Half-year Report
09/09/2024 07:00
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RNS Number : 3219D URA Holdings PLC 09 September 2024
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET
ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) ("UK MAR"). UPON THE
PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK
MAR) IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.
09 September 2024
URA Holdings plc
("URA" or the "Company")
The Directors of URA are pleased to present the unaudited interim condensed
consolidated financial statements of URA Holdings plc for the six months ended
30 June 2024.
URA Holdings plc (LSE: URAH), the mineral exploration group listed on the
Standard List segment of the main market of the London Stock Exchange
announces its unaudited interim condensed consolidated financial statements
for the six months ended 30 June 2024. The full report is available on the
Company's website at www.uraholdingsplc.co.uk. In accordance with Listing Rule
9.6.1 of the UK Financial Conduct Authority ("FCA"), a copy of the 2024
Interim Report will also be submitted to the FCA via the National Storage
Mechanism and will shortly be available to the public for inspection at:
ttps://www.fca.org.uk/markets/primary-markets/regulatory-disclosures/national-storage-mechanism
(https://www.fca.org.uk/markets/primary-markets/regulatory-disclosures/national-storage-mechanism)
Chairman's Statement
I am pleased to report that the period under review has seen the fruition of
the work we have undertaken since acquiring the Gravelotte mine.
Most importantly, we commenced emerald production at the mine in April 2024,
within the scheduled timescale and budget. This is a major achievement for the
Company, especially considering the funding constraints and the complexity
involved in refurbishing and re-equipping a mine that had been out of
operation for approximately 25 years. The management team at the mine, led by
our CEO Bernard Olivier, deserves commendation for this success.
GRAVELOTTE EMERALD MINE
Operations
As announced, production commenced in April 2024 following the delivery of an
optical sorter and the completion of the construction of a processing plant.
Initial production was on a trial basis, although the first batch did produce
emeralds in some quantity. Since then, initial teething problems have been
resolved, and processing and sorting have moved to a recovery level of over
80%. As of July 2024, processing is proceeding at approximately 60-70 tonnes
per day, with an average emerald grade of around 6 grams (30 carats) per tonne
being achieved. Historically, Gravelotte has been known for producing small,
good colour stones, but production to date has included several larger
emeralds, including a 50-carat emerald recovered in July 2024.
The processing plant was assembled economically, so it is gratifying to see it
performing to our initial expectations. The key piece of new equipment, the
Angelon Electronics Co Ltd.'s optical sorter, is now working efficiently. As
previously noted, this technology will eliminate the need for the large number
of workers required when the mine was last in operation and will greatly
reduce the security risk.
To date, we have been primarily working through the existing stockpile from
the most recently mined Cobra and Discovery pits. We have also started
extracting new material from those pits as we ramp up production.
Additionally, we are preparing to further modify, optimise and expand the
processing plant to further increase production rates.
Auction Process
Our gems will be sold through an auction process, and we are currently
preparing a modest first trial lot, with the first test auction sale currently
planned by Bonas Group ("Bonas") for late September 2024. Auction sales,
including this initial test sale, will be conducted through Bonas, the world's
largest independent gemstone tender house, in a strategic partnership that
underscores our commitment to providing ethically mined emeralds with
security, transparency, and compliance throughout the sales process.
In tandem with our agreement with Bonas, we have also entered into an
agreement with DelGatto Diamond Finance Fund, a leading global finance
company. This partnership will provide financial flexibility for the sales
process and open future possibilities for financing to support the Company's
strategic objectives.
Independent Financial Model
In July 2024, soon after the end of the period under review, we published an
independent financial model for the Gravelotte mine, which showed a net
present value of over US$22 million, based on the current inferred JORC
resource of the two pits now being operated (amounting to 29 million carats),
along with a small portion of the larger JORC exploration target over the rest
of the licence area. The model assumes a mine life of 17 years for this
particular area. We believe the parameters used in the financial model were
conservative, but even with these assumptions, the financial model shows an
estimated profit before tax of US$79.5 million over the mine's life, a very
healthy IRR of 76%, and a payback period of 2.5 years. This is an
exceptionally strong outcome in general mining terms, and it should be
emphasized that this result considers only a small part of the overall licence
area, where the exploration target is up to 344 million carats. The financial
model was prepared by ACA Howe International Limited, well-respected experts
in gem mining with extensive knowledge of the site dating back many years
before the Company's acquisition of Gravelotte, and they also produced our
2023 JORC-compliant Competent Persons Report.
Other Matters
Two other significant developments occurred in South Africa during the period:
we received an additional Prospecting Licence for an area adjacent to the
current Gravelotte mining licence, and final Ministerial approval was received
for the Company's acquisition of Gravelotte.
