Alba Mineral Resources plc recorded an increase in losses following the AIM listing of its investee company GreenRoc Mining and increased exploration activities.
INTERESTS
The company’s interim results for six months ended 31 May 2022 incorporate Alba’s subsidiaries operating in Wales (gold) and Limerick (lead and zinc) as well as investments in Greenland (graphite and ilmenite) and Horse Hill in Surrey (oil and gas).
FINANCES
The group made a loss of £815,000 after tax (2021: £568,000) of which the loss attributable to equity holders of the parent for the period were £592,000 after taxation (2021: £567,000).
Administrative expenses were higher for H1 2022 at £814,000 (H1 2021: £372,000), with certain transaction fees incurred relating to the GreenRoc IPO. Alba holds a 54% interest in GreenRoc operating in Greenland.
Net cash outflows were £1.9m (H1 2021: £108,000) including £0.94m expenditure on exploration projects and fixed assets in the six months being reported.
The group held cash of £2,024,000 (H1 2021: £1,620,000).
Intangible assets increased by £3m to $7,030,000 (H1 2021: £4,106,000) which reflects the group’s investment in exploration in Wales and in Greenland since 31 May 2021.
CLOGAU WASTE TIP
The company now owns 100% of its gold projects in Wales after buying the remaining 10% stake.*
Outside the main Clogau-St David’s gold project, Alba is assessing the economic value of the estimated 4,000 tonnes of fines material in the waste tip.
The company is also working on a mining plan before submitting a planning application to commercially produce gold from the tip.
MAPPING
Elsewhere outside the main mine area, Alba’s aeromagnetic survey contractor, UAVE Ltd, is in the process for obtaining permission to conduct an unmanned aerial vehicle-borne geophysical survey.
This will map the magnetic properties of the subsurface below the key targets identified in 2019.
The survey is now planned for Spring 2023 after the UK Civil Aviation Authority told the company that the next available slot would be in November 2022, which could see a limited weather window.
ACQUISITIONS
Executive chairman George Frangeskides added that the group had made strong progress during the period.
“Alba remains in a strong position to generate real and sustained growth across its portfolio of assets and investments and also continues to assess opportunities to expand its portfolio value by the acquisition of additional complementary assets.”
*Edit: transaction not yet completed