Arc Minerals Limited - Interim Results
RNS Number : 4620VArc Minerals Limited21 September 202621 September 2026, 06:00 UTC
Arc Minerals Ltd
(“Arc” or the “Company”)
Interim Results
Arc Minerals (LSE: ARCM), an exploration company focused on discovering and developing Tier 1 copper deposits in Africa, announces its unaudited financial results for the six months ended 30 June 2026 (the “Interim Results”) which has been made available on the Company’s website at https://www.arcminerals.com/investors/results-presentations.
Forward-looking Statements
This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterised by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
For further information visit www.arcminerals.com or contact:
Arc Minerals Ltd
Rémy Welschinger, CEO
E: info@arcminerals.com
Zeus Capital Ltd
Nominated Adviser & Joint Broker
Katy Mitchell / Harry Ansell
T: +44 (0) 20 3829 5000
Shard Capital Partners LLP
Joint Broker
Damon Heath
T: +44 (0) 20 7186 9952
**ENDS**
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
for the period ended 30 June 2026
Six Months to
30 June
2026
Six Months to
30 June
2025
(Unaudited)
(Unaudited)
Notes
£ 000’s
£ 000’s
Administrative expenses
(965)
(2,117)
Operating loss
(965)
(2,117)
Loss on correction of restricted cash (Handa group)
5
(774)
-
Share of loss from associate
-
(160)
Non-operating loss
(1,739)
(2,277)
Loss from continuing operations
(1,739)
(2,277)
Income tax expense
-
-
Loss for the period
3
(1,739)
(2,277)
Other comprehensive income / (loss)
Items that may be reclassified subsequently to profit or loss:
Unrealised losses
-
-
Effect of currency translation
212
21
Other comprehensive income for the period, net of tax
212
21
Total comprehensive loss for the period
(1,527)
(2,256)
Income / (Loss) attributable to:
Equity holders of the parent
(1,703)
(2,134)
Non-controlling interest
(36)
(143)
(1,739)
(2,277)
Total comprehensive income / (loss) attributable to:
Equity holders of the parent
(1,563)
(2,118)
Non-controlling interest
36
(138)
(1,527)
(2,256)
Loss per share attributable to the owners of the parent during the period
(expressed in pence per share)
- Basic
3
(0.10)
(0.16)
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
as at 30 June 2026
As at
30 June
2026
As at
31 December
2025
(Unaudited)
(Audited)
Notes
£ 000’s
£ 000’s
ASSETS
Non-current assets
Intangible assets
4
2,601
2,371
Total non-current assets
2,601
2,371
Current assets
Trade and other receivables
5
706
1,190
Short-term investments
9
504
-
Cash and cash equivalents
1,861
635
Total current assets
3,071
1,825
TOTAL ASSETS
5,672
4,196
LIABILITIES
Current liabilities
Trade and other payables
6
(610)
(1,538)
Total current liabilities
(610)
(1,538)
Non-current liabilities
Long-term payables
7
(102)
(102)
Total non-current liabilities
(102)
(102)
TOTAL LIABILITIES
(712)
(1,640)
NET ASSETS
4,960
2,556
EQUITY
Share capital
8
-
-
Share premium
72,432
68,508
Share based payments reserve
250
250
Warrant reserve
111
111
Foreign exchange reserve
35
(113)
Retained earnings
(65,737)
(64,033)
Equity attributable to equity holders of the parent
7,091
4,723
Non-controlling interest
(2,131)
(2,167)
TOTAL EQUITY
4,960
2,556
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
CONSOLIDATED STATEMENT OF CASH FLOWS
for the period ended 30 June 2026
As at
30 June
2026
As at
30 June
2025
(Unaudited)
(Unaudited)
Notes
£ 000’s
£ 000’s
Cash flows from operating activities
Loss for the period
3
(1,739)
(2,277)
Non-cash loss on correction of restricted cash (Handa group)
5
774
-
Currency losses / (gains)
3
757
Fair value losses / (gains)
9
(4)
-
Unwinding of interest on Anglo receivable
-
(188)
Share of loss of associate
-
160
Equity settled transactions
1,046
843
Operating loss before changes in working capital
80
(705)
Decrease/(Increase) in trade and other receivables (i)
(77)
34
Increase / (Decrease) in trade and other payables
(928)
(281)
Net cash used in operating activities
