27 September
2017
PowerHouse Energy
Group plc
(“PowerHouse” or
the “Company”)
Interim results
for the six months ended 30 June
2017
PowerHouse Energy Group plc (AIM: PHE), the company focused on
ultra-high temperature waste-to-energy and waste-to-hydrogen
systems, and the creator of Distributed Modular Gasification
(DMG©), announces its unaudited interim results for the
six months to 30 June 2017.
H1 2017 Highlights
Operational
- Delivery of the G3-UHt ultra-high temperature gasification
demonstration unit to the UK and successful testing and
re-commissioning completed
- DMG© - Continued process and engineering development
of DMG© technology platform to convert waste to energy
and to extract hydrogen from waste (HfW)
- Board strengthened – appointment of David Ryan as Executive Director of Programme
Development
- Appointment of Chris Vanezis as
CFO
- Creation of and appointments to Advisory Panel
Financial
- Equity fundraisings totalling £2.75 million to support the
development of DMG and the Company’s commercialisation phase
- Repayment and elimination of the onerous Hillgrove Loan
Note
Post-period Highlights
Operational
- Second phase of recommissioning and first extended technical
trial successfully completed
- MOU with EEH, Qatar
- Cameron Davies appointed as
Non-Executive Chairman, effective from 3
October 2017
Financial
- Additional £1.6m raised in August via a placing of new ordinary
shares at 1.0p
- Net cash balance at end of August
2017 of £181k. This does not include the funds raised
above which had fully cleared to the Company’s bank account by
11 September 2017
For more information, contact:
PowerHouse Energy Group
plc
Keith Allaun, Executive Chairman |
Tel: +44 (0) 203 368 6399 |
WH Ireland Limited (Nominated
Adviser)
James Joyce / James Bavister |
Tel: +44 (0) 207 220 1666 |
Turner Pope Investments Ltd
(Joint Broker)
Ben Turner / James Pope |
Tel: +44 (0) 203 621 4120 |
Smaller Company Capital Limited
(Joint Broker)
Jeremy Woodgate |
Tel: +44 (0) 203 651 2910 |
Allerton Communications (Media
enquiries) Peter Curtain |
Tel: +44 (0) 20 3633 1730 |
About PowerHouse Energy
PowerHouse Energy Group plc is the developer of the G3-UHt Ultra
High Temperature Gasification unit, and the creator of the
Distributed Modular Gasification (DMG)© system which
allows for the distributed elimination of waste, the generation of
distributed electricity, and the production of distributed hydrogen
with the world’s first hydrogen from waste process (HfW).
The Company is focused on technologies to enable projects for
energy recovery from municipal and industrial waste streams that
would otherwise be directed to landfills and incinerators; or from
renewable and alternative fuels such as biomass, tyres, and
plastics to create synthesis gas (syngas) for power generation, or
high-quality hydrogen as a fuel for transport. DMG© allows for
easy, economical, deployment and scaling of an environmentally
sound solution to the growing challenges of waste elimination,
electricity demand, and distributed hydrogen production.
PowerHouse is quoted on the London Stock Exchange's AIM Market.
The Company is incorporated in the United
Kingdom.
For more information see www.powerhouseenenergy.net
Interim Results for the six months to
30 June 2017
Chairman’s Statement
Introduction
The first six months of 2017 has been an exciting period for
PowerHouse that saw a rapid increase in activity both in terms of
technical development and financial restructuring.
The delivery of the Company’s G3-UHt Ultra-high temperature
gasification unit (G3 UHt Unit) to the UK in early 2017 and its
re-siting and re-commissioning at the Thornton Science Park Energy
Centre successfully concluded the initial testing phase of our
proprietary technology. The confirmation of the G3-UHt Unit’s
ability to operate at target temperature and its re-commissioning
were completed in accordance with applicable UK Health, Safety, and
Environmental regulations and standards. A regular programme of
demonstration, testing, enhancement, and consistent operation is
underway at the Energy Centre and the Board believes that
Distributed Modular Gasification (DMG©) has truly begun
its industry disruptive journey.
