TIDMCNR
RNS Number : 0211U
Condor Gold PLC
31 March 2021
Condor Gold plc
7/8 Innovation Place
Douglas Drive
Godalming, Surrey
GU7 1JX
Tel: +44 (0) 207 493 2784
31 March 2021
Condor Gold Plc
("Condor Gold","Condor" or the "Company")
Condor Gold plc announces its audited results for the year ended
31 December 2020 and Annual General Meeting of Shareholders
Condor Gold (AIM: CNR; TSX: COG) is pleased to announce its
audited results for the year ended 31 December 2020 and provides
notification that the Annual General Meeting of shareholders of the
Company will be held at 3:00 p.m. on 12 May 2021 at 7/8 Innovation
Place, Godalming, Surrey, GU7 1JX, United Kingdom.
Due to the ongoing Covid-19 pandemnic and national restrictions,
shareholders will not be able to attend the Annual General Meeting
in person at the physical location. However, they will be able to
attend in person electronically by resgitering with the Company
beforehand. All shareholders are encouraged to vote by proxy before
the Annual General Meeting.
The Company has published the formal notice of meeting (the
"Notice") on its website ( www.condorgold.com ) together with the
related voting proxy form for use by shareholders. A copy of the
Notice, together with the proxy voting form, the Annual Report for
the year ended 31 December 2020 and the accompanying Management's
Discussion and Analysis will be posted to all shareholders who have
electred to receive them in hard copy.
HIGHLIGHTS FOR THE YEARED 31 DECEMBER 2020
-- On 10 January the Company announced the appointment of SP
Angel Corporate Finance LLP as broker to the Company.
-- The award of the environmental permit for the Mestiza open
pit was announced by the Company on 29 April. The Mestiza open pit
hosts 92Kt at a grade of 12.1g/t gold (36,000oz contained gold) in
the Indicated Mineral Resource category and 341Kt at a grade of
7.7g/t gold (85,000oz contained gold) in the Inferred Mineral
Resource category. The Mestiza open pit is situated less than 4
kilometres from the location of the permitted processing plant for
the La India open pit.
-- The award of the environmental permit for the America open
pit was announced by the Company on 6 May. The America open pit
hosts 114Kt at a grade of 8.1 g/t gold (30,000 oz contained gold)
in the Indicated Mineral Resource category and 677Kt at a grade of
3.1 g/t gold (67,000 oz contained gold) in the Inferred Mineral
Resource category. The America open pit compliments the already
permitted La India and Mestiza open pits.
-- Following the permitting of the Mestiza and America open
pits, together with the La India open pit Condor has 1.12M oz gold
open pit Mineral Resources permitted for extraction (8,583Kt at
3.3g/t gold for 903,000 oz gold in the Indicated category and
1,901Kt at 3.6g/t gold for 220,000 oz gold in the Inferred
category), inclusive of a Mineral Reserve of 6.9Mt at 3.0g/t gold
for 675,000 oz gold.
-- On 28 May the Company announced a placing of 18,082,192
units, comprising an equivalent number of ordinary shares at a
price of 36.5p per share, and 9,041,090 warrants with an exercise
price of 40p, to raise in aggregate gross proceeds of GBP6,600,000
before expenses.
-- On 13 August the Company announced that it had made
significant progress in de-risking La India project through
purchase of land in and around the permitted La India open pit mine
site area and provided an update on key elements in advancing the
project:
-- Acquired 85% of the land within the permitted La India open
pit mine site infrastructure, including the key areas of the
location of the processing plant, tailings storage facility, open
pit, waste dump area, explosive magazine.
-- Tailings Storage Facility and 2 water retention ponds are
being fully designed by Tierra Group Inc. - 40% of the engineering
designs are completed.
-- The design of the site wide water balance including a surface
water management plan is underway and has been awarded to SRK
Consulting (UK) Ltd.
-- Preliminary designs for the layout of the mine site
infrastructure including, in some detail, the designs for the
location of the processing plant have been completed.
-- Mine and waste dump schedules for a number of mining scenarios have been completed.
-- The power studies have been progressed and several meetings
held with the Ministry of Energy and Mines.
-- On 27 October the commencement of a ground investigation
programme on the tailings storage facility, water retention
reservoir and plant location was announced by the Company. This
comprises 20 geotechnical drill holes and 58 test pits and is a
component of the Ministry of the Environment and Natural Resources
(" MARENA") permit conditions for La India Open Pit.
-- The commencement of a 4,000 metre in-fill diamond drilling
programme at the La India open pit was announced by the Company on
7 December while on 16 December the Company announced that it had
initiated site preparation activities at the location of the
processing plant at La India.
POST PERIOD HIGHLIGHTS
-- Mobilisation of a second diamond drill rig for the on-going
campaign at La India was announced by the Company in January.
