RNS Number:9446R
Mincorp Plc
27 February 2007
MINCORP PLC
Interim Report
For the six months ended
30th November 2006
CHAIRMAN'S STATEMENT
Dear shareholders,
BOARD CHANGES
Since the date of this report, significant changes have taken place in the board
of directors of the company. Details of the three newly appointed directors, who
were elected on 31 January 2007 follow;
Michael David Coleman Age 50.
Michael Coleman is an English solicitor admitted in 1984 who retired from
private practice in 2001 after a distinguished career. He has acted in many high
profile and controversial matters including the defence of George Walker, former
chairman and CEO of Brent Walker Group Plc, Jonathan Aitken, former secretary of
State for Defence in Margaret Thacher's Cabinet, James Hewitt and Neil and
Christine Hamilton. He has more recently been a director of Speed Mail
International Ltd, seeing through its acquisition by Deutchepost Gmb H, as part
of its global acquisition of DHL. He has been a director of Designer Vision Ltd,
seeing it through successful membership of AIM under the name of Designer Vision
Group Plc.
Jaafar bin Ahmad, age 62.
Jaafar bin Ahmad has had considerable experience in finance and investment. He
has been Chief Economist and Assistant Governor of the Reserve Bank of Malaysia,
an Executive Director of the International Monetary Fund and Governor of the
Reserve Bank of Namibia. He was Managing Director of Air Namibia from 1998 to
2001. He is currently a director of Metropolitan and Allied Bank Ghana Limited,
the first private bank in Ghana. He is also a director of Cuminore Pty Ltd, a
copper refining company in South Africa.
Mohd. Noordin bin Abdullah, age 65.
Mohd. Noordin bin Abdullah has had a career in banking, having held a number of
senior posts with Bank Bumiputra Bhd. between 1974 and 2001. He is currently an
Executive Director of Metropolitan and Allied Bank of Ghana Limited and a
director of PSC Industries Bhd, a company quoted on the Malaysian Stock Exchange
and engaged in ship building and ship repair.
FINANCIAL
The company needs to raise funds to continue operating and acquire new projects.
As a result of negotiations with potential shareholders, the directors at a
board meeting on 2 February 2007 resolved to issue a total of 236,000,000 shares
of #0.001p at an issue price of #0.0074. This price was based on two previously
traded blocks totalling 29,750,000 shares at a market price of 0.74p. The issue
will raise #1,746,400.
FUTURE PROSPECTS
The two items I have mentioned, enlargement of the board of directors and the
issue of shares to raise a substantial amount in working capital, will have
profound effect on the future of the company. In particular, the recently
appointed directors have financial connections which could be utilised if the
company needs to raise substantial amounts of capital for major projects.
CURRENT OPERATIONS
A summary of the current operations is contained in the report of the Chief
Executive Officer which follows.
CONCLUSIONS
I would like to thank the various officers of the company and the shareholders
for their support during the period under review.
REGINALD HARE
Chairman
CHIEF EXECUTIVE OFFICER'S REPORT
Dear Shareholders,
I am pleased to report to shareholders a summary of the activities of Mincorp
Plc and associated companies to 30th November 2006. This report also deals with
the period since then and includes results up to the date of this report.
The company's main activity during the year has been on the Mt Cadig Nickel
Deposit on Luzon Island in the Philippines.
MT CADIG
As previously reported, the company's wholly owned subsidiary, Bonaventure
Mining Corporation, is the applicant for an Exploration Permit of approximately
9,400 hectares which covers the whole of the Mt Cadig deposit. The company's
application was challenged by an opposing party twice in the Mines Adjudication
Board. In both cases Bonaventure was successful in defending its application.
However, late last year, in a surprise decision, the Court of Appeals reversed
the decision of the Mines Adjudication Board. The company has now lodged an
appeal with the Supreme Court challenging the Court of Appeals' decision. Our
legal advisers are confident the company will win the case in the higher court.
