REG - Great Southrn.Copper - Full Year Results and Publication of Annual Report
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RNS Number : 5733R Great Southern Copper PLC 18 July 2025
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18 July 2025
Great Southern Copper plc
("GSC" or the "Company")
Full Year Results and Publication of Annual Report
Great Southern Copper plc (LSE: GSCU), the Company focused on
copper-gold-silver exploration in Chile, announces its results for the year
ended 31 March 2025 (the "Year").
Highlights:
Especularita Project
· Signed purchase option agreement for the Artemisa prospect, adding
1,665 hectares including the Viuda and Brechia Amarilla prospects, to the
Especularita Project, and commencement of permitting for drilling.
· Signed purchase option agreement for the Cerro Negro prospect, which
includes the historical Mostaza Mine, consolidating control over the Mostaza
trend.
o Initial mapping and sampling across newly acquired concessions confirmed
multiple mineralised structures, with drill-ready targets identified and
subsequently drilled.
· In October 2024, surface sampling at Cerro Negro confirmed
high-grade copper-silver potential with assays up to 4.64% copper ("Cu") and
177 parts per million ("ppm") silver ("Ag").
· Completed Phase I diamond drilling at the Mostaza deposit, delivering
1,002.6 metres ("m") across nine holes, confirming extensions of Cu-Ag
mineralisation and increases in historically-reported drill grades up to 600%
for both copper and silver.
o Drilling focused on testing depth and strike extensions to the known
mineralisation beneath the historical Mostaza open pit, where prior surface
sampling and historical data reviews had confirmed significant high-grade
copper-silver potential.
· Following the success of Phase I, Phase II drilling commenced on 11
March 2025. The programme utilised two diamond drill rigs and comprised 16
holes for a total of 1,701m. Mineralisation confirmed up to 500m south of the
Mostaza mine.
· Geological mapping and sampling across these new concessions during
the Year confirmed the presence of high-grade copper-gold at multiple
prospects, enhancing confidence in their exploration potential.
Especularita post-period
· On 23 April 2025, scout drilling commenced at the Viuda Negra
prospect, intersecting quartz-magnetite vein swarms and hydrothermal breccias
indicative of Maricunga-style gold-rich porphyry systems. Assays for this are
pending.
· On 5 June 2025, the Company commenced ground-based geophysical
surveys targeting a 2.5 kilometre ("km") structural trend south of Mostaza
using gradient array, pole-dipole induced polarisation (PDIP) and
audio-frequency magnetotelluric (AMT), to test for continuation of the
Mostaza-style mineralisation along trend and at depth.
· On 24 June 2025, the Company announced further results from Phase II
drilling at Mostaza, with Cu-Ag mineralisation confirmed up to 500m along
trend and grades up to 10.4% Cu and 672 grammes per tonne ("g/t") Ag.
· Phase III drilling planning at Mostaza is underway, incorporating
geophysical, geochemical and structural datasets to guide next-phase
targeting.
San Lorenzo
· The Company undertook various reconnaissance programmes and
desktop evaluations during the Year to assess copper-gold potential across the
concession areas.
· However, the results of these reviews were not sufficiently
compelling to justify ongoing expenditure, particularly given the encouraging
exploration outcomes at Especularita and the significant holding costs
associated with San Lorenzo.
· In line with its disciplined exploration strategy, the Company
has decided not to continue the San Lorenzo Option Agreement so as to ensure
capital is allocated to the most value-accretive opportunities.
Monti Lithium Project
· Given prevailing market headwinds for lithium exploration and the
Company's decision to focus its technical and financial resources on advancing
its high-priority copper-gold targets at Especularita, exploration expenditure
at Monti was not justified during the Year.
· Further, the Company does not believe the Monti project meets its
target threshold and has decided not to pursue the Option Agreement,
preferring to deploy its capital and resources to the Especularita project
Corporate
· The Company raised £1.25 million in June 2024 and £780,000 in
November 2024 through placings, and £1.57 million in February 2025 through a
subscription and convertible loan facility, supported by both existing and new
investors. This funding has allowed the Company to accelerate drilling and
exploration activities, including most recently Phase II and Phase III
drilling at Especularita.
Sam Garrett, Chief Executive Officer of Great Southern Copper, said: "This has
been another year of important progress for Great Southern Copper as we
advanced exploration across our copper-gold-silver portfolio in Chile. At
Especularita, we secured significant new ground with the acquisition of the
Artemisa and Cerro Negro concessions, consolidating our position along the
Mostaza trend and expanding our drill-ready pipeline. Initial surface mapping
and sampling across these areas confirmed mineralised prospects with high
copper and silver values, enhancing the scale of the opportunity. As a result,
we identified drill-ready targets and subsequently drilled several of these
during the Year and post-period. Our Phase I diamond drilling at Mostaza
confirmed extensions of high-grade copper-silver mineralisation and
significantly enhanced the copper-silver grades of the deposit.