-- A placement of 9,523,810 shares at 42 pence each to raise
GBP4.0 million before expenses was announced by the Company on 16
February 2021.
-- The commencement of a 5,000m diamond drill programme at Cacao
was announced on 22 February 2021.
-- Results were announced in February and March for the
on-going, infill diamond drilling at the La India starter pits.
These included 9.6m true width at 3.98g/t gold from surface and
discovery of a new, additional vein in February and 17.4m true
width at 3.27g/t gold in March.
-- The purchase was announced on 15 March 2021 of a complete,
new SAG mill package from First Majestic Silver Corporation for
total consideration of approxmiately US$6.5 million, including $3.0
million payable by the issue of new ordinary shares of the Company.
The new SAG Mill package is supplied by Metso Outotec and comes
with warrantees.
-- Acquired a further 10% (to a total of 95%) of the land within
the permitted La India open pit mine site infrastructure, including
the key areas of the location of the processing plant, tailings
storage facility, open pit, waste dump area, explosive
magazine.
CONDOR GOLD PLC
CHAIRMAN'S STATEMENT FOR THE YEARED 31 DECEMBER 2020
Dear Shareholder,
I am pleased to present Condor Gold Plc's ("Condor", the
"Company" or the "Group", www.condorgold.com or if you are viewing
from Canada ca.condorgold.com ) annual report for the 12-month
financial year to 31 December 2020.
It has been a transformational year for the Company with the
permitting of 2 additional open pits, and a significant de-risking
of the Project with the acquisition of land and advancement of
engineering studies. The Company's twin strategy remains the
construction and operation of a base case processing plant with
capacity of up to 2,800 tonnes per day ("tpd") capable of producing
approximately 100,000 oz of gold per annum, increasing this
production capacity, and proving a major Gold District of 5 M oz
gold potential at the 588km(2) La India Project, in Nicaragua.
The Company's primary focus during 2020 has been on fulfilling
the conditions of an Environmental Permit granted in August 2018 by
the Ministry of the Environment and Natural Resources ("MARENA")
for the development, construction and operation of an open pit
mine, a 2,800 tpd or 1.0 Mt per annum CIL processing plant and
associated infrastructure at the La India Project, Nicaragua. The
permitted La India open pit is estimated to produce between 80,000
oz to 100,000 oz gold per annum or a total of 600,000 oz gold over
a 6 to 7-year period.
The Company's secondary focus during 2020 has been on
successfully holding two Public Consultations and being granted
Environmental Permits to develop and extract ore from 2 high grade
feeder pits, which provides additional mill feed to the already
permitted processing plant and its associated mine site
infrastructure. Following the permitting of these feeder pits in
May 2020, which in aggregate have circa 232,000 oz gold at 5.5 g/t
gold , Condor has 1.12M oz gold open pit Mineral Resources
permitted for extraction (8,583Kt at 3.3g/t gold for 903,000 oz
gold in the Indicated category and 1,901Kt at 3.6g/t gold for
220,000 oz gold in the Inferred category) inclusive of a Mineral
Reserve of 6.9Mt at 3.0g/t gold for 675,000 oz gold. The PFS has
lower quartile all-in-sustaining cash costs ("AISC") of US$690 per
oz gold. The higher-grade feeder pits have the potential to
materially enhance the Project NPV, IRRs, reduce the payback period
and maintain low AISC as detailed in the PFS.
La India Project has a Mineral Resource totalling 9.85 Mt at 3.6
g/t gold for 1,140,000 oz gold in the Indicated category and 8.48
Mt at 4.3 g/t gold for 1,179,000 oz gold in the Inferred category.
It was last updated in January 2019, was prepared by SRK Consulting
(UK) Limited ("SRK") and uses the terminology, definitions and
guidelines given in the Canadian Institute of Mining, Metallurgy
and Petroleum ("CIM") Standards on Mineral Resources and Mineral
Reserves (May 2014). The total open pit Mineral Resource is 8.58 Mt
at a grade of 3.3 g/t gold, for 902,000 oz gold in the Indicated
category and 3.01 Mt at a grade of 3.0 g/t gold, for 290,000 oz
gold in the Inferred category. Total underground Mineral Resources
are 1.27 Mt at a grade of 5.8 g/t gold, for 238,000 oz gold in the
Indicated category and 5.47 Mt at a grade of 5.1 g/t gold, for
889,000 oz gold in the Inferred category. The intention is to
permit the underground Mineral Resource after open pit mining
begins.
