TIDMBZT

RNS Number : 0527O

Bezant Resources PLC

29 September 2023

29 September 2023

Bezant Resources Plc

("Bezant" or the "Company")

Interim Results for the Six Months Ended 30 June 2023

Bezant (AIM: BZT), the copper-gold exploration and development company, announces its unaudited interim results for the six months ended 30 June 2023.

Chairman's Statement

Dear Shareholder,

The focus of the first half of 2023 continues to be Southern Africa.

Financial highlights:

GBP463K loss after tax (2022: GBP348K)

Approximately GBP365K cash at bank at the period end (31 December 2022: GBP57K).

Operational and corporate events in six months to 30 June 2023 :

In Namibia at our Hope & Gorob project we await the issue of a mining licence and in the meantime have been working on technical and other studies targeting a 8,000, tonnes contained copper p.a. open pit copper / gold mining operation in 2024, obtaining non-equity financing for the mining operation and the finalization of an updated mineral resource estimate.

In Botswana at our Kanye project we have focused on metallurgical work to test that manganese can be extracted from the deposit to produce leach solutions with high manganese concentrate via standard leaching processing technologies.

Eureka Project Argentina: We maintain our Eureka Project in good standing and during the period we had an updated Environmental Impact Assessment approved which provides for environmental monitoring and a drill program encompassing 9 drill holes of 200-300 metres each. The Company will engage an environmental consultant to conduct the environmental monitoring in 2H 2023 and we are seeking a joint venture partner for the exploration of the Eureka Project. In 2021 and into 2022 this was hampered by COVID restrictions in Argentina, but we have in the period received expressions of interest in the project and our focus remains to joint venture or monetise this unique red bed copper occurrence.

Investment in Mankayan Project in Philippines: On 27 March 2023 the Company announced the completion of its share swap sale of its investment in IDM Mankayan Pty Ltd for shares in IDM International Ltd. Our investment in IDM International Ltd (see note 7.1) is held at fair value of GBP2.2m. At the time of writing we hold a 24.2% investment in IDM International Limited. We are looking for this investment to be monetised either by direct trade sale or flotation on an individual or combined project basis. IDM International Limited and Crescent Mining Development Corporation the licence holder are actively progressing the project, whilst pursuing the various avenues to secure and advance what is a very large project in a copper hungry world.

Funding : On 15 June 2023, the Company announced, that it had agreed with Sanderson Capital Partners Limited ("Sanderson") a long-term shareholder in the Company to extend the repayment date for the GBP700,000 drawn down under the unsecured convertible loan funding facility entered into with Sanderson on 22 November 2021 until 23 December 2024 which is now convertible by Sanderson at the fixed price of 0.08 pence per share.

Issue of Equity: During the period we announced, on the dates indicated below, the following issues of new ordinary shares ("Shares") to raise funds and settle accrued fees to conserve the Company's working capital:

   a)   On 9 January 2023 the issue of 7,926,024 new Shares to settle GBP6,000 of consultancy fees; 

b) On 12 April 2023 a fundraising of GBP750,000 from existing shareholders and investors for 1,875,000,000 Shares which included GBP40,000 from directors, the issue of 218,700,942 Shares to Directors and a PDMR at a premium to the share price and the fundraising price to settle GBP174,961 of accrued fees for the period March 2022 to March 2023 and the issue of 246,808,068 Shares to settle GBP101,250 of consultancy fees at the fundraising price to conserve the Company's working capital:

   c)   On 5 May 2023 the issue of 104,875,000 Shares to settle professional fees of GBP41,950; and 

d) On 15 June 2023, the issue of 87,500,000 Shares to settle fees of GBP70,000 due in relation to the extension of the Sanderson unsecured convertible loan funding facility equivalent to 6.67% per year at a premium to the share price and the issue of 437,500,000 warrants over Shares exercisable at 0.12 pence per Share exercisable for two years.

Operational and corporate post period end events:

On 24 July 2023 and 6 September 2023 we announced the results of the metallurgical test work at the Kanye project which in essence verify that manganese can be extracted from the deposit to produce leach solutions with high manganese concentrate via standard leaching processing technologies with extremely high recoveries.

A revised mineral resource statement in relation to the Hope & Gorob project is being finalised by Addison Mining Services which will incorporate recent metallurgical test work and the Company expects to announce this in October 2023.

Outlook: During the period the copper price has continued to be volatile, but the consensus remains that there is an impending shortage of copper supplies. We believe we have an above average copper project portfolio, and we continue to have several discussions regarding finance and resource collaboration for their advancement. At the time of writing, we are still in discussions and negotiations regarding portfolio advancement.

I would like to thank my fellow directors and management for their untiring efforts to maintain and advance our projects to a point where our portfolio is well understood by the trade and therefore financeable going forward.

Colin Bird

Executive Chairman

29 September 2023

For further information, please contact:

 
Bezant Resources Plc 
 Colin Bird Executive Chairman                +44 (0)20 3416 3695 
------------------------------------------  ---------------------- 
Beaumont Cornish (Nominated Adviser) 
 Roland Cornish / Asia Szusciak              +44 (0) 20 7628 3396 
------------------------------------------  ---------------------- 
Novum Securities Limited (Joint Broker) 
 Jon Belliss                                  +44 (0) 20 7399 9400 
------------------------------------------  ---------------------- 
Shard Capital Partners LLP (Joint Broker) 
 Damon Heath                                  +44 (0) 20 7186 9952 
------------------------------------------  ---------------------- 
 

or visit http://www.bezantresources.com

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law pursuant to the Market Abuse (Amendment) (EU Exit) regulations (SI 2019/310).