"Post-period, Phase II drilling at Mostaza delivered further strong
copper-silver intercepts, extending mineralisation over 500 metres along trend
to the south of the old mine. Ground geophysical surveys are now guiding the
design of a Phase III programme, which we believe will help to move us toward
resource definition drilling.
"We also commenced scout drilling at Viuda and Viuda Negra, where early
geology interpretations indicate potential for a Maricunga-style gold-silver
porphyry-epithermal style mineralisation system.
"In line with our disciplined, value-focused approach, we made the strategic
decision to discontinue exploration at both San Lorenzo and Monti. These
projects no longer meet our threshold for continued investment, and stepping
back allows us to concentrate our technical and financial resources on the
high-impact opportunities at Especularita, where we see the greatest potential
for near-term discovery and value creation.
"The demand outlook for copper and other critical metals remains strong,
supported by global decarbonisation trends. I would like to thank our team in
Chile and our supportive shareholder base for their dedication and belief in
our mission. With a robust exploration pipeline and disciplined strategy, we
believe GSC is well-positioned for the year ahead."
Annual Report and Accounts
The Company will shortly be publishing its Annual Report and Accounts. It will
be made available on the Company's website at https://gscplc.com
(https://gscplc.com/) and posted to shareholders.
Enquiries:
Great Southern Copper plc
Sam Garrett, Chief Executive Officer +44 (0)20 4582 3500
SI Capital Limited
Nick Emerson +44 (0)14 8341 3500
BlytheRay
Tim Blythe / Megan Ray +44 (0) 20 7138 3204
gsc@blytheray.com (mailto:gsc@blytheray.com)
About Great Southern Copper
Great Southern Copper PLC is a UK-listed mineral exploration company focused
on the discovery of copper-gold-silver deposits in Chile. The Company has the
option to acquire rights to 100% of two projects in the under-explored coastal
belt of Chile that are prospective for large scale copper-gold deposits. Chile
is a globally significant mining jurisdiction being the world's largest copper
producer and the second-largest producer of lithium.
The two early-stage Cu-Au projects comprise the Especularita and San Lorenzo
Projects, both located in the coastal metallogenic belt of Chile which hosts
significant copper mines and deposits, including Teck's Carmen de Andacollo
copper mine, and boasts excellent access to infrastructure such as roads,
power and ports. Significant historical small-scale and artisanal workings for
both copper and gold are readily evident in both exploration project areas.
Great Southern Copper is strategically positioned to support the global market
for copper - a critical battery metal in the clean energy transition around
the world. The Company is actively engaged in exploration and evaluation work
programmes targeting both large tonnage, low to medium grade Cu-Au deposits as
well as high-grade Cu-Au deposits.
Further information on the Company is available on the Company's website:
https://gscplc.com (https://gscplc.com)
Extracts from the Annual Report and Financial Statements
YEAR ENDED 31 MARCH 2025
Chairman's Statement
It has been a very exciting year of progress for Great Southern Copper plc
("the Company" and "GSC") as we have advanced our strategic exploration
campaigns with a strong commitment to value-driven growth. Over the period, we
have successfully delivered on our plan to focus resources on highly
prospective copper-gold-silver tenements, notably through intensive drilling
at our Especularita Project, particularly at the Mostaza Mine within the Cerro
Negro prospect, and at the Viuda Negra prospect.
Exploration projects
In June and July 2024, the Company was pleased to sign new option agreements
over the Cerro Negro and Artemisa concessions, adding nearly 1,750 hectares
("ha") of new ground to our combined portfolio making up the Especularita
Project and providing a strong pipeline of additional targets to support our
growth ambitions. These acquisitions added the Mostaza Mine and Viuda Negra
Prospect to our portfolio, which have been a significant focus of our
subsequent exploration work at Especularita. Drilling during this period has
confirmed the presence of large-scale mineral systems, which we believe have
the potential to transform the scale of our exploration opportunity.
In line with our strategy to prioritise boots-on-the-ground exploration, we
deployed the majority of our funding directly into advancing these projects,
which has resulted in a pipeline of high-quality drill targets and encouraging
early-stage results. At Mostaza, the team completed accelerated Phase I and
Phase II diamond drilling programmes, which confirmed extensions of the
copper-silver mineralisation beyond the historically mined areas and
strengthened our understanding of the system's scale and continuity.
Preparations are now well advanced for a further Phase III drilling campaign,
aimed at progressing Mostaza towards future resource definition.
GSC's results at Especularita have established a new standard for the
Company's project status. In light of these successes and to maintain our
strategic discipline, the Board decided to relinquish non-core