Home » Posts tagged 'aurion resources' (Page 2)
Tag Archives: aurion resources
Tertiary Minerals (TYM) updates on Acquisition Opportunities, plus other Corporate and Operational Developments
Tertiary Minerals plc, the AIM traded company building a strategic position in the fluorspar sector, is pleased to provide an operational update for its key fluorspar projects, royalty interests and project acquisition activity. The Company is developing its three key fluorspar assets where more than 13 Mt of contained fluorspar (CaF2 %) has been defined – JORC classified Indicated and Inferred.
Commenting today, Managing Director, Richard Clemmey said: “During recent months management has been progressing the Storuman project in Sweden through the Mine permitting process. Metallurgical testwork at the MB project in Nevada is progressing and is aimed at producing a commercial grade mica product alongside commercial grade acid-spar. Management is also focused on acquisition opportunities in the fluorspar and industrial minerals sector. Advanced discussions and technical due diligence are in progress and we look forward to releasing further news in due course”
Highlights:
Storuman Fluorspar Project, Sweden
- The re-assessment process of the Exploitation (Mine) Permit by the Swedish Mining Inspectorate is progressing
- The Swedish Mining Inspectorate requested additional information relating to the original EIA, which the Company provided in May 2017
- The Mining Inspectorate confirmed the additional information is sufficient and subsequently re-invited all stakeholders to comment on the application – current deadline for responses being 27 October 2017
MB Fluorspar Project, Nevada, USA
- Scoping Study level bench scale metallurgical testwork progressing at SGS Lakefield in Canada with the aim of producing commercial grade acid-spar
- Testwork scope includes the production of commercial grade mica as a secondary product – potential valuable upside
Lassedalen Fluorspar Project, Norway
- The seasonal environmental testwork required as part of the due diligence for the purchase of land and old fluorspar mine workings from Hydro has been completed by Niva and data review now underway
- Following satisfactory environmental data review, the Company is planning to progress with the required technical and legal due diligence prior to taking ownership of the Hydro land position
Finland Gold Projects – Aurion Resources
- The 83,072 shares the Company received as part consideration have increased in value from £85,000 to more than £140,000 (based on current mid-market price and exchange rates)
- Kinross Gold Corporation has recently completed a private placement with Aurion resulting in Kinross owning 9.98% of the issued and outstanding share capital of Aurion
- Tertiary retain pre-production and production royalty interests in the projects
Potential Acquisition
- Advanced discussions and technical due diligence are underway for shortlisted fluorspar project
- Project has the potential to be near-term revenue generating
Customer Engagement
- The Company continues to engage with key end-users and fluorspar traders, providing regular project updates, technical and commercial co-operation. Further discussions to be held at the upcoming global fluorspar conference on 23-25 October 2017.
|
Enquiries
Tertiary Minerals plc Richard Clemmey, Managing Director Patrick Cheetham, Executive Chairman
|
+44 (0) 1625 838 679 |
| SP Angel Corporate Finance LLP
Nominated Adviser & Joint Broker Ewan Leggat/Lindsay Mair |
+44 (0) 20 3470 0470 |
|
Beaufort Securities Ltd Joint Broker Elliot Hance
|
+44 (0)20 7382 8300 |
Further Information
Background
Fluorspar is classified as a critical raw material by the European Commission (high risk of supply shortage and consequent impact on the economy) and the USA also considers fluorspar to be a strategic mineral. Due to its unique chemical properties, lightest of the halogens, it is largely irreplaceable and is used in a wide range of applications. Key uses include:
- Refrigeration – new generation of zero ozone depleting potential (ODP) and very low global warming potential (GWP) refrigerants, hydrofluoroolefins (HFO’s) – driven by environmental legislation, most recently the Kigali Amendment: 170 nations agreed to phase down low ODP, high GWP Hydrofluorocarbons (HFCs)
- Flux for Energy reduction in the steel and aluminium industry
- Emerging uses – e.g. fluoropolymers in lithium batteries
The Company continues in its quest to become a reliable long-term and competitive supplier of high quality fluorspar to world markets through the acquisition and development of fluorspar deposits located close to established infrastructure and key markets in stable, democratic and mining friendly jurisdictions.
Storuman Fluorspar Project, Sweden
The Company’s 100% owned Storuman project is located in north central Sweden where the Company has defined a large near-surface fluorspar JORC compliant Mineral Resource:
| Classification | Million Tonnes (Mt) | Fluorspar (CaF2 %) |
| Indicated | 25.0 | 10.28 |
| Inferred | 2.7 | 9.57 |
| Total | 27.7 | 10.21 |
The Company submitted its Exploitation (Mine) Permit application in July 2014 to the Swedish Mining Inspectorate and following an extensive consultation process the 25 year Exploitation (Mine) Permit was granted on 18 February 2016.