During 2020 the Company has been focused on de-risking La India
Project by advancing and completing several technical and
engineering studies, some of which are a condition of the
Environmental Permit. The following progress has been made:
-- Under the terms of the Environment Permit, the Company has to
purchase or have legal agreements in place for the land required
for the mine site infrastructure. Offers have been made to all land
owners. The Company has now purchased 95% of the land in and around
the permitted La India open pit mine site area, thereby getting
close to completing one of the main conditions of the Environmental
Permit and significantly de-risking the Project. The Company has
purchased land totalling 689 hectares in and around the permitted
La India open pit mine site infrastructure. In addition, the
Company can also demonstrate physical possession for approximately
18 years on the land covering the Mestiza open pit, has purchased
the majority of this land and has claimed ownership over 303
hectares in this area. The Company has ownership of 96 hectares of
land in the area of the America open pit and has spent
approximately US$4 million on buying land during the last 5
years.
-- The Tailings Storage Facility ("TSF") and 2 water retention
ponds are being fully designed and engineered with drawings one
step short of "issued for construction". Tierra Group Inc, Denver,
Colorado has completed site visits and is conducting the
engineering studies. 23 geotechnical drill holes and 55
geotechnical test pits have been completed. Good progress has been
made, with 72% of the work completed. A Feasibility Study on the
TSF is due to be completed in June 2021.
-- The design of the site wide water balance ("SWWB"), including
a surface water management plan was awarded during 2020 to SRK
Consulting (UK) Limited ("SRK"). SRK's work includes the area of
the permitted La India, America and Mestiza open pits. The ultimate
objective of the exercise is to produce engineering plans for the
installation of the physical components of a management system,
including the piping, pumping and structural requirements that will
satisfy Nicaraguan authorities and at the same time meet the design
standards for a feasibility study. The SWWB will include
consideration of the pit dewatering contributions i.e. subsurface
hydrology. SRK's remit includes an emphasis on training and
capacity building for the local Condor team to ensure full
ownership and facilitate implementation and sustainability of the
SWWB. A hydrologist from SRK has recently completed a 4 week site
visit. A Feasibility Level study is due to be completed over the
summer.
-- Preliminary designs for the layout of the mine site
infrastructure including, in some detail, the designs for the
location of the processing plant have been completed. Site
preparation for 11 hectares around the location of the processing
plant commenced in December 2020.
-- Mine and waste dump schedules for a number of mining
scenarios have been completed to a level that can be submitted to
MARENA and will be revised as the capacity of the processing plant
has been finalised.
-- The processing plant designs will be finalised to a
Feasibility Level following the purchase of a complete, new SAG
Mill package from First Majestic Silver.
-- The power studies have been progressed as far as possible.
The purchase of a complete new SAG Mill package from First Majestic
Silver means that the final power designs are now possible as the
Mill has been sized at 2,300tpd and the power requirement of
3,100kW for the Mill is known. Several meetings have been held with
the Ministry of Energy and Mines. National grid electricity pylons
are located 700 meters from the processing plant. Government is
building a new electricity sub-station 12km from the processing
plant; designs for supplying grid power via the new sub-station are
underway.
-- MARENA has confirmed that the final designs for the domestic
wastewater treatment system for the offices and accommodation
blocks at Mina La India comply with MARENA's technical and
environmental requirements and the final designs are approved.
-- An updated forestry inventory has been completed. The
compensation plan under the local law is to replace every tree
removed with 10 new trees. Condor has a tree nursery which
currently has approximately 5,400 trees.
Condor has run a number of internal mining scenarios ahead of a
construction. The primary scenario is an open pit mining scenario
from the permitted La India, America and Mestiza open pits, which
would support a 4,000tpd processing plant producing approximately
120,000 oz gold per annum. A secondary scenario involves a 2 stage
approach, commencing with a high grade open pit mining scenario of
1,000tpd producing approximately 50,000 oz gold per annum,
increasing capacity to 4,500tpd in year 3 or 4 and bring in the
underground Mineral Resource and potentially increasing production
to circa 170,000 oz gold per annum. On 15 March 2021, Condor
announced it has purchased a completed new SAG Mill package from
First Majestic Silver. The equipment is being provided by Metso
Outotec. The SAG Mill has a capacity of 2,300tpd. Mine schedules
will be re-run based on the throughput capacity of the new SAG
Mill.
In December 2020 Condor announced it had commenced a 4,000m
infill drilling programme on La India starter pits. The starter
pits are designed pits containing 445Kt at 4.17g/t gold for 59,700
oz gold using a 2.0g/t gold cut-off and have a maximum depth of 35m
and have a relatively low strip ratio. The drill program within the
La India starter pits will close up sample density to 25 metre by
25 metre spacing and is the final drilling ahead of extraction and
replace approximately 1,500m of RC drilling within the starter pits
and within the main La India open pit. The infill drilling is aimed
at confirming the geological model and like any infill drilling,
drill results can lead to an increase or decrease in the
mineralised material within the pit shells. The initial drill
results confirm the geological model within the northern starter
pit. Mining the higher-grade pits early will bring forward
cashflow, shorten payback period and enhance economics.
