TIDMTYM
RNS Number : 0561B
Tertiary Minerals PLC
30 May 2023
30 May 2023
TERTIARY MINERALS PLC
("Tertiary" or "the Company")
HALF-YEARLY REPORT 2023
Tertiary Minerals plc is pleased to announce its unaudited
interim results for the six-month period ended 31 March 2023.
Six-Month Operational highlights:
Tertiary continues to develop its mineral project portfolio,
focused on copper opportunities in Zambia and copper and precious
metals projects in Nevada.
Zambia
-- JV agreement signed with Mwashia Resources recognising the
Company's 90% interest and right to purchase the remaining 10%
interest in the Jacks Copper Project.
-- Jacks Copper Project soil sampling programme generated
multiple copper soil anomalies with a peak value of 535ppm copper
and high Cu:Sc ratios which can indicate hydrothermal copper
sulphide and compare favourably with soil anomalies in the vicinity
of various ore zones at current and past producing mines on the
Copperbelt. Drill testing is planned.
-- Data transfer completed from First Quantum Minerals for the
Mukai and Mushima North Copper Projects under a data sharing and
technical cooperation agreement.
-- Resampling of 1970s drill hole RKN800 at Mushima North
returned 33m grading 0.24% copper from 122m-155m downhole,
including 9m grading 0.43% copper from 140m-149m. The drillhole
ended in mineralisation grading 0.19% copper from 154-155m (EOH)
and lies on the edge of an untested gravity anomaly defined and
targeted for drilling by BHP for possible Iron-Oxide-Copper-Gold
style mineralisation.
-- Extensive exploration targeting undertaken in preparation for
the 2023 field season. Project Focus presentations published for
the Mukai and Konkola West Projects. Mushima North Project Focus
presentation to follow.
-- 2023 field season commenced with soil sampling programme at
the Lubuila Copper Project. In-field portable X-Ray Fluorescence
(pXRF) analytical results indicate a large open-ended
copper-in-soil anomaly defined over an area of approximately 1,000m
x 680m with a peak copper value of 306 ppm and an average value of
125ppm Cu.
Nevada
Brunton Pass Copper Gold Project:
-- Results received from trenching programme showed wide
intervals of low-grade copper skarn mineralisation including 27m
grading 1,010ppm copper (0.1% Cu) in T7, open to the east, and 78m
grading 473ppm copper in T8 also open to the east.
-- Results suggest the possible presence of a deeper porphyry copper target.
-- Two trenches testing the north and south ends of a 1.2km long
zone of mercury/arsenic soil anomalies intersected substantial
widths of hydrothermally altered rock with approximately 1,000
times background content of the gold indicator elements, arsenic
and mercury. This zone is a compelling drill target for epithermal
gold mineralisation.
FINANCIAL SUMMARY FOR THE SIX-MONTH PERIODED 31 MARCH 2023:
-- Operating Loss of GBP253,089 comprises:
o Revenue relating to re-charged expenses of GBP75,944.
o Less administration costs of GBP294,796 (including non-cash
share-based payments of GBP14,145).
o Pre-licence and reconnaissance exploration costs totalling
GBP34,237.
-- Total Group Loss of GBP252,854 is after crediting interest income of GBP235.
-- Project expenditure of GBP115,162 was capitalised during the six-month period.
Funding and Cash Position:
-- In February 2023, the Company completed a fundraising with
Peterhouse Capital Limited raising GBP300,000 before expenses.
-- The closing cash (and cash equivalent) position at the end of the period was GBP217,967.
Enquiries
Tertiary Minerals plc
Patrick Cheetham, Executive
Chairman +44 (0)1625 838 679
SP Angel Corporate Finance
LLP
Nominated Adviser & Joint Broker
Richard Morrison/Harry Davies-Ball +44 (0) 20 3470 0470
Peterhouse Capital Limited
Joint Broker
Lucy Williams/Duncan Vasey +44 (0) 207 469 0930
CAUTIONARY NOTICE
The news release may contain certain statements and expressions
of belief, expectation or opinion which are forward looking
statements, and which relate, inter alia, to the Company's proposed
strategy, plans and objectives or to the expectations or intentions
of the Company's directors. Such forward-looking statements involve
known and unknown risks, uncertainties and other important factors
beyond the control of the Company that could cause the actual
performance or achievements of the Company to be materially
different from such forward-looking statements. Accordingly, you
should not rely on any forward-looking statements and save as
required by the AIM Rules for Companies or by law, the Company does
not accept any obligation to disseminate any updates or revisions
to such forward-looking statements.