We have also strengthened our management team by recruiting two experienced
managers - a Gemstone Sorting, Grading, and Sales Manager and an experienced
Chief Financial Officer both based in South Africa. We now have a full local
management team capable of leading us into full and expanded production, and
we have also enhanced our UK financial reporting and administrative capacity.
ACQUISITION OF CURLEW EMERALD MINE
This acquisition occurred after the period's end, but it is an important event
worth highlighting here.
In July 2024, we announced the acquisition of a 65% majority share in Prasinus
Exploration Pty Ltd owner of the Curlew Emerald Mine in Western Australia for
a consideration of A$450,000 (approximately £237,000), with an option to
acquire the remaining balance for A$300,000 (ca. £158,000) after 12 months,
the latter to be paid in Company shares. This acquisition was financed by an
institutional placing which raised £425,000 at a price of 1.6p per share, a
6.7% premium to the then share price, reflecting strong investor confidence in
the Company's strategic direction.
The Curlew Emerald Mine is currently an active small-scale open-pit emerald
producer, particularly known for especially large emeralds, with significant
potential to scale up and expand, a process we are already undertaking. Its
reserves may not be as large as Gravelotte's, but it has a history of
producing significant quantities of larger, high-quality stones. For instance,
a 10-carat high-quality emerald from this mine is currently on the wholesale
market for US$80,000. The current licence is valid until 2044, and the site
also contains saleable beryl and potentially lithium.
This acquisition not only strengthens our presence in the emerald mining
industry but also aligns with our strategy to invest in high-potential
projects with strong growth prospects. With rising demand for emeralds over
the past decade, traceable, ethically produced emeralds of Australian origin
command premium prices.
The Curlew Emerald Mine presents a further low-cost opportunity for the
Company to establish a significant and growing presence in the emerald market.
SUMMARY OF FINANCIALS
For the six-month period ended 30 June 2024, URA Holdings Plc ("URA" or the
"Company") reported a total loss of £561,000 (2023: £388,000) with operating
expenses of £535,000 (2023: £388,000). The increase in operating expense and
loss for the period inevitably reflects the increase in costs associated with
the plant construction, commissioning and the start of production during a
period but prior to first revenue. First revenue, albeit modest, will occur in
the second half of 2024 for the trial sale. The Company successfully raised
£475,000 in February 2024, providing necessary working capital for its
ongoing operations. As of 30 June 2024, the Group's net assets stood at
£1.64 million (31 December 2023: £1.79 million), with a cash balance of
£716,000 (31 December 2023: £674,000), reflecting careful financial
management during the period. It is important to note that no account of the
findings of the Independent Financial Model has been taken in these results,
as it was completed after the period end.
CONCLUSION
The institutional placing made to enable us to acquire Curlew underscores
confidence in URA's strategic initiatives and growth potential. The
significant contribution made by Premier Miton Group plc, a large UK-based
asset management firm, taking their shareholding to 10.33%, reflects the
growing institutional support for the Company.
In conclusion, we have been fortunate to acquire the emerald assets we now own
on advantageous terms and without the burden of debt. This would not have
been possible without the hard work and efficiency of our team on the ground,
our directors, and our supportive shareholders. We own one of the world's most
historically significant emerald mines and have the opportunity to restore it
to its former glory. By employing advanced mining techniques and sustainable
practices, we aim to lay a strong foundation for future profitability and
build up production so that Gravelotte's Cobra brand recovers its
once-renowned reputation. We expect that the recent purchase of the Curlew
Emerald Mine will further add significantly to our quality and prospects.
Edward Nealon
Chairman
9 September 2024
Business Review
The Directors present the interim results of URA Holdings Plc ("the Company"),
together with its subsidiaries ("the Group"), for the six-month period from 1
January 2024 to 30 June 2024.
