Final Results

Greatland Gold plc Final audited results for the year ended 30 June 2010 Greatland Gold plc ("Greatland" or the "Company") the mineral exploration and development company focused on gold projects in Tasmania and Western Australia announced today its final audited results for the period ended 30 June 2010. Chairman's Statement Dear Shareholders I can report progress in all areas of our exploration operations.  We are looking forward to further development for Greatland in the next twelve months. The operating context for Greatland has been very encouraging with the gold price steadily pushing upward, lifting interest and investment flows into the gold sector, and valuations of gold reserves.  When I last reported to you in 2009, gold stood at US$900 per ounce, much below the current levels.  We remain confident that our strategies will deliver attractive gold projects and add to existing resources in due course. In Australia a great deal of media comment, and indeed a General Election, was focused on the Minerals Resources Tax.  It is pleasing to note that in its amended form, and assuming the current proposals become law, we do not anticipate any taxation impact on Greatland Gold in the foreseeable future; nor do we expect that the changing Australian fiscal landscape will deter new investment or interest in Australian junior precious metal explorers. The year started well with two exciting new assets in our portfolio - the Ernest Giles licence, a highly prospective area in the Eastern Yilgarn and the Lackman Rock licence.  During the past twelve months we have completed our first drill programme and taken the immediate step to expand our licence area at Ernest Giles.  This property is exciting from a geological standpoint and its ability to attract interest from major players. We can also report that after some delay due to heavy rainfall in Tasmania last summer, we made up lost ground and have furthered our understanding of our core portfolio of Tasmanian licences, to the point where we can pinpoint two areas for further evaluation, first Derby North as a potential open pit resource and secondly at Firetower to further develop the gold resource. We note the encouraging increase in the Greatland share price which we attribute to our activity acceleration, new licences, higher gold prices and improved sentiment towards AIM listed gold exploration companies.  We are proud to have steered Greatland though a difficult period over the last two years maintaining budgetary discipline and relatively high levels of capital.  We have continued to seek local external funding and are thankful to have the received funding support from the Western Australian Department of Mines and Petroleum. During May 2010 Greatland Gold placed 50,000,000 ordinary shares raising £600,000 before expenses.  At the end of June 2010 Greatland Gold had 289,550,000 ordinary shares with 6,000,000 options outstanding.  Our current cash levels at approximately £1,200,000 provides funding for foreseeable expenses well into 2011. Outlook The Board believes this financial year has seen Greatland move forward.  Our portfolio has benefited from drill programmes, and we are better placed to secure joint venture interest and possible farm out deals with our current knowledge base. Post the accounting period the Greatland board has pursued interest from third parties looking at taking a direct stake in some of our assets. Closing remarks I would express my sincere gratitude to our shareholders for their continued support.  We will continue to provide timely updates as appropriate to AIM and on our website. We also take this opportunity to thank our professional advisors for their work. Andrew R. McM. Bell Chairman 15 October 2010 Chief Executive's Review of Operations Greatland started the 2010 financial year poised to commence drilling programmes at our Tasmanian licence interests, Firetower and Warrentinna whilst conducting preparatory work at the East Lisle property.  Heavy rainfall marginally delayed what would have been an autumn operation, but by December 2009 we had completed the drill programme at both properties with results reported in January 2010 confirming gold mineralisation at Derby North in a new zone that has the potential for an open pit mining operation. We extended our licence term at Warrentinna for a further 12 months to allow further time to study the Derby North mineralised zone.  In our view, Derby North would benefit from further evaluation in conjunction with a joint venture partner.  Drilling at Derby North returned solid results which included 5m at 29.26g/t gold and 1 metre at 103.07g/t gold. Our drill programme at the Anomaly 1 prospect within the Firetower project area produced results that showed anomalous readings for copper, lead and zinc.  Also, we need to undertake possible further investigation of gold mineralisation at the Lobster prospect. We also planned to drill the Ernest Giles property in Western Australia shortly after the Tasmanian operations were completed, and indeed field operations were underway by April 2010.  