However, as a consequence of the Supreme Court’s decision to overturn the grant of a third-party mining company’s mining permit in the south of Sweden (Norra Karr Mine Permit – rare earth element project, owned by Leading Edge Minerals) the government returned the Storuman Mine Permit case, along with many other cases, back to the Swedish Mining Inspectorate for re-assessment in December 2016. The re-assessment is intended to consider the impact of mining in the concession area on a wider surrounding area. Earlier this year the Swedish Mining Inspectorate requested additional information from the Company relating to the original Environmental Impact Assessment (EIA) and the wider area. The Company provided the additional information to the Swedish Mining Inspectorate in the form of an updated EIA in May 2017. The additional information was accepted by the Mining Inspectorate which has subsequently invited all stakeholders to provide comments on the application and additional information, with the current deadline for responses being 27 October 2017. Further updates will be provided as and when available, but it is worth noting that the Company has no influence on the speed at which the re-assessment of the grant of the mining permit is being processed by the Authorities.
Whilst the process is slow and frustrating, the Company continues to co-operate with the Mining Inspectorate and believes that the Mine Permit application and EIA are of a very high standard. The Company also continues to have the support of the majority of key stakeholders at Storuman, with the notable exception of the Sami reindeer herding community, and remains hopeful of a positive resolution to this in 2017.
Any ratification of the grant of the mining concession will, however, be open to appeal and the Company will therefore not spend any further money on exploration or development of Storuman until the matter is resolved.
MB Fluorspar Project, Nevada, USA
The MB Property comprises 146 contiguous mining claims covering an area more than 2,800 acres and is located 19km south-west of the town of Eureka in central Nevada, USA. Four phases of drilling completed by the Company have resulted in the definition of a large fluorspar JORC compliant Mineral Resource:
| Classification | Million Tonnes (Mt) | Fluorspar (CaF2 %) |
| Indicated | 6.1 | 10.8 |
| Inferred | 80.3 | 10.7 |
| Total | 86.4 | 10.7 |
The initial metallurgical testwork is now underway at SGS Lakefield to ascertain if commercial grade acid-spar and commercial grade mica can be produced from the ore. This is the first critical step in the preparation of a Scoping Study for the project. The results of the testwork will determine the next steps in the development of the MB fluorspar projects. The ore presents some metallurgical challenges and the Company has therefore engaged the services of one of the world’s leading fluorspar metallurgists to assist with the testwork.
Lassedalen Fluorspar Project, Norway
The Lassedalen Fluorspar Project is located near Kongsberg, 80km to the south-west of Oslo in Norway. The Company has defined a small, higher grade fluorspar JORC compliant Mineral Resource on the property:
| Classification | Million Tonnes (Mt) | Fluorspar (CaF2 %) |
| Inferred | 4.0 | 24.60 |
A key landowner for the Company’s Lassedalen fluorspar project is the global aluminium company, Hydro. In November 2016 Tertiary and Hydro entered into heads of terms whereby Tertiary will acquire the land (for 1 Norwegian Krone) and historic mine workings from Hydro following successful due diligence and purchase agreement completion. The seasonal environmental testwork required as part of the due diligence has recently been completed by Niva and data review is underway. Following satisfactory data review the Company is planning to progress with the technical and legal due diligence prior to taking ownership of the Hydro land position.
Finland Gold Projects – Aurion Resources
In March 2017, the Company successfully completed the sale of two legacy gold assets, Kaaresselkä and Kiekerömaa in Finland, to TSX-V listed Aurion Resources Ltd. The Company was paid £100,000 initial consideration for the projects, £15,000 in cash and £85,000 in Aurion Shares. The Company also retains a pre-production and production royalty interest in the projects and therefore providing the opportunity for potential income in the future.
Aurion has recently announced the discovery of a new bonanza gold zone, called Aurora at its 100% owned Risti project. The Kaaresselkä project is located in the same regional deformation zone, to the south of Risti where 133 rock grab samples collected from predominantly large and angular subcropping quartz-tourmaline blocks assayed from nil to 1563.5 g/t Au, including 36 samples which assayed greater than 31 g/t Au (1 ounce per tonne). The average grade of all 133 samples is 74.3 g/t Au. In September this year Kinross Gold Corporation completed a private placement with Aurion resulting in Kinross owning 9.98% of the issued and outstanding share capital of Aurion.
This has resulted in an increase in the value of the Aurion Shares held by Tertiary by more than £55,000, the current value being more than £140,000 (based on current mid-market price and exchange rates). The Company believe that Aurion is in a strong position to develop the Kaaresselkä and Kiekerömaa projects in the future.
Potential Acquisition
In January this year the Company updated the market on its business strategy and, whilst the Company remains committed to its fluorspar business and the development of its fluorspar assets, it has, since then, been reviewing complementary project acquisition opportunities capable of generating revenue and profits in a shorter timescale. Finding quality projects is not an easy task, but following the shortlisting of a number of projects for further evaluation the Company is engaged in detailed discussions with the owners of one such fluorspar project and technical due diligence has started; however there is no guarantee that the deal with be successfully executed at this point.
Notes to Editors
Tertiary Minerals plc (ticker symbol ‘TYM’) is an AIM-traded mineral exploration and development company building a significant strategic position in the fluorspar sector. Fluorspar is an essential raw material in the chemical, steel and aluminium industries. Tertiary controls two significant Scandinavian projects (Storuman in Sweden and Lassedalen in Norway) and a large deposit of strategic significance in Nevada, USA (MB Project).
