Final Results for the period ended 30 June 2011

RNS Number : 2488P

Thor Mining PLC

30 September 2011

 



 THOR MINING PLC

Final Results for the period ended 30 June 2011

Dated: 30 September 2011

Thor Mining PLC ("Thor" or the "Company") (AIM, ASX: THR) the resources company focused on gold projects in Western Australia, base metals projects and advancing tungsten-molybdenum projects in the Northern Territory of Australia, announces its final results for the period ended 30 June 2011.

REVIEW OF OPERATIONS

The net result of operations for the year was a loss of £2,852,000 (2009: £1,762,000).

Molyhil Molybdenum/Tungsten project

During the year ended 30 June 2011, the price of tungsten rallied strongly providing encouragement for medium term development of the Molyhil project, while the price of molybdenum remained relatively static.

A drilling program conducted during 2009, included, amongst other tests, 2 holes testing for potentially economic mineralisation below 150 metres.  Encouraged by this the Company committed to a further drilling program to to test Molyhil further at depth, in an effort to demonstrate the potential for significant increase in the size of the resource.

At the time of writing, that drilling program was complete with assays awaited.

In addition Thor has committed to a new feasibility study to re-assess the economic outcomes of production at Molyhil.  That study is in progress at the time of writing.

Exploration projects

Gold Exploration - Spring Hill NT

In January 2011, Thor announced that it had agreed terms for the staged acquisition of up to an 80% interest in the 274,000oz Spring Hill Gold Project approximately 150 kilometres south of Darwin in the Northern Territory.  Subsequently, the Company has completed the first stage of that acquisition and now holds a 25% interest in the project. The first Thor drilling program for this resource commenced on Tuesday 27 September 2011.

Gold exploration - Dundas WA

During the year, the consolidated entity increased its equity in the Dundas Gold project to 60% following shareholder approval for the acquisition

Subsequent to this, assays from a calcrete sampling program on EL 63/872 and EL 63/1102 revealed clusters of elevated gold values identifying five previously unknown areas of gold anomaly in addition to the target area identified by previous exploration. Each of these warrants systematic follow-up sampling.  This was followed by a shallow air core drilling program on the highest priority anomaly which confirmed anomalous gold and copper. Deeper reverse circulation drilling is scheduled, along with further shallow drilling on the other targets.

Consolidated Statement of Comprehensive Income
For the year ended 30 June 2011

		Consolidated		Company
	Note	£'000	£'000	£'000	£'000
		2011	2010	2011	2010
Administrative expenses		(175)	(164)	-	-
Corporate expenses		(686)	(446)	(633)	(352)
Other expenses		0	-	-	-
Share based payment expense		(155)	-	(155)	-
Gain (Loss) on disposal of assets		9	(86)		-
Impairment subsidiary loans		-	-	(462)	-
Impairment subsidiary investments		-	-	(1,277)	-
Impairment of exploration assets		(1,834)	(1,016)	-	-
Operating Loss		(2,841)	(1,712)	(2,527)	(352)
Interest received		32	5	-	-
Other income		9	29	-	-
Currency losses		(52)	(84)	-	-
Loss before Taxation		(2,852)	(1,762)	(2,527)	(352)
Taxation	5	-	-	-	-
Loss for the period		(2,852)	(1,762)	(2,527)	(352)
Other comprehensive income:
Exchange differences on translating foreign operations		1,354	1,174	-	-
Other comprehensive income for the period, net of income tax		1,354	1,174	-	-
Total comprehensive income for the period		(1,498)	(588)	(2,527)	(352)
Basic loss per share	6	(0.65)p	(0.79)p

