corporation PLC's ("GWM" or "the Group") 73 square kilometre claim area in Marietta, Nevada.

During the first half of the year GWM completed two field programmes on M2 with very promising results. The mapping and sampling extended the surface area of the 2014 Inferred Resource for a further two kilometres across Bass Mountain. This has resulted in an independent opinion that the favourable geologic environment for mineralisation beneath Bass Mountain is almost four kilometres long and over one kilometre wide, as well as being open to further southwest extension. In addition, the 2015 field programme identified two new potentially high grade silver-copper zones.

The Company completed reclamation work on the 2014 M2 Phase 2 drill pads, resulting in the Federal Bureau of Land Management ("BLM") extending a two-and-a-half-acre disturbance roll-over under the existing M2 drill permit. Thus, the Group is in a good position to move to the next phase of drilling, which is expected to increase the size and grade of the 2014 Inferred Resource dramatically.

At the end of the reporting year, the Group secured final approval from the United States Forest Service ("USFS") and the Nevada Bureau of Mining Regulation and Reclamation ("BMRR") for a drilling permit on the Group's second major Copper-Gold prospect Target 4 ("M4"). The drill permit was the first that the USFS has granted in the area for over two years, putting Great Western in the strong position of holding valid, and fully bonded, drill permits for two of its major Copper-Gold prospects.

On the west side of the Huntoon Valley, approximately eight kilometres west of M4, is the M1 exploration target which surrounds the six patented claims that make up the historic Huntoon Mine where Gold-Copper ore was mined between 1906 and 1925. Extensive outcropping copper mineralisation occurs in a large area over M1 and in 2015 the Group conducted a Phase 1 geochemical soil sampling survey over a substantial part of this area. The results of this survey were very encouraging, with gold readings up to 248 ppb Au spread over a wide area and Copper readings up to 2.5% Cu. There were also anomalous readings of Arsenic (As), Bismuth (Bi), Cadmium (Cd), Lead (Pb), Silver (Ag) and Titanium (Ti). Further geochemical soil sampling is planned for the first half of 2016.

During this reporting year, the GWM field team, together with an independent geological consultant, worked on-site over the JS Group of Claims ("M5"). After compiling and comparing the assay results from the rock chip samples and the regularly-spaced soil samples, geology and geochemistry suggest epithermal or Carlin-style disseminated gold at M5, consistent with results previously announced in September 2014. In addition, the projected size and scale of the M5 alteration and mineralisation is extensive and approaching ten square kilometres. This is a very exciting development and the Group is prioritizing geochemical surveys over M5 in 2016.

In December 2015, Great Western completed the purchase of 10 acres of private land on the outskirts of the ghost town of Marietta, which is the proposed site of a pilot heap leaching facility for the recovery of commercial quantities of gold and copper.  In 2016 the Company plans to submit a Plan of Operations to the BLM and BMRR in order to obtain a Mining License.  A pre-feasibility mining study is in progress and initial planning talks for this project have already been held with the BLM.

Further information on GWM's activities can be found on the Company's website www.greatwesternmininng.com which has recently been substantially upgraded and relaunched.  Costs are under control as the Company moves towards achievement of first revenues in Nevada.

David Fraser

Chief Executive Officer

Consolidated Income Statement

for the year ended 31 December 2015

Continuing Operations	Notes	Year ended 2015 €	Restated (Note 3) 2014 €
Administrative expenses		(339,842)	(361,287)
Finance income	5	417	116
Finance costs	6	(1,282)	(7,541)
Loss for the year before tax	7	(340,707)	(368,712)
Income tax expense	8	-	-
Loss for the financial year		(340,707)	(368,712)
Loss attributable to:
Equity holders of the Company		(340,707)	(368,712)
		(340,707)	(368,712)
Earnings per share from continuing operations
Basic and Diluted loss per share (cent)	9	(0.001)	(0.001)
All activities derived from continuing operations. All losses are attributable to the owners of the Company
Consolidated Statement of Other Comprehensive Income
For the year ended 31 December 2015			Restated
			(Note 3)
		2015	2014
		€	€
Loss for the financial year		(340,707)	(368,712)
Other comprehensive income
Items that are or may be reclassified to profit or loss:
Currency translation differences		268,935	341,287
Total comprehensive expense for the financial year attributable to equity holders of the company		(71,772)	(27,245)