Ernest Giles has proved an exciting addition to the Greatland portfolio from the point of view of its location and geology and the fact that it has, in our view, been overlooked by larger miners.  Drilling at Ernest Giles intersected extensive gold bearing alteration systems and indications of gold mineralisation, confirming the potential for large scale mineralisation at the project. The Company currently owns five mineral projects comprising eleven mineral licences all located in Australia; Project/licence Size (sq km) Potential Activities 2010-2011 Firetower Project TAS Firetower 23 Drilling Resource Firetower East 30 Surface Geochemistry Quamby 97 Surface Geochemistry Beulah 105 Surface Geochemistry Warrentinna Project TAS Warrentinna 71 Infill RC Drilling Derby North Southern Cross 42 Surface Geochemistry Lisle Project TAS East Lisle 72 RC Drilling Lackman Project WA Lackman Rock                 210 Surface Geochemistry Ernest Giles Project WA Calanchini 340 RC Drilling Peterswald 346 RC Drilling Ida Range 262 Data Review So far our policy has been to hold licence interests as 100% owner.  However, this position can be tailored to fit future commercial agreements to share risk and cost that we may negotiate on specific projects with third party financial investors or under joint venture arrangements. We welcome the return to relative stability in the global capital markets, stronger share prices in our sector and an easier fund raising environment.  When coupled with the strong gold price, these factors should encourage corporate activity. Greatland is pleased to have made it through this tough period in good shape, with healthy cash levels that should encourage potential joint venture and financial counterparties to view the Company as a survivor with a reliable and sustainable shareholder value enhancing strategy.  We have, in my view, passed the test the difficult market conditions have thrown at junior companies like Greatland in the last twenty-four months. Looking ahead to the current financial year our short-term plan is to continue to undertake drill programmes over targeted and defined areas, thereby building on the knowledge base gained in the last year.  As ever mindful of our budgetary constraints I am pleased to note our current cash is in excess of £1,200,000 and sufficient for all foreseeable expenditures in the current year to June 2011 - Greatland remains well capitalised in my view. I am pleased at the revival in our share price and view it as an endorsement of our approach.  The Board, as shareholders themselves, is determined in its resolve that delivering shareholder value must always be our top corporate objective.  The board contains a talented team with a diverse skill set that will serve Greatland well in the immediate future. I would like to also note, and say a special thank you for the keen interest and support you have shown as shareholders.  Please find regular updates on our website and we look forward to hearing from you. Callum N Baxter Chief Executive 15 October 2010 Results and dividends The Group's results are described in the Group statement of comprehensive income below extracted from the audited financial statements for the year ended 30 June 2010. The Group has incurred a loss for the year of £616,732 (2009:  £356,103). The Directors do not recommend the payment of a dividend. Group statement of comprehensive income for the year ended 30 June 2010     Year ended     Year ended   30 June 2010 30 June 2009 £ £ Revenue   -   - Exploration costs   (417,477)   (192,422) Administrative expenses   (203,178)   (201,958) Currency (loss)   -   (225) -------------- ------------- Operating loss   (620,655)   (394,605) Finance revenue   3,923   38,502 -------------- ------------- Loss before taxation   616,732   (356,103) Income tax expense   -   - -------------- ------------- Loss for the year   (616,732)   (356,103) -------------- ------------- Other comprehensive income Exchange differences on translation of foreign 50,367 15,372 operations Gain/(loss) on revaluation of available for sale   4,048   (62,475) investments -------------- ------------- Other comprehensive income for the year net of   (562,317)   (403,206) taxation -------------- ------------- Total comprehensive income for the year   (562,317)   (403,206) attributable to equity holders of the parent -------------- ------------- Loss per share - basic and diluted   (0.25) pence (0.18) pence -------------- ------------- All operations are considered to be continuing. Group balance sheet as at 30 June 2010     30 June 2010 30 June 2009     £ £ £ £ ASSETS Non-current assets Tangible assets 6,627 4,749 Intangible assets   666,116   525,372 ------------- -------------       672,743   530,121 Current assets Cash and cash equivalents 1,752,949 1,779,720 Trade and other receivables 62,222 50,073 