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement
CAUTIONARY NOTICE
The news release may contain certain statements and expressions of belief, expectation or opinion which are forward looking statements, and which relate, inter alia, to the Company’s proposed strategy, plans and objectives or to the expectations or intentions of the Company’s directors. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to be materially different from such forward-looking statements. Accordingly, you should not rely on any forward-looking statements and save as required by the AIM Rules for Companies or by law, the Company does not accept any obligation to disseminate any updates or revisions to such forward-looking statements.
Tertiary Minerals (TYM) notes Aurion Resources Private Placement Financing with Kinross Gold Corporation
On March 21st 2017, Tertiary Minerals (TYM.L) announced the sale of its non-core gold assets in Finland, Kaaresselkä and Kiekerömaa to Aurion Resources (TSX VENTURE: AU). Tertiary Minerals notes the Aurion Resources announcement from September 7th 2017 outlined below.
On September 7th 2017, Aurion Resources Ltd announced that it had negotiated a non-brokered private placement of common shares with Kinross Gold Corporation at a price of $2.32 per Common Share. On closing, Kinross will own 9.98% of the then issued shares of Aurion. Based on the currently issued and outstanding share capital of Aurion, the private placement will result in the issuance of 6,853,500 shares, for gross proceeds to the Company of $15,900,120.
The net proceeds from the Private Placement will be used by the Company for exploration and development of its properties in Finland, and for working capital and general corporate purposes.
The Private Placement is expected to close on or about September 13, 2017, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the acceptance by the TSX Venture Exchange.
All securities issued in connection with the Private Placement will be subject to a four-month hold period from the closing date.
Mike Basha the President and CEO of Aurion stated: “We are delighted to welcome Kinross as one of our major shareholders. This significant investment by Kinross validates Aurion’s exploration model in the Central Lapland Greenstone Belt, and provides the necessary capital to rapidly advance our comprehensive exploration plans of which the primary focus is the Aamurusko prospect. We also look forward to having access to Kinross’s technical expertise via the formation of a joint technical committee as Aurion’s programs move forward.”
Tertiary sold its non-core gold assets in Finland, Kaaresselkä and Kiekerömaa, earlier in this year to Aurion Resources. As part of the sale Tertiary owns 83,072 shares in Aurion and retain a royalty interest in the projects as follows:
- Pre-production royalty of US$1.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Inferred Mineral Resource Estimate on either project
- Pre-production royalty of US$2.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Indicated Mineral Resource Estimate on either project
- Pre-production royalty of US$3.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Measured Mineral Resource Estimate on either project
- Net smelter returns royalty (NSR) of 2% on all future gold production from either property
- Aurion can purchase 50% of the NSR from Tertiary for USD$1,000,000 at any time prior to commencement of commercial production on either project
Tertiary Minerals (TYM) – Half-yearly report
Tertiary Minerals plc, the AIM-traded company building a strategic position in the fluorspar sector, announces its unaudited interim results for the six months ended 31 March 2017.
Operational Highlights
Storuman Fluorspar Project, Sweden:
- Exploitation (Mine) Permit has been referred to the Swedish Mining Inspectorate for re-assessment
- The re-assessment is progressing; the Company has met with the Mining Inspectorate twice in 2017 and information supplementing the original application will be supplied to the Mining Inspectorate in May 2017
- With the continued support from key stakeholders, the Company is hopeful of a positive resolution in 2017
MB Fluorspar Project, Nevada, USA:
- Scoping Study modelling and testwork ongoing
- Scoping Study to be completed following successful completion of the modelling and testwork
Lassedalen Fluorspar Project, Norway:
- Due diligence has commenced for the purchase of land and old mine workings from Hydro
Kaaresselkä and Kiekerömaa Gold Projects, Finland:
- Successful completion of the sale of its gold assets to TSX-V listed Aurion Resources Ltd
- £100,000 initial consideration has been paid by Aurion: £15,000 in cash and £85,000 in Aurion shares (being 83,072 shares)
- Tertiary retain pre-production and production royalty interests in the projects
Acquisition Opportunities:
- A number of projects have been shortlisted which are potentially near-term revenue generating
- More detailed evaluation and due diligence is in progress
Financial Results – Summary:
- Operating Loss for the six month period of £156,140 (six months to 31 March 2016: £219,962) comprises:
- Revenue of £134,885; less
- Administration costs of £286,654 (which includes non-cash share based payments of £6,272); and
- Pre-licence and reconnaissance exploration costs totalling £4,371
- Total Group Loss of £211,850 is after charging:
- Impairment of available for sale investment of £55,987
- Interest income of £277
- 132,720 Ordinary Shares were issued during the reporting period to a non-executive director in lieu of fees at a price of 1.025 pence per share
| Enquiries
Tertiary Minerals plc Patrick Cheetham, Executive Chairman Richard Clemmey, Managing Director
|
+44 (0)1625 838 679 |
| SP Angel Corporate Finance LLP
Nominated Adviser & Joint Broker Ewan Leggat / Lindsay Mair
|
+44 (0) 20 3470 0470 |
| Beaufort Securities Ltd
Joint Broker Elliot Hance
|
+44 (0)20 7382 8300 |
Chairman’s Statement
I am pleased to present our Interim Report for the six month period ended 31 March 2017.