Our technology
The focus for PowerHouse in recent years has concentrated on the
efficient generation of energy from waste, but increasingly we see
exciting prospects for the ability to convert waste into hydrogen.
Our small footprint, our high-temperature process, and our ability
to generate a concentrated volume of hydrogen on a distributed
basis sets us apart from others. This process, DMG ©,
has led to one of the world’s first distributed hydrogen from waste
(HfW) design.
DMG© enables the thermal-molecular conversion of
waste into an energy-rich syngas. The syngas can be used
immediately to generate low emission electrical energy which can be
used locally, thereby leveraging private line or micro-grid
connections on-site. If appropriate, it can be sold directly into
the National Grid.
We believe that DMG© is a disruptive technology that
could fundamentally change the waste-to-energy market.
DMG© is a mechanism for the eradication of waste, the
generation of distributed electricity, and, most importantly, the
production of distributed hydrogen – HfW - which we believe will
help unleash the hydrogen economy by providing hydrogen as a
road-fuel as the demand for Fuel Cell Vehicles (FCVs) ramps up.
Operations
The arrival of the G3-UHt Unit in the UK in March saw the start
of a programme of engineering activity to ensure that the unit
would safely and securely operate in accordance with UK Health,
Safety, and Environmental guidelines. The work followed a
comprehensive knowledge transfer from the Ore-Pro team (our prior
external engineering partners) to our UK based engineering staff
and included extensive upgrading of componentry, the installation
of advanced automation, and the integration of appropriate safety
controls for the system. The unit was completely deconstructed,
examined, tested, and reconstructed to ensure its ideal operational
condition.
During this period the system was moved from its initial
commissioning site to its current location in Unit 99 of the Energy
Centre at the Thornton Science Park, operated by the University of
Chester. This was purpose-built as
an emissions test facility for Shell Research and is an ideal
location for the continuous operation, demonstration, and
improvement of the G3-UHt Unit. The Company has established an
active engineering programme at the Centre and has taken a two year
lease on its facilities there.
In April 2017 the Company
announced that the first phase of the re-commissioning of the
G3-UHt Unit had been completed, with the successful production of
syngas from the system. The G3-UHt unit operated at a temperature
of over 1000 degrees Celsius, demonstrating its capacity to
successfully gasify many historically difficult waste materials and
generate synthesis gas.
The second phase of re-commissioning saw a number of
improvements and modifications made to the system, ahead of the
scaling up necessary for commercial deployment. These included the
enhancement of the gas-handling systems, refurbishment of the feed
and steam generation systems and the complete redesign and
introduction of programmable safety and control systems. During the
test, the Company recorded a maximum peak flow rate of over 50
cubic metres per hour of syngas.
Following a robust programme of testing and technical data
collection, the Company announced the completion of its first
extended technical trial of the DMG© gasification process at
the Energy Centre at Thornton Science Park on 31 July 2017.
Operating on a feedstock of tyre crumb, PowerHouse engineers
were able to demonstrate control of the process at ultra-high
temperature which generated a syngas that, according to onsite,
in-line, analytical instrumentation, was greater than 50% hydrogen
by volume. The remaining, measurable, constituent elements of the
syngas were CO (carbon monoxide) and CH4 (methane.) Importantly,
the in-line gas analysis equipment detected absolutely no CO2 in
the gas stream generated by the Unit. A more rigorous analysis of
the syngas produced in the DMG process will be conducted by
certified external laboratories in future trials.
Strategic
alliances and Relationships
The accomplishments achieved in H1 2017 were underpinned by a
number of strategic alliances with influential partners.
Over the past several years, the Company has been working with
Waste2tricity, Thailand, in an
effort to develop a pipeline of projects in that country. The
experience of working with Waste2tricity principals made
establishing a UK centric relationship between our two entities a
clear option and in January 2017
PowerHouse entered into a 24 month project development relationship
with Waste2tricity, Ltd. The initial results of that
relationship have led to a substantive expansion of our UK
capabilities, relationships with other industrial partners, and a
pipeline of commercial opportunities, in the UK, and elsewhere,
under consideration.