Exploration activities during 2020 took second place to the key
objective of completing the technical studies which are a condition
of the Environmental Permit for La India open pit and permitting
the 2 feeder pits. However, the Company remains convinced that the
La India Project is a major gold district with the potential to
host over 5 million ounces of gold. Condor's geologists have
identified two major north-northwest-striking mineralised basement
feeder zones traversing the Project, the "La India Corridor", which
hosts 90% of Condor's gold mineral resource and the "Andrea Los
Limones Corridor". Numerous geophysics, soil geochemistry and
surface rock chips indicate the possibility for further
mineralisation along strike.
In February 2021, Condor announced it had commenced a 5,000m
drilling programme on Cacao (about 4.0 km east of the permitted
plant at La India). It has the best potential to add ounces to the
global resource. Mapping and drilling demonstrate it has a long
strike length (> 3.0 km) and that the entire epithermal system
is preserved . Drill intercepts reported in 2017 include 7.85 m at
3.75 g/t gold, 7.85 m at 2.95 g/t gold and 17.1 m at 1.74 g/t gold.
The vein becomes more like La India vein at depth and is as thick,
or thicker.
Another exciting target is Andrea East (about 8.0 km north of La
India) which is now drill-ready, shows excellent grades at surface
and is a high priority for drilling. Trenches along it demonstrate
significant width and grades. Best intercepts are observed at
LICT15 (4.0 m at 1.79 g/t gold), LICT20 (5.6 m at 1.65 g/t gold)
and LICT21 (3.0 m at 3.6 g/t gold). Grab samples give up to 9.7 g/t
gold. Vein textures are very similar to La India and very
encouraging.
The Company continues to enhance its social engagement and
activities in the community, thereby maintaining our social licence
to operate. Condor has strengthened its community team and stepped
up social activities and engagement. The main local focus is the
drinking water programme, implemented in April 2017. A total of 340
families are currently benefiting; they receive five-gallon water
dispensers each week. The Company has ordered and is currently
installing a water purification plant manufactured in Israel at a
cost of approximately US$150,000 to double the drinking water
provided to the local communities. It is expected to be operational
in April 2021.
In January 2018 Condor initiated 'Involvement Programmes', which
now extend to six groups in the local village to benefit
communities which may be affected by the mine. Taking the Elderly
Group as an example, a committee of six people has been formed. The
Company allocates monthly support to the Elderly Group, which
decides how this money is spent to benefit the elderly in the
Community.
Condor continues to have very constructive meetings with key
Ministries that granted the Environmental Permit for La India open
pit and the Mestiza and America open pits. The Company has been
operating in Nicaragua since 2006 and, as a responsible gold
exploration and development company, continues to add value to the
local communities and environment by generating sustainable
socio-economic and environmental benefits. The new mine would
potentially create approximately 1,000 jobs during the construction
period, with priority to be given to the local community. The
upfront capital cost of approximately US$110 million would have a
significant positive impact on the economy. The Government and
local communities would benefit significantly from future royalties
and taxes.
As of the date of this document, the ability of the Company to
operate has not been materially affected by the on-going Covid-19
pandemic. The situation is kept under close review by management
and the Board; certain measures have and will be taken as
appropriate to ensure the health and safety of employees in this
regard and to reduce the potential spread of the virus within the
local community.
In February 2021 the Company announced it had raised GBP4.0
million by way of a private placement of new ordinary shares. (See
RNS of 16 February 2021 for details). Through the exercise of
warrants a further GBP1.6 million was raised during 2020, along
with GBP0.8 million so far in 2021.
Turning to the financial results for the year 2020, the Group's
loss for the year was GBP1,309,992 (2019: GBP1,542,781). The
Company raised a total of GBP8.0 million after expenses during the
financial period (2019: GBP5.8 million). The net cash balance of
the Group at 31 December 2020 was GBP4,159,391 (2019:
GBP2,903,556).
The key objective for 2021 is to continue to advance La India
Project to production. On 15 March 2021, Condor announced the
purchase of a complete, new SAG Mill package from First Majestic
Silver for US$6.5M. It is 90% ready to ship and is due to arrive in
Nicaragua in 6 weeks to 4 months time. The capacity of the new SAG
Mill is 2,300tpd; detailed engineering studies will commence to
undertake engineering designs to a Feasibility Level standard and
to an engineering standard sufficient to order equipment for the
processing plant based on the purchased SAG Mill package. Several
other studies, namely metallurgical, geotechnical, hydrology,
hydrogeology, geochemistry, environmental, social, mine schedules
and waste dump schedule are being initiated to a Feasibility Level
of design, which is + or - 15% accuracy. The site preparation will
be extended beyond the processing plant location. The 5,000m
drilling programme currently underway on the Cacao concession is
aimed at demonstrating the potential for a 500,000 oz gold mineral
resource.