Unfortunately, there will be a substantial delay before a decision can be
expected. In the meanwhile, all exploration on Mt Cadig has been suspended.
PROJECT DEVELOPMENT
During the period under review, the company has been scouting for attractive
mineral prospects within the Philippines. Particular emphasis is on lateritic
nickel areas. It is anticipated that in the near future properties with granted
mining tenements will be secured. We have avoided prospects under application as
the process of perfecting a mineral title in the Philippines is a prolonged and
expensive business.
The company has also been carrying out an investigation of the technical and
economic viability of establishing an ethanol project in the Philippines. This
study has been prompted by the passage of the "Biofuels Act of 2006" by the
Senate and the House of Representatives. This act makes it mandatory that within
two years from the passage of the Act, all gasoline sold in the country shall
contain at least 5% locally sourced ethanol. This percentage will rise to 10%
after four years from the passage of the act. Full details of the legislation
will shortly become available with the issue of the "Implementing Rules and
Regulations".
FUTURE PROSPECTS
The company will now initiate an aggressive search for mining properties
throughout the world. Mincorp Asia, Inc, which is established in the
Philippines, will be the management base for these activities in Australia and
Asia. Other management bases will be located strategically around the world.
REGISTERED OFFICE
Mincorp Plc has now established its office at 1 Deans Yard, Westminster, London
SW1P 3NP.
REGINALD HARE
Chief Executive officer
Independent Review Report to Mincorp PLC
Introduction
We have been instructed by the Company to review the financial information set
out on pages 7 to 11 and we have read the other information contained in the
interim report and considered whether it contains any apparent misstatements or
material inconsistencies with the financial information.
This report is made solely to the Company in accordance with guidance contained
in Bulletin 1999/4 "Review of interim financial information" issued by the
Auditing Practices Board. To the fullest extent permitted by law, we do not
accept or assume responsibility to anyone other than the company, for our work,
for this report, or for the conclusions we have formed.
Directors' responsibilities
The interim report, including the financial information contained therein, is
the responsibility of, and has been approved by the Directors. The directors
are responsible for preparing the interim report in accordance with the rules of
the London Stock Exchange for companies trading securities on the Alternative
Investment Market which require that the half-yearly report be presented and
prepared in a form consistent with that which will be adopted in the company's
annual accounts having regard to the accounting standards applicable to such
annual accounts.
Review work performed
We conducted our review in accordance with guidance contained in Bulletin 1999/4
issued by the Auditing Practices Board for use in the United Kingdom by auditors
of fully listed companies. A review consists principally of making enquiries of
the Directors and applying analytical procedures to the financial information
and underlying financial data and based thereon, assessing whether the
accounting policies and presentation have been consistently applied unless
otherwise disclosed. A review excludes audit procedures such as tests of
controls and verification of assets, liabilities and transactions. It is
substantially less in scope than an audit performed in accordance with United
Kingdom Auditing Standards and therefore provides a lower level of assurance
than an audit. Accordingly we do not express an audit opinion on the financial
information.
Review conclusion
On the basis of our review we are not aware of any material modifications that
should be made to the financial information as presented for the six months
ended 30th November 2006.
Emphasis of matter - Going Concern
In forming our conclusion, which is not modified, we have considered the
adequacy of the disclosures made in Note 1 to the financial information
concerning the Company's ongoing negotiations to raise new finance and the
consequential implication for the Company's ability to continue as a going
concern. The validity of the going concern basis depends upon adequate funding
being made available. The financial statements do not include any adjustments
that would result from a failure to secure sufficient funds through funding
negotiations.
