Mining, Minerals&Mtl - Interim Results Six Months Ended 31 July 2021
27/10/2021 11:00
RNS Number : 4384Q
Mining, Minerals & Metals PLC
27 October 2021
27 October 2021
Mining, Minerals & Metals plc
Interim Results for the Six Months Ended 31 July 2021
Mining, Minerals and Metals plc ("MMM" or the "Company") is pleased to present its unaudited financial statements for the for the 6 months ended 31 July 2021 ("Financial Statements") as extracted from the Company's 2021 Half Year Report ("Report"). The Report and Financial Statements are now available on the Company website at www.mmmplc.com and will be provided to shareholders who have requested a printed or electronic copy
The Financial Statements are set out below and should be read in conjunction with the Report which contains the notes to the Financial Statements.
Further information
For further information, please visit the Company's website: www.mmmplc.com
- Ends-
Roy Pitchford
Non-Executive Chairman, Mining, Minerals & Metals plc
Telephone +44 (0)20 7317 0644
Email: roy@mmmplc.com
Brandon Hill Capital Limited - Financial Adviser and Broker
Jonathan Evans
Telephone: +44 (0)20 3463 5000
Email: jonathan.evans@brandonhillcapital.com
Notes to Editors
Mining, Minerals and Metals plc was established as a special purpose acquisition company to undertake an acquisition of one or more businesses (either shares or assets) that has operations involved in natural resources exploitation that it will then look to develop and expand. The directors of MMM have established a network of contacts internationally within the sector and will utilise independent third parties to provide expert advice where necessary.
Forward Looking Statements
Certain statements in this announcement are or may be deemed to be forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'' ''could'' "should" ''envisage'' ''estimate'' ''intend'' ''may'' ''plan'' ''will'' or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth results of operations performance future capital and other expenditures (including the amount, nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors. Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward looking statements.
Chairman's Statement
MMM was formed to undertake the acquisition of a controlling interest in a business (either shares or assets) that has operations in the natural resources sector (an "Acquisition"), reflecting the experience of the Company's board of directors. Any Acquisition is expected to constitute a reverse takeover transaction and consideration for the Acquisition may be in part or in whole in the form of share-based consideration, funded from the Company's existing cash resources or the raising of additional funds. Following completion of an Acquisition, the objective of the Company will be to add value to the acquired business or asset through the deployment of capital with a view to generating value for its shareholders.
As I stated in the Annual Report, the current climate for natural resource companies seeking to raise capital is significantly improving with commodity prices in general performing very well during 2020 and continuing in 2021. Accordingly, I believe that the Company represents an extremely attractive proposition to prospective Acquisition counterparties considering listing on the London Stock Exchange.
Since the Company's IPO on the Main Market of the London Stock Exchange in March 2020, the Company has seen a steady flow of potential Acquisition opportunities and has actively reviewed many projects covering all stages of development from exploration through to producing assets over a range of commodities across multiple jurisdictions. As a result of the depth and breadth of experience and the skills of the Board of Directors, we have primarily conducted our reviews using in-house resources, thereby limiting costs to the Company.
Whilst the Board has a desire to complete an Acquisition in a timely manner and take advantage of current market dynamics, we will not compromise in our approach of securing attractive commercial terms and completing the appropriate detailed due diligence. We believe that this approach provides the best opportunity to identify and, where possible, mitigate any risks, whilst delivering a transaction that creates value for our shareholders.
On 7 October 2021, we announced that MMM had entered into a non-binding term sheet with Africa Resources Holdings LLC ("ARH") to acquire the entire issued share capital of Narnia Mauritius Gas Holdings Limited ("NMGH"), that will hold a ninety five percent (95%), interest in Inert Gas Industries (Proprietary) Limited ("IGI"), which in turn owns the Lindley Natural Gas Project ("LNGP") exploration licences situated in the Free State Province of South Africa ("The Proposed Transaction").
The discussions with ARH are ongoing and remain subject to completion of formal legal documentation, due diligence and an additional equity fundraising.
ARH have indicated that the LNGP exploration licences cover an area of 27,000 hectares with a portion of the LNGP licence area being previously operated by the Anglo American Corporation of South Africa Limited for approximately ten years producing both Methane and Helium gas. The Methane gas was flared whilst the Helium gas was sold locally in South Africa. Subject to compliance with all the requirements of the regulatory authorities in South Africa, following completion of the Proposed Transaction, MMM, intends to secure production permits to facilitate the production and distribution of Methane, Helium and any other marketable products from LNGP.
The Proposed Transaction, if completed, would constitute a reverse takeover under the Listing Rules and accordingly the Company would need to apply for re-admission of its shares to the Official List and the Main Market of the London Stock Exchange.
The Proposed Transaction is conditional on a number of conditions including; (i) satisfactory due diligence (ii) entering into a definitive legal agreements (iii) raising further funds for the Proposed Transaction; (iv) approval of the Proposed Transaction by shareholders at a General Meeting to be convened; (v) obtaining all necessary approvals (if required) and; (vi) granting of eligibility for the readmission of the Company to the Official List by the FCA.
There can be no certainty that the Proposed Transaction will take place and the Company will continue to update shareholders in due course.
I look forward to reporting on our progress to you over the coming months.