Based on Condor's internal studies, reviewed by SRK Consulting
(UK) Ltd, the total permitted mill feed combining La India, Mestiza
and America open pits is 8,829Kt at 3.09g/t gold for 847,000 oz
gold . Production from the permitted La India open pit is expected
to be approximately 600,000 oz gold. The addition of the permitted
high-grade America and Mestiza open pits has the potential to
increase production to 120,000 oz gold per annum (compared to the
80,000 oz gold per annum in the PFS) for a seven year life of mine.
A high grade open pit mining scenario from the permitted la India,
Mestiza and American open pits delivers a robust diluted tonnage of
1,637Kt at 4.65g/t gold for diluted head grade of 245,000 oz gold
derived from the previously reported Indicated and Inferred Mineral
Resources. The Company has conducted technical mining studies to
see if it is possible to generate production much earlier by mining
a "starter pit" within the permitted La India open pit. The starter
pits are designed pits containing 445Kt at 4.17g/t gold for 59,700
oz gold using a 2.0g/t gold cut-off. Adding a higher average open
pit grade of 4.7 g/t gold from the satellite feeder pits to the
mill feed from the permitted La India open pit of 3.0 g/t gold will
enhance the Project NPV, IRRs, reduce the payback period and
maintain the low All In Sustaining Cash Cost of US$690 per oz gold
as detailed in the PFS. Maintaining a social licence to operate is
highly important and Condor will continue with its extensive social
programmes in the local community. The historic mine at Mina La
India closed in 1956, resulting in a high level of poverty in the
village of La Cruz de la India. The Government and local community
want to see a new mine at Mina La India.
M L Child
Chairman & CEO
Date: 31 March 2021
CONDOR GOLD PLC
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEARED 31 DECEMBER 2020
Year Ended Year
31.12.20 Ended
31.12.19
GBP GBP
Administrative expenses (1,750,395) (1,529,348)
Gain on disposal of project 439,228 -
Operating loss (1,311,167) (1,529,348)
Finance income 1,175 4,567
Loss before income tax (1,309,992) (1,524,781)
Income tax expense - -
Loss for the year (1,309,992) (1,524,781)
=============== ===============
Other comprehensive income:
Other comprehensive income to
be reclassified to profit or loss
in subsequent periods:
Currency translation differences (1,615,168) (1,706,724)
--------------- ---------------
Other comprehensive income for
the year (1,615,168) (1,706,724)
=============== ===============
Total comprehensive income for
the year (2,925,160) (3,231,505)
=============== ===============
Loss attributable to:
Owners of the parent (1,309,992) (1,524,781)
--------------- ---------------
(1,309,992) (1,524,781)
=============== ===============
Total comprehensive income attributable
to:
Owners of the parent (2,925,160) (3,231,505)
--------------- ---------------
(2,925,160) (3,231,505)
=============== ===============
Earnings per share expressed in
pence per share:
Basic and diluted (in pence) (1.21) (1.86)
=============== ===============
CONDOR GOLD PLC
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2020
31.12.20 31.12.19
GBP GBP
ASSETS:
NON-CURRENT ASSETS
Property, plant and equipment 3,067,397 585,950
Intangible assets 22,089,314 20,909,637
25,156,711 21,495,587
------------- -------------
CURRENT ASSETS
Trade and other receivables 114,409 143,279
Cash and cash equivalents 4,159,391 2,903,556
4,273,800 3,046,835
------------- -------------
TOTAL ASSETS 29,430,511 24,542,422
============= =============
LIABILITIES:
CURRENT LIABILITIES
Trade and other payables 266,412 757,102
------------- -------------
TOTAL LIABILITIES 266,412 757,102
============= =============
NET CURRENT ASSETS 4,007,388 2,289,733
------------- -------------
NET ASSETS 29,164,099 23,785,320
============= =============
SHAREHOLDERS' EQUITY ATTRIBUTABLE
TO OWNERS OF THE PARENT
Called up share capital 23,732,526 18,932,704
Share premium 37,175,626 33,953,693
Exchange difference reserve (2,362,101) (746,933)
Retained earnings (29,381,952) (28,354,144)
TOTAL EQUITY 29,164,099 23,785,320
============= =============
The financial statements were approved and authorised for issue
by the Board of directors on 31 March 2021 and were signed on its
behalf by:
M L Child - Chairman
Company No: 05587987
CONDOR GOLD PLC
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
AS AT 31 DECEMBER 2020
Share Share premium Exchange Retained Total Total
Capital difference earnings Equity
reserve
GBP GBP GBP GBP GBP GBP
At 1 January 2019 13,435,868 33,662,309 959,791 (27,013,925) 21,044,043 21,044,043
------------ ------------- ----------- ------------ ----------- -----------
Comprehensive income:
Loss for the year - - - (1,524,781) (1,524,781) (1,524,781)
Other comprehensive
income:
Currency translation
differences - - (1,706,724) - (1,706,724) (1,706,724)
Total comprehensive
income - - (1,706,724) (1,524,781) (3,231,505) (3,231,505)