(925)
(952)
Cash flows used in investing activities
Additions to intangible assets
4
(227)
(1)
Additions to investments
9
(500)
-
Net cash used in investing activities
(727)
(1)
Cash flows from financing activities
Proceeds from issue of ordinary shares net of share issue cost
8
2,878
-
Net cash generated from financing activities
2,878
-
Net increase/(decrease) in cash and cash equivalents
1,226
(953)
Cash and cash equivalents at beginning of period
635
1,635
Cash and cash equivalents at end of period
1,861
682
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
(i) The movement in trade and other receivables includes the movement in both long- and short-term receivables.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
for the period ended 30 June 2026
Share
capital
Share premium
Foreign exchange reserve
Share based payment reserve
Warrant
reserve
Retained earnings
Total
Non-controlling
interest
Total
equity
£ 000’s
£ 000’s
£ 000’s
£ 000’s
£ 000’s
£ 000’s
£ 000’s
£ 000’s
£ 000’s
As at 1 January 2025
-
68,508
(102)
-
111
(57,293)
11,224
172
11,396
Loss for the period
-
-
-
-
-
(2,134)
(2,134)
(143)
(2,277)
Items that may be reclassified subsequently to profit or loss:
Currency translation differences
-
-
16
-
-
16
5
21
Total comprehensive loss for the period
-
-
16
-
-
(2,134)
(2,118)
(138)
(2,256)
Share capital issued net of share issue costs
-
-
-
-
-
-
-
-
-
Share based payments expense during the period
-
-
-
843
-
-
843
-
843
Effect of foreign exchange on the opening balance
-
-
(53)
-
-
-
(53)
-
(53)
Total transactions with owners, recognised directly in equity
-
-
(53)
843
-
-
790
-
790
As at 30 June 2025
-
68,508
(139)
843
111
(59,427)
9,896
34
9,930
-
68,508
(113)
250
111
(64,033)
4,723
(2,167)
2,556
Loss for the period
-
-
-
-
-
(1,703)
(1,703)
(36)
(1,739)
Items that may be reclassified subsequently to profit or loss:
Currency translation differences
-
-
148
-
-
-
148
72
220
Total comprehensive loss for the period
-
-
148
-
-
(1,703)
(1,555)
(36)
(1,519)
Share capital issued net of share issue costs
-
3,924
-
-
-
-
3,924
-
3,924
Share based payments expense during the period
-
-
-
-
-
-
-
-
-
Effect of foreign exchange on the opening balance
-
-
-
-
-
-
-
-
-
Rounding
-
-
-
-
-
(1)
(1)
-
(1)
Total transactions with owners, recognised directly in equity
-
3,924
-
-
-
(1)
3,923
-
3,923
As at 30 June 2026
-
72,432
35
250
111
(65,737)
7,091
(2,131)
4,960
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
For the period ended 30 June 2026
1. Basis of preparation
The condensed consolidated interim financial statements have been prepared under the historical cost convention and on a going concern basis and in accordance with International Financial Reporting Standards (IFRS) and IFRS Interpretations Committee (IFRS IC) as adopted by the European Union (“IFRS”) and those parts of the BVI Business Companies Act applicable to companies reporting under IFRS.
The condensed consolidated interim financial statements contained in this document do not constitute statutory accounts. In the opinion of the directors, the condensed consolidated interim financial statements for the period fairly present the financial position, result of operations and cash flows for this period.
The Board of Directors approved these condensed consolidated interim financial statements on 18 September 2026.
Statement of compliance
The condensed consolidated interim financial statements have been prepared in accordance with the requirements of the AIM Rules for Companies. As permitted, the Company has chosen not to adopt IAS 34 “Interim Financial Statements” in preparing these condensed consolidated interim financial statements. The condensed consolidated interim financial statements should be read in conjunction with the annual financial statements for the year ended 31 December 2025, which have been prepared in accordance with IFRS as adopted by the European Union.