Group Statement of Profit and Loss

For the six months ended 30 June 2023

 
                           Notes     Unaudited     Unaudited 
                                    Six months    Six months 
                                         ended         ended 
                                       30 June       30 June 
                                          2023          2022 
                                       GBP'000       GBP'000 
 
 CONTINUING OPERATIONS 
 
 Group revenue                               -             - 
 
   Cost of sales                             -             - 
                                  ------------  ------------ 
 
 Gross profit                                -             - 
 
 Operating expenses                      (463)         (319) 
 Share based payments        4               -          (29) 
                                  ------------  ------------ 
 
   Group operating loss                  (463)         (348) 
 
 Interest income                             -             - 
 
 Loss before taxation                    (463)         (348) 
 
   Taxation                                  -             - 
                                  ------------  ------------ 
 
 Loss for the period                     (463)         (348) 
                                  ============  ============ 
 
 
 Loss per share (pence) 
 Basic and diluted from continuing operations    4   (0.01)   (0.01) 
                                                    =======  ======= 
 

Group Statement of Other Comprehensive Income

For the six months ended 30 June 2023

 
                                                 Unaudited     Unaudited 
                                                Six months    Six months 
                                                     ended         ended 
                                                   30 June       30 June 
                                                      2023          2022 
                                                   GBP'000       GBP'000 
 Other comprehensive income : 
 Loss for the period                                 (463)         (348) 
 Items that may be reclassified to profit 
  or loss: 
 Foreign currency reserve movement                   (179)             9 
                                              ------------  ------------ 
 
   Total comprehensive loss for the period           (642)         (339) 
                                              ============  ============ 
 

Group S tatement of Changes in Equity

For the six months ended 30 June 2023

 
                                Share      Share          Other   Retained   Non-Controlling      Total 
                              Capital    Premium    Reserves(1)     Losses          interest     Equity 
                              GBP'000    GBP'000        GBP'000    GBP'000                      GBP'000 
 Unaudited - six months 
  ended 30 June 2023 
 Balance at 1 January 
  2023                          2,079     39,507          3,672   (35,551)                 -      9,707 
 Current period loss                -          -              -      (463)                 -      (463) 
 Foreign currency reserve           -          -          (179)          -                 -      (179) 
 
 Total comprehensive 
  loss for the period               -          -          (179)      (463)                 -      (642) 
                            ---------  ---------  -------------  ---------  ----------------  --------- 
 Proceeds from shares 
  issued                           37        713              -          -                 -        750 
 Share issue costs                  -       (81)             21          -                 -       (60) 
 Shares issued - in 
  lieu of fees                     14        422              -          -                 -        436 
 Equity component of 
  borrowings                        -          -            272          -                 -        272 
                            ---------  ---------  -------------  ---------  ----------------  --------- 
 
   Balance at 30 June 
   2023                         2,130     40,561          3,786   (36,014)                 -     10,463 
                            =========  =========  =============  =========  ================  ========= 
 
 
                                Share      Share          Other   Retained   Non-Controlling      Total 
                              Capital    Premium    Reserves(1)     Losses          interest     Equity 
                              GBP'000    GBP'000        GBP'000    GBP'000                      GBP'000 
 Unaudited - six months 
  ended 30 June 2022 
 Balance at 1 January 
  2022                          2,076     39,303          3,781   (36,952)              (12)      8,196 
 Current period loss                -          -              -      (348)                 -      (348) 
 Foreign currency reserve           -          -              9          -                 -          9 
 
 Total comprehensive 
  loss for the period               -          -              -      (348)                 -      (339) 
                            ---------  ---------  -------------  ---------  ----------------  --------- 
 Proceeds from shares                                                                      - 
  issued                            -          -              -          -                            - 
 Shares issued - in 
  lieu of fees                      2        147              -          -                 -        149 
 Warrants exercised                 -         18              -         44                 -         62 
 Share options granted              -          -                         -                 -          - 
                            ---------  ---------  -------------  ---------  ----------------  --------- 
 
   Balance at 30 June 
   2022                         2,078     39,468          3,790   (37,256)              (12)      8,068 
                            =========  =========  =============  =========  ================  ========= 
 

(1) Other reserves is made up of the share-based payment and foreign exchange reserve.

Group Balance Sheet

As at 30 June 2023

 
                                              Unaudited     Audited 
                                                     30          31 
                                                   June    December 
                                                   2023        2022 
                                      Notes     GBP'000     GBP'000 
 
 ASSETS 
 Non-current assets 
 Plant and equipment                    6             2           2 
 Investments                            7         2,260       2,260 
 Exploration and evaluation assets      8         8,435       8,398 
                                             ----------  ---------- 
 Total non-current assets                        10,697      10,660 
                                             ----------  ---------- 
 
 Current assets 
 Trade and other receivables                         56          76 
 Cash and cash equivalents                          365          57 
                                             ----------  ---------- 
 Total current assets                               421         133 
                                             ---------- 
 
 TOTAL ASSETS                                    11,118      10,793 
                                             ---------- 
 
 LIABILITIES 
 
 Current liabilities 
 Trade and other payables                           220         463 
 Borrowings                             9           435         623 
                                             ----------  ---------- 
 Total current liabilities                          655       1,086 
                                             ----------  ---------- 
 
 
   NET ASSETS                                    10,463       9,707 
                                             ==========  ========== 
 
 EQUITY 
 Share capital                         10         2,130       2,079 
 Share premium                         10        40,561      39,507 
 Share-based payment reserve                      1,201       1,181 
 Foreign exchange reserve                           328         506 
 Merger reserve                                   1,831       1,831 
 Other reserves                                     426         154 
 Retained losses                               (36,014)    (35,551) 
                                             ----------  ---------- 
 
   TOTAL EQUITY                                  10,463       9,707 
                                             ==========  ========== 
 

Group Statement of Cash Flows

For the six months ended 30 June 2023

 
                                                            Unaudited    Unaudited 
                                                           Six months   Six months 
                                                                ended        ended 
                                                              30 June      30 June 
                                                                 2023         2022 
                                                   Notes      GBP'000      GBP'000 
 
 Net cash outflow from operating activities         11          (246)        (238) 
                                                          -----------  ----------- 
 