------------ ------------- ----------- ------------ ----------- -----------
New shares issued 5,496,836 323,934 - - 5,820,770 5,820,770
Issue costs - (32,550) - - (32,550) (32,550)
Share based payment - - - 184,562 184,562 184,562
Total transactions
with owners, recognised
directly in equity 5,496,836 291,384 - 184,562 5,972,782 5,972,782
------------ ------------- ----------- ------------ ----------- -----------
At 31 December 2019 18,932,704 33,953,693 (746,933) (28,354,144) 23,785,320 23,785,320
------------ ------------- ----------- ------------ ----------- -----------
Comprehensive income:
Loss for the year - - - (1,309,992) (1,309,992) (1,309,992)
Other comprehensive
income:
Currency translation
differences - - (1,615,168) - (1,615,168) (1,615,168)
Total comprehensive
income - - (1,615,168) (1,309,992) (2,925,160) (2,925,160)
------------ ------------- ----------- ------------ ----------- -----------
New shares issued 4,799,822 3,444,143 - - 8,243,965 8,243,965
Issue costs - (222,210) - - (222,210) (222,210)
Share based payment - - - 282,184 282,184 282,184
Total transactions
with owners, recognised
directly in equity 4,799,822 3,221,933 - 282,184 8,303,939 8,303,939
------------ ------------- ----------- ------------ ----------- -----------
At 31 December 2020 23,732,526 37,175,626 (2,362,101) (29,381,952) 29,164,099 29,164,099
------------ ------------- ----------- ------------ ----------- -----------
Share premium reserve represents the amounts subscribed for
share capital in excess of the nominal value of the shares issued,
net of cost of issue.
The exchange difference reserve is a separate component of
Shareholders' equity in which the exchange differences, arising
from translation of the results and financial positions of foreign
operations that are included in the Group's Consolidated Financial
Statements, are reported.
Retained earnings represent the cumulative net gains and losses
recognised in the consolidated income statement.
CONDOR GOLD PLC
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2020
31.12.20 31.12.19
GBP GBP
ASSETS:
NON-CURRENT ASSETS
Property, plant and equipment - 15
Investments 751,977 751,977
Other receivables 32,260,491 27,017,925
-------------- --------------
33,012,468 27,769,917
-------------- --------------
CURRENT ASSETS
Trade and other receivables 30,656 22,850
Cash and cash equivalents 4,045,574 2,336,235
-------------- --------------
4,076,230 2,359,085
-------------- --------------
TOTAL ASSETS 37,088,698 30,129,002
============== ==============
LIABILITIES:
CURRENT LIABILITIES
Trade and other payables 183,786 180,074
-------------- --------------
TOTAL LIABILITIES 183,786 180,074
-------------- --------------
NET CURRENT ASSETS 3,892,444 2,179,011
-------------- --------------
NET ASSETS 36,904,912 29,948,928
============== ==============
SHAREHOLDERS' EQUITY
Called up share capital 23,732,526 18,932,704
Share premium 37,175,626 33,953,693
Retained earnings (24,003,240) (22,937,469)
TOTAL EQUITY 36,904,912 29,948,928
============== ==============
The loss for the financial year dealt with in the financial
statement of the parent company was GBP1,347,955 (2019:
GBP1,201,585).
The financial statements were approved and authorised for issue
by the Board of directors on 31 March 2021 and were signed on its
behalf by:
M L Child - Chairman
Company No: 05587987
CONDOR GOLD PLC
COMPANY STATEMENT OF CHANGES IN EQUITY
AS AT 31 DECEMBER 2020
Share Share premium Retained Total
capital earnings
GBP GBP GBP GBP
At 1 January 2019 13,435,868 33,662,309 (21,920,446) 25,177,731
----------- -------------- ------------- ------------
Comprehensive income:
Loss for the period - - (1,201,585) (1,201,585)
Total comprehensive
income - - (1,201,585) (1,201,585)
----------- -------------- ------------- ------------
New shares issued 5,496,836 323,934 - 5,820,770
Issue costs - (32,550) - (32,550)
Share based payment - - 184,562 184,562
Total transactions with
owners recognised directly
in equity 5,496,836 291,384 184,562 5,972,782
----------- -------------- ------------- ------------
At 31 December 2019 18,932,704 33,953,693 (22,937,469) 29,948,928
----------- -------------- ------------- ------------
Comprehensive income:
Loss for the period - - (1,347,955) (1,347,955)
Total comprehensive
income - - (1,347,955) (1,347,955)
----------- -------------- ------------- ------------
New shares issued 4,799,822 3,444,143 - 8,243,965
Issue costs - (222,210) - (222,210)
Share based payment - - 282,184 282,184
Total transactions with
owners recognised directly
in equity 4,799,822 3,221,933 282,184 8,303,939
----------- -------------- ------------- ------------
At 31 December 2020 23,732,526 37,175,626 (24,003,240) 36,904,912
----------- -------------- ------------- ------------
Share premium reserve represents the amounts subscribed for
share capital in excess of the nominal value of the shares issued,
net of cost of issue.