Accounting policies
The condensed consolidated interim financial statements for the period ended 30 June 2026 have not been audited or reviewed in accordance with the International Standard on Review Engagements (UK) 2410. The figures were prepared using applicable accounting policies and practices consistent with those adopted in the statutory annual financial statements for the year ended 31 December 2025.
New accounting standards
There were no new standards, amendments or interpretations effective for the first time for periods beginning on or after 1 January 2026 that had a material effect on these condensed consolidated interim financial statements. At the date of approval of these condensed consolidated interim financial statements, there were no issued but not yet effective standards or amendments expected to have a material impact on the Group's financial statements.
Significant judgements and estimates
In preparing these condensed consolidated interim financial statements, management has exercised judgement in determining the carrying amount of the restricted Handa bank balance following restoration of access to the relevant bank accounts after the reporting date. The carrying amount reflects bank information obtained after the reporting date but before authorisation of these condensed consolidated interim financial statements. Further details are provided in Note 5.
Going concern
The Directors have reviewed a forecast prepared by the executive and have a reasonable expectation that the Group has sufficient funds to continue in operation and satisfy liabilities for the foreseeable future. The Directors therefore consider it appropriate for the Company to continue to adopt the going concern basis in preparing these condensed consolidated interim financial statements.
Fair value measurement
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either in the principal market for the asset or liability, or in the absence of a principal market, in the most advantageous market for the asset or liability.
The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A fair value measurement of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.
The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:
• Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities.
• Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.
• Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.
2. Financial risk management
Risks and uncertainties
The Board continually assesses and monitors the key risks of the business. The key risks that could affect the Group’s medium-term performance and the factors that mitigate those risks have not substantially changed from those set out in the Group’s December 2025 Annual Report and Financial Statements, a copy of which is available on the Company’s website. The key financial risks are market risk, currency risk, and liquidity.
3. Loss per share
Six Months to
30 June 2026
Six Months to
30 June 2025
(Unaudited)
(Unaudited)
Notes
£ 000’s
£ 000’s
Loss for the period
(1,739)
(2,277)
Weighted average number of ordinary shares used in calculating basic loss per share (000’s)
1,824,603
1,448,108
Basic loss per share (expressed in pence)
(0.10)
(0.16)
As the inclusion of outstanding warrants and options would result in a decrease in the earnings per share, they are considered anti-dilutive and, as such, a diluted loss per share is not included.
4. Intangible assets
Alvis-Crest
Total
Deferred Exploration Assets
£ 000’s
£ 000’s
As at 1 January 2026
2,371
2,371
Additions
227
227
Foreign exchange
3
3
As at 30 June 2026
2,601
2,601
As at 31 December 2025
2,371
2,371
5. Trade and other receivables
Group
Group
30 June
2026
31 December
2025
£ 000’s
£ 000’s
Restricted cash – Handa group (excluded from cash and cash equivalents)
520
1,041
Other receivables
177
143
Other receivables – Handa group
9
6
Total
706
1,190
Restricted cash – Handa group
Following implementation of the Settlement Agreement, as announced on 27 May 2026, the restrictions affecting the bank accounts of Handa Resources Limited ("Handa") were lifted during September 2026. Following restoration of access to the accounts, the Group obtained bank information which indicated that the balance at the date on which the Group obtained control of Handa differed from the balance reflected in the accounting records previously made available to the Group. Accordingly, the carrying amount of the restricted balance has been adjusted to reflect the information subsequently obtained, resulting in a non-cash loss of £774k recognised during the period. The closing carrying amount of £520k also reflects foreign exchange translation movements recognised during the period.
6. Trade and other payables
Group
Group
30 June 2026
31 December
2025
Trade and Other Payables
£ 000’s
£ 000’s
Surrendered share options payable
-
886
Deferred fees
-
240
Minority shareholder loans
53
53
Trade and other payables
557
359
610
1,538
Surrendered Share Options Payable
The surrendered share options payable was in relation to the surrendered share options as announced on 16 March 2021.