UPDATE ON INVESTMENTS AND ACTIVITIES
Progress at the Gravelotte Emerald Mine ("GEM")
Since the start of the 2024, the Company has successfully commenced phased
production at GEM following the commissioning of the processing and sorting
plants. This significant milestone was achieved ahead of schedule and within
budget.
The processing of stockpiled ore as well as new material extracted from the
Cobra and Discovery open pits are well underway, with the first emeralds
already successfully recovered, signalling the effectiveness of the newly
installed equipment and processes. With production now operational, the focus
shifts to optimising the equipment, systems, and processes to increase
production, whilst managing budgets, over the coming months. Efforts are now
geared towards the first sales of emeralds from GEM, expected to be conducted
in September 2024.
Financial Developments
In February 2024, the Company successfully raised £475,000, before expenses,
through the placement of 23,750,000 new ordinary shares. This fundraise
provided necessary working capital to support ongoing operations at GEM,
particularly as the mine transitions from development to active production.
As a further component of the placement, the Company issued 1,425,000 warrants
to Capital Plus Partners at an exercise price of 2p per ordinary share for a
period of three years.
Strategic Appointments
In January 2024, the Company appointed Capital Plus Partners Ltd and CMC
Markets UK Plc as its joint UK brokers to enhance the Company's market
presence and deepen engagement in financial activities as the Company
transitions to the emerald production phase.
Post-Period Developments
Acquisition of the Curlew Emerald Mine and Institutional Placing
In July 2024, the Company acquired a 65% controlling interest in the Curlew
Emerald Mine in Western Australia through the purchase of Prasinus Exploration
Pty Ltd. The terms of the acquisition were the payment on signing of A$450,000
(ca. £237,000) and an option to acquire the remaining 35% interest for a
further A$300,000 (ca. £158,000) in URA shares after an initial 12-month
period expiring on 18 October 2025.
Gravelotte Emerald Mine Production and Operational Update
The Gravelotte Emerald Mine commenced phased production on 29 April 2024.
Significant progress has been made, with an optimal emerald recovery rate
exceeding 80% and an average grade of over 30 carats per tonne, surpassing
JORC resource estimates. Notably, a 50-carat emerald was recovered in July
2024. Preparations for the first trial auction sale are underway, with the
sale planned for late September 2024. The mine has also maintained an
excellent safety record with no lost time through injuries.
Positive Financial Model for Gravelotte Emerald Mine
The Company announced the results of an independent financial model for the
Gravelotte Emerald Mine, highlighting its strong economic potential. The model
projects a Net Present Value (NPV) of USD 22.39 million and an Internal Rate
of Return (IRR) of 76% over a 17-year mine life, with profitability expected
from the second year of operations. The model underscores the robust financial
prospects of the Gravelotte project, bolstered by conservative assumptions and
comprehensive analysis.
These recent activities underscore the Company's commitment to reviving one of
the world's historically significant emerald mines and setting the stage for
sustainable operations and revenue generation.
Bernard Olivier
CEO
9 September 2024
Directors' Report
The directors present their interim condensed consolidated financial
statements of the Company for the six-month period from 1 January 2024 to 30
June 2024.
DIRECTORS OF THE COMPANY
The directors who have served during the period and up to the date of approval
were as follows:
Edward Nealon Chairman
Bernard Olivier Chief Executive Officer
Peter Redmond Executive Director
John Treacy Non-executive Director
Sam Mulligan Operations Director
RESULTS AND DIVIDENDS
The interim condensed consolidated statement of comprehensive income is set
out on page 8 and shows the loss for six-month period to 30 June 2024. The
directors consider the loss for the period to be in line with expectations
given the increase in costs associated with the plant commission and the start
of production during a period when production commenced but sales not yet
achieved. The directors do not recommend a payment of a dividend.