CHAPMAN DAVIS LLP
Chartered Accountants
2 Chapel Court
London SE1 1HH
Consolidated Income Statement (Unaudited)
For the 6 months ended 30 November 2006
Notes # # #
Six months Six months Year ending 31
ending 30 ending 30 May 2006
November 2006 November 2005 (Audited)
(Unaudited) (Unaudited)
Administrative expenses (45,097) (59,512) (95,860)
OPERATING (LOSS) (45,097) (59,512) (95,860)
Interest received 370
12,612 14,735
Share of associate (loss) - (10,000) (10,000)
(LOSS) BEFORE TAXATION (44,727) (56,900) (91,125)
Taxation 2 - - -
(LOSS) ON ORDINARY ACTIVITIES AFTER TAXATION (44,727) (56,900) (91,125)
(Loss) per share :
Basic 4 (0.04)p (0.05)p (0.08)p
Consolidated Balance Sheet (Unaudited)
At 30 November 2006
Notes # # #
Six months Six months Year ending 31
ending 30 ending 30 May 2006
November 2006 November 2005 (Audited)
(Unaudited) (Unaudited)
FIXED ASSETS
Intangible Assets 164,393 132,775 163,117
Investments - - -
TOTAL FIXED ASSETS 164,393 132,775 163,117
CURRENT ASSETS
Debtors 309,361 190,766 255,453
Cash at bank and in hand 105,293 241,519 133,428
TOTAL CURRENT ASSETS 414,654 432,285 388,881
CURRENT LIABLILITES
Creditors: Amounts falling due within one year (71,391) (64,572) (92,975)
TOTAL CURRENT LIABLITIES (71,391) (64,572) (92,975)
NET CURRENT ASSETS 343,263 367,713 295,906
NET ASSETS 507,656 500,488 459,023
CAPITAL AND RESERVES
Called up share capital 6 130,001 120,001 120,001
Share premium 555,279 470,279 470,279
Foreign exchange reserve (8,880) - (7,240)
Profit and loss account (168,744) (89,792) (32,892)
EQUITY SHAREHOLDERS' FUNDS 7 507,656 500,488 459,023
Consolidated Cash Flow Statement (Unaudited)
For the 6 months ended 30 November 2006
Notes # # #
Six months ending Six months ending Year ending 31
30 November 2006 30 November 2005 May 2006
(Unaudited) (Unaudited) (Audited)
CASH OUTFLOW FROM OPERATING ACTIVITIES (122,229) (30,765) (229,038)
Returns on investments and servicing of 370 12,612 14,735
finance
Capital expenditure and investment (1,276) (86,378) (116,721)
CASH OUTFLOW BEFORE FINANCING (123,135) (104,531) (331,024)
Financing 95,000 (118,402) -
NET CASH (DECREASE) IN 5
THE PERIOD (28,135) (222,933) (331,024)
Notes to the Interim Report
For the 6 months ending 30 November 2006
1. ACCOUNTING POLICIES
(a) Presentation of interim results
This interim report was approved by the Directors on 9 February 2007. The
interim results have not been audited, but were the subject of an
independent review carried out by the Company's auditors, Chapman Davis
LLP. Their review confirmed that the figures were prepared using
applicable accounting policies and practices consistent with those to be
adopted in the annual report. The financial information contained in this
interim report does not constitute statutory accounts as defined by Section
240 of the Companies Act 1985.
(b) Basis of preparation
These financial statements have been prepared under the historical cost
convention and in accordance with the applicable UK accounting standards.
(c) Basis of consolidation
The financial statements of controlled entities are included in the
consolidated financial statements from the date control commences until the
date control ceases.
The Group profit and loss account and balance sheet combine the accounts of
the Company and its subsidiaries, using the acquisition method of
accounting.
(d) Goodwill
Goodwill on consolidation is capitalised and shown within fixed assets.
Positive goodwill is subject to annual impairment review with movements
charged in the profit and loss account. Negative goodwill is reassessed by
the Directors and attributed to the relevant assets to which it relates
(e) Going concern
The financial statements have been prepared on the going concern basis,
with no adjustments in respect of the following concerns of the group's
ability to continue to trade under that assumption.