 Cash flows from/(used) in investing activities 
 Deferred exploration expenditure                               (149)        (474) 
                                                                (149)        (474) 
                                                          -----------  ----------- 
 Cash flows from financing activities 
 Proceeds from issuance of ordinary shares                        703           19 
 Borrowings                                                         -          250 
                                                          -----------  ----------- 
                                                                  703          269 
                                                          -----------  ----------- 
 Increase/(decrease) in cash                                      308        (443) 
 
 Cash and cash equivalents at beginning 
  of period                                                        57          728 
 Foreign exchange movement                                          -            4 
                                                          -----------  ----------- 
 
 Cash and cash equivalents at end of period                       365          289 
                                                          ===========  =========== 
 

Notes to the interim financial information

For the six months ended 30 June 2023

 
 1.   Basis of preparation 
       The unaudited interim financial information set out above, 
       which incorporates the financial information of the Company 
       and its subsidiary undertakings (the "Group"), has been prepared 
       using the historical cost convention and in accordance with 
       International Financial Reporting Standards ("IFRS"), including 
       IFRS 6 'Exploration for and Evaluation of Mineral Resources', 
       as adopted by the European Union ("EU") and with those parts 
       of the Companies Act 2006 applicable to companies reporting 
       under IFRS. 
 
       These interim results for the six months ended 30 June 2023 
       are unaudited and do not constitute statutory accounts as 
       defined in section 434 of the Companies Act 2006. The financial 
       statements for the year ended 31 December 2022 have been delivered 
       to the Registrar of Companies and the auditors' report on 
       those financial statements was unqualified and contained a 
       material uncertainty pertaining to going concern. 
 
       Going concern basis of accounting 
       The Group made a loss from all operations for the six months 
       ended 30 June 2023 after tax of GBP0.5 million (2022: GBP0.4 
       million), had negative cash flows from operations and is currently 
       not generating revenues. Cash and cash equivalents were GBP365,000 
       as at 30 June 2023. 
 
       On 12 April 2023 the Company announced a GBP750,000 fundraising 
       from directors, existing shareholders and investors to advance 
       the Hope Copper-Gold Project in Namibia whilst the Company 
       awaits the award of a mining licence ahead of facilitating 
       copper gold mining operations, for the metallurgical test 
       work on the Kanye manganese project in Botswana and for the 
       Company's other projects as well as working capital. The Company 
       also issued shares to Directors and PDMR at a premium to the 
       share price to settle GBP174,961 of accrued fees ("Conversion 
       Shares") and the settling of GBP101,250 of consultancy fees 
       by the issue of shares to consultants ("Consultant Shares") 
       to conserve the Company's working capital. 
 
       On 15 June 2023, the Company announced, that it had agreed 
       with Sanderson Capital Partners Limited ("Sanderson") a long-term 
       shareholder in the Company to extend the repayment date for 
       the GBP700,000 drawn down under the unsecured convertible 
       loan funding facility entered into with Sanderson on 22 November 
       2021 until 23 December 2024 which is now convertible by Sanderson 
       at the fixed price of 0.08 pence per share. 
 
       An operating loss is expected in the year subsequent to the 
       date of these accounts and as a result the Company will need 
       to raise funding to provide additional working capital to 
       finance its ongoing activities. Management has successfully 
       raised money in the past, but there is no guarantee that adequate 
       funds will be available when needed in the future. 
 
       Based on the Board's assessment that the Company will be able 
       to raise additional funds, as and when required, to meet its 
       working capital and capital expenditure requirements, the 
       Board have concluded that they have a reasonable expectation 
       that the Group can continue in operational existence for the 
       foreseeable future. For these reasons the Group continues 
       to adopt the going concern basis in preparing the annual report 
       and financial statements. 
 
       There is a material uncertainty related to the conditions 
       above that may cast significant doubt on the Group's ability 
       to continue as a going concern and therefore the Group may 
       be unable to realize its assets and discharge its liabilities 
       in the normal course of business. 
 
       The financial report does not include any adjustments relating 
       to the recoverability and classification of recorded asset 
       amounts or liabilities that might be necessary should the 
       entity not continue as a going concern. 
 2    Significant accounting judgments, estimates and assumptions 
      The carrying amounts of certain assets and liabilities are 
       often determined based on estimates and assumptions of future 
       events. The key estimates and assumptions that have a significant 
       risk of causing a material adjustment to the carrying amounts 
       of certain assets and liabilities within the next annual reporting 
       year are: 
 
 
   Share-based payment transactions: 
   The Group measures the cost of equity-settled transactions 
    with directors, consultants and employees by reference to 
    the fair value of the equity instruments at the date at which 
    they are granted. The fair value is determined by using a 
    Black and Scholes model which takes into account expected 
    share volatility, strike price, term of the option and the 
    dividend policy. 
 
 
   Impairment of investments, options and deferred exploration 
    expenditure: 
   The Group determines whether investments (including those 
    acquired during the period), options and deferred exploration 
    expenditure are impaired when indicators, based on facts and 
    circumstances, suggest that the carrying amount may exceed 
    its recoverable amount. Such indicators include the point 
    at which a determination is made as to whether or not commercial 
    mining reserves exist in the subsidiary or associate in which 
    the investment is held or whether exploration expenditure 
    capitalised is recoverable by way of future exploitation or 
    sale, obviously pending completion of the exploration activities 
    associated with any specific project in each segment. 
   Fair value of assets and liabilities acquired on acquisition 
    of subsidiaries 
   The Group determines the fair value of assets and liabilities 
    acquired on acquisition of subsidiaries by reference to the 
    carrying value at the date of acquisition and by reference 
    to exploration activities undertaken and/or information that 
    the Directors become aware of post acquisition (note 8). 
   Investments at fair value through profit and loss ('Equity 
    investments') 
   Equity investments are initially measured at cost, including 
    transaction costs. At each reporting date, the fair value 
    is assessed and any resultant gains and losses are included 
    directly in the Consolidated Statement of Profit and Loss 
    under IFRS 9. 
 