MARKET ABUSE REGULATION (MAR) DISCLOSURE
The information contained within this announcement is deemed by
the Company to constitute
inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014 which
forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 ('MAR').
Upon the publication of this announcement via Regulatory
Information Service ('RIS'), this
inside information is now considered to be in the public
domain.
Chairman's Statement
I am pleased to present our Interim Report for the six-month
period ended 31 March 2023 and a summary of our principal
activities which continue to be the identification, acquisition,
and exploration of mineral projects prospective for copper and
precious metals in Zambia and Nevada, USA, both stable democratic
and mining friendly jurisdictions.
Copper is often overlooked in the rush for critical minerals for
the green economy, yet it is used extensively in renewable power
generation and electric vehicles. Long-term demand for copper is
forecast to enjoy sustained growth as developed economies look to
move towards net zero carbon emissions. Government-backed stimulus
projects will add tailwinds to this, whilst infrastructure projects
in developing economies will also pressure supply going
forward.
In Zambia, this six-month reporting period spans the end of the
2022 dry season, the main field season, and the majority of the
2022-23 wet season where exploration access is largely restricted.
We made the most of the wet season, however, by carrying out
extensive data collection, evaluation and exploration planning for
the 2023 field season, now underway.
This planning has been helped enormously by our data sharing and
technical cooperation agreement with multi-national copper miner,
First Quantum Minerals ("FQM"). FQM has provided extensive and
valuable databases for our Mukai Project, which lies adjacent to
FQM's Sentinel copper and Enterprise nickel mines, and for our
Mushima North Project, where recent sampling of a 1970s drillhole
has returned wide intervals of low-grade copper mineralisation,
open at depth. These are exciting results as the drillhole lies on
the margins of a significant untested gravity anomaly, now a target
for Iron-Oxide-Copper-Gold ("IOCG") stye mineralisation.
The agreement with FQM has saved us hundreds of thousands of
dollars in exploration expenditures and will harness the experience
of FQM's technical staff for the benefit of our projects.
Shareholders can find extensive information on our Zambian
Projects on our website where we have published project specific
presentations on our Mukai and the Konkola West copper projects.
Notably, our Mukai Project lies to the east of Arc Minerals'
Zambian Copper Project where mining giant Anglo American recently
signed a joint venture agreement with Arc Minerals and must spend
US$88.5 million to earn a 70% interest in that project.
Our Konkola West Project lies adjacent to, and covers projected,
deep, down dip extensions to, the Lubambe-Konkola mining complexes
and where KoBold Metals is developing the large and high grade
Mingomba deposit with backing from Microsoft's Bill Gates, Amazon's
Jeff Bezos, Virgin's Sir Richard Branson, and mining giant BHP.
The Company's interests in Zambia also include the Jacks Copper
Project where the Company completed an extensive soil sampling
programme and we are delighted that this has defined a number of
high priority copper soil anomalies. These are ready for drill
testing and include anomalies associated with the original Jacks
copper occurrence that we drill tested successfully in 2022 and
where mineralisation is open at depth and along strike.
We anticipate that 2023 will be a busy year for the Company in
Zambia with fieldwork planned on most of our projects in the
country. We hit the ground running at the start of the 2023 field
season having recently completed soil sampling at the Lubuila
copper prospect. Preliminary field analysis using a pXRF analyser
has defined a large open ended copper soil anomaly that now
requires verification with conventional laboratory analysis.
Our objective is to define targets at all our Zambian projects
in the next few months and to drill test priority targets within
the current field season.
Our commitment to Zambia is illustrated by our recent
co-sponsorship of a UK All Party Parliamentary Group for Critical
Minerals reception held in honour of the Zambian President, His
Excellency Hakainde Hichilema, who is ambitious for the growth of
the Zambian copper mining industry and is improving the fiscal
regime to encourage this.