Among the introductions made by Waste2tricity on behalf of
PowerHouse was to Peel Environmental (Peel). This relationship led
to the Memorandum of Understanding announced on 6 February 2017 between the Company and Peel to
negotiate potential participation at Protos, Peel’s expansive
energy park near Chester. Our
relationship with Peel continues to grow and develop and, through
their introduction, led to the siting of our G3-UHt demonstration
unit at the newly established Energy Centre at the Thornton Science
Park, part of the University of Chester. This base is the hub of our future
R&D activities in co-operation with the University of
Chester, including the sponsorship
of a PhD program to further the science behind Ultra-high
Temperature Gasification and the expansion of DMG©.
On 30 January 2017, Yady Worldwide
SA made an investment of £250,000 into the Company, showing an
early commitment to the G3-UHt Unit and the continued development
and roll-out of DMG©. Yady further contributed £500,000
to a £2.5 million placing in February
2017.
The appointment of EngSolve, Ltd as our principal engineering
partner, announced in March, to assist in the re-commissioning of
the G3-UHt Unit, has proven to be extremely productive and we look
forward to a long-standing and successful relationship with their
talented engineering team. We are working closely with the EngSolve
team on our commercial design efforts.
In June, the Company announced a collaboration agreement with a
major UK partner involved in the development of energy and waste
projects. The partner has committed two tranches of funding of up
to £500,000 in aggregate to meet the cost of preparing and
funding applications for planning permission and environmental
permits of the initial demonstration unit and first five PHE
Waste-to-Energy G3-UHt systems. The agreement will require
PowerHouse to supply five systems at locations of the partners'
choosing on a prioritised basis, based upon the completion of UK
Certifications and demonstration of the G3-UHt unit in active
operation. £100,000 of this commitment was released in July to fund
the planning development of the Company’s first commercial
sites.
Risk Reduction and Funding
The Board made the strategic decision to negotiate the
retirement of the Hillgrove loan note (Note) with a combination of
cash and shares.
The retirement of the Note was a significant milestone for the
Company as there is no longer a financial impediment to its growth
and operation.
The Note was accruing interest at a rate of 15% per annum and
had reached a value of £3.4M. The coupon on the Note would
add approximately a half-million pounds of fully secured debt to
the Company each year.
The decision was taken to raise £2.5 million in a private
placement and to repay the Note with £2 million in cash, and issue
£1.4 million worth of shares at the conversion price of 0.5p.
Hillgrove has agreed to release its debenture over the Company’s
assets and IP upon the final settlement of the share issuance.
280,430,920 shares will be issued in due course to Hillgrove as it
had agreed to a 12 month lock-in period and a continuing
Relationship Agreement with the Company. Hillgrove has the right to
nominate a suitably acceptable Director to the Board at its
discretion.
The remainder of the proceeds of the 15
February 2017 placement provided capital for the continued
operations of the Company.
After the period end, on 24 August
2017, a further £1.6m was raised through a placing of new
ordinary shares at 1.0p to fund further development.
The PowerHouse Team
The company has made a number of
significant appointments to strengthen the board and management
team.
David Ryan was appointed as a
Non-Executive Director in late February
2017, and on 20 March 2017,
became Executive Director of Programme Development, overseeing the
technical operations of the Company. Introduced to PowerHouse by
Waste2tricity, David was the former CEO and Managing Director of
Thyssenkrupp Industrial Solutions’ Oil & Gas Business Unit for
the UK. Prior to his employment with Thyssenkrupp, he founded and
built a successful engineering consulting organisation, Energy
& Power Limited, which was acquired by Thyssenkrupp in
2012.
With over 30 years of complex engineering, business development,
and project management experience, David is an expert in
sophisticated design engineering and brings a breadth of project
delivery, international business management, and general
engineering acumen to the management team. David has been
instrumental in the successful siting and re-commissioning of the
G3-UHt Unit at Thornton Science Park and continues to work on the
design and development of the Company’s commercial platform,
DMG©.