    Valuation of Equity Instruments Convertible Loan (Borrowings) 
    Convertible instruments can be complex, containing a number 
    of features which can have a significant impact on the accounting 
    under IFRS 9 Financial Instruments and IAS 32 Presentation 
    of Financial Instruments. The Company determined that the 
    GBP700,000 convertible note whose terms was modified during 
    the period (note 9) was substantially different as the discounted 
    present value of the cash flows under the new terms including 
    any fees paid net of any fees received discounted using the 
    original effective interest rate was more than 10% different 
    from the discounted present value of the remaining cash flows 
    of the original financial liability. Therefore, the original 
    GBP700,000 convertible note ("Original 2022 Convertible Loan") 
    was treated as being repaid on 14 June 2023 and a new GBP700,000 
    convertible note loan taken out on 14 June 2023 under the 
    new the modified terms ("Modified 2023 Convertible Loan"). 
    The Company determined that the Modified 2023 Convertible 
    Loan was an equity instrument as the conversion feature results 
    in the conversion of a fixed amount of stated principal into 
    a fixed number of shares, it satisfies the 'fixed for fixed' 
    criterion and, therefore, it is classified as an equity instrument 
    which requires the valuation of the liability component and 
    the equity conversion component. The fair value of the liability 
    component, included in current borrowings, at inception was 
    calculated using a market interest rate for an equivalent 
    instrument without conversion option. The discount rate applied 
    was 25%. 
 
 
 
       Segment reporting 
  3.    For the purposes of segmental information, the operations of 
        the Group are focused in geographical segments, namely the UK, 
        Argentina, Namibia, and Botswana, and comprise one class of business: 
        the exploration, evaluation and development of mineral resources. 
        The UK is used for the administration of the Group and includes 
        equity investments in non-group companies. 
 
        The Group's loss before tax arose from its operations in the 
        UK, Argentina Namibia and Botswana. 
 
 
 
  For the six months 
   ended 30 June 2023 
   - unaudited 
                                          UK   Argentina   Namibia   Botswana     Total 
                                     GBP'000     GBP'000                        GBP'000 
 
  Consolidated loss 
   before tax                          (418)        (45)         -          -     (463) 
                                    --------  ----------  --------  ---------  -------- 
  Included in the consolidated 
   loss before tax are 
   the following income/(expense) 
   items: 
  Foreign currency gain                    -           -         -          -         - 
 
  Total Assets                         2,663       4,867     2,536      1,052    11,118 
  Total Liabilities                    (601)        (54)         -          -     (655) 
                                    --------  ----------  --------  ---------  -------- 
 
 
  For the six months 
   ended 30 June 2022 
   - unaudited 
                                          UK   Argentina   Namibia   Botswana     Total 
                                     GBP'000     GBP'000                        GBP'000 
 
  Consolidated loss 
   before tax                          (288)        (59)       (1)          -     (348) 
                                    --------  ----------  --------  ---------  -------- 
  Included in the consolidated 
   loss before tax are 
   the following income/(expense) 
   items: 
  Foreign currency gain                    -           -                    -         - 
 
  Total Assets                           361       5,338     2,418        885     9,002 
  Total Liabilities                    (892)        (42)         -          -     (934) 
                                    --------  ----------  --------  ---------  -------- 
 
 
 4.    Share based payments 
                                               6 months     6 months 
                                               ended 30     ended 30 
                                              June 2023    June 2022 
                                                GBP'000      GBP'000 
 
  Share option expense - Directors                    -           18 
  Share option expense - Management                   -           11 
                                                      -           29 
  =====================================================  =========== 
 
 
 5.   Loss per share 
      The basic and diluted loss per share have been calculated 
       using the loss attributable to equity holders of the Company 
       for the six months ended 30 June 2023 of GBP463,000 (2022: 
       GBP348,000). The basic loss per share was calculated using 
       a weighted average number of shares in issue of 6,139,789,530 
       (2022: 5,025,497,800). 
 
       The weighted average number of shares in issue and to be 
       issued if calculating the diluted loss per share would amount 
       to 7,200,975,826 (2022: 6,355,967,563). 
 
       The diluted loss per share and the basic loss per share 
       are recorded as the same amount, as conversion of share 
       options decreases the basic loss per share, thus being anti-dilutive. 
 
 
 6.     Plant and equipment 
                                             Unaudited     Audited 
                                               30 June          31 
                                                  2023    December 
                                                              2022 
                                               GBP'000     GBP'000 
 6.1    Cost 
  Balance at beginning of period                    67          67 
        Exchange differences                         -           - 
                                            ----------  ---------- 
  At end of period                                  67          67 
                                            ----------  ---------- 
 
 6.2    Depreciation 
  Balance at beginning of period                    65          65 
        Charge for the period                        -           - 
  At end of period                                  65          65 
                                            ----------  ---------- 
 
 
    Net book value at end of period                  2           2 
                                            ==========  ========== 
 
 
 7.    Investments 
                                                    Unaudited     Audited 
                                                           30          31 
                                                         June    December 
                                                         2023        2022 
                                                      GBP'000     GBP'000 
 
  Investments under fair value through 
   profit and loss (note 7.1)                           2,182       2,182 
  Debt instruments under fair value through 
   profit and loss (note 7.2)                              78          78 
                                                        2,260       2,260 
                                                   ==========  ========== 
 
 
 7.1   Investments 
       On 13 September 2021 the Company, entered into a conditional 
        agreement with IDM Mankayan Pty Ltd ("IDM Mankayan"), a company 
        incorporated in Australia, to take the Mankayan Project in 
        the Philippines forward (the "IDM Mankayan Agreement"). The 
        IDM Mankayan Agreement completed on 20 October 2021 and the 
        Company paid A$90,000 (GBP49K)_to IDM Mankayan and owns 44 
        IDM Mankayan shares (the "IDM Mankayan Investment") of the 
        160 shares issued by IDM Mankayan but has no management control 
        over or right to appoint directors of IDM Mankayan which is 
        why the IDM Mankayan Investment is held as an equity investment 
        under IFRS 9. The Mankayan project's MPSA was originally issued 
        for a standard 25 year period, which expired on 11 November 
        2021, and as announced by the Company on 18 March 2022 has 
        been renewed for a second 25 year term with effect from 12 
        November 2021. 
 