The Company has made considerable progress in recent years with its 100% owned fluorspar projects, progressing through the development cycle from discovery towards commercial production.
A number of key issues have, however, resulted in delays to the development of our most advanced project, Storuman in Sweden. The government has asked the Swedish Mining Inspector to re-assess its grant of our Mining Concession in the light of a Supreme Court decision to overturn the grant of a third party mining company’s mining concession in the south of Sweden. This re-assessment, intended to consider the impact of mining in the concession area on a wider surrounding area, is underway and additional submissions are being made by the Company. Whilst this is frustrating, many companies in Sweden are similarly affected.
We continue to have the support of the majority of key stakeholders at Storuman, with the notable exception of the Sami reindeer herding community, and remain hopeful of a positive resolution to this in 2017. Any ratification of the grant of the mining concession will, however, be open to appeal and so we are firm in our resolve not to spend any further money on exploration or development of Storuman until the matter is resolved.
In Norway, at our Lassedalen Fluorspar Project, we have commenced due diligence work on the purchase from large Norwegian aluminium producer, Hydro, of the land and mineral rights that underlie our government exploration permissions exploration. A forerunner company of Hydro was responsible for mining fluorspar at Lassedalen in World War II and Hydro is a major consumer of fluorspar downstream products. Due to the presence of old mine workings on the property, a programme of environmental baseline sampling is being undertaken as part of the due diligence. Otherwise the project remains on hold pending a review of project priorities.
In Nevada, USA, our drilling over the past few years has demonstrated a very large resource of low-grade fluorspar at the MB Project. We are continuing our technical and economic studies which include metallurgical studies aimed at production of acid grade fluorspar and the evaluation of a potential by-product industrial filler grade mica. We have also planned a further drilling programme to test for higher grade fluorite mineralisation in specific target areas. We aim to complete a Scoping Study in 2017.
Fluorspar prices in the USA and Europe have remained stable, albeit at low levels, during the first part of 2017. The fluorochemical industry continues to go through a transition stage whereby the fluorine based HFC refrigerant chemicals are being phased out under various global climate change agreements and legislation and being replaced by new zero ozone-depleting and low global warming potential HFO fluorine based chemicals. China has begun to see an improvement in its fluorspar prices during the period, predominantly driven by supply disruptions and improved demand for refrigerants and hydrofluoric acid. Refrigerant demand in the USA has also improved during the period, and this coupled with the US recently imposing anti-dumping duties on China origin refrigerants may result in a more positive outlook for fluorspar prices and demand in the medium-term.
Outside of fluorspar, we were pleased to report in March 2017 the closing of the sale of our Kaaresselkä and Kiekerömaa gold projects in Finland to Canadian listed company Aurion Resources Ltd for £100,000 in cash and shares. We would also receive further payments on the definition of Ore Reserves and Mineral Resources and a royalty on production. Our own historical work on the project leads us to believe that such reserves and resources are likely to be defined with further exploration. The Lapland Gold belt is an emerging gold producing province and Aurion Resources has made a number of new high-grade discoveries in the region of the Kaaresselkä Project. We hope to share in Aurion’s future success.
In January this year we updated the market on our business strategy and, whilst the Company remains committed to its fluorspar business and the development of its fluorspar assets, it has, since then, been reviewing complementary project acquisition opportunities capable of generating revenue and profits in a shorter timescale. It has currently shortlisted a number of projects where more detailed evaluation and due diligence is in progress.
I would like to take this opportunity to thank shareholders for their continuing support and overwhelming approval at the March 2017 General Meeting of the Board’s proposal to subdivide the Ordinary Shares to facilitate future fundraising and we look forward to reporting further progress in 2017.