Consolidated Balance Sheet at 30 June 2011

					Consolidated					Company
			Note		£'000		£'000			£'000		£'000
					2011		2010			2011		2010
	ASSETS
	Non-current assets
	Intangible assets - deferred exploration costs		7		7,310		6,986			-		-
	Investment in subsidiaries		5		-		-			700		1,977
	Loans to subsidiaries		5		-		-			7,162		5,064
	Plant and equipment		9		35		28			-		-
	Total non-current assets				7,345		7,014			7,862		7,041
	Current assets
	Cash and cash equivalents				1,585		35			95		4
	Trade & other receivables		10		24		28			-		-
	Prepayments				5		34			-		-
	Total current assets				1,614		97			95		4
	Total assets				8,959		7,111			7,957		7,045
	LIABILITIES
	Current liabilities
	Trade and other payables		11		(84)		(162)			(10)		-
	Provisions				-		-			-		-
	Interest bearing liabilities		12		(9)		(7)			-		-
	Total current liabilities				(93)		(169)			(10)		-
	Non-current liabilities
	Interest bearing liabilities		12		(6)		(13)			-		-
	Total non-current liabilities				(6)		(13)			-		-
	Total liabilities				(99)		(182)			(10)		-
	Net assets				8,860		6,929			(7,947)		7,045
	Equity
	Issued share capital		13		1,591		729			1,591		729
	Share premium				9,687		7,275			9,687		7,275
	Foreign exchange reserve				4,012		2,658			-		-
	Merger reserve				405		1,634			405		1,634
	Option revaluation reserve		14		165		10			165		10
	Retained losses				(7,000)		(5,377)			(3,901)		(2,603)
	Total equity				8,860		6,929			7,947		7,045

The accompanying notes form part of these financial statements.

These Financial Statements were approved by the Board of Directors on 29 September 2011 and were signed on its behalf by:

Michael Billing                                                           Allan Burchard

Executive Chairman                                                  Chief Financial Officer

Consolidated Cash Flow Statement for the year ended 30 June 2011

		Consolidated		Company
	£'000	£'000	£'000	£'000
	2011	2010	2011	2010
Cash flows from operating activities
Operating Loss	(2,841)	(1,712)	(2,527)	(352)
Decrease/(increase) in trade and other receivables	33	27	-	-
Increase/(decrease) in trade and other payables	(78)	(25)	10	(14)
Depreciation	23	26	-	-
Exploration expenditure written off	1,834	1,016	-	-
Impairment subsidiary loans	-	-	462	-
Impairment subsidiary investments	-	-	1,277	-
Loss on disposal of development assets		86	-	-
Share based payment expense	155	-	155	-
Sundry income	9	29	-	-
Profit on sale of fixed assets	(9)	(6)	-	-
Net cash outflow from operating activities	(874)	(559)	(623)	(366)
Cash flows from investing activities
Interest received	32	5	-	-
Refund of R & D grant relating to development	-	42	-	-
Proceeds on disposal of development assets	-	176	-	-
Proceeds from sale of fixed assets	12	41	-	-
Purchase of property, plant and equipment	(28)	-	-	-
Payments for exploration expenditure1	(609)	(440)	-
Loans to controlled entities	-	-	(2,174)	(404)
Net cash outflow from investing activities	(593)	(176)	(2,174)	(404)
Cash flows from financing activities
Repayment of borrowings	(5)	(58)	-	-
Net issue of ordinary share capital	2,888	630	2,888	630
Net cash inflow from financing activities	2,883	572	2,888	630
Net decrease in cash and cash equivalents	1,416	(163)	91	(140)
Non cash exchange changes	134	-	-	-
Cash and cash equivalents at beginning of period	35	198	4	144
Cash and cash equivalents at end of period	1,585	35	95	4

1    Items not involving the movement of funds: - 45 million shares were issued in consideration for the acquisition of an increased interest in the Dundas tenements.