This report was approved by the Board and signed on its behalf:
Edward Nealon
Chairman
9 September 2024
Interim Condensed Consolidated Statement of Comprehensive Income
6 months to 30 June 2024 6 months to 30 June 2023
Unaudited Unaudited
Note £'000s £'000s
Continuing operations
Operating expenses (535) (388)
Interest expense (26) -
Loss before taxation (561) (388)
Taxation - -
Loss for the period (561) (388)
Other comprehensive income
Loss for the period (561) (388)
Items that may be reclassified to profit or loss:
Exchange difference on currency translations (12) -
Total comprehensive loss for the period (573) (388)
Basic and diluted earnings per share (pence) 9 (0.21) (0.32)
The accompanying notes form part of these interim condensed consolidated
financial statements.
Interim Condensed Consolidated Statement of Financial Position
Company number: 05329401 30 June 2024 31 December 2023
Audited
Unaudited
Note £'000s £'000s
ASSETS
Non-current assets
Exploration asset 153 153
Goodwill 1,550 1,550
Property, plant and equipment 49 31
Right of use asset 38 34
Total non-current Assets 1,790 1,768
Current assets
Inventories 10 -
Other receivables 5 124 159
Cash at bank and in hand 716 674
Total current Assets 850 833
Total assets 2,640 2,601
LIABILITIES
Non-current liabilities
Lease liabilities (25) (26)
Other payables (457) (436)
Total non-current liabilities (482) (462)
Current liabilities
Trade and other payables 6 (504) (345)
Lease liabilities (9) (9)
Total current liabilities (513) (354)
Total liabilities (995) (816)
Net assets 1,645 1,785
EQUITY
Share capital 7 28 25
Share premium 7 4,271 3,938
Other reserves 376 291
Accumulated loss (3,030) (2,469)
Total equity 1,645 1,785
The accompanying notes form part of these interim condensed consolidated
financial statements.
These interim condensed consolidated financial statements were approved and
authorised for issue by the Board and were signed on its behalf by:
Ed Nealon
Chairman
9 September 2024
Interim Condensed Consolidated Statement of Changes in Equity
Share Share Other Accumu-lated loss Total equity
capital premium reserves
£'000s £'000s £'000s £'000s £'000s
As at 1 January 2024 25 3,938 291 (2,469) 1,785
Total comprehensive income - - (12) (561) (573)
Equity issued 3 345 - - 348
Warrants issued - (12) 12 - -
Share option expense - - 85 - 85
28 4,271 376 (3,030) 1,645
Balance at 30 June 2024
Share Share Other Accumu-lated loss Total equity
capital premium reserves
£'000s £'000s £'000s £'000s £'000s
As at 1 January 2023 14 2,546 6 (1,303) 1,263
Total comprehensive income - - - (388) (388)
Net equity issued 2 471 8 - 481
16 3,017 14 (1,691) 1,356
Balance at 30 June 2023
The accompanying notes form part of these interim condensed consolidated
financial statements.
Interim Condensed Consolidated Statement of Cash Flows
6 months to 30 June 2024 6 months to 30 June 2023
Unaudited Unaudited
£'000s £'000s
Cash flows from operating activities
Loss for the period (561) (388)
Depreciation, amortisation and impairment 14 2
Finance cost 26 -
Share based payment 85 8
Increase in inventories (10) -
Decrease/(increase) in receivables 51 (80)
Increase in payables 136 2,019
Net cash used in operating activities (259) 1,561
Cash flows from investing activities
Purchase of subsidiary and intangible asset - (2,029)
Purchase of property, plant and equipment (28) -
Net cash used in investing activities (28) (2,029)
Cash flows from financing activities
Issue of shares for cash, net of costs 348 281
Finance cost (4) -
Repayment of lease liability (10) -
Net cash from financing activities 334 281
Net increase/(decrease) in cash and cash equivalents 47 (187)
Foreign exchange translation differences (5) -
Cash and cash equivalents at the beginning of the period 674 362
Cash and cash equivalents at the end of the period 716 175
The accompanying notes form part of these interim condensed consolidated
financial statements.
Notes to the Interim Condensed Consolidated Financial Statements
1. General information
URA Holding Plc's ("URA" or the "Company") interim condensed consolidated
financial statements are presented in British Pound Sterling (GBP) which is
the functional currency of the company. These interim consolidated financial
statements were approved for issue by the Board of Directors on 9 September
2024.
URA Holding Plc is the Group's ultimate parent company. It is a public
limited company incorporated in England and Wales. The address of its
registered office is at 9th Floor, 107 Cheapside, London, United Kingdom, EC2V
6DN and its shares are limited on the Equity Shares (Transition) segment of
the Market of the London Stock Exchange.