Patrick L Cheetham
Executive Chairman
26 May 2017
Consolidated Income Statement
for the six months to 31 March 2017
| Six months
to 31 March 2017 Unaudited |
Six months
to 31 March 2016 Unaudited |
Twelve months
to 30 September 2016 Audited |
|||
| £ | £ | £ | |||
Revenue |
134,885 | 84,568 | 190,124 | ||
Administration costs |
(286,654) | (297,169) | (558,857) | ||
Pre-licence and other exploration costs |
(4,371) | (7,361) | (25,343) | ||
| Operating loss | (156,140) | (219,962) | (394,076) | ||
| Impairment of available for sale investment | (55,987) | (81,142) | (81,142) | ||
| Interest receivable | 277 | 968 | 1,712 | ||
| Loss before income tax | (211,850) | (300,136) | (473,506) | ||
| Income tax | – | – | – | ||
| Loss for the period attributable to equity holders of the parent |
(211,850) |
(300,136) |
(473,506) |
||
| Loss per share – basic and diluted (pence) (note 2) | (0.08) | (0.14) | (0.20) |
Consolidated Statement of Comprehensive Income
for the six months to 31 March 2017
|
|
Six months to 31 March
2017 Unaudited |
Six months to
31 March 2016 Unaudited |
Twelve months to
30 September 2016 Audited |
||
| £ | £ | £ | |||
Loss for the period |
(211,850) |
(300,136) |
(473,506) |
||
|
Other comprehensive income:
|
|||||
Items that could be reclassified subsequentlyto the Income Statement: |
|||||
Fair value movement on available for sale investment |
(3,638) |
– |
– |
||
Foreign exchange translation differences on foreign currency net investments in subsidiaries |
59,852 |
217,075 |
466,534 |
||
| Items that have been reclassified subsequently
to the Income Statement: |
|||||
Fair value movement on available for sale investment |
(107,104) |
– |
51,117 |
||
Transfer from available for sale investment reserve on impairment of available for sale investment
|
55,987 |
– |
– |
||
Total comprehensive income/(loss) for the period attributable to equity holders of the parent |
(206,753) |
(83,061) |
44,145 |
Company Registration Number 03821411
Consolidated Statement of Financial Position
at 31 March 2017
| As at
31 March 2017 Unaudited |
As at
31 March 2016 Unaudited |
As at
30 September 2016 Audited |
|||
| £ | £ | £ | |||
Non-current assets |
|||||
Intangible assets |
4,497,712 | 4,038,021 | 4,429,261 | ||
| Property, plant & equipment | 6,607 | 13,147 | 9,785 | ||
| Available for sale investments | 231,463 | 153,353 | 204,470 | ||
| 4,735,782 | 4,204,521 | 4,643,516 | |||
| Current assets | |||||
| Receivables | 86,975 | 104,578 | 105,032 | ||
| Cash and cash equivalents | 145,212 | 286,773 | 448,474 | ||
| 232,187 | 391,351 | 553,506 | |||
| Current liabilities | |||||
| Trade and other payables | (62,555) | (78,501) | (92,488) | ||
Net current assets |
169,632 |
312,850 |
461,018 |
||
Net assets |
4,905,414 | 4,517,371 | 5,104,534 | ||
Equity |
|||||
Called up share capital |
2,670,769 | 2,168,453 | 2,669,442 | ||
Share premium account |
9,066,769 | 9,116,364 | 9,066,735 | ||
Merger reserve |
131,096 | 131,096 | 131,096 | ||
Share warrant reserve |
254,567 | 370,269 | 343,486 | ||
Available for sale investment reserve |
(3,638) | – | 51,117 | ||
Foreign currency reserve |
442,206 | 132,895 | 382,354 | ||
Accumulated losses |
(7,656,355) | (7,401,706) | (7,539,696) | ||
Equity attributable to the owners of the parent |
4,905,414 | 4,517,371 | 5,104,534 |
Consolidated Statement of Changes in Equity
|
Share Capital |
Share Premium Account |
Merger Reserve |
Share Warrant Reserve |
Available for Sale Reserve |
Foreign Currency Reserve |
Accumulated Losses |
Total |
|
| £ | £ | £ | £ | £ | £ | £ | £ | |
| At 30 September 2015 | 1,878,592 | 8,812,452 | 131,096 | 443,813 | – | (84,180) | (7,192,302) | 3,989,471 |
| Loss for the period | – | – | – | – | – | – | (218,994) | (218,994) |
| Impairment of available for sale investment | – | – | – | – | – | – | (81,142) | (81,142) |
| Exchange differences | – | – | – | – | – | 217,075 | – | 217,075 |
| Total comprehensive loss for the period | – | – | – | – | – | 217,075 | (300,136) | (83,061) |
| Share issue | 289,861 | 303,912 | – | – | – | – | – | 593,773 |
| Share based payments expense | – | – | – | 17,188 | – | – | – | 17,188 |
| Transfer of expired warrants | – | – | – | (90,732) | – | – | 90,732 | – |
| At 31 March 2016 | 2,168,453 | 9,116,364 | 131,096 | 370,269 | – | 132,895 | (7,401,706) | 4,517,371 |
| Loss for the period | – | – | – | – | – | – | (173,370) | (173,370) |
| Change in fair value | – | – | – | – | 51,117 | – | – | 51,117 |
| Exchange differences | – | – | – | – | – | 249,459 | – | 249,459 |
| Total comprehensive loss for the period | – | – | – | – | 51,117 | 249,459 | (173,370) | 127,206 |
| Share issue | 500,989 | (49,629) | – | – | – | – | – | 451,360 |
| Share based payments expense | – | – | – | 8,597 | – | – | – | 8,597 |
| Transfer of expired warrants | – | – | – | (35,380) | – | – | 35,380 | – |
| At 30 September 2016 | 2,669,442 | 9,066,735 | 131,096 | 343,486 | 51,117 | 382,354 | (7,539,696) | 5,104,534 |
| Loss for the period | – | – | – | – | – | – | (155,863) | (155,863) |
