Half Yearly Report

RNS Number : 0262T

Greatland Gold PLC

23 March 2016

 

23 March 2016

Greatland Gold plc

Half-yearly report - six months ended 31 December 2015

Chief Executive's statement

Today, Greatland Gold plc ("Greatland" or the "Company"), the mineral exploration and development company, announces its results for the six months to 31 December 2015. During the six month period the Company continued to explore for and develop mineral deposits across Australia, whilst also beginning to evaluate future opportunities for the Company to grow and develop outside of Australia.

Summary

In September 2015, the Company announced that its strategy would increasingly focus on its advanced exploration assets and other near term producing opportunities, while reducing the Company's exposure to early stage mineral exploration. Since then, the Company has been evaluating advanced stage opportunities globally and looks forward to updating the market in due course.

Financials

Greatland reported an operating loss for the six months to 31 December 2015 of £227,690 (six months to December 2014: loss of £243,192). This translated into a loss per share for the period of 0.03p (six months to December 2013: (0.03p)).   

Operations

During the first six months of our financial year, challenging market conditions were apparent. However, the market has shown several signs of improvement in recent weeks and, with the new strategy in place, the Company believes that its focus on high priority operations will allow it to maximise shareholder value over the short to medium term.

In our strategy review, we noted that Warrentina presented an advanced opportunity. In January 2016, following drilling at the Derby North prospect, we announced that gold mineralisation had been intersected at the project adding to the overall prospectivity of the area.

At Ernest Giles, the Company felt that several sites were too deep and at too early a stage to be pursued. As such, the Company decided to retain the two core areas, the Meadows and Carnegie licences, and dispose of the others.

At the Bromus project, Greatland is relinquishing large parts of the project area, but is retaining its focus on the areas with undrilled bedrock conductors which may hold accumulations of nickel sulphides. Greatland is working through the approvals process and expects that drilling will commence during Q4 2016.

Finally, Greatland has disposed of low priority areas at the Firetower project to allow it to focus on the core Firetower gold mineralisation and Firetower West copper prospect, the higher priority projects. Firetower remains one of the most advanced gold projects in Tasmania after the operations at Henty. During the period, Greatland also announced that it now retains 100% of the licences at the project after the Company formally terminated the Farm-In Agreement with Unity Mining Ltd. The Company has the benefit of approximately A$1.84 million of exploration expenditure that Unity Mining Ltd incurred as part of the Farm-In Agreement, which was performed to a high technical standard.

Outlook

Greatland believes that the strategy review will allow it to continue to maximise value for shareholders by opening the Company up to wider growth opportunities. Shifting the focus towards advanced exploration assets and near term producing opportunities is expected to ensure the Company remains in a strong position to benefit from the improving trading environment.

Callum N Baxter

CEO

23 March 2016

Group statement of comprehensive income

	6 months to  31 December  2015		6 months to  31 December  2014		Year ended  30 June 2015
	Unaudited £		Unaudited £		Audited £
Turnover	-		-		-
Exploration expenses	(87,877)		(97,128)		(259,263)
Impairment charge	-		-		(540,570)
Administrative expenses	(139,813)		(146,064)		(279,431)
Operating loss	(227,690)		(243,192)		(1,079,264)
Finance revenue	775		710		1,485
Loss on ordinary activities before taxation	(226,915)		(242,482)		(1,077,779)
Tax on loss on ordinary activities	-		-		-
Loss for the financial period	(226,915)		(242,482)		(1,077,779)
Other comprehensive income
Exchange differences on translation of foreign operations	8,069		50,293		(90,937)
Other comprehensive income/(loss) for the year net of taxation	8,069		50,293		(90,937)
Total comprehensive loss for the year attributable to equity holders of the parent	(218,846)		(192,189)		(1,168,716)
Loss per share - see note 3 Basic	(0.03) pence		(0.03) pence		(0.15) pence

Group balance sheet

	31 December 2015				31 December 2014			30 June 2015
		Unaudited £			Unaudited £			Audited £
Assets
Non-current assets
Tangible assets Intangible assets		10,510 295,800				14,760 937,155			10,381 292,200
Total non-current assets		306,310				951,915			302,581
Current assets Cash and cash equivalents Trade and other receivables		401,443 23,754				721,067 21,572			748,117 48,267
Total current assets		425,197				742,639			796,384
Total assets		731,507				1,694,554			1,098,965
Liabilities
Current liabilities
Trade and other payables		(26,439)				(117,863)			(175,051)
Total liabilities		(26,439)				(117,863)			(175,051)
Net assets		705,068				1,576,691			923,914
Equity Called up share capital Share premium reserve Share based payment reserve Retained losses Other reserves		992,338 5,050,183 60,000 (5,626,895) 229,442				733,079 4,985,692 60,000 (4,564,683) 362,603			992,338 5,050,183 60,000 (5,399,980) 221,373
Total equity			705,068			1,576,691			923,914

