Anglesey Mining plc, focused on gold-silver-lead-copper-zinc exploration in Wales and iron in Sweden and Canada, posted wider losses but remains optimistic on the future for mineral projects and companies.
In its annual report, the company posted losses before tax of £305,510 for the financial year ended 31 March 2020 (2019: £234,621).
The company had £95,311 in cash (2019: £6,012) and added a further £200,000 following a placing during August, which has provided “significant” support for the Parys Mountain project.
Expenses increased to £134,796 at 31 March 2020 (2019: £75,538).
PARYS MOUNTAIN
Anglesey Mining said its precious and base metals project in Parys Mountain was moving “steadily forward”.
The company has been working with QME Mining Technical Services on an agreed programme of engineering and optimisation studies.
“The directors have long believed that the potential for the Parys Mountain project is far greater than that developed from the indicated resources only,” said Anglesey Mining chairman John Kearney.
“QME’s work confirms the overall prospectivity of the Parys Mountain project and the potential for demonstrating five deposits or zones with combined resources in the range of 10 million tonnes and that the projected mine life could be extended from the Micon Scoping Study base case of 8 years through to a range of 12 to 18 years.
“The minerals that would be mined at Parys Mountain are those that are necessary for the modern world, copper in electronics, zinc in medicine, and even much maligned lead is required for large electric battery storage.
“None of these important and essential metals is currently produced in the UK, making the country entirely dependent on imports.
“Equally important is that with current precious metal prices, the value of gold and silver to be produced at Parys Mountain would represent approximately 25% of the total revenue stream.”
PROJECTS
Anglesey Mining also holds a direct 10% interest in and management rights to the Grangesberg Iron project in Sweden, some 200km northwest of Stockholm, together with a right of first refusal to increase its interest to 60.2%.
A technical report estimated a resource of 115.2 million tonnes at 40.2% Fe in the indicated category and 33.1Mt at 45.2% F.
The group has 12% interest in Labrador Iron Mines Holdings Limited (LIM) which owns extensive iron ore resources in its Schefferville Projects in Labrador and in Quebec, Canada.
Subject to securing financing, LIM plans to resume mining operations when economic conditions warrant.