| Transfer of impairment to income statement | – | – | – | – | 55,987 | – | (55,987) | – |
| Change in fair value | – | – | – | – | (110,742) | – | – | (110,742) |
| Exchange differences | – | – | – | – | – | 59,852 | – | 59,852 |
| Total comprehensive loss for the period | – | – | – | – | (54,755) | 59,852 | (211,850) | (206,753) |
| Share issue | 1,327 | 34 | – | – | – | – | – | 1,361 |
| Share based payments expense | – | – | – | 6,272 | – | – | – | 6,272 |
| Transfer of expired warrants | – | – | – | (95,191) | – | – | 95,191 | – |
At 31 March 2017 |
2,670,769 | 9,066,769 | 131,096 | 254,567 | (3,638) | 442,206 | (7,656,355) | 4,905,414 |
Consolidated Statement of Cash Flows
for the six months to 31 March 2017
| Six months
to 31 March 2017 Unaudited |
Six months
to 31 March 2016 Unaudited |
Twelve months
to 30 September 2016 Audited |
|||
| £ | £ | £ | |||
Operating activity |
|||||
| Total loss after tax | (212,127) | (301,104) | (475,218) | ||
| Depreciation charge | 3,265 | 3,471 | 6,833 | ||
| Shares issued in lieu of net fees | 1,361 | 1,361 | 2,721 | ||
| Impairment charge – available for sale investment | 55,987 | 81,142 | 81,142 | ||
| Share based payment charge | 6,272 | 17,188 | 25,784 | ||
| Non-cash additions to available for sale investment | (52,735) | (86,272) | (86,272) | ||
| (Increase)/decrease in receivables | 18,057 | (14,269) | (14,723) | ||
| Increase/(decrease) in payables | (29,933) | (24,279) | (10,292) | ||
| Net cash outflow from operating activity | (209,853) | (322,762) | (470,025) | ||
| Investing activity | |||||
| Interest received | 277 | 968 | 1,712 | ||
| Development expenditures | (108,558) | (292,326) | (473,527) | ||
| Disposal of exploration asset | 15,000 | ‘- | ‘ | ‘- | |
| Purchase of property, plant & equipment | (87) | (9,322) | (9,322) | ||
| Net cash outflow from investing activity | (93,368) | (300,680) | (481,137) | ||
| Financing activity | |||||
| Issue of share capital (net of expenses) | – | 592,412 | 1,042,412 | ||
| Net cash inflow from financing activity | – | 592,412 | 1,042,412 | ||
| Net (decrease)/increase in cash and cash
equivalents |
(303,221) |
(31,030) |
91,250 | ||
| Cash and cash equivalents at start of period | 448,474 | 309,815 | 309,815 | ||
| Exchange differences | (41) | 7,988 | 47,409 | ||
|
Cash and cash equivalents at end of period |
145,212 |
286,773 |
448,474 |
Notes to the Interim Statement
- Basis of preparation
The consolidated interim financial information has been prepared in accordance with the accounting policies that are expected to be adopted in the Group’s full financial statements for the year ending 30 September 2017 which are not expected to be significantly different to those set out in Note 1 of the Group’s audited financial statements for the year ended 30 September 2016. These are based on the recognition and measurement principles of IFRS in issue as adopted by the European Union (EU) or that are expected to be adopted and effective at 30 September 2017. The financial information has not been prepared (and is not required to be prepared) in accordance with IAS 34. The accounting policies have been applied consistently throughout the Group for the purposes of preparation of this financial information.
The financial information in this statement relating to the six months ended 31 March 2017 and the six months ended 31 March 2016 has neither been audited nor reviewed by the Auditors, pursuant to guidance issued by the Auditing Practices Board. The financial information presented for the year ended 30 September 2016 does not constitute the full statutory accounts for that period. The Annual Report and Financial Statements for the year ended 30 September 2016 have been filed with the Registrar of Companies. The Independent Auditors’ Report on the Annual Report and Financial Statement for the year ended 30 September 2016 was unqualified, although did draw attention to matters by way of emphasis in relation to going concern, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.
The directors prepare annual budgets and cash flow projections that extend beyond 12 months from the date of this report. These projections include the proceeds of future fundraising necessary within the next 12 months to meet the Company’s and Group’s planned discretionary project expenditures and to maintain the Company and Group as a going concern. Although the Company has been successful in raising finance in the past, there is no assurance that it will obtain adequate finance in the future. This represents a material uncertainty related to events or conditions which may cast significant doubt on the entity’s ability to continue as a going concern and, therefore, that it may be unable to realise its assets and discharge its liabilities in the normal course of business. However, the directors have a reasonable expectation that they will secure additional funding when required to continue meeting corporate overheads and exploration costs for the foreseeable future and therefore believe that the going concern basis is appropriate for the preparation of the financial statements.