Roy Pitchford
Chairman
STATEMENT OF COMPREHENSIVE INCOME
for the period ended 31 July 2021
| For six months ended 31 July 2021 (unaudited) | For six months ended 31 July 2020 (unaudited) | For year ended 31 January 2021 (audited) | |||||||||
| £ | £ | £ | |||||||||
| Note | |||||||||||
| Revenue | - | - | |||||||||
| Administrative expenses | (91,720) | (147,379) | (207,637) | ||||||||
| Operating profit | (91,120) | (147,379) | (207,637) | ||||||||
| Finance income | - | - | 25 | ||||||||
| Finance costs | (120) | - | - | ||||||||
| Profit before taxation | (91,840) | (147,379) | (207,612) | ||||||||
| Income tax | - | - | |||||||||
| Total comprehensive loss for the year | (91,840) | (147,379) | (207,612) | ||||||||
| Earnings per share | 7 | ||||||||||
| Basic and diluted (pence per share) | (0.29) | (0.46) | (0.69) | ||||||||
| Note | At 31 July 2021 (unaudited) | At 31 July 2020 (audited) | At 31 January 2021 (audited) | |||||||
| £ | £ | £ | ||||||||
| ASSETS | ||||||||||
| Current assets | ||||||||||
| Cash and cash equivalents | 281,383 | 389,146 | 363,652 | |||||||
| Trade and other receivables | 16,238 | 8,712 | 25,191 | |||||||
| Total assets | 297,621 | 397,858 | 388,843 | |||||||
| EQUITY | ||||||||||
| Equity Attributable to Owners of the company | ||||||||||
| Share capital | 8 | 320,500 | 318,833 | 320,500 | ||||||
| Share premium | 406,167 | 401,167 | 406,167 | |||||||
| Retained earnings | (475,147) | (323,074) | (383,307) | |||||||
| Total equity | 251,520 | 396,926 | 343,360 | |||||||
| LIABILITIES | ||||||||||
| Non-current liabilities | ||||||||||
| Long-term borrowings | 10,469 | - | 10,469 | |||||||
| Total non-current liabilities | 10,469 | - | 10,469 | |||||||
| Current liabilities | ||||||||||
| Trade and other payables | 35,632 | 932 | 35,014 | |||||||
| Total current liabilities | 35,632 | 932 | 35,014 | |||||||
| Total liabilities | 46,101 | 932 | 45,483 | |||||||
| TOTAL EQUITY AND LIABILITIES | 297,621 | 397,858 | 388,843 |
| Share capital | Share premium | Retained earnings | Total equity | |
| £ | £ | £ | £ |
| Balance at 31 January 2020 (audited) | 145,500 | 54,500 | (175,695) | 24,305 |
| Shares issued | 173,333 | 346,667 | - | 520,00 |
| Total comprehensive loss for the year | - | - | (147,379) | (147,379) |
| Balance at 31 July 2020 (audited) | 318,833 | 401,167 | (323,074) | 396,926 |
| Balance at 31 January 2020 (audited) | 145,500 | 54,500 | (175,696) | 24,305 |
| Shares issued | 175,000 | 351,667 | - | 526,667 |
| Total comprehensive loss for the year | - | - | (207,612) | (207,612) |
| Balance at 31 January 2021 (audited) | 320,500 | 406,167 | (383,307) | 343,360 |
| Shares issued | - | - | - | - |
| Total comprehensive loss for the year | - | - | (91,840) | (91,840) |
| Balance at 31 July 2021 (unaudited) | 320,500 | 406,167 | (475,147) | 251,520 |
| Six months ended 31 July 2021 (unaudited) | Six months ended 31 July 2020 (unaudited) | Year ended 31 January 2021 (audited) | |||||||||
| £ | £ | £ | |||||||||
| Loss before tax | (91,840) | (147,379) | (202,612) | ||||||||
| Adjusted for: | |||||||||||
| (Increase)/Decrease in trade and other receivables | 8,953 | (8,712) | (25,191) | ||||||||
| (Decrease)/Increase in trade creditors | 618 | (37,336) | (3,254) | ||||||||
| Net cash used in operating activities | (82,269) | (193,427) | (236,057) | ||||||||
| Financing activities | |||||||||||
| Proceeds of new borrowings | - | - | 10,469 | ||||||||
| Issue of share capital | - | 520,000 | 526,667 | ||||||||
| Net cash from financing activities | - | - | 537,136 | ||||||||
| Net (decrease)/increase in cash and cash equivalents | (82,269) | 326,573 | 301,079 | ||||||||
| Cash and cash equivalents at beginning of the year | 363,652 | 62,573 | 62,573 | ||||||||
| Cash and cash equivalents at end of the year | 281,383 | 389,146 | 363,652 | ||||||||
| 31 July 2021 £ | 31 July 2020 £ | 31 January 2021 £ | ||
| Financial assets | ||||
| Cash and cash equivalents | 281,383 | 389,146 | 363,652 | |
| Total financial assets | 281,383 | 389,146 | 363,652 | |
| Financial liabilities measured at amortised cost | ||||
| Trade and other payables | 35,652 | 932 | 35,014 | |
| Total financial liabilities | 35,652 | 932 | 35,014 |
| 31 July 2021 | 31 July 2020 | 31 January 2021 | ||
| £ | £ | £ | ||
| Loss for the period attributable to equity holders of the Company | (91,840) | (147,379) | (207,612) | |
| Weighted average number of ordinary shares (number of shares) | 32,049,999 | 31,883,333 | 32,049,999 | |
| Loss per share (pence per share) | (0.29) | (0.46) | (0.69) |
| Number of shares | Amount £ | |
| Issued, called up and paid | 32,049,999 | 320,500 |
| 32,049,999 | 320,500 |