Retained earnings represent the cumulative net gains and losses
recognised in the Company's income statement.
CONDOR GOLD PLC
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEARED 31 DECEMBER 2020
Year Ended Year-Ended
31.12.20 31.12.19
GBP GBP
Cash flows from operating activities
Loss before tax (1,309,992) (1,524,781)
Share based payment 282,184 184,562
Depreciation 53,699 85,272
Exchange differences (287,276) (90,626)
Finance income (1,175) (4,567)
(1,262,560) (1,350,140)
Decrease in trade and other
receivables 28,870 75,798
(Decrease) / Increase in trade
and other payables (490,690) 505,786
Net cash used in operating activities (1,724,380) (768,556)
------------ ------------
Cash flows from investing activities
Purchase of property, plant
and equipment (2,570,054) (476,255)
Purchase of intangible fixed
assets (2,472,661) (1,865,395)
Interest received 1,175 4,567
Net cash used in investing activities (5,041,540) (2,337,083)
------------ ------------
Cash flows from financing activities
Net proceeds from share issue 8,021,755 5,788,220
Net cash from financing activities 8,021,755 5,788,220
------------ ------------
Increase in cash and cash equivalents 1,255,835 2,682,581
------------ ------------
Cash and cash equivalents at
beginning of year 2,903,556 220,975
Cash and cash equivalents at
end of year 4,159,391 2,903,556
============ ============
CONDOR GOLD PLC
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEARED 31 DECEMBER 2020
Year Ended Year Ended
31.12.20 31.12.19
GBP GBP
Cash flows from operating activities
Loss before tax (1,347,955) (1,201,585)
Share based payment 282,184 184,562
Depreciation 15 500
Finance income (1,175) (4,567)
(1,066,931) (1,021,090)
Increase in trade and other
receivables (7,806) (526)
Increase / (Decrease) in trade
and other payables 3,712 (2,487)
Net cash used in operating activities (1,071,025) (1,024,103)
------------ ------------
Cash flows from investing activities
Interest received 1,175 4,567
Loans to subsidiaries (5,242,566) (2,623,615)
Net cash used in investing activities 5,241,391 (2,619,048)
------------ ------------
Cash flows from financing activities
Proceeds from share issue 8,021,755 5,788,220
Net cash from financing activities 8,021,755 5,788,220
------------ ------------
Increase in cash and cash equivalents 1,709,339 2,145,069
------------ ------------
Cash and cash equivalents at
beginning of year 2,336,235 191,166
Cash and cash equivalents at
end of year 4,045,574 2,336,235
============ ============
- Ends -
For further information please visit www.condorgold.com or
contact:
Condor Gold plc Mark Child, Chairman and CEO
+44 (0) 20 7493 2784
Beaumont Cornish Limited Roland Cornish and James Biddle
+44 (0) 20 7628 3396
SP Angel Corporate
Finance LLP Ewan Leggat
+44 (0) 20 3470 0470
Blytheweigh Tim Blythe and Megan Ray
+44 (0) 20 7138 3204
About Condor Gold plc:
Condor Gold plc was admitted to AIM in May 2006 and dual listed
on the TSX in January 2018. The Company is a gold exploration and
development company with a focus on Nicaragua.
In August 2018, the Company announced that the Ministry of the
Environment in Nicaragua had granted the Company an Environmental
Permit for the development, construction and operation of a
processing plant with capacity to process up to 2,800 tonnes per
day at its wholly-owned La India gold project ("La India Project").
The Environmental Permit is considered to be the master permit for
mining operations in Nicaragua. Condor Gold published a
Pre-Feasibility Study ("PFS") on the La India Project in December
2014, as summarised in the Technical Report as defined below. The
PFS details an open pit gold Mineral Reserve in the Probable
category of 6.9 Mt at 3.0 g/t gold for 675,000 oz gold, producing
80,000 oz gold per annum for seven years. La India Project contains
a Mineral Resource of 9,850Kt at 3.6 g/t gold for 1,140Koz gold in
the Indicated category and 8,479Kt at 4.3g/t gold for 1,179Koz gold
in the Inferred category. The Indicated Mineral Resource is
inclusive of the Mineral Reserve. A gold price of $1,500/oz and a
cut-off grade of 0.5g/t and 2.0g/t gold were assumed for open pit
and underground resources respectively. A cut-off grade of 1.5g/t
gold was furthermore applied within a part of the Inferred
Resource. Mineral Resources are not Mineral Reserves and do not
have demonstrated economic viability. There is no certainty that
any part of the Mineral Resources will be converted to Mineral
Reserves.