- Loss per share
Loss per share has been calculated on the attributable loss for the period and the weighted average number of shares in issue during the period.
| Six months
to 31 March 2017 Unaudited |
Six months
to 31 March 2016 Unaudited |
Twelve months
to 30 September 2016 Audited |
|
Loss for the period (£) |
(211,850) | (300,136) | (473,506) |
| Weighted average shares in issue (No.) | 266,987,238 | 215,811,549 | 233,830,700 |
| Basic and diluted loss per share (pence) | (0.08) | (0.14) | (0.20) |
The loss attributable to ordinary shareholders and the weighted average number of ordinary shares used for the purpose of calculating diluted earnings per share are identical to those used to calculate the basic earnings per ordinary share. This is because the exercise of share warrants would have the effect of reducing the loss per ordinary share and is therefore not dilutive under the terms of IAS33.
- Share capital
During the six months to 31 March 2017 the following share issues took place:
An issue of 132,720 1.0p Ordinary Shares at 1.025p per share to a director, in satisfaction of directors’ fees, for a total consideration of £1,361 (31 January 2017).
- Event after the Balance Sheet date
Capital subdivision
At a General Meeting on 13 April 2017 the shareholders approved the subdivision of the Company’s ordinary share capital whereby each existing ordinary share with a nominal value of 1p was subdivided into 1 new ordinary share of 0.01p and 1 deferred share of 0.99p each.
The New Ordinary Shares have the same rights as those currently accruing to the Existing Ordinary Shares in issue under the Articles of Association of the Company, including those relating to voting and entitlement to dividends.
The Deferred Shares have no significant rights attached to them and carry no right to vote or participate in distribution of surplus assets and are not admitted to trading on the AIM market of the London Stock Exchange plc. The Deferred Shares effectively carry no value.
- Interim report
Copies of this interim report are available from Tertiary Minerals plc, Silk Point, Queens Avenue, Macclesfield, Cheshire SK10 2BB, United Kingdom. It is also available on the Company’s website at www.tertiaryminerals.com.
Tertiary Minerals (TYM) successfully completes sale of Gold assets
Further to the RNS dated 05 December 2016, Tertiary Minerals plc, the AIM traded company building a strategic position in the fluorspar sector, is pleased to announce the successful completion of the sale of its non-core gold assets, Kaaresselkä and Kiekerömaa, in Finland to TSX-V listed Aurion Resources Ltd.
Highlights:
- The transfer of the Exploration Licences from Tertiary to Aurion have been successfully completed by the mining division of the Finnish Safety and Chemical Agency (Tukes) and exchange approval has been granted by the TSX-V
- £100,000 initial consideration has been paid by Aurion: £15,000 in cash and £85,000 in Aurion shares (being 83,072 shares)
- Tertiary retain pre-production and production royalty interests in the Kaaresselkä and Kiekerömaa projects
- Aurion, www.aurionresources.com, is a Canadian listed (TSX-V: AU) precious metals exploration company primarily focusing on the development of its Finnish gold projects, several of which are under a joint venture with B2Gold, a main board listed (TSX:BTO,NYSE MKT:BTG) gold producer and developer,www.b2gold.com
- Aurion has recently announced the discovery of a new bonanza gold zone, called Aurora at its 100% owned Risti project. The Kaaresselkä project is located in the same regional deformation zone to the south of Risti: – 133 rock grab samples collected from predominantly large and angular sub-cropping quartz-tourmaline blocks assayed from nil to 1563.5 g/t Au, including 36 samples which assayed greater than 31 g/t Au (1 ounce per tonne). The average grade of all 133 samples is 74.3 g/t Au.
- Further information can be viewed at:
www.aurionresources.com/news/2017/aurion-discovers-new-bonanza-gold-zone-at-risti
Commenting today, Managing Director, Richard Clemmey said: “We are delighted that the completion of the sale has gone smoothly and given Aurion’s exciting new discovery and strategic partnership with B2Gold in Finland, we are looking forward to potentially capitalising in the future through our retained shareholding in Aurion and royalty interest in Kaaresselkä and Kiekerömaa”.
|
Enquiries Tertiary Minerals plc Richard Clemmey, Managing Director Patrick Cheetham, Executive Chairman |
+44 (0) 1625 838 679 |
|
SP Angel Corporate Finance LLP Nominated Adviser & Joint Broker Ewan Leggat/Lindsay Mair |
+44 (0) 20 3470 0470 |
|
Beaufort Securities Ltd Joint Broker Elliot Hance |
+44 (0)20 7382 8300 |
|
Brand Communications Alan Green |
+44 (0)7976 431608 |
Retained Royalty Interest Details
Tertiary will retain royalty interest in the Kaaresselkä and Kiekerömaa projects as follows:
- Pre-production royalty of US$1.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Inferred Mineral Resource Estimate on either project;
- Pre-production royalty of US$2.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Indicated Mineral Resource Estimate on either project
- Pre-production royalty of US$3.00/ounce gold following the definition of a NI 43-101 (or equivalent) code compliant Measured Mineral Resource Estimate on either project
- Net smelter returns royalty (NSR) of 2% on all future gold production from either property
- Aurion can purchase 50% of the NSR from Tertiary for USD$1,000,000 at any time prior to commencement of commercial production on either project
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement
Notes to Editors
Tertiary Minerals plc (ticker symbol ‘TYM’) is an AIM-traded mineral exploration and development company building a significant strategic position in the fluorspar sector. Fluorspar is an essential raw material in the chemical, steel and aluminium industries. Tertiary controls two significant Scandinavian projects (Storuman in Sweden and Lassedalen in Norway) and a large deposit of strategic significance in Nevada, USA (MB Project).