We remain committed to testing our projects in Nevada and in
this reporting period received results for a trenching programme at
the Brunton Pass Project that has defined drill targets for copper
skarn, porphyry copper and epithermal gold. However, Nevada is, at
least in the short term, taking a backseat to Zambia where we have
immediate expenditure commitments to the Government and to our
local partner, Mwashia Resources. The two geographical regions are
complementary for us in that exploration is not seasonal in most
areas of Nevada.
Our activities during the period have been funded through
existing cash resources and a share placing with our joint broker,
Peterhouse Capital Limited, that raised GBP300,0000 before
expenses, and the sale of a shareholding in TSX-V listed Aurion
Resources.
We anticipate strong news flow in 2023 and are hopeful that this
will result in a rerating of the Company by investors - a
justifiable expectation highlighted by research initiated by our
joint broker, SP Angel, and which can be accessed via our website.
SP Angel has recommended the Company's shares as a "buy" and
provides a comparison to other junior copper explorers across the
AIM, TSX, and ASX markets which clearly emphasises the relatively
undervalued nature of the Company.
Patrick L Cheetham
Managing Director
30 May 2023
Consolidated Income Statement
for the six-months' period to 31 March 2023
Six months Six months Twelve months
to 31 to 31 March to 30 September
March 2022 2022
2023 Unaudited Audited
Unaudited
GBP GBP GBP
------------------------------------------ ------------ ------------- -----------------
Revenue 75,944 89,906 171,052
Administration costs (294,796) (305,933) (566,675)
Pre-licence exploration costs/impairment
costs (34,237) (26,807) (80,843)
Impairment of deferred exploration
asset - (361,379) (699,484)
Operating loss (253,089) (604,213) (1,175,950)
Interest receivable 235 20 133
Loss before income tax (252,854) (604,193) (1,175,817)
Income tax - - -
------------------------------------------ ------------ ------------- -----------------
Loss for the period attributable
to equity holders of the parent (252,854) (604,193) (1,175,817)
========================================== ============ ============= =================
Loss per share - basic and diluted
(pence)
(Note 2) (0.02) (0.05) (0.08)
========================================== ============ ============= =================
Consolidated Statement of Comprehensive Income
for the six-months' period to 31 March 2023
Six months Six months Twelve months
t to to
31 March 31 March 30 September
2023 2022 2022
Unaudited Unaudited Audited
GBP GBP GBP
------------------------------------------ ------------ ------------ --------------
Loss for the period (252,854) (604,193) (1,175,817)
Items that could be reclassified
subsequently to the Income Statement:
Foreign exchange translation differences
on foreign currency net investments
in subsidiaries (44,041) 11,229 136,753
Items that will not be reclassified
to the Income Statement:
Changes in the fair value of equity
investments (3,647) (23,053) (26,346)
Total comprehensive loss for the
period attributable to equity holders
of the parent (300,542) (616,017) (1,065,410)
========================================== ============ ============ ==============
Company Registration Number 03821411
Consolidated Statement of Financial Position
at 31 March 2023
As at As at As at
31 March 31 March 30 September
2023 2022 2022
Unaudited Unaudited Audited
GBP GBP GBP
----------------------------------- ------------- ------------- --------------
Non-current assets
Intangible assets 603,889 624,920 542,907
Property, plant & equipment 2,476 3,071 2,398
Other investments 18,003 27,443 24,150
----------------------------------- ------------- ------------- --------------
624,368 655,434 569,455
----------------------------------- ------------- ------------- --------------
Current assets
Receivables 62,857 103,569 272,667
Cash and cash equivalents 217,967 620,626 59,414
280,824 724,195 332,081
Current liabilities
Trade and other payables (67,815) (119,784) (80,929)
----------------------------------- ------------- ------------- --------------
Net current assets 213,009 604,411 251,152
----------------------------------- ------------- ------------- --------------
Provisions for liabilities
and charges (13,825) (7,154) (15,158)
Net assets 823,552 1,252,691 805,449
=================================== ============= ============= ==============
Equity
Called up Ordinary Shares 180,251 153,626 153,626
Share premium account 12,379,636 12,101,760 12,101,761
Capital redemption reserve 2,644,061 2,644,061 2,644,061
Merger reserve 131,096 131,096 131,096
Share option reserve 105,931 99,835 101,985
Fair value reserve (20,663) (13,723) (17,016)
Foreign currency reserve 416,428 334,945 460,469
Accumulated losses (15,013,188) (14,198,909) (14,770,533)
----------------------------------- ------------- ------------- --------------
Equity attributable to the owners
of the parent 823,552 1,252,691 805,449