Consolidated Statement of Changes in Equity

For the year ended 30 June 2011  

Consolidated	Issued share capital	Share premium		Retained losses		Foreign Currency Translation Reserve		Merger Reserve	Share Based Payment Reserve				Total
	£'000	£'000		£'000		£'000		£'000	£'000				£'000
At 1 July 2009	514	6,860		(3,615)		1,484		1,634	10			6,887
Loss for the period	-	-		(1,762)		-		-	-			(1,762)
Foreign currency translation reserve	-	-		-		1,174		-	-			1,174
Total comprehensive income / (loss) for the period	-	-		(1,762)		1,174		-	-			(588)
Transactions with owners in their capacity as owners
Shares issued	215		465		-		-	-	-			680
Cost of shares issued			(50)		-		-	-	-			(50)
At 30 JUNE 2010	729		7,275		(5,377)		2,658	1,634	10			6,929
Balance at 1 July 2010	729		7,275		(5,377)		2,658	1,634	10			6,929
Loss for the period	-		-		(2,852)		-	-	-			(2,852)
Foreign currency translation reserve	-		-		-		1,354	-	-			1,354
Total comprehensive income / (loss) for the period	-		-		(2,852)		1,354	-	-			(1,498)
Transactions with owners in their capacity as owners
Shares issued	862		2,654		-		-	-	-			3,516
Cost of shares issued	-		(242)		-		-	-	-			(242)
Reserve written back	-		-		1,229		-	(1,229)	-			0
Share options issued	-		-		-		-	-	155			155
At 30 June 2011	1,591		9,687		(7,000)		4,012	405	165			8,860

Consolidated Statement of Changes in Equity

For the year ended 30 June 2010

Company	Issued share capital		Share premium			Retained losses			Foreign Currency Translation Reserve			Merger Reserve		Share Based Payment Reserve									Total
		£'000		£'000			£'000			£'000		£'000				£'000						£'000
At 1 July 2009		514		6,860			(2,251)			-		1,634				10					6,767
Loss for the period		-		-			(352)			-		-				-					(352)
Total comprehensive income / (loss) for the period		-		-			(352)			-		-				-					(352)
Transactions with owners in their capacity as owners
Shares issued		215			465			-			-	-			-					680
Cost of shares issued					(50)			-			-	-			-					(50)
At 30 JUNE 2010		729			7,275			(2,603)			-	1,634			10					7,045
Balance at 1 July 2010		729			7,275			(2,603)			-	1,634			10					7,045
Loss for the period		-			-			(2,527)			-	-			-					(2,527)
Total comprehensive income / (loss) for the period		-			-			(2,527)			-	-			-					(2,527)
Transactions with owners in their capacity as owners
Shares issued		862			2,654			-			-	-			-					3,516
Cost of shares issued		-			(242)			-			-	-			-					(242)
Reserve written back		-			-			1,229			-	(1,229)				-		0
Share options issued		-			-			-			-	-			155					155
At 30 June 2011		1,591			9,687			(3,901)			-	405			165					7,947

Notes to the Financial Statements for the period year to 30 June 2011

1.  The Directors are not recommending the payment of an ordinary share dividend.

2.  Loss per share on the net basis is calculated on a loss on ordinary activities after taxation of £2,852,000 (2010:£1,762,000) and on 438,071,586 (2010: 222,694,602) ordinary shares 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 the final results announcement has been prepared in accordance with the requirements of the Companies Act 2006 and Article 4 of the IAS Regulation.

Results for the period ended 30 June 2011 are abridged from the 2011 Annual Report and Accounts, which received an unqualified auditor's report and will be filed with the Registrar of Companies following the Annual General Meeting on 23 November 2011.

4.  The Annual Report is expected to be posted to shareholders on or about 28 October 2011. Pursuant to the AIM Rules the Annual Report and Accounts will be available on the Company's web site, www.thormining.com, from 17 October 2011. Further copies will be available from the Company's registered office: 3^rd Floor, 55 Gower Street, London WC1E 6HQ.

5.  The Annual General Meeting of the Company will be held at 36 Old Jewry, London, EC2R 8DD England, on Wednesday 23 November 2011 at 10.00 a.m.

Enquiries:

Mick Billing	[phone]	Thor Mining PLC	Chairman
Allan Burchard	[phone]	Thor Mining PLC	CFO/Company Secretary
John Simpson	020 7776 6550	Daniel Stewart & Co Plc	Nominated Adviser
Nick Emerson/ Renato Rufus	[phone]	Simple Investments	Broker
Alex Walters/Emma Wigan	[phone] [phone]	Cadogan PR	Financial PR

Updates on the Company's activities are regularly posted on Thor's website www.thormining.com, which includes a facility to register to receive these updates by email.

 

END

 

 

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