CAUTIONARY NOTICE
The news release may contain certain statements and expressions of belief, expectation or opinion which are forward looking statements, and which relate, inter alia, to the Company’s proposed strategy, plans and objectives or to the expectations or intentions of the Company’s directors. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to be materially different from such forward-looking statements. Accordingly, you should not rely on any forward-looking statements and save as required by the AIM Rules for Companies or by law, the Company does not accept any obligation to disseminate any updates or revisions to such forward-looking statements.
Tertiary Minerals (TYM) – Sale of Non-Core Gold Assets
Tertiary Minerals plc (TYM), the AIM traded company building a strategic position in the fluorspar sector, is pleased to announce the sale of its non-core gold assets, Kaaresselkä and Kiekerömaa, in Finland to TSX-V listed Aurion Resources Ltd.
Highlights:
· The Company has sold its non-core gold assets, Kaaresselkä and Kiekerömaa, in Finland to Aurion Resources Ltd, www.aurionresources.com
· Aurion is a Canadian listed (TSX-V: AU) precious metals exploration company primarily focusing on the development of its Finnish gold projects, several of which are under a joint venture with B2Gold, a main listed (TSX:BTO,NYSE MKT:BTG) gold producer and developer, www.b2gold.com
· £100,000 initial consideration to be paid by Aurion: £15,000 in cash and £85,000 in Aurion shares
· Tertiary will retain royalty interest in the projects:
Ø – Pre-Production Royalty of US$1.00/ounce gold following the definition of a NI 43-101 (or equivalent) Code compliant Inferred Mineral Resource Estimate on either project
Ø – Pre-Production Royalty of US$2.00/ounce gold following the definition of a NI 43-101 (or equivalent) Code compliant Indicated Mineral Resource Estimate on either project
Ø – Pre-Production Royalty of US$3.00/ounce gold following the definition of a NI 43-101 (or equivalent) Code compliant Measured Mineral Resource Estimate on either project
Ø – Net Smelter Returns Royalty (NSR) of 2% on all future gold production from either property
Ø – Aurion can purchase 50% of the NSR from Tertiary for USD$1,000,000 at any time prior to commencement of commercial production on either project
· The sale is conditional upon successful transfer of the Exploration Licences for each project from Tertiary to Aurion (to be handled by the mining division of the Finnish Safety and Chemical Agency (Tukes)) and exchange approval by the TSX-V.
Commenting today, Managing Director, Richard Clemmey said: “We are delighted to have sold our two legacy gold projects to an accomplished gold explorer. We wish Aurion every success with the development of the projects and look forward to potentially sharing the future upside through our retained royalty interest”.
|
Enquiries Tertiary Minerals plc Richard Clemmey, Managing Director Patrick Cheetham, Executive Chairman |
+44 (0) 1625 838 679 |
|
SP Angel Corporate Finance LLP Nominated Adviser & Joint Broker Ewan Leggat/Laura Harrison |
+44 (0) 20 3470 0470 |
|
Beaufort Securities Ltd Joint Broker Elliot Hance |
+44 (0)20 7382 8300 |
Historic Information:
Both projects, Kaaresselkä and Kiekerömaa, have been previously drilled by the Geological Survey of Finland (GTK) and Tertiary. Significant gold mineralisation was encountered in the various drilling programmes therefore highlighting the future potential for the projects. Further information on the projects can be viewed through the Company’s website:
http://www.tertiaryminerals.com/projects/gold-projects/kaaresselka-gold-project
http://www.tertiaryminerals.com/projects/gold-projects/kiekeromaa-gold-project
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.
Notes Pursuant to Schedule 4 of the AIM Rules
1. Intangible asset value of Kaaresselkä and Kiekerömaa on 30 September 2016: £444,622
2. Aurion consideration shares will be held by Tertiary for a minimum period of four months and one day following issue, a requirement of National Instrument 45-102, Part 2, Section 2.5 (2) 3(ii), under Canadian Securities Law.
Notes to Editors
Tertiary Minerals plc (ticker symbol ‘TYM’) is an AIM-traded mineral exploration and development company building a significant strategic position in the fluorspar sector. Fluorspar is an essential raw material in the chemical, steel and aluminium industries. Tertiary controls two significant Scandinavian projects (Storuman in Sweden and Lassedalen in Norway) and a large deposit of strategic significance in Nevada, USA (MB Project).
CAUTIONARY NOTICE
The news release may contain certain statements and expressions of belief, expectation or opinion which are forward looking statements, and which relate, inter alia, to the Company’s proposed strategy, plans and objectives or to the expectations or intentions of the Company’s directors. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to be materially different from such forward-looking statements. Accordingly, you should not rely on any forward-looking statements and save as required by the AIM Rules for Companies or by law, the Company does not accept any obligation to disseminate any updates or revisions to such forward-looking statements.