Consolidated Statement of Other Comprehensive Income

for the year ended 31 December 2015

				Restated
				(Note 3)
			2015	2014
Assets	Notes		€	€
Non-Current Assets
Intangible assets	10		3,255,602	2,747,464
Total Non-Current Assets			3,255,602	2,747,464
Current Assets
Trade and other receivables	12		174,300	114,288
Cash and cash equivalents	13		759,381	1,451,542
Total Assets			4,189,283	4,313,294
Equity
Capital and Reserves
Share capital	15		2,648,238	2,648,238
Share premium	15		4,630,945	4,630,945
Foreign currency translation reserve			610,222	341,287
Retained Earnings			(3,794.437)	(3,453,730)
Attributable to owners of the Company			4,094,968	4,166,740
Total Equity			4,094,968	4,166,740
Liabilities
Current Liabilities
Trade and other payables	14		79,315	106,554
Convertible debt	20		15,000	40,000
Total Liabilities			94,315	146,554
Total Equity and Liabilities			4,189,283	4,313,294

Consolidated Statement of Changes in Equity

for the year ended 31 December 2015

	Share Capital	Share Premium	Foreign currency translation reserve	Retained Earnings	Total
Balance as at 01 January 2014 (note 3)	648,238	3,978,260	-	(3,085,018)	1,541,480
Total comprehensive income for the year - restated
Loss for the year	-	-	-	(368,712)	(368,712)
Currency translation differences
Transactions with owners, recorded directly in equity
Shares issued	2,000,000	652,685	-	-	2,652,685
	________	________	________	________	________
Balance at 31 December 2014 - restated	2,648,238	4,630,945	341,287	(3,453,730)	4,166,740
	________	________	________	________	________
Balance at 1 January 2015	2,648,238	4,630,945	341,287	(3,453,730)	4,166,740
Total comprehensive income for the year
Loss for the year	-	-	-	(340,707)	(340,707)
Currency translation differences	-	-	268,935	-	268,935
	________	________	________	________	________
Balance at 31 December 2015	2,648,238	4,630,945	610,222	(3,794,437)	4,094,968

Consolidated Statement of Cashflows

for the year ended 31 December 2015

		2015	2014
	Notes	€	€
Cash flows from operating activities
Loss for the year		(340,707)	(368,712)
Interest payable and similar charges		1,282	7,541
Interest receivable and similar income		(417)	(116)
Interest in trade and other receivables		(64,626)	(34,251)
Decrease in trade and other payables		(27,239)	(42,550)
Exchange rate adjustment		(100,061)	-
Cash outflows from operating activities		(531,768)	(438,088)
Cash flows from investing activities
Expenditure on intangible assets	10	(233,149)	(778,490)
Interest paid	6	(1,282)	(7,541)
Interest received	4	417	116
Cash flow used in investing activities		(234,014)	(785,915)
Cash flow from financing activities
Proceeds from the issue of new shares		-	2,652.685
Repayment of convertible debt		(25,000)	(60,000)
Net cash from financing activities		(25,000)	2,592,685
(Decrease)/increase in cash and cash equivalents		(790,782)	1,368,685
Foreign exchange gain on cash and cash equivalents		98,621	-
Cash and cash equivalents at beginning of year	13	1,451,542	82,860
Cash and cash equivalents at end of year	13	759,381	1,451,542

Notes to the Financial Statements PDF link.

http://www.rns-pdf.londonstockexchange.com/rns/7108V_-2016-4-19.pdf 

 

END

 

 

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