Environmental Permits have also been granted in April and May
2020 in relation to the Mestiza and America open pits respectively,
both located in the vicinity of the La India Project. The Mestiza
open pit hosts 92Kt at a grade of 12.1 g/t gold (36,000 oz
contained gold) in the Indicated Mineral Resource category and
341Kt at a grade of 7.7 g/t gold (85,000 oz contained gold) in the
Inferred Mineral Resource category . The America open pit hosts 114
Kt at a grade of 8.1 g/t gold (30,000 oz contained gold) in the
Indicated Mineral Resource category and 677Kt at a grade of 3.1 g/t
gold (67,000 oz contained gold) in the Inferred Mineral Resource
category. Following the permitting of the Mestiza and America open
pits, together with the La India open pit Condor has 1.12M oz gold
open pit Mineral Resources permitted for extraction, inclusive of a
Mineral Reserve of 6.9Mt at 3.0g/t gold for 675,000 oz gold.
Disclaimer
Neither the contents of the Company's website nor the contents
of any website accessible from hyperlinks on the Company's website
(or any other website) is incorporated into, or forms part of, this
announcement.
Qualified Persons
The technical and scientific information in this press release
has been reviewed, verified and approved by Andrew Cheatle, P.Geo.,
who is a "qualified person" as defined by NI 43-101.
Technical Information
Certain disclosure contained in this news release of a
scientific or technical nature has been summarised or extracted
from the technical report entitled "Technical Report on the La
India Gold Project, Nicaragua, December 2014", dated November 13,
2017 with an effective date of December 21, 2014 (the "Technical
Report"), prepared in accordance with NI 43-101. The Technical
Report was prepared by or under the supervision of Tim Lucks,
Principal Consultant (Geology & Project Management), Gabor
Bacsfalusi, Principal Consultant (Mining), Benjamin Parsons,
Principal Consultant (Resource Geology), each of SRK Consulting
(UK) Limited, and Neil Lincoln of Lycopodium Minerals Canada Ltd.,
each of whom is an independent "qualified person" as defined by NI
43-101 .
Forward Looking Statements
All statements in this press release, other than statements of
historical fact, are 'forward-looking information' with respect to
the Company within the meaning of applicable securities laws,
including statements with respect to: Developmment Plans for the La
India Project, Mineral Reserves and Resources at La India Project.
Forward-looking information is often, but not always, identified by
the use of words such as: "seek", "anticipate", "plan", "continue",
"strategies", "estimate", "expect", "project", "predict",
"potential", "targeting", "intends", "believe", "potential",
"could", "might", "will" and similar expressions. Forward-looking
information is not a guarantee of future performance and is based
upon a number of estimates and assumptions of management at the
date the statements are made including, among others, assumptions
regarding: future commodity prices and royalty regimes;
availability of skilled labour; timing and amount of capital
expenditures; future currency exchange and interest rates; the
impact of increasing competition; general conditions in economic
and financial markets; availability of drilling and related
equipment; effects of regulation by governmental agencies; the
receipt of required
permits; royalty rates; future tax rates; future operating
costs; availability of future sources of funding; ability to obtain
financing and assumptions underlying estimates related to adjusted
funds from operations. Many assumptions are based on factors and
events that are not within the control of the Company and there is
no assurance they will prove to be correct.
Such forward-looking information involves known and unknown
risks, which may cause the actual results to be materially
different from any future results expressed or implied by such
forward-looking information, including, risks related to: mineral
exploration, development and operating risks; estimation of
mineralisation, resources and reserves; environmental, health and
safety regulations of the resource industry; competitive
conditions; operational risks; liquidity and financing risks;
funding risk; exploration costs; uninsurable risks; conflicts of
interest; risks of operating in Nicaragua; government policy
changes; ownership risks; permitting and licencing risks; artisanal
miners and community relations; difficulty in enforcement of
judgments; market conditions; stress in the global economy; current
global financial condition; exchange rate and currency risks;
commodity prices; reliance on key personnel; dilution risk; payment
of dividends; as well as those factors discussed under the heading
"Risk Factors" in the Company's annual information form for the
fiscal year ended December 31, 2020 dated March 31, 2021, available
under the Company's SEDAR profile at www.sedar.com .
Although the Company has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking information,
there may be other factors that cause actions, events or results
not to be as anticipated, estimated or intended. There can be no
assurance that such information will prove to be accurate as actual
results and future events could differ materially from those
anticipated in such statements. The Company disclaims any intention
or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise
unless required by law.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
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END
FR EASDEDSKFEFA
(END) Dow Jones Newswires
March 31, 2021 02:00 ET (06:00 GMT)
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