Chris Vanezis joined the
PowerHouse management team as Chief Financial Officer, bringing an
extensive background in financial accounting and waste-to-energy
finance management. In addition, the first site personnel in
the UK were hired, based at Thornton Science Park.
Clive Carver resigned from his
position as Non-Executive Director in May after serving on the
Board for one year.
The first half of the year also saw the new creation of an
experienced, knowledgeable, and well-connected Advisory Panel
consisting of Peter Jones OBE, Keith
Riley, Myles Kitcher,
Roudi Baroudi, and Howard White. The value of the Advisory Panel is
leading to an acceleration of our commercial activities as is
evidenced by the MOU announced 20th September 2017 between PowerHouse and EEH
regarding potential HfW activities in Qatar for broadly rolling out the Company’s
DMG© platform.
Of significant note is the Company’s appointment of Dr.
Cameron Davies as Non-Executive
Chairman of the Board of Directors, announced on 24 August 2017. Dr. Davies’ many accomplishments,
his extensive experience, and his steady hand will serve the
Company well as we move forward. Having known Dr. Davies for
nearly a year now, I am eager for his tenure to commence. His
appointment bodes well for the future of PowerHouse and it is
anticipated that his appointment will take effect on 3 October 2017. On Dr. Davies’ appointment I will
relinquish my position as Executive Chairman to become the Chief
Executive Officer of the Company.
Current trading and Outlook
The first half of the year has seen a tremendous amount
accomplished by the Company and the recent placing, raising £1.6
million has provided the funding we require to begin revving our
commercial engine.
We have created what we believe to be a disruptive philosophy in
DMG©: distributed waste destruction; distributed
electrical generation; distributed hydrogen production. We have
taken a contrarian approach to the megaliths of the past and
believe in bringing the solution to where the problem lies. We are
positioned to do something powerful for communities across the UK
and throughout the world. We believe that DMG© today is
but a ripple in the pond but that in time it will help redefine how
our environment is managed and play a key role in the evolution of
transport, - as the ripple turns into a wave of opportunity for
positive change in our world.
PowerHouse Energy Group plc no longer sees itself solely in the
Waste to Energy category of companies, but now Waste to hydrogen.
We are convinced that the hydrogen economy is coming and that we
have a big part to play. And DMG© will help fuel our
future. Cleanly.
As always, we appreciate your continued support.
Keith Allaun
Executive Chairman
27 September 2017
Statement of Comprehensive Income
|
|
(Unaudited)
Six months |
(Unaudited)
Six months |
(Audited)
Year |
|
|
ended |
ended |
ended |
|
|
30 June |
30 June |
31 December |
|
Note |
2017
£ |
2016
£ |
2016
£ |
|
|
|
|
|
Revenue |
|
- |
- |
- |
Cost of sales |
|
- |
- |
- |
|
|
|
|
|
Gross Loss |
|
- |
- |
- |
|
|
|
|
|
Administrative expenses |
|
(424,144) |
(639,057) |
(851,903) |
Research and development |
|
(202,842) |
- |
- |
|
|
|
|
|
Operating
loss |
|
(626,986) |
(639,057) |
(851,903) |
|
|
|
|
|
|
|
|
|
|
Finance costs |
|
(69,863) |
(241,968) |
(482,106) |
|
|
|
|
|
Loss before
taxation |
|
(696,849) |
(881,025) |
(1,334,009) |
|
|
|
|
|
Taxation |
|
- |
- |
- |
|
|
|
|
|
Loss after
taxation |
|
(696,849) |
(881,025) |
(1,334,009) |
|
|
|
|
|
Total comprehensive
expense |
|
(696,849) |
(881,025) |
(1,334,009) |
|
|
|
|
|
Total comprehensive expense
attributable to: |
|
|
|
|
Owners of the Company |
|
(696,849) |
(881,025) |
(1,334,009) |
Non-controlling interests |
|
- |
- |
- |
|
|
|
|
|
Basic and Diluted Loss
per share in pence |
3 |
(0.08) |
(0.18) |
(0.24) |
|
|
|
|
|
The notes numbered 1 to 5 are an integral part of the interim
financial information.