2. Nature of operations
URA is a mineral exploration and an emerging emerald producer. The Company
will leverage the extensive in-house skills of its Board and team to identify
and pursue unique, value-enhancing opportunities in minerals with a view to
proving-up early-stage exploration projects for ongoing monetisation and the
delivery of stakeholder returns.
At period end, the Company's operations relate to the exploration of both the
GEM asset in South Africa and the Malaika licence areas in Zambia as well as
the maintenance of the appropriate licenses over these areas with phased
production commencing at GEM in April 2024. Post period end, the Company has
acquired the Curlew Emerald Mine in Australia as disclosed in Note 11, further
expanding its emerald mining operations and assets.
3. Basis of preparation
These interim condensed consolidated financial statements are for the
six-month period ended 30 June 2024. They have been prepared in accordance
with IAS34 'Interim Financial Reporting'. The Company stand-alone
information is not presented as was presented in the previous interim results
as the Company prepares consolidated accounts and can therefore present its
consolidated set of financial statements in accordance with IAS34 and DTR
4.2.4. The interim condensed consolidated financial statements do not include
all of the information required in annual financial statements in accordance
with IFRS, and should be read in conjunction with the Annual Report and
Consolidated Financial Statements for the year ended 31 December 2023.
The financial information set out in these interim condensed consolidated
financial statements does not constitute statutory accounts as defined in
Section 434 of the Companies Act 2006. The Company's statutory financial
statements for the year ended 31 December 2023 have been filed with the
Registrar of Companies. The auditors' report on those financial statements
was unqualified but included a material uncertainty related to going concern.
In the opinion of the Directors the interim condensed consolidated financial
statements present fairly the Company's financial position, and results from
operations and cash flows for the period in conformity with the generally
accepted accounting principles consistently applied.
These interim condensed consolidated financial statements are presented in
British Pounds Sterling and have been rounded to the nearest £'000.
Going concern
The Company raises money for exploration and capital projects as and when
required. There can be no assurance that the Group's projects will be fully
developed in accordance with current plans or completed on time or to budget.
Future work on the development of these projects, the levels of production and
financial returns arising therefrom, may be adversely affected by factors
outside the control of the Group and Company, especially in the light that the
company has started phased production from 29 April 2024.
The ability of the Group to meet its projected expenditure is dependent on
further equity injections and/or the raising of cash through debt instruments.
These conditions necessarily indicate that a material uncertainty exists that
may cast significant doubt over the Group's ability to continue as a going
concern and therefore their ability to realise their assets and discharge
their liabilities in the normal course of business. Whilst acknowledging this
material uncertainty, the Directors remain confident of raising finance and
therefore, the Directors consider it appropriate to prepare these interim
condensed consolidated financial statements on a going concern basis. These
interim condensed consolidated financial statements do not include the
adjustments that would result if the Group were unable to continue as a going
concern.
4. Significant accounting policies
The Company has applied the same accounting policies, presentation, methods of
computation, significant judgements and the key sources of estimation of
uncertainties in its interim condensed consolidated financial statements as in
its audited financial statements for the year ended 31 December 2023 which
were published on 30 April 2024, except for the adoption of new standards
effective as of 1 January 2024 and inventories accounting policy:
Inventories are measured at lower of cost and net realisable value. The cost
of inventories includes expenditure incurred in acquiring the inventories,
production or conversion costs and other costs incurred in bringing them to
their existing location and condition. Net realisable value is the estimated
selling price in the ordinary course of business, less the estimated costs of
completion and selling.
The Group has not early adopted any standard, interpretation or amendment that
has been issued but is not yet effective.
The following new standards and amendments are effective for the period
beginning 1 January 2024:
• Supplier Finance Arrangements (Amendments to IAS 7
& IFRS 7);
• Lease Liability in a Sale and Leaseback (Amendments to
IFRS 16);
• Classification of Liabilities as Current or
Non-Current (Amendments to IAS 1); and
• Non-current Liabilities with Covenants (Amendments to
IAS 1).