        On 26 October 2022 the Company entered into a conditional share 
        purchase agreement with IDM International Ltd ("IDM International") 
        the parent company of IDM Mankayan to sell the IDM Mankayan 
        Investment for 19,381,054 fully paid ordinary shares of IDM 
        International (the "IDM International SPA"). The IDM International 
        SPA was conditional on approval of the IDM International SPA 
        by the shareholders of IDM International and completed during 
        the period on 27 March 2023. 
 
 
 7.2   On 26 October 2022 the Company entered into a convertible loan 
        note agreement with IDM International to invest A$137,500 (GBP 
        78K) in IDM International to acquire 137,500 notes (the "IDM 
        International Convertible Loan Note Investment"). The Company 
        has the right to convert the whole but not part of the face 
        value of each Note into IDM International Shares at A$0.20 
        at any time (and as many times) prior to the Maturity Date 
        which is 11 November 2026. As at 30 June 2023, the fair value 
        of the debt instrument was GBP78k and no unrealised gain/loss 
        was recognised. 
                                              Unaudited       Audited 
                                           30 June 2023   31 December 
                                                                 2022 
                                                GBP'000       GBP'000 
         Investments under fair value 
          through profit and loss 
         Unquoted investments 1 January 
          2023                                    2,182            49 
         Increase in fair value during 
          year(1)                                     -         2,133 
                                          -------------  ------------ 
         Unquoted investments at 30 
          June 2023                               2,182         2,182 
                                          =============  ============ 
 
        (1) 19,381,054 shares valued at AUD$0.20 (GBP0.112) being 
        the share subscription price at which at which third parties 
        subscribed for shares in IDM International on 4 April 2023. 
 
        Investments are initially valued at cost. At each reporting 
        date these investments are measured at fair value with any 
        gains or losses recognised through the Consolidated Statement 
        of Profit and Loss. In 2023, the Group and Company had unrealised 
        gains of GBP2,133,000. 
 
        This along with other valuations are estimates based on the 
        Directors' assessment of the performance of the underlying 
        investment and reliable information such as recent fundraising. 
        There is however inherent uncertainty when valuing private 
        companies such as these in the natural resources sector. 
 
 
 8.    Exploration and evaluation assets 
                                                       Unaudited     Audited 
                                                              30          31 
                                                            June    December 
                                                            2023        2022 
                                                         GBP'000     GBP'000 
 
  Balance at beginning of period                           8,398       7,692 
       Acquisitions during period 
  Exploration expenditure                                     37         934 
  Write back of liability in relation to joint 
   venture expenditure (note 8.1)                              -       (228) 
 
    Carried forward at end of period                       8,435       8,398 
                                                      ==========  ========== 
 
 
 
       8.1    Exploration Assets 
             Argentina 
              The amount of capitalised exploration and evaluation expenditure 
              relates to 12 licences comprising the Eureka Project and are 
              located in north-west Jujuy near to the Argentine border with 
              Bolivia and are formally known as Mina Eureka, Mina Eureka 
              II, Mina Gino I, Mina Gino II, Mina Mason I, Mina Mason II, 
              Mina Julio I, Mina Julio II, Mina Paul I, Mina Paul II, Mina 
              Sur Eureka and Mina Cabereria Sur, covering, in aggregate, 
              an area in excess of approximately 5,500 hectares and accessible 
              via a series of gravel roads. All licences remain valid. 
 
              A new Environmental Impact Assessment (EIA) was presented in 
              2021 and approved in February 2023 in respect of Mina Eureka, 
              Mina Gino I, Mina Gino II, Mina Mason I, Mina Mason II, Mina 
              Julio I, Mina Julio II, Mina Paul I, Mina Paul II, being the 
              9 northern most licences which are the intended focus of a 
              future exploration programme. The new EIA approval covers environmental 
              monitoring and a drill program encompassing 9 drill holes of 
              200-300 metres each. The Company will engage an environmental 
              consultant to conduct the environmental monitoring in 2H 2023 
              and is seeking a joint venture partner to work with in relation 
              to an exploration drilling programme. 
 
              Notwithstanding the absence of new exploration activities on-site 
              during the period the directors, given their intention post 
              COVID-19 in Argentina to focus on finding a joint venture partner 
              for the project have assessed the value of the intangible asset 
              having considered any indicators of impairment, and in their 
              opinion, based on a review of the expiry dates of licences, 
              future expected availability of funds to develop the Eureka 
              Project and the intention to continue exploration and evaluation, 
              no impairment is necessary. The capitalised cost at 30 June 
              2023 was GBP4,847,000. 
 