=================================== ============= ============= ==============
Consolidated Statement of Changes in Equity
Capital
Ordinary Share redemption Share Fair Foreign
Share Premium reserve Merger Warrant Value Currency Accumulated
Capital Account Reserve Reserve Reserve Reserve Losses Total
GBP GBP GBP GBP GBP GBP GBP GBP
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
At 30
September
2021 118,332 11,567,055 2,644,061 131,096 80,048 9,330 323,716 (13,604,166) 1,269,472
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Loss for the
period - - - - - - - (604,193) (604,193)
Change in fair
value - - - - - (23,053) - - (23,053)
Exchange
differences - - - - - - 11,229 - 11,229
Total
comprehensive
loss
for the
period - - - - - (23,053) 11,229 (604,193) (616,017)
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Share issue 35,294 534,706 - - - - - - 570,000
Share based
payments
expense - - - - 29,237 - - - 29,237
Transfer of
expired
warrants - - - - (9,450) - - 9,450 -
---------------
At 31 March
2022 153,626 12,101,761 2,644,061 131,096 99,835 (13,723) 334,945 (14,198,909) 1,252,692
Loss for the
period - - - - - - - (571,624) (571,624)
Change in fair
value - - - - - (3,293) - - (3,293)
Exchange
differences - - - - - - 125,524 - 125,524
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Total
comprehensive
loss
for the
period - - - - - (3,293) 125,524 (571,624) (449,393)
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Share issue - - - - - - - - -
Cancellation - - - - - - - - -
of deferred
shares
Share based
payments
expense - - - - 2,150 - - - 2,150
Transfer of - - - - - - - - -
expired
warrants
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
At 30
September
2022 153,626 12,101,761 2,644,061 131,096 101,985 (17,016) 460,469 (14,770,533) 805,449
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Loss for the
period - - - - - - - (252,854) (252,854)
Change in fair
value - - - - - (3,647) - - (3,647)
Exchange
differences - - - - - - (44,041) - (44,041)
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Total
comprehensive
loss
for the
period - - - - - (3,647) (44,041) (252,854) (300,542)
--------------- ---------- ----------- ----------- --------- --------- --------- ---------- ------------- ----------
Share issue 26,625 277,875 - - - - - - 304,500
Share based
payments
expense - - - - 14,145 - - - 14,145
Transfer of
expired
warrants - - - - (10,199) - - 10,199 -
At 31 March
2023 180,251 12,379,636 2,644,061 131,096 105,931 (20,663) 416,428 (15,013,188) 823,552
=============== ========== =========== =========== ========= ========= ========= ========== ============= ==========
Consolidated Statement of Cash Flows
for the six-months' period to 31 March 2023
Six months Six months Twelve months
to 31 to 31 March to 30 September
March 2022 2022
2023 Unaudited Audited
Unaudited
GBP GBP GBP
------------------------------------------ ----------- ------------- -----------------
Operating activity
Operating Lloss (253,089) (604,213) (1,175,950)
Depreciation charge 768 869 1,661
Share based payment charge 14,145 29,237 31,387
Broker fee paid in shares 4,500 - -
Impairment of deferred exploration
asset - 361,379 699,484
Reclamation provision - (8,840) -
(Increase)/decrease in receivables 209,810 (22,545) (35,049)
Increase/(decrease) in payables (13,114) 42,934 4,079
Net cash outflow from operating
activity (36,980) (201,179) (474,388)
------------------------------------------ ----------- ------------- -----------------
Investing activity
Interest received 235 20 133
Exploration and development expenditures (115,162) (222,876) (561,431)
Purchase of property, plant &
equipment (769) (245) (107)
Cash receipt from disposal of 28,333 - -
equity investments
Net cash outflow from investing
activity (87,363) (223,101) (561,405)
------------------------------------------ ----------- ------------- -----------------
Financing activity
Issue of share capital (net of
expenses) 304,500 570,000 570,000
Net cash inflow from financing
activity 304,500 570,000 570,000
------------------------------------------ ----------- ------------- -----------------
Net increase /(decrease) in cash
and cash equivalents 180,157 145,720 (465,793)
Cash and cash equivalents at start
of period 59,414 472,733 472,733
Exchange differences (21,604) 2,173 52,474
Cash and cash equivalents at
end of period 217,967 620,626 59,414
========================================== =========== ============= =================
Notes to the Interim Statement
1. Basis of preparation
The consolidated interim financial information has been prepared
in accordance with the accounting policies that are expected to be
adopted in the Group's full financial statements for the year
ending 30 September 2023 which are not expected to be significantly
different to those set out in Note 1 of the Group's audited
financial statements for the year ended 30 September 2022. These
are based on the recognition and measurement requirements of
applicable law and UK adopted International Accounting Standards.