Supplier Finance Arrangements (Amendments to IAS 7 & IFRS 7)
On 25 May 2023, the IASB issued Supplier Finance Arrangements, which amended
IAS 7 Statement of Cash Flows and IFRS 7 Financial Instruments: Disclosures.
The amendments require entities to provide certain specific disclosures
(qualitative and quantitative) related to supplier finance arrangements. The
amendments also provide guidance on characteristics of supplier finance
arrangements.
The amendments provide a transition relief whereby an entity is not required
to provide the disclosures, otherwise required by the amendments, for any
interim period presented within the annual reporting period in which the
entity first applies those amendments.
The Group carried out an assessment of its contracts and operations and
concluded that these amendments have had no effect on the interim condensed
consolidated financial statements, regardless of the transition relief
provided.
Lease Liability in a Sale and Leaseback (Amendments to IFRS 16)
On 22 September 2022, the IASB issued amendments to IFRS 16 - Lease Liability
in a Sale and Leaseback (the Amendments).
Prior to the Amendments, IFRS 16 did not contain specific measurement
requirements for lease liabilities that may contain variable lease payments
arising in a sale and leaseback transaction. In applying the subsequent
measurement requirements of lease liabilities to a sale and leaseback
transaction, the Amendments require a seller-lessee to determine 'lease
payments' or 'revised lease payments' in a way that the seller-lessee would
not recognise any amount of the gain or loss that relates to the right of use
retained by the seller-lessee.
These amendments had no effect on the interim condensed consolidated financial
statements of the Group.
Classification of Liabilities as Current or Non-Current and Non-current
Liabilities with Covenants (Amendments to IAS 1)
The IASB issued amendments to IAS 1 in January 2020 Classification of
Liabilities as Current or Non- current and subsequently, in October 2022
Non-current Liabilities with Covenants.
The amendments clarify the following:
• An entity's right to defer settlement of a liability
for at least twelve months after the reporting period must have substance and
must exist at the end of the reporting period.
• If an entity's right to defer settlement of a
liability is subject to covenants, such covenants affect whether that right
exists at the end of the reporting period only if the entity is required to
comply with the covenant on or before the end of the reporting period.
• The classification of a liability as current or
non-current is unaffected by the likelihood that the entity will exercise its
right to defer settlement.
• In case of a liability that can be settled, at the
option of the counterparty, by the transfer of the entity's own equity
instruments, such settlement terms do not affect the classification of the
liability as current or non-current only if the option is classified as an
equity instrument.
These amendments had no effect on the interim condensed consolidated financial
statements of the Group.
5. Other receivables
30 June 2024 31 December 2023
Audited
Unaudited
£'000s £'000s
Prepayments 28 17
Sundry debtors 55 100
VAT recoverable 41 42
Closing balance 124 159
The Directors consider that the carrying amount of other receivables is
approximately equal to their fair value.
6. Trade and other payables
30 June 2024 31 December 2023
Audited
Unaudited
£'000s £'000s
Trade payables (186) (39)
Other payables (218) (191)
Accruals (100) (115)
Closing balance (504) (345)
The Directors consider that the carrying amount of trade payables approximates
to their fair value.
7. Share capital
30 June 2024 31 December 2023
Audited
Unaudited
£'000s £'000s
Allotted, called up and fully paid share capital 28 25
Movements in Equity
Number of shares in issue Number of shares in issue
30 June 2024 31 December 2023
Opening balance Ordinary Shares in issue of £0.0001 each 252,345,590 141,845,592
Issue of Ordinary Shares of £0.0001 each 23,750,000 110,499,998
Closing balance of Ordinary Shares in issue of £0.0001 each 276,095,590 252,345,590
The Company has one class of ordinary shares which carry no right to fixed
income.
Share capital 30 June 2024 31 December 2023
Audited
Unaudited
£'000s £'000s
Balance at the beginning of the period 25 14
Shares issued during the period 3 11
Balance at the end of the period 28 25
Share premium 30 June 2024 31 December 2023
Audited
Unaudited
£'000s £'000s
Balance at the beginning of the period 3,938 2,546
Shares issued during the period 333 1,392
Balance at the end of the period 4,271 3,938
Ordinary shares
All shares rank equally with regard to the Company's residual assets. The
holders of ordinary shares are entitled to receive dividends as declared from
time to time and are entitled to one vote per share at meetings of the
Company.