       8.2    Namibia 
              On 14 August 2020 the Company completed the acquisition of 
              100% of Virgo Resources Ltd and its interests in the Hope Copper-Gold 
              Project in Namibia which comprise i) 70% of Hope and Gorob 
              Mining Pty Ltd incorporated in Namibia which owns EPL5796, 
              and ii) 80% of Hope Namibia Mineral Exploration Pty Ltd Incorporated 
              in Namibia which owns EPL6605 and iEPL7170. The balance of 
              the project is held by local Namibian partners. 
              JORC Resource: The Hope project area on EPL5796 contains a 
              combined gross mineral resource within three closely-spaced 
              deposits (namely Hope, Gorob-Vendome and Anomaly) of 10.18Mt 
              at 1.89% Cu and 0.3 g/t Au at 0.7% Cu cut-off reported in accordance 
              with the JORC code (2012), with 192kt of contained Cu and 3,190kg 
              of contained Au. Approximately 30% of the Mineral Resource 
              tonnage is classified in the Indicated Mineral Resource category 
              with the balance in the Inferred Mineral Resource category 
              and was based on 339 drill holes for a total of 63,855 metres. 
              The Hope deposit itself has an Indicated Mineral Resource of 
              3.09Mt @ 2.53% Cu and 0.84g/t Au at a 0.7% Cu cut-off. Historic 
              drill intersections include 23.31m @ 1.59% Cu & 0.23g/t Au 
              from 464.09m, including 9.68m @ 3.18% Cu & 0.42g/t Au from 
              477.17m (hole HDD82) and 10.12m @ 5.72% Cu & 0.56g/t Au from 
              525.57m (hole HDD91). 
             During 2022 on 7 February 2022, 15 March 2022, 14 June 2022 
              and 9 August 2022 the Company announced positive results in 
              relation to exploration activities undertaken post acquisition 
              which support the Company's confidence in the Hope Copper-Gold 
              Project. The 9 August 2022 announcement highlighted that; the 
              Company has submitted a mining licence application for the 
              Hope-Gorob copper-gold project area on EPL5796 to the Namibian 
              authorities; the Mining Licence application is based on an 
              updated Scoping Study completed in May 2022 by external consultants 
              incorporating historic mineral resource estimates which did 
              not yet include additional near-surface copper-gold resources 
              generated by the Company's shallow drill programme completed 
              in early 2022; the Scoping Study indicated that the potential 
              for the development of a surface and underground copper mine 
              exists at the Hope and Gorob deposits and recommended completion 
              of the additional work required for optimisation of mine development 
              plans including the work necessary to obtain granting of environmental 
              permits and also recommended that further exploration work 
              continues to fully define resource potential at these deposits; 
              the shallow drilling completed in 2022 has continued to extend 
              the strike and up-dip extension of mineralisation at both the 
              Hope and Vendome prospects. The 2022 drillholes have added 
              more than 1.5km to the mineralised strike length, with the 
              potential to add significantly to the previously estimated 
              mineral resource; and continuous copper and gold mineralisation 
              has been intersected in drill intercepts over substantial downhole 
              widths of up to 29.74m. 
                        Reported downhole assay peak intercepts from the shallow drill 
                         programme on EPL5796 include: 
 
                         o 4.6% Cu, 2.80g/t Au over 3.81m from 39.32m depth in hole 
                         VED001 
 
                         o 2.4% Cu, 0.36g/t Au over 14.28m from 25.2m depth in hole 
                         HPD003 
 
                         o 1.90% Cu, 0.36g/t Au over 9.30m from 33.80m depth in hole 
                         HPD005 
 
                         o 1.49% Cu, 0.23g/t Au over 16.97m from 15.50m depth in hole 
                         HPD004 
 
                         It was also noted that gold values typically return grades 
                         of approximately 0.3g/t Au providing a significant potential 
                         by-product value addition; and the drill programme was successful 
                         in confirming the presence of shallow mineralisation at three 
                         prospects to date. Results are sufficiently encouraging to 
                         warrant further drilling along strike to evaluate an estimated 
                         additional linear 10km or more of projected mineralisation 
                         never previously tested. 
 
                         A renewal application has been made for EPL6605 to be renewed 
                         to 25 September 2024 which the Company anticipates will be 
                         granted once the Ministry of Mines and Energy review has been 
                         completed. 
 
                         Post acquisition there have been no indications that any impairment 
                         provisions are required in relation to the carrying value of 
                         the Hope Copper-Gold Project. The capitalised cost at 30 June 
                         2023 was GBP2,536,000. 
 
       8.3    Botswana 
              On 12 February 2021 the Company further to its announcement 
              on 22 December 2020 announced the completion of the acquisition 
              of 100% of Metrock Resources Ltd ("Metrock") and its manganese 
              mineral exploration licences in Southern Botswana comprising 
              the Kanye Manganese Project (the "Kanye Manganese Project"). 
              The Kanye Manganese Project i) comprises a 1,668 sq. km land 
              package with 125 km of potential on trend manganese mineralisation 
              across the licences ii) has historical trenching results have 
              yielded in the case on one prospect of between 53% and 74% 
              manganese oxide ("MnO"), and iii) project area is near the 
              ground of a TSX listed public company that has a preliminary 
              economic assessment showing high rates of return based on a 
              MnO grade of 27.3. 
 
        The Kanye Manganese Project comprises collection of five prospecting 
         licenses, namely PLs 129/2019 , 421/2018, 423/2018, 424/2018, 
         and PL 425/2018 (the "Project Licences"), located in south-central 
         Botswana south of the town of Jwaneng and west of the town 
         of Kanye and 150 km by road from the capital Gaborone. The 
         licenses cover a total area of 1,668 sq. km and provide the 
         holder with the right to prospect for Metals. Four licenses 
         are held by Cypress Sources Pty Ltd, a 100% owned subsidiary 
         of Coastal Resources Pty Ltd which in turn is 100% owned by 
         Metrock Resources Limited. The fifth licence PL 129/2019 is 
         held by Coastal Minerals Pty Ltd which is 100% owned by Coastal 
         Resources Pty Ltd. 
 
         Reconnaissance mapping, prospecting and sampling work on the 
         Kanye property since acquisition in February 2021 (through 
         October 2022) has been focussed on PL 129/2019 has highlighted 
         the following; in relation to PL 129/2019 up to four historic 
         manganese occurrences were successfully located and sampled 
         in the field within an 8km-belt; 40 grab samples were obtained 
         which assayed from traces up to high-grade results of 67.18% 
         MnO occurring at the Moshaneng borrow pit and 68.01% MnO at 
         the Mheelo prospect; geological mapping indicates that the 
         target horizon hosting high-grade manganese may extend continuously 
         for at least 4km between the Loltware and Moshaneng prospects 
         on the Bezant ground; laboratory assays from trench sampling 
         by Bezant at the Loltware manganese prospect (announced on 
         22 March 2022) returned in-situ chip/grab sample peak results 
         of 41.4% MnO, 49.23% MnO and 40.83% MnO from one metre wide 
         zones of siliceous manganese mineralisation within a continuously 
         mineralised zone of 40m @ 11.53% MnO; At the Moshaneng Borrow 
         Pit, excavation of shallow clays by a local contractor for 
         road fill has exposed further manganese-rich pods over a width 
         of approximately 12-15m and a strike length of about 300m within 
         a continuous 2km long soil anomaly. 
 