The financial information has not been prepared (and is not
required to be prepared) in accordance with IAS 34. The accounting
policies have been applied consistently throughout the Group for
the purposes of preparation of this financial information.
The financial information in this statement relating to the
six-month period ended 31 March 2023 and the six-month period ended
31 March 2022 has neither been audited nor reviewed by the
Independent Auditor, pursuant to guidance issued by the Auditing
Practices Board. The financial information presented for the year
ended 30 September 2022 does not constitute the full statutory
accounts for that period. The Annual Report and Financial
Statements for the year ended 30 September 2022 have been filed
with the Registrar of Companies. The Independent Auditor's Report
on the Annual Report and Financial Statement for the year ended 30
September 2022 was unqualified, although it did draw attention to
matters by way of emphasis in relation to going concern, and did
not contain a statement under 498(2) or 498(3) of the Companies Act
2006.
The directors prepare annual budgets and cash flow projections
for a 15-month period. These projections include the proceeds of
future fundraising necessary within the period to meet the
Company's and the Group's planned discretionary project
expenditures and to maintain the Company and the Group as a going
concern. Although the Company has been successful in raising
finance in the past, there is no assurance that it will obtain
adequate finance in the future. These factors represent a material
uncertainty related to events or conditions which may cast
significant doubt on the entity's ability to continue as a going
concern and, therefore, that it may be unable to realise its assets
and discharge its liabilities in the normal course of business.
However, the directors have a reasonable expectation that they will
secure additional funding when required to continue meeting
corporate overheads and exploration costs for the foreseeable
future and therefore believe that the going concern basis is
appropriate for the preparation of the financial statements.
2. Loss per share
Loss per share has been calculated on the attributable loss for
the period and the weighted average number of shares in issue
during the period.
Six months Six months Twelve months
to 31 March to 31 March to 30 September
2023 2022 2022
Unaudited Unaudited Audited
---------------------------- -------------- -------------- -----------------
Loss for the period (GBP) (252,854) (604,193) (1,175,817)
Weighted average shares
in issue (No.) 1,340,117,157 1,320,361,876 1,428,608,504
Basic and diluted loss per
share (pence) (0.02) (0.05) (0.08)
============================ ============== ============== =================
The loss attributable to ordinary shareholders and the weighted
average number of ordinary shares used for the purpose of
calculating diluted earnings per share are identical to those used
to calculate the basic earnings per ordinary share. This is because
the exercise of share warrants would have the effect of reducing
the loss per ordinary share and is therefore not dilutive under the
terms of IAS33.
3. Share capital
During the six-month period to 31 March 2023 the following share
issues took place:
An issue of 250,000,000 0.01p Ordinary Shares at 0.12p per
share, by way of placing, for a total consideration of GBP300,000
before expenses (3 February 2023).
An issue of 16,250,000 0.01p Ordinary Shares at 0.12p per share,
as part of placing and settlement of broker commission and fee, for
a total consideration of GBP19,500 (3 February 2023).
The total number of Ordinary Shares in issue on 31 March 2023
was 1,802,513,621 (30 September 2022: 1,536,263,621).
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
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
IR AMMJTMTJJBFJ
(END) Dow Jones Newswires
May 30, 2023 09:40 ET (13:40 GMT)
Tertiary Minerals (LSE:TYM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Tertiary Minerals (LSE:TYM)
Historical Stock Chart
From Apr 2023 to Apr 2024