Statement of Changes in Equity
|
Shares
and stock
£ |
Accumulated losses
£ |
Share
premium
£ |
Total
£ |
|
|
|
|
|
Balance at 1 January
2016 (audited) |
5,264,600 |
(55,145,999) |
46,921,180 |
(2,960,219) |
Transactions with
equity participants: |
- |
- |
- |
|
- Shares
issued |
696,547 |
- |
(100,475) |
596,072 |
Total comprehensive
income: |
|
|
|
|
- Loss after
taxation |
- |
(881,025) |
- |
(881,025) |
|
|
|
|
|
Balance at 30 June
2016 (unaudited) |
5,961,147 |
(56,027,024) |
46,820,705 |
(3,245,172) |
Transactions with
equity participants: |
|
|
|
|
- Shares issue |
192,308 |
- |
211,284 |
403,592 |
Total comprehensive
income: |
|
|
|
|
- Loss after
taxation |
- |
(452,984) |
- |
(452,984) |
- Share based
payment |
- |
68,000 |
- |
68,000 |
|
|
|
|
|
Balance at 31
December 2016 (audited) (GBP) |
6,153,455 |
(56,412,008) |
47,031,989 |
(3,226,564) |
Transactions with
equity participants: |
|
|
|
|
- Shares issued to
settle liabilities |
37,300 |
- |
32,700 |
70,000 |
- Shares issued |
1,741,071 |
- |
853,803 |
2,594,874 |
Total comprehensive
expense: |
|
|
|
|
- Loss after
taxation |
- |
(696,849) |
- |
(696,849) |
|
|
|
|
|
|
|
|
|
|
Balance at 30 June
2017 (unaudited) |
7,931,826 |
(57,108,857) |
47,918,492 |
(1,258,539) |
|
|
|
|
|
The notes numbered 1 to 5 are an integral part of the interim
financial information.
Statement of Financial Position
|
|
(Unaudited)
As at
30 June |
(Unaudited)
As at
30 June |
(Audited)
As at
31 December |
|
Note |
2017
£ |
2016
£ |
2016
£ |
ASSETS |
|
|
|
|
Non-current assets |
|
|
|
|
|
|
|
|
|
Property, plant and equipment |
|
2,424 |
- |
2,424 |
|
|
|
|
|
Total non-current
assets |
|
2,424 |
- |
2,424 |
|
|
|
|
|
Current Assets |
|
|
|
|
Trade and other receivables |
|
90,772 |
9,009 |
6,336 |
Cash and cash equivalents |
|
144,616 |
354,269 |
148,151 |
Total current
assets |
|
235,388 |
363,278 |
154,487 |
|
|
|
|
|
Total
assets |
|
237,812 |
363,278 |
156,911 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
Non-current liabilities |
|
|
|
|
Loans |
4 |
- |
(3,506,678) |
- |
Total non-current
liabilities |
|
- |
(3,506,678) |
- |
|
|
|
|
|
Current liabilities |
|
|
|
|
Loans |
4 |
(1,402,155) |
- |
(3,332,292) |
Trade and other payables |
5 |
(94,196) |
(101,772) |
(51,183) |
Total current
liabilities |
|
(1,496,351) |
(101,772) |
(3,383,475) |
|
|
|
|
|
Total
liabilities |
|
(1,496,351) |
(3,608,450) |
(3,383,475) |
|
|
|
|
|
Net
Liabilities |
|
(1,258,539) |
(3,245,172) |
(3,226,564) |
|
|
|
|
|
EQUITY |
|
|
|
|
Shares and stock |
2 |
7,931,826 |
5,961,147 |
6,153,455 |
Share premium |
|
47,918,492 |
46,820,705 |
47,031,989 |
Accumulated losses |
|
(57,108,857) |
(56,027,024) |
(56,412,008) |
|
|
|
|
|
Total
deficit |
|
(1,258,539) |
(3,245,172) |
(3,226,564) |
|
|
|
|
|
The notes numbered 1 to 5 are an integral part of the interim
financial information.