 
        Maiden drill testing for both the Moshaneng and Loltware targets 
         commenced in October 2022 and comprised 11 mainly shallow, 
         angled RC holes totaling 682m at Moshaneng prospect as well 
         as one short diamond drill hole at Loltware prospect the results 
         of which were announced on 9 February2023 and highlighted; 
         Moshaneng drilling intersected a zone of flat-lying detrital, 
         supergene manganese-iron mineralisation which appears to infill 
         an irregular karst surface over a minimum strike length of 
         400m; p otential for at least another 100m of strike extension 
         to the southeast of holes MS-RC-07 and MS-RC-012 would extend 
         the total strike length to a minimum of 500m ; l ess than 25% 
         of the more than 2km potential extent of the target defined 
         by soil geochemistry has been drill tested ; g rades compare 
         favourably with reported grades on neighbouring more advanced 
         manganese projects and therefore the Kanye project warrants 
         detailed evaluation and drilling with a view to establishing 
         the mineral resource potential; drilling at Loltware encountered 
         encouraging manganese enhancement in core, warranting further 
         investigation. 
              The Moshaneng drill results included the following assay intervals: 
                *    6m @ 28.64% MnO from 6m depth in hole MS-RC-12 
 
 
                *    Including 4m @ 35.38% MnO from 8m depth 
 
 
                *    3m @ 21.85% MnO from 4m depth in hole MS-RC-06 
 
 
               3m @ 21.20% MnO from 2m depth in hole MS-RC-07 
 
         Post the period end on 24 July 2023 and 6 September 2023 the 
         Company announced the results of metallurgical test work at 
         the Kanye project which in essence verify that manganese can 
         be extracted from the deposit to produce leach solutions with 
         high manganese concentrate via standard leaching processing 
         technologies with extremely high recoveries. 
 
         Post-acquisition there have been no indications that any impairment 
         provisions are required in relation to the carrying value of 
         the Kanye Manganese Project. 
 
         The capitalised cost at 30 June 2023 was GBP1,052,000. 
 
 
 9.     Borrowings 
        Borrowings Original 2022 Convertible Loan - Note (i) 
                                                                       Consolidated 
                                                              Unaudited              Audited 
                                                           30 June 2023          31 December 
                                                                                        2022 
                                                                GBP'000              GBP'000 
 
        Balance at beginning of year                                623                    - 
  Convertible loan receipts                                           -                  700 
  Equity allocation                                                   -                (154) 
  Finance charge accrued                                             77                   77 
  Refinanced by Modified 2023 Convertible 
   Loan                                                           (700) 
                                                                      -                  623 
                                                  =====================  =================== 
 
 
 
       Borrowings Modified 2023 Convertible Loan - Note (ii) 
                                                                        Consolidated 
                                                              Unaudited               Audited 
                                                             30 June 2023          31 December 
                                                                                          2022 
                                                                  GBP'000              GBP'000 
 
       Balance at beginning of year                                     -                    - 
       Original 2022 Convertible loan refinanced                      700                    - 
       Equity allocation                                            (272)                    - 
       Finance charge accrued                                           7                    - 
                                                                      435                    - 
                                                  =======================  =================== 
 
 

Note (i) As announced on 30 June 2022 the Company further to its announcement of 23 November 2021 confirmed that it had issued two drawdown notices of GBP350,000 each (" Tranche 1 " and " Tranche 2 ") for a total amount of GBP700,000 (the " Original 2022 Convertible Loan ") under its GBP1,000,000 interest free unsecured convertible loan funding facility with Sanderson Capital Partners Ltd (the " Lender"), a long-term shareholder in the Company (the " Facility "). The amount drawdown was interest free and repayable in 12 months or can be converted at any time at the Lender's option into Bezant shares at fixed prices for Tranche 1 of GBP350,000, at 0.19 pence per share and for Tranche 2 of GBP350,000 at 0.225 pence per share. As the conversion feature results in the conversion of a fixed amount of stated principal into a fixed number of shares, it satisfies the 'fixed for fixed' criterion and, therefore, it is classified as an equity instrument. The value of the liability component of GBP546,000 and the equity conversion component of GBP154,000 were determined at the date of the drawdowns. The fair value of the liability component, included in current borrowings, at inception was calculated using a market interest rate for an equivalent instrument without conversion option. The discount rate applied was 25%.

Under the terms of the Facility the Lender is due;

a) a drawdown fee of GBP14,000 being 2% of the amount drawdown which was settled by the issue of 12,522,361 new ordinary shares of GBP0.00002 each ("Shares") credited as fully paid at 0.1118 pence per share being the five-day VWAP on 28 June 2022 (the "Drawdown Fee Shares"); and

b) GBP350,000 of three year warrants over Shares (the "Warrants"). The exercise price for the Warrants are as follows:

   --      GBP175,000 at 0.25 pence per share for the drawdown of Tranche 1; and 
   --      GBP175,000 at 0.30 pence per share for the drawdown of Tranche 2. 

Note (ii) On 15 June 2023 the Company announced that it had agreed with the Lender to extend the repayment date for the GBP700,000 under the Original 2022 Convertible Loan so the GBP700,000 drawdown is now repayable by 23 December 2024 and convertible by the Lender at the fixed price of 0.08 pence per share (the "New Conversion Price") and to the loan extension fees detailed below (the "Modified 2023 Convertible Loan"). No further amounts can be drawn down under the Facility.

As the conversion feature of the Modified 2023 Convertible Loan results in the conversion of a fixed amount of stated principal into a fixed number of shares, it satisfies the 'fixed for fixed' criterion and, therefore, it is classified as an equity instrument. The value of the liability component of GBP427,674 and the equity conversion component of GBP272,326 were determined at the date of the Modified Terms. The fair value of the liability component, included in current borrowings, at the date of the Modified 2023 Convertible Loan was calculated using a market interest rate for an equivalent instrument without conversion option. The discount rate applied was 25%.