Minority shareholder loans
The minority shareholder loans represent the loan from the 33% minority shareholder to Unico Minerals Limited. The Company has also provided a loan to this company on similar terms which had a balance on the reporting date of c.£1.56 million.
7. Long-term payables
Group
Group
30 June 2026
31 December 2025
Long term payables
£ 000’s
£ 000’s
Minority shareholder loan
102
102
102
102
The minority shareholder loans are payable to the minority shareholder Alvis-Crest (Proprietary) Limited in the amount of BWP 1,797,430 (GBP 102k) as at 30 June 2026 (31 December 2025: BWP 1,797,430 (GBP 102k)). The loans are unsecured and loan holders have agreed to roll forward the loans until a liquidity event occurs.
8. Share capital
The authorised share capital of the Company and the called up and fully paid amounts at 30 June 2026 were as follows:
A) Authorised
£ 000’s
£ 000’s
Unlimited ordinary shares of no par value
-
-
B) Called up, allotted, issued and fully paid
Number
of sharesNominal
valuePrice
per
share
(pence)
Gross
Consideration
valueGBP’000
As at 1 January 2026
1,448,108,263
Additions:
24 April 2026 – placing and subscription
750,000,000
-
0.4
3,000
24 April 2026 – issued to creditors in lieu of payment
261,479,051
-
0.4
1,046
As at 30 June 2026
2,459,587,314
Warrants Outstanding
As announced on 24 April 2026, the Company issued 1,011,479,051 warrants in connection with the Fundraise and Creditor Subscription, on the basis of one warrant for each new ordinary share issued. The warrants have an exercise price of 0.8 pence per ordinary share and expire on 30 April 2029.
At 30 June 2026, the Company had 1,267,567,930 warrants outstanding (31 December 2025: 256,088,879), comprising:
- 256,088,879 warrants exercisable at 3 pence; and
- 1,011,479,051 warrants exercisable at 0.8 pence.
The weighted average remaining contractual life of the warrants outstanding at 30 June 2026 was 1.5 years, and the weighted average exercise price was 1.24 pence per ordinary share.
9. Short-term investments
The Company’s investments held at fair value through profit and loss consist of investments publicly traded on the London Stock Exchange. These investments are valued at the mid-price as at period end.
Level 1(i)
Level 2(i)
Level 3(i)
Total
£ 000's
£ 000's
£ 000's
£ 000's
At 1 January 2026
-
-
-
-
Additions
500
-
-
-
Fair value gain/ (loss)
4
-
-
-
Disposals
-
-
-
-
Foreign exchange
-
-
-
-
At 30 June 2026
504
-
-
-
Level 1(i)
Level 2(i)
Level 3(i)
Total
£ 000's
£ 000's
£ 000's
£ 000's
Gains on short-term investments held at fair value through profit and loss
Fair value gain and disposal on investments
4
-
-
4
At 30 June 2026
4
-
-
4
(i) See note 1 (accounting policy).
Short-term investments comprise units in the JPMorgan Global Short Duration Bond Active UCITS ETF, held for treasury management purposes. The ETF invests principally in investment-grade, GBP-denominated, short-term fixed, variable and floating rate debt securities.
10. Events after the reporting date
Long-term incentive awards
As announced on 9 July 2026, the Company granted 61,000,000 Restricted Stock Units and 59,000,000 share options to certain directors and senior management. The share options have an exercise price of 0.8 pence, vest equally over three years and have a five-year term. The Restricted Stock Units are subject to performance-based vesting conditions and have a five-year term.
There were no other material events after the reporting date in addition to those disclosed in the 31 December 2025 Annual Report.
11. Other matters
The condensed consolidated interim financial statements set out above do not constitute the Group’s statutory accounts for the period ended 30 June 2026 or for earlier periods but are derived from those accounts where applicable.
A copy of this interim statement is available on the Company’s website: www.arcminerals.com.
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