Available for sale financial 44,547 34,709 assets ------------- ------------- Total current assets     1,859,718   1,864,502 ----------- ---------- TOTAL ASSETS     2,532,461   2,394,623 LIABILITIES Current liabilities Trade and other payables (213,904) (83,750) ------------- ------------- TOTAL LIABILITIES     (213,904)   (83,750) ----------- ---------- NET ASSETS     2,318,557   2,310,873 ----------- ---------- EQUITY Called-up share capital 289,550 239,550 Share premium reserve 3,718,471 3,198,471 Share based payment reserve 74,443 74,443 Retained earnings (2,013,247) (1,396,516) Other reserves   249,340   194,925 ------------- ------------- ----------- ---------- TOTAL EQUITY     2,318,557   2,310,873 ----------- ---------- Group statement of changes in equity for the year ended 30 June 2010 Share Share Share Retained Other Total capital premium based earnings reserves account payment reserve   £ £ £ £ £ £ As at 30 June 196,550 2,955,521 74,443 (1,040,413) 242,028 2,428,129 2008 ----------------------------------------------------------------- Loss for the - - - (356,103) - (356,103) year Loss on - - - - (62,475) (62,475) revaluation of available for sale investments Currency - - - - 15,372 15,372 translation differences ----------------------------------------------------------------- Total (356,103) (47,103) (403,206) comprehensive income Share capital 43,000 258,000 - - - 301,000 issued Cost of share - (15,050) - - - (15,050) issue ----------------------------------------------------------------- As at 30 June 239,550 3,198,471 74,443 (1,396,516) 194,925 2,310,873 2009 ----------------------------------------------------------------- Loss for the - - - (616,731) - (616,731) year Gain on - - - - 4,048 4,048 revaluation of available for sale investments Currency - - - - 50,367 50,367 translation differences ----------------------------------------------------------------- Total - - - (616,731) 54,415 (562,317) comprehensive income Share capital 50,000 550,000 - - - 600,000 issued Cost of share - (30,000) - - - (30,000) issue ----------------------------------------------------------------- As at 30 June 289,550 3,718,471 74,443 (2,013,247) 249,340 2,318,557 2010 ----------------------------------------------------------------- Other reserves Merger Foreign currency Available for Total other reserve translation sale financial reserves reserve assets reserve   £ £ £ £ As at 30 June 2008 225,000 59,990 (42,962) 242,028 ------------------------------------------------------------- Loss on revaluation - - (62,475) (62,475) of available for sale investments Currency - 15,372 - 15,372 translation differences ------------------------------------------------------------- Total comprehensive - 15,372 (62,475) (47,103) income ------------------------------------------------------------- As at 30 June 2009 225,000 75,362 (105,437) 194,925 ------------------------------------------------------------- Gain on revaluation - - 4,048 4,048 of available for sale investments Currency - 68,499 (18,132) 50,367 translation differences ------------------------------------------------------------- Total comprehensive - 68,499 (14,084) 54,415 income ------------------------------------------------------------- As at 30 June 2010 225,000 143,861 (119,521) 249,340 ------------------------------------------------------------- Company balance sheet as at 30 June 2010     30 June 2010 30 June 2009     £ £ £ £ ASSETS Non-current assets Investment in subsidiary   250,000   250,000 Current assets Cash and cash equivalents 1,736,684 1,749,393 Trade and other receivables 1,368,113 1,033,248 ------------- ----------- Total Current Assets     3,104,797   2,782,641 ----------- ---------- TOTAL ASSETS     3,354,797   3,032,641 LIABILITIES Current Liabilities Trade and other payables (72,733) (74,266) ------------- ----------- TOTAL LIABILITIES     (72,733)   (74,266) ----------- ---------- NET ASSETS     3,282,064   2,958,375 ----------- ---------- EQUITY Called-up share capital 289,550 239,550 Share premium reserve 3,718,471 3,198,471 Share based payment reserve 74,443 74,443 Merger reserve 225,000 225,000 Retained earnings   (1,025,400)   (779,089) ------------- ----------- ----------- ---------- TOTAL EQUITY     3,282,064   2,958,375 ----------- ---------- Company statement of changes in equity for the year ended 30 June 2010 Called up Share Share Retained Merger Total share premium based earnings reserve capital account payment reserve   £ £ £ £ £ £ As at 30 June 196,550 2,955,521 74,443 (567,637) 225,000 2,883,877 2008 ----------------------------------------------------------------- Loss for the - - - (211,452) - (211,452) year ----------------------------------------------------------------- Total - - - (211,452) - (211,542) comprehensive income Share capital 43,000 258,000 - - - 301,000 issued Cost of share - (15,050) - - - (15,050) issue ----------------------------------------------------------------- As at 30 June 239,550 3,198,471 