Under IFRS 9, the terms of a modified financial liability at amortised cost are substantially different if the discounted present value of the cash flows under the new terms including any fees paid net of any fees received discounted using the original effective interest rate is at least 10% different from the discounted present value of the remaining cash flows of the original financial liability. Therefore the Original 2022 Convertible Loan is treated as repaid on 14 June 2023 and the Modified 2023 Convertible Loan as a new loan taken out on 14 June 2023.

The Company as a loan extension fee in relation to the Modified 2023 Convertible Loan i) paid the Lender a GBP 70,000 facility extension and documentation fee equivalent to 6.67% per year which was settled by the issue of 87,500,000 new ordinary shares of 0.002p each ("Shares") at the New Conversion Price ("Facility Extension Fee Shares"); and ii) issued the Lender 437,500,000 warrants over Shares exercisable at 0.12 pence per Share (the "Warrant Exercise Price") exercisable for two years from 14 June 2023 (the "Facility Extension Fees"). The Company has an option to convert all or part of the GBP700,000 drawdown if the Company's share price exceeds 0.14 pence for 10 or more business days.

The New Conversion Price was at a 113% premium to the closing price of 0.0375 pence per share on 14 June 2023 and a 100% premium to the placing price in relation to the Company's GBP750,000 fundraising announced on 12 April 2023. The Warrant Exercise Price is at a 220% premium to the closing price on 14 June 2023.

 
 10.    Share capital 
                                                   Unaudited     Audited 
                                                          30          31 
                                                        June    December 
                                                        2023        2022 
                                                     GBP'000     GBP'000 
        Number 
        Authorised 
  6,000,000,000 ordinary shares of 0.002p 
   each (1)                                              120         100 
  5,000,000,000 deferred shares of 0.198p 
   each (2)                                            9,900       9,900 
                                                  ----------  ---------- 
                                                      10,000      10,000 
                                                  ==========  ========== 
 
 
 
  Allotted ordinary shares, called up and 
   fully paid 
  As at beginning of the year                            101      98 
  Share subscription                                      37       - 
  Shares issued in lieu of directors and management 
   fees                                                    4       1 
  Shares issued on exercise of warrants                    -       1 
  Shares issued to settle third party fees                10       1 
  Total ordinary shares at end of year                   152     101 
                                                      ------  ------ 
 
  Allotted deferred shares, called up and 
   fully paid (2) 
  As at beginning of the period                        1,978   1,978 
  Total deferred shares at end of period               1,978   1,978 
 
    Ordinary and deferred as at end of period          2,130   2,079 
                                                      ======  ====== 
 
 
                                                                            Number of 
                                                            Number of       shares 31 
                                                            shares 30        December 
                                                            June 2023            2022 
  Ordinary share capital is summarised below: 
  As at beginning of the period                         5,081,399,113   4,913,028,538 
  Share subscription                                    1,875,000,000               - 
  Shares issued in lieu of directors and management 
   fees                                                   218,700,942     100,000,000 
  Shares issued on exercise of warrants                             -      41,562,500 
  Shares issued to settle third party fees                462,872,981      26,808,075 
 
    As at end of period                                 7,637,973,036   5,081,399,113 
                                                      ===============  ============== 
 
  Deferred share capital is summarised below: 
  As at beginning of the year (1)                         998,773,038     998,773,038 
 
    As at end of period                                   998,773,038     998,773,038 
                                                      ===============  ============== 
 
  (1) This is the number of ordinary shares which the directors 
   were authorised to issue at the AGM on 23 August 2022. This authority 
   was increased to 7,500,000,000 shares at the AGM on 28 July 2023. 
   (2) The Deferred Shares have very limited rights and are effectively 
   valueless as they have no voting rights and have no rights as 
   to dividends and only very limited rights on a return of capital. 
   The Deferred Shares are not admitted to trading or listed on 
   any stock exchange and are not freely transferable. 
 
 
                                                       Unaudited     Audited 
                                                              30          31 
                                                            June    December 
                                                            2023        2022 
                                                         GBP'000     GBP'000 
  The share premium was as follows: 
  As at beginning of year                                 39,507      39,303 
  Share subscription                                         713           - 
  Shares issued to settle third party fees                   251          34 
  Shares issued in lieu of directors and management 
   fees                                                      171         128 
  Share issue costs                                         (81)           - 
  Warrants exercised                                           -          42 
 
    As at end of year                                     40,561      39,507 
                                                      ==========  ========== 
 
 
   Each fully paid ordinary share carries the right to one vote 
    at a meeting of the Company. Holders of ordinary shares also 
    have the right to receive dividends and to participate in the 
    proceeds from sale of all surplus assets in proportion to the 
    total shares issued in the event of the Company winding up. 
 
 
 11.    Reconciliation of operating loss to net 
         cash outflow from operating activities 
                                                        Unaudited   Unaudited 
                                                              Six         Six 
                                                           months      months 
                                                         ended 30       ended 
                                                             June     30 June 
                                                             2023        2022 
                                                          GBP'000     GBP'000 
 
  Operating loss from all operations                        (463)       (348) 
 
  Share option expense                                          -          29 
  Shares issued - Directors fees                               43 
  Share issued - Consultants                                   19 
        Shares issued - Legal/finance fees                     70           - 
  (Increase)/decrease in receivables                           20        (52) 
  Increase/(decrease) in payables                              65         133 
                                                       ----------  ---------- 
 
    Net cash outflow from operating activities              (246)       (238) 
                                                       ==========  ========== 
 
 
 12.   Subsequent events 
 
 
   No significant events have occurred subsequent to the reporting 
    date that would have a material impact on the consolidated financial 
    statements. 
 
 
 13.   Availability of Interim Report 
       A copy of these interim results will be available from the Company's 
        registered office during normal business hours on any weekday 
        at Floor 6, Quadrant House, 4 Thomas More Square, London E1W 
        1YW and can also be downloaded from the Company's website at 
        www.bezantresources.com . Bezant Resources Plc is registered 
        in England and Wales with company number 02918391. 
 

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