Statement of Cash Flows
|
|
|
(Unaudited) |
(Unaudited) |
(Audited) |
|
|
|
Six months |
Six months |
Year ended |
|
|
|
ended |
ended |
31 |
|
Note |
|
30 June |
30 June |
December |
|
|
|
2017
£ |
2016
£ |
2016
£ |
Cash flows from operating
activities |
|
|
|
|
|
Operating loss |
|
|
(626,986) |
(639,057) |
(851,903) |
Adjustments for: |
|
|
|
|
|
- Share based payment |
|
|
- |
68,000 |
68,000 |
- Renewme settlement |
|
|
- |
- |
299,152 |
- Share settled payment |
|
|
70,000 |
- |
- |
Changes in working capital: |
|
|
|
|
|
- (Increase) / Decrease in trade and
other receivables |
|
|
(84,436) |
(7,401) |
(4,885) |
- Increase / (Decrease) in trade and
other payables |
|
|
43,013 |
(116,436) |
(147,601) |
|
|
|
|
|
|
Net cash used in
operations |
|
|
(598,409) |
(694,894) |
(637,237) |
Cash flows from
investing activities |
|
|
|
|
|
Purchase of fixed
assets |
|
|
- |
- |
(2,424) |
Cash flows from financing
activities |
|
|
|
|
|
Share/stock issues (net of issue
costs) |
|
|
2,594,874 |
588,618 |
700,512 |
Finance costs |
|
|
(69,863) |
(241,968) |
(482,106) |
Loans received |
|
|
69,863 |
526,763 |
577,567 |
Loans repaid |
|
|
(2,000,000) |
- |
(183,911) |
|
|
|
|
|
|
Net cash flows from
financing activities |
|
|
594,874 |
873,413 |
612,062 |
|
|
|
|
|
|
Net (decrease) /
increase in cash and cash equivalents |
(3,535) |
178,519 |
(27,599) |
|
|
|
|
|
|
Cash and cash equivalents at
beginning of period |
|
|
148,151 |
175,750 |
175,750 |
|
|
|
|
|
|
Cash and cash
equivalents at end of period |
|
|
144,616 |
354,269 |
148,151 |
|
|
|
|
|
|
The notes numbered 1 to 5 are an integral part of the interim
financial information.
Notes (forming part of the interim
financial information)
1. Summary of significant accounting
policies
The following accounting policies have been applied consistently
in dealing with items which are considered material in relation to
the financial information.
1.1. Basis of
preparation
This interim consolidated financial information is for the six
months ended 30 June 2017 and has
been prepared in accordance with International Accounting Standard
34 “Interim Financial Statements”. The accounting policies applied
are consistent with International Financial Reporting Standards
(“IFRS”) adopted for use by the European Union. The accounting
policies and methods of computation used in the interim
consolidated financial information are consistent with those
expected to be applied for the year ending 31 December 2017.
The financial information set out above does not constitute the
Company's statutory accounts for the year ended 31 December 2017, but is derived from those
accounts. Statutory accounts for 2016 have been delivered to the
Registrar of Companies. The auditors have reported on those
accounts: their report was qualified and contained a disclaimer of
opinion and contained statements under section 498(2) or (3) of the
Companies Act 2006.
1.2. Going
concern
The Directors have considered all available information about
the future events when
considering going
concern. The Directors have reviewed cash flow forecasts for 12
months following the date of these Financial Statements.
The cash balance held at 30 June
2017 together with the further fund raise completed after
this date is considered sufficient to ensure the company can pay
its debts as they fall due. Based on this, the Directors believe it
is appropriate to continue to adopt the going concern basis of
accounting for the preparation of the interim financial
statements.
1.3.
Functional and presentational currency
This interim financial information is presented in £ sterling
which is the Group’s functional currency.