Share Premium
Represents excess paid above nominal value of shares issued.
8. Related party transactions
Remuneration of key management personnel
Six months ended 30 June 2024 Salaries and fees Share based payments((1)) Total
£ £ £
Edward Nealon 20,833 - 20,833
Bernard Olivier 28,333 34,160 62,493
Peter Redmond 14,667 17,080 31,747
John Treacy 12,000 - 12,000
Sam Mulligan 20,000 - 20,000
95,833 51,240 147,073
Six months ended 30 June 2023 Salaries and fees Share based payments((1)) Total
£ £ £
Edward Nealon 20,000 - 20,000
Bernard Olivier 25,000 34,160 59,160
Peter Redmond 12,000 17,080 29,080
John Treacy 12,000 - 12,000
Sam Mulligan 20,000 - 20,000
89,000 51,240 140,240
((1) In accordance with the requirements of IFRS 2 Share-based
payments, the estimated fair value for the share options granted was
calculated using a Black Scholes option pricing model. None of the share
options have been exercised.)
Directors' participation in the Company's placements during 2023 on the same
terms and conditions as all other participants in the placements.
For a period of six months in 2024 and in order to preserve cash, up to 50% of
all Directors salaries were accrued. At 30 June 2024, an amount of £72,750
(31 December 2023: £59,583) is due to directors and are included in trade and
other payables.
9. Earnings per share
Earnings per share is calculated by dividing the loss for the period
attributable to ordinary equity shareholders of the parent by the weighted
number of ordinary shares outstanding during the period.
During the period the calculation was based on the loss for the 6-month period
of £571,000 (H1 2023: £388,000) divided by the weighted number of ordinary
shares 268,178,923 (H1 2022: 120,737,993).
The diluted loss per share and the basic loss per share are recorded as the
same amount as conversion of share options and warrants decreases the basic
loss per share, thus being anti-dilutive.
10. Prior period adjustments
As disclosed in the Annual Report and Consolidated Financial Statements for
the year ended 31 December 2023, an error in respect of share option charge
was identified, therefore, the Group and the Company has provided a restated
Balance Sheet as at 31 December 2022 and 1 January 2022 in accordance with
IAS 8. Principally, the error identified was that the share option charge was
calculated over a vesting period of 10 years whilst the actual vesting period
was 3 years. This resulted in share option charge being understated in the
previous period. The effect of the restatement on the Group and the Company
Balance Sheet for the 2022 year is to decrease retained earnings by £51,434
and a corresponding increase share option reserves by £51,434.
11. Events after the reporting date
As announced on 18 July 2024, the Company has entered into a Share Purchase
Agreement to acquire a 65% interest in Prasinus Exploration Pty Ltd
("Prasinus"), the owner of the Curlew Emerald Mine located in the Pilbara
Region of Western Australia ("Curlew Mine") with a payment on signing of
A$450,000 (ca. £237,000) and an option to acquire the remaining 35% interest
for a further A$300,000 (ca. £158,000) in URA shares after an initial
12-month period and expiring on 18 October 2025.
The Company further announce on 18 July 2024, it had has raised £425,000,
before expenses, from existing institutional investors through a placing (the
"Placing"), issuing 26,562,500 new ordinary shares in the capital of the
Company ("New Ordinary Shares") at an issue price of 1.6p per New Ordinary
Share.
Other than the above, there have been no significant events between the end of
the period and the publication of these accounts.
- Ends -
For further information please contact:
URA Holdings plc +44 (0)746 368 6497
Chief Executive Officer
Bernard Olivier
Director
Peter Redmond
Chief Operating Officer
Jeremy Sturgess-Smith
info@uraholdingsplc.co.uk (about:blank)
Peterhouse Capital Limited +44 (0)20 7469 0930
Joint Corporate Broker
Lucy Williams
Duncan Vasey
Capital Plus Partners
Joint Corporate Broker
Keith Swann +44 (0)203 821 6169
Jon +44 (0)203 821 6168
Critchley
CMC Markets
Joint Corporate Broker +44 (0)20 3003 8632
Douglas Crippen
(https://uraholdingsplc.co.uk/announcements-publications.php)
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