REG - Goldplat plc - Q4 Operating Results, Trading Update and Dividend

GoldplatAnnouncement

Mon 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250804:nRSD8004Ta&default-theme=true

RNS Number : 8004T  Goldplat plc  04 August 2025

Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration

4 August 2025

Goldplat plc

('Goldplat' or the 'Company')

4(th) Quarter Operating Results for quarter ended 30 June 2025

Trading Update for the year ended 30 June 2025

Dividend Declaration

 

Goldplat Plc, (AIM:GDP) the AIM listed Mining Services Group, with
international gold recovery operations located in South Africa and Ghana,
servicing the African and South American Mining Industry, is pleased to
declare a dividend and announces an operational update for the 4(th) quarter
("Q4") of the current financial year and a trading update for the current
financial year ended 30 June 2025 ("FY2025").

Q4 Operational Update

The two recovery operations had their second best quarterly operational
performance for FY2025, achieving a combined operating profit for Q4 of
£1,670,000 (FY Q3 2025 - £694,000) (excluding listing and head office costs,
finance cost and foreign exchange gains/losses).

During Q4 the two recovery operations achieved a combined profit before tax of
£766,000 (FY Q3 2025 - £769,000) after they incurred £18,000 in net
interest costs (FY Q3 2025 - £15,000) and £967,000 in foreign exchange
losses (FY Q3 2025 - foreign exchange gain £90,000) which mainly related to
trading activities and large cash balances on hand and was driven by the 40%
strengthening of the Ghanaian Cedi against the United State Dollar since April
2025.

Ghana achieved an operating profit for Q4 of £1,052,000 (FY Q3 2025 -
£684,000) and a profit before tax for Q4 of £164,000 (Q3 FY2025 £784,000)
as a result of foreign exchange losses of £931,000 explained above.

The South African operation achieved its strongest operating profit
performance for the financial year during Q4 of £618,000 (FY Q3 2025 -
£10,000) and a profit before tax for Q4 of £602,000 (FY Q3 2025 loss before
tax - £15,000) supported by increased volumes from South America, cost
management and an increasing gold price.

FY 2025 Trading Update

Despite a good operating quarter, the Board expects that the Group's results
for FY2025 will be materially below current market expectations, with the
adjusted profit before tax to be in the region of £2,600,000 (FY2024
£5,993,000) driven principally by changes in the business model in Ghana
during the year and significant foreign exchange losses towards the end of the
financial year.

As part of the year end process, we are reviewing the royalty's receivable on
the sale of Kilimapesa which is held in the balance sheet at £714,000 for
potential impairment.

Dividend declaration

An interim dividend of 0.0878 pence per share will be paid to shareholders on
29 August 2025, with the record date being 15 August 2025 and ex-dividend date
14 August 2025. It is the intention of the board to assess the distribution of
dividends on a quarterly basis going forward.

Gold Recovery Ghana ("GRG")

The following events have contributed to the Q4 operating results:

·      During Q4, GRG had the first normalised operational period under
the new GRG business model, which has involved it becoming a preliminary
processor and smelter of bullion rather than an exporter of gold bearing
concentrates as a result of which we have seen the following effects on the
business -

 

o  Turnover has reduced and stabilised in line with production and smelting
capacity.

o  Reduction in working capital requirements and related interest costs; and

o  Clarity with regard to regulatory expectations.

 

·      Apart from the above, the GRG operations remain fully dependent
on the supply of material which has reduced due to:

o  closure of exports in West African countries of gold bearing by-products;

o  supply from South America being directed to South Africa;

o  Internal process changes at a client in Ghana resulted in the reduction in
high-grade material received from the specific client, reducing turnover and
operating profit.

 

·      With the changes in business model implemented and greater
clarity on their impact, GRG will be able to implement additional measures to
ensure sustainable profitability from the local GRG client base.

 

·      We have invested £1,250,000 this financial year to increase
onsite production of bullion capacity. This investment was required to
increase plant capacity and to increase the recovery of gold from concentrate
on site.

 

·      As previously announced, the Ghanaian Government has implemented
a new Gold Board, tasked with managing local gold production and they have
started implementing new measures which will require the sale of a percentage
of dore in country.

 

·      We have agreed with the Gold Board to sell 20% of dore in country
and we are engaging authorities with a view to exporting low grade gold
bearing material which we cannot economically recover to bullion locally.

Goldplat Recovery (South Africa)

·      Material sent from South America to South Africa was received and
processed during Q3 and Q4 and was exported in Q4.

 

·      We continue to have encouraging engagements with gold producers
in South Africa and we are confident that we will be able to increase our
market share in South Africa as well as the supply of by-products in the next
financial period.

 

·      Continuous improvement initiatives to improve recoveries and
strict cost controls continue to counter decreasing grades and complexities in
material received.