Group cash flow statement

	6 months to  31 December  2015			6 months to  31 December  2014		Year ended  30 June 2015
	Unaudited £			Unaudited £		Audited £
Cash flow from operating activities
Operating loss		(227,690)		(243,192)		(1,079,264)
Decrease/(increase) in receivables		24,513		8,849		(17,846)
(Decrease) in payables		(148,612)		(71,224)		(14,036)
Depreciation		-		-		3,531
Impairment of exploration properties		-		-		540,570
Net cash outflow from operations		(351,789)		(305,567)		(567,045)
Cash flows from investing activities
Interest received		775		710		1,485
Payments to acquire tangible assets		-		-		(35,953)
Net cash flows from/(used in) investing activities		775		710		(34,468)
Cash inflows from financing activities
Proceeds from issue of shares Transaction costs of issue of shares		- -		500,000 (25,000)		850,000 (51,250)
Net cash flows from financing activities		-		475,000		798,750
Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at the beginning of period Exchange gain/(loss) on cash and cash equivalents		(351,014) 748,117 4,340		170,143 556,085 (5,161)		197,237 556,085 (5,205)
Cash and cash equivalents at end of period		401,443		721,067		748,117

Statement of group changes in equity

	Called up share capital	Share premium account	Share based payment   reserve	Retained earnings	Other reserves	Total
	£	£	£	£	£	£

As at 30 June 2014

579,233

4,664,538

60,000

(4,322,201)

312,310

1,293,880

Loss for the period	-	-	-	(1,077,779)	-	(1,077,779)
Currency translation differences	-	-	-	-	(90,937)	(90,937)
Total comprehensive income	-	-	-	(1,077,779)	(90,937)	(1,168,716)
Share capital issued	413,105	436,895	-	-	-	850,000
Cost of share issue	-	(51,250)	-	-	-	(51,250)
As at 30 June 2015	992,338	5,050,183	60,000	(5,399,980)	221,373	923,914

Loss for the period	-	-	-	(226,915)	-	(226,915)
Currency translation differences	-	-	-	-	8,069	8,069
Total comprehensive income	-	-	-	(226,915)	8,069	(218,846)
Share capital issued	-	-	-	-	-	-
Cost of share issue	-	-	-	-	-	-
As at 31 December 2015	922,338	5,050,183	60,000	(5,626,895)	229,442	705,068

Statements of changes in other reserves

	Merger reserve	Foreign currency translation reserve	Total other reserves
Group	£	£	£

As at 30 June 2014	225,000	87,310	312,310
Currency translation differences	-	(90,937)	(90,937)
As at 30 June 2015	225,000	(3,627)	221,373

Currency translation differences	-	8,069	8,069
As at 31 December 2014	225,000	4,442	229,442

Half-yearly report notes

1. Half-yearly report

This half-yearly report was approved by the Directors on 23 March 2016.

The information relating to the six month periods to 31 December 2014 and 31 December 2015 are unaudited.

The information relating to the year to 30 June 2015 is extracted from the audited financial statements of the Company which have been filed at Companies House and on which the auditors issued an unqualified audit report.

2. Basis of accounting

The report has been prepared using accounting policies and practices that are consistent with those adopted in the statutory financial statements for the year ended 30 June 2015, although the information does not constitute statutory financial statements within the meaning of the Companies Act 2006. The half-yearly report has been prepared under the historical cost convention.

These half-yearly financial statements consolidate the financial statements of the Company and its subsidiary and are prepared in accordance with International Financial Reporting Standards as adopted for use in the European Union.

This half-year report does not include all the notes of the type normally included in an annual financial report. Accordingly, this report should be read in conjunction with the annual report for the year ended 30 June 2015. 

The Company and Group will report again for the full year to 30 June 2016.

3. Loss per share

	6 months to  31 December  2015		6 months to  31 December  2014		Year ended  30 June 2015
	Unaudited £		Unaudited £		Audited £
These have been calculated on a loss of:	(226,915)		(242,482)		(1,077,779)
The weighted average number of shares used was:	741,937,920		723,881,368		741,937,920
Basic loss per share:	(0.03) pence		(0.03) pence		(0.15) pence

Copies of this half-yearly report are available free of charge by application in writing to the Company Secretary at the Company's registered office, 55 Gower Street, London WC1E 6HQ, or by email to [e-mail]. The report will also be made available on the Company's website: www.greatlandgold.com.

End

Enquiries:

Greatland Gold PLC

Callum Baxter

Tel [phone]

Email:  [e-mail]

www.greatlandgold.com

Grant Thornton UK LLP (Nomad)

Colin Aaronson / Richard Tonthat / Daniel Bush

Tel [phone]

SI Capital Limited (Broker)

Nick Emerson / Andy Thacker

Tel  [phone]

Finsbury (Media Relations)

Gordon Simpson / Olivia Simpson

Tel [phone]

Notes to Editors

Greatland is a mineral exploration and development company based in Australia. The principal activity of Greatland Gold plc is to explore for and develop natural resources, with a focus on gold and nickel. The Company currently has four mineral projects located in Australia, including the Ernest Giles, Bromus, Firetower and Warrentinna projects. The pipeline of projects targets highly prospective areas for large gold and nickel sulphide orebodies. The Company was established in London in 2005 and admitted to AIM in July 2006.

The board seeks to increase shareholder value through the systematic evaluation of its existing resource assets, as well as the acquisition of suitable exploration and development projects and producing assets.

Greatland has a UK and Australian based board of directors, with a head office in London and an exploration office in Australia.

 

END

 

 

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