2. SHARE CAPITAL
|
0.5 p
Ordinary shares |
0.5p
Deferred
shares |
4.5 p
Deferred shares |
4.0 p
Deferred shares |
|
|
|
|
|
Balance at 1
January 2017 |
607,934,536 |
388,496,594 |
17,373,523 |
9,737,353 |
Shares
issued |
355,674,320 |
- |
- |
- |
Balance at 30 June
2017 |
963,608,856 |
388,496,594 |
17,373,523 |
9,737,353 |
The deferred shares have no voting rights and do not carry any
entitlement to attend general meetings of the Company. They will
carry only a right to participate in any return of capital once an
amount of £100 has been paid in respect of each ordinary share. The
Company will be authorised at any time to affect a transfer of the
deferred shares without reference to the holders thereof and for no
consideration.
On 30 January 2017 the Company
issued 35,714,285 ordinary shares of 0.5p each at a price of 0.7p
each, totalling £250,000.
On 15 February 2017 and
15 March 2017 the Company issued
250,000,000 and 62,500,000 ordinary shares of 0.5p each
respectively at a price of 0.8p each, totalling £2,500,000.
On 17 January 2017 PowerHouse
announced it had entered into a Cooperation Agreement to appoint
Waste2tricity plc as its exclusive Project Development Consultant
in the UK. In accordance with the terms of the agreement, on
27 June 2017 the Company issued
Waste2Tricity with 7,460,035 ordinary shares of 0.5p each in the
Company in lieu of cash payment of £70,000.
3. Loss per share
|
|
(Unaudited)
As at
30 June |
(Unaudited)
As at
30 June |
(Audited)
As at
31 December |
|
|
2017
£ |
2016
£ |
2016
£ |
Total comprehensive
(expense)/profit (GBP £) |
|
(696,849) |
(881,025) |
(1,334,009) |
Weighted average number
of shares |
|
862,671,965 |
482,036,976 |
551,433,936 |
|
|
|
|
|
Basic and Diluted Loss per share in
pence |
|
(0.08) |
(0.18) |
(0.24) |
4. LOANS
|
|
(Unaudited)
As at
30 June |
(Unaudited)
As at
30 June |
(Audited)
As at
31 December |
|
Notes |
2017
£ |
2016
£ |
2016
£ |
Hillgrove Investments
Pty Limited |
4.1 |
1,402,155 |
3,506,678 |
3,332,292 |
|
|
|
|
|
Total loans |
|
1,402,155 |
3,506,678 |
3,332,292 |
Classified as: |
|
|
|
|
-
Current |
|
1,402,155 |
- |
3,332,292 |
-
Non-current |
|
- |
3,506,678 |
- |
4.1. Hillgrove Loan
Hillgrove Investments Pty Limited (“Hillgrove”) has provided the
Company with a convertible loan which is secured by a debenture
over the assets of the company and carries interest of 15 per cent
per annum. Hillgrove had the option at any time to convert the loan
in part or whole at a conversion price of 0.5p per share.
On 29 April 2017, the Company
announced that Hillgrove had accepted a settlement of this loan for
a £2 million cash pay-out, and conversion of the residual balance
of £1,402,155 into newly issued share capital of the Company at the
previously agreed 0.5p conversion price, amounting to 280,430,920
shares. These shares are yet to be issued. Hillgrove will hold a
total of 300,430,920 shares of the enlarged issued share capital of
the Company. Hillgrove has committed to a 12 month lock-in period
for its newly issued shares. Hillgrove is a related party as
defined by the Aim Rules for Companies and accordingly the
Hillgrove Note payout and share conversion is deemed a Related
Party Transaction.
5. TRADE AND OTHER PAYABLES
|
|
|
(Unaudited)
As at
30 June |
(Unaudited)
As at
30 June |
(Audited)
As at
31 December |
|
|
|
2017
£ |
2016
£ |
2016
£ |
|
|
|
|
|
|
Trade creditors |
|
|
75,696 |
51,840 |
34,183 |
Other accruals |
|
|
18,500 |
49,932 |
17,000 |
|
|
|
|
|
|
Total trade and other
payables |
|
|
94,196 |
101,772 |
51,183 |
|
|
|
|
|
|
Classified as: |
|
|
|
|
|
- Current |
|
|
94,196 |
101,772 |
51,183 |
- Non-current |
|
|
- |
- |
- |