 

·      Engagements with several parties for the TSF project continued
during Q4 with the aim of getting all approvals completed by December 2025.
The processing of the old TSF remains dependent on the approval of the water
use license by local authorities and approval from third parties in certain
areas for the installation of a pipeline to the DRD Gold processing facility.
We also still need to agree commercials terms with DRD Gold which will be
based on test work and analysis which is ongoing.

 

·      We continue to strengthen our visibility of supply of low-grade
soils for our milling circuits, with more than 24 months' supply of material
for processing on site and more under contract, although the grade in the
supply contained continued to reduce.

 

Gold Recovery Brazil

·      We have spent close to £62,000 of the planned spend of £200,000
during Q4 on on-site activities. Spiral equipment has been ordered and is
expected to arrive in Brazil in November 2025. The project is expected to be
completed by December 2025.

 

·      Sourcing in South America was strong during the quarter and
continues to be the focus of the local team.

Group Cash Balances

Cash balances in the group increased to £6,040,000 at the end of Q4 (FY Q4
2024 - £3,800,000) due to turnaround of high inventory levels in Ghana at the
end of FY 2024 and the timing of payments of large creditors which took place
in the first week of July 2025.

The cash balances will be used to manage working capital requirements, capital
expenditure and to pay the dividend which amounts to £150,000.

Werner Klingenberg, CEO of Goldplat commented: "The group had a strong
operating quarter supported by good supply from South America as well as the
gold price.

Our operations remain sensitive to continuous supply of gold bearing material,
which has been impacted by the decree on export of gold-bearing by-products in
some West African countries.

In South Africa, we are seeing positive results on Gold and PGM sourcing
activities and continue streamlining the operations to respond to lower
visibility of supply of material. Notwithstanding the lower visibility of
supply, we are confident that we will increase our market share in South
Africa as well as the supply of by-products in the next financial period

In Ghana, the team continued its implementation and management of several new
processes and procedures to focus the business on local beneficiation and
manage engagement with mining clients and authorities regarding the changes
and requirements.

I am pleased to announce the declaration of a dividend and the aim to
establish a steady and regular return to shareholders. Reflecting the uneven
nature of the group's revenues, we plan to calculate and, subject to the
Group's cash requirements, pay dividends on a quarterly basis going forward.

The Board remains confident in the fundamentals of the business and continues
to progress strategic initiatives to improve long-term performance and enhance
shareholder value through establishing sustainability in Ghana after the
changes in the business model, progressing the approval of the TSF pipeline,
increasing market share in South Africa and expanding in Brazil. This should
provide stability in working capital requirements and ultimately the continued
return of cash to shareholders."

For further information visit www.goldplat.com, follow on X @GoldPlatGDP or
contact:

 Werner Klingenberg                                   Goldplat plc                                     Tel: +27 (0) 82 051 1071

                                                      (CEO)

 Colin Aaronson / Samantha Harrison / Ciara Donnelly  Grant Thornton UK LLP                            Tel: +44 (0) 20 7383 5100

                                                      (Nominated Adviser)
 Harry Ansell / James Bavister / Andrew de Andrade    Zeus (Broker)                                    Tel: +44 (0) 203 829 5000

 Tim Thompson / Mark Edwards / Fergus Mellon          Flagstaff Strategic and Investor Communications  Tel: +44 (0) 207 129 1474

                                                                                                       goldplat@flagstaffcomms.com

 

 

 

Table 1

Mineral Resource Estimate of the TSF, South Africa:

 Total Resource
 Domain          Class      Tonnes (Mil)  Density  Au (g/t)  Au (Oz)  U(3)O(8) (g/t)   U(3)O(8) (lbs)   Ag (g/t)  Ag (Oz)
 TOTAL RESOURCE  Measured   0.87          1.32     1.82      50,907   61.41            117,754          4.85      135,573
                 Indicated  0.49          1.37     1.77      27,897   59.73            64,506           4.71      74,165
                 Inferred   0.07          1.30     1.4       3,154    71.40            11,016           2.82      6,356
 Grand Total                1.43          1.34     1.78      81,959   61.32            193,276          4.70      216,094

 

100% attributable to the Company.

The Tailings Mineral Resource Estimate was announced in accordance with the
JORC Code (2012) in a press release on 29 January 2016. Mark Austin of Applied
Geology & Mining (Pty) Ltd was the Competent Person responsible for that
announcement. The Company confirms that all material assumptions and technical
parameters underpinning the Resource Estimate continue to apply and have not
materially changed, and it is not aware of any new information or data that
materially affects the estimates.

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the retained EU law version of the
Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK
law by virtue of the European Union (Withdrawal) Act 2018. The information is
disclosed in accordance with the Company's obligations under Article 17 of the
UK MAR. Upon the publication of this announcement, this inside information is
now considered to be in the public domain.

 

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 (mailto:rns@lseg.com)
 or visit
www.rns.com (http://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 (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDUOSKRVRUWRAR