Altona Rare Earths plc’s losses widened during a transformational year at its Monte Muambe rare earths project in northwest Mozambique.
FINANCES
Results for the year ended 30 June showed a loss of £1.3 million (2022: £800,000) while the company said it was focused on keeping administration costs to a minimum.
The group’s total assets increased to £2.7m (2022: £1.4m) largely due to a £2m fundraise during the year.
Altona held £1.1m cash (2022: £300,000) which will go towards completion of the mineral reserves estimate and scoping study and begin phase III of the farm-out in Q4 2023.
Total liabilities increased to £800,000 (2022: £300,000) mainly from the convertible loan note in February 2023 used for working capital.
The overall increase in the group’s net assets rose to $1.9m (2022: £1.1m).
Chief executive officer Dr Cedric Simonet said that Altona would continue to drive Monte Muambe towards viable development as its flagship project.
“However, the company, taking advantage of its position, geological knowledge and networks in Africa, will continue to assess new rare earths opportunities with a view to adding more quality projects to its portfolio.
“This will be done with a focus on short timelines to production, as well as diversifying the company’s exposure in terms of deposit type (ionic clays) and of rare earths basket (heavy rare earths).
“We are looking forward to a busy and exciting time ahead as we continue de-risking Monte Muambe with our next deliverables: the pre-feasibility study, a mining concession and our holding increased to 70%.”