Interim Results
26 August 2008 - 4:00PM
UK Regulatory
RNS Number : 8785B
Alba Mineral Resources PLC
26 August 2008
Alba Mineral Resources plc
("Alba" or "the Company" and collectively with its subsidiary companies "the Group")
Half Yearly Report - 31 May 2008
CHAIRMAN'S STATEMENT
Introduction
The highlight of Alba Mineral Resources' exploration in the last six months was the discovery of potentially economic concentrations of
uranium in northern Mauritania; this was notified to the market 7 July 2008. In addition to the seven uranium permits held in northern
Mauritania, the Company, through its partially-owned subsidiary Mauritania Ventures Limited (MVL), has also applied for five exploration
permits in the south of the country. The permits currently under application are for iron oxide-copper-gold (IOCG) mineralization.
The Group also holds a large and diverse portfolio of mineral properties in Scotland (nickel-copper and gold), Ireland (gold and
base-metals) and Sweden (nickel-copper). The projects are at different stages of development and range from early exploration targets to
more advanced drill-ready projects.
Results for the Period
The Group made a loss attributable to equity holders of the parent for the period, after taxation, of �156,711. The basic and diluted
loss per share was 0.18 pence. The Group had cash balances of �86,203 at the period end.
Review of Activities
Our activities in the first half of the year have been primarily focused in Mauritania. On 7 July 2008 we announced that MVL had located
visible uranium mineralization and had been awarded a further two exploration permits. Ground-based exploration work carried out in February
2008 confirmed the presence of uranium mineralisation containing potentially economic uranium grades of up to 0.092% U3O8 (See note 4).
Fieldwork carried out on the IOCG permits in southern Mauritania confirmed the presence of copper and gold in existing showings.
A second exploration programme was undertaken in April 2008 and the findings from this programme will be reported in detail when the
laboratory results are available.
Outlook
The Group, although now focused as a uranium and nickel junior explorer, will continue to evaluate additional cost effective projects
and proposals that the Board believes have the potential to add value to the Group. The Board believes it is developing not only a strong
portfolio of primary projects, but also a series of supplementary exploration projects. The rationale behind this approach is to limit the
Group's risk on a particular commodity or the political or climatic restrictions associated with a particular geographical area.
As announced 1 August 2008 the Company successfully completed a �50,000 fund raising. The Company is still seeking to raise further
funds in the near term and will work with joint venture partners where possible as the need for funds is ongoing and is under constant
review. Our exploration programmes can only be financed within our financial constraints. Part of this review process will also focus on the
existing licences and permits and properties, which if it is felt do not fit with the Group's profile going forward will be surrendered.
Mike Nott
25 August 2008
Chairman
UNAUDITED CONSOLIDATED INCOME STATEMENT
Unaudited Unaudited
6 months ended 6 months ended
31 May 2008 31 May 2007
� �
Revenue - -
Cost of sales - -
Gross profit - -
Administrative expenses (160,249) (213,053)
Operating loss (160,249) (213,053)
Investment revenue 909 4,123
Loss before taxation (159,340) (208,930)
Taxation (note 2) - -
Loss for the period (159,340) (208,930)
Attributable to:
Equity holders of the parent (156,711) (207,320)
Minority interest (2,629) (1,610)
Loss for the period (159,340) (208,930)
Loss per ordinary 1p share (note 3)
- basic and diluted 0.18 pence 0.3 pence
UNAUDITED CONSOLIDATED BALANCE SHEET
Unaudited Unaudited
31 May 2008 31 May 2007
� �
Non-current assets
Intangible assets - deferred exploration costs 1,049,895 802,732
Intangible assets - goodwill 67,614 122,934
Property, plant and equipment 4,959 11,084
1,122,468 936,750
Current assets
Trade and other receivables 99,317 82,860
Cash and cash equivalents 86,203 155,092
185,520 237,952
Total assets 1,307,988 1,174,702
Current liabilities
Trade and other payables (285,576) (184,010)
Borrowings (152,030) (60,005)
Total liabilities (437,606) (244,015)
Net assets 870,382 930,687
Equity and liabilities
Share capital 880,701 666,201
Share premium account 908,400 790,133
Merger reserve 200,000 200,000
Other reserve (509) (509)
Profit and loss account (1,152,933) (766,246)
Equity attributable to equity holders of the parent 835,659 889,579
Minority interest 34,723 41,108
Total equity and liabilities 870,382 930,687
UNAUDITED CONSOLIDATED CASH FLOW STATEMENT
Unaudited Unaudited
6 months ended 6 months ended
31 May 2008 31 May 2007
� �
Net cash used in operating activities (91,178) (155,471)
Investing activities
Interest received 909 4,123
Purchase of intangible assets (239,237) (193,791)
Purchase of property, plant and equipment - (7,337)
Net cash used in investing activities (238,328) (197,005)
Financing activities
Proceeds from issue of share capital - -
Borrowings 92,025 -
Net cash generated from financing activities 92,025 -
Net decrease in cash and cash equivalents (237,481) (352,476)
Cash and cash equivalents at the beginning of the period 323,684 507,568
Cash and cash equivalents at the end of the period 86,203 155,092
Operating loss (160,249) (213,053)
Depreciation and amortisation 20,715 19,132
Intangible asset write offs - -
Decrease in trade and other receivables 1,375 75,202
Increase/(decrease) in trade and other payables 46,981 (36,752)
Net cash used in operating activities (91,178) (155,471)
NOTES
1. Basis of preparation
The Group consolidates the financial statements of the Company and its subsidiary undertakings.
The financial information has been prepared under the historical cost convention in accordance with International Financial Reporting
Standards (IFRSs). This is the first financial period that the Group has adopted IFRSs. This did not result in any material amendment to the
Group*s accounting policies or the results previously presented.
The financial information set out in this half-yearly report does not constitute statutory accounts as defined in Section 240 of the
Companies Act 2005.
2. Taxation
No charge for corporation tax for the period has been made due to the expected tax losses available.
3. Loss per share
Basic loss per share is calculated by dividing the loss attributable to ordinary shareholders of �156,711 (May 2007: �207,320; November
2007: �437,296) by the weighted average number of shares of 88,070,100 (May 2007: 66,620,100; November 2007: 67,673,662) in issue during the
period. The diluted loss per share calculation is identical to that used for basic loss per share as the exercise of warrants would have the
effect of reducing the loss per ordinary share and therefore is not dilutive under the terms of Financial Reporting Standard 22 *Earnings
Per Shares*.
4. Uranium content of samples
Samples collected in Mauritania contain uranium concentrations up to 783 parts per million (ppm), which is equivalent to 0.092% U3O8.
Economic low-grade uranium deposits typically contain between 300 and 20,000 ppm uranium. Using the average uranium price of $65 per pound
for May 2008, one tonne of the above uranium-bearing rock from Mauritania would contain $132 worth of uranium. As a broad comparator, if
this was expressed as gold equivalents it would represent a grade of 4.7 g/t.
For further information contact:
Alba Mineral Resources plc Mike Nott, Chairman Tel: +44 (0) 20 7495 5326
Dowgate Capital Advisers Ltd Liam Murray, Tel: +44 (0) 20 7492 4777
Nominated Advisor
This information is provided by RNS
The company news service from the London Stock Exchange
END
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