74,443 (779,089) 225,000 2,958,375 2009 ----------------------------------------------------------------- Loss for the - - - (246,311) - (246,311) year ----------------------------------------------------------------- Total - - - (246,311) - (246,311) comprehensive income Share capital 50,000 550,000 - - - 600,000 issued Cost of share - (30,000) - - - (50,000) issue ----------------------------------------------------------------- As at 30 June 289,550 3,718,471 74,443 (1,025,400) 225,000 3,282,064 2010 ----------------------------------------------------------------- Group cash flow statement for the year ended 30 June 2010     Year ended   Year ended   30 June 2010 30 June 2009 £ £ Cash flows from operating activities Operating loss (620,655) (394,605) (Increase)/decrease in debtors (12,149) 14,321 Increase/(decrease) in creditors 130,154 (14,232) Depreciation 1,483 1,913 Currency adjustments - 225 -------------- ------------- Net (decrease) in cash and cash equivalents from   (501,167)   (392,378) operations -------------- ------------- Cash flows from investing activities Interest received 3,923 38,502 Payments to acquire intangible assets (97,506) (28,922) Payments to acquire tangible assets (1,743) (409) -------------- ------------- Net cash flows used in investing activities   (95,326)   9,171 -------------- ------------- Cash inflows from financing activities Proceeds from issue of shares 600,000 301,000 Transaction costs of issue of shares (30,000) (15,050) -------------- ------------- Net cash flows from financing activities   570,000   285,950 -------------- ------------- Net (decrease) in cash and cash equivalents   (26,493)   (97,257) Cash and cash equivalents at the beginning of   1,779,720   1,866,289 period Exchange gain on cash and cash equivalents   (278)   10,688 -------------- ------------- Cash and cash equivalents at end of period   1,752,949   1,779,720 -------------- ------------- Company cash flow statement for the year ended 30 June 2010     Year ended   Year ended   30 June 2010 30 June 2009 £ £ Cash flows from operating activities Operating loss (248,936) (248,991) Decrease in debtors 135 10,415 (Decrease)/increase in creditors (1,533) 15,587 -------------- ------------- Net (decrease) in cash and cash equivalents from   (250,334)   (222,989) operations -------------- ------------- Cash flows from investing activities Interest received 2,625 37,539 Loans to subsidiary (335,000) (166,676) -------------- ------------- Net cash flows used in investing activities   (332,375)   (129,137) -------------- ------------- Cash inflows from financing activities Proceeds from issue of shares 600,000 301,000 Transaction costs of issue of shares (30,000) (15,050) -------------- ------------- Net cash flows from financing activities   570,000   285,950 -------------- ------------- Net (decrease) in cash and cash equivalents   (12,709)   (66,176) Cash and cash equivalents at the beginning of   1,749,393   1,815,569 period -------------- ------------- Cash and cash equivalents at end of period   1,736,684   1,749,393 -------------- ------------- Notes to the Financial Statements for the period ended 30 June 2010  1.        The Directors are not recommending the payment of an ordinary share dividend.  2.        The loss per share is calculated on a loss on ordinary activities after taxation of £616,732 (2009: Loss £356,103) and on 245,029,452 ordinary shares (2009: 201,262,329) being the weighted average number of shares in issue and ranking for dividend during the period.  No diluted loss per share is presented as the effect of exercise of outstanding options is to decrease the loss per share.  3.         The financial information set out in this final results announcement does not constitute statutory accounts as defined in the Companies Act 2006.  Results for the year ended 30 June 2010 are abridged from the 2010 Annual Report and Financial Statements, which received an unqualified auditor's report and will be filed with the Registrar of Companies following the Annual General Meeting.  4.        The Annual Report will be posted to shareholders on Friday 5 November 2010.  Further copies will be available from the Company's registered office: 3rd Floor, 55 Gower Street, London WC1E 6HQ for one month from that date or from the Company's websitewww.greatlandgold.com.  5.        The Annual General Meeting of the Company will be held at the offices of Grant Thornton UK LLP at 30 Finsbury Square, London EC2A 1AG on Tuesday 30 November 2010 at 11.00 am. Enquiries: Callum Baxter +44 (0)20 7099 5845 Greatland Gold plc Chief Executive Gerry Beaney or +44 (0)20 7383 5100 Grant Thornton Nominated Adviser Colin Aaronson Corporate Finance Updates on the Company's activities are regularly posted on its website www.greatlandgold.com End [HUG#1452386] This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein. Source: Greatland Gold PLC via Thomson Reuters ONE

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