The group's cash flow forecast for the 12 months to 30 November 2007,
highlights the company is expected to be in negative cash flow by the end
of that period. The board of directors, are evaluating all the options
available to the injection of funds into the group during the next 12
months and are confident that the necessary funds to remain cash positive
for the whole period will be raised in order for the group to continue its
exploration activities. The board of directors have approved on 2 February
2007, a placing of 236million shares at an issue price of 0.74pence,
raising #1,746,000.
The directors will update the company's shareholders through AIM, as soon
as the placing has been completed.
2. TAXATION
No taxation has been provided due to losses in the period.
3. DIVIDENDS
The Directors do not recommend the payment of a dividend.
4. LOSS PER SHARE
Six months ending Six months ending Year ending
30 November 2006 30 November 2005 31 May 2006
(Unaudited) (Unaudited) (Audited)
Basic Loss for the period
(Loss) (#s) (44,727) (56,900) (91,125)
Weighted Average Number of Shares 125.57 million 120.00 million 120.00 million
(Loss) Per Share - pence (0.02)p (0.05)p (0.08)p
The basic earnings per share has been calculated on a loss on ordinary
activities after taxation of #44,727 (31 May 2006: #91,125 loss) and on
125,574,770 (31 May 2006: 120.00million) ordinary shares being the weighted
average number of shares in issue and ranking for dividend during the period.
No diluted loss per share is presented as the effect of exercise of outstanding
options is to decrease the loss per share.
5. RECONCILIATION OF NET CASHFLOW TO MOVEMENT IN NET FUNDS
# # #
Six months ending Six months ending Year ending
30 November 2006 30 November 2005 31 May 2006
(Unaudited) (Unaudited) (Audited)
(Decrease) in cash in the period (28,135) (222,933) (331,024)
Net funds at beginning of period 133,428 464,452 464,452
Net funds at end of period 105,293 241,519 133,428
6. SHARE CAPITAL
The authorised share capital of the Company and the called up and fully paid
amounts at 30 November 2006 were as follows:-
# # #
Six months ending Six months ending Year ending
30 November 2006 30 November 2005 31 May 2006
(Unaudited) (Unaudited) (Audited)
Authorised:
1,000,000,000 ordinary shares of 0.1p each 1,000,000 1,000,000 1,000,000
======= ======= =======
Allotted, called up and fully paid:
130,001,000 ordinary shares of 0.1p each 130,001 120,001 120,001
======= ======= =======
On 21 August 2006, the company issued 10,000,000 ordinary shares for a total
gross cash consideration of #100,000.
7. RECONCILIATION OF MOVEMENT IN SHAREHOLDERS' FUNDS
Share Share Profit Other Total
capital premium and loss Reserves
account
# # # # #
At 1 June 2006 120,001 470,279 (124,017) (7,240) 459,023
(Loss) for the period - - (44,727) (1,640) (46,367)
Shares issued net of expenses 10,000 85,000 - - 95,000
At 30 November 2006 130,001 555,279 (168,744) (8,880) 507,656
Mincorp PLC
Company Information
Directors
Jocelyn Arreza
Reginald Hare
Michael Coleman
Jaafar bin Ahmad
Mohd. Noordin bin Abdullah
Secretary
Stephen Ronaldson
Registered office
55 Gower Street
London WC1E 6HQ
Nominated Adviser
Nabarro Wells & Co Ltd
Saddlers House
Gutter Lane
London EC2V 6HS
Broker
Keith, Bayley, Rogers & Co. Ltd
Sophia House
76-80 City Road
London EC1Y 2EQ
Auditors
Chapman Davis LLP
No.2 Chapel Court
London SE1 1HH
Registrar
Share Registrars Ltd
Craven House
West Street
Farnham
Surrey GU9 7EN
Registered number
05140143
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR BDGDDXXDGGRR
Mincorp (LSE:MOP)
Historical Stock Chart
From Jun 2024 to Jul 2024
Mincorp (LSE:MOP)
Historical Stock Chart
From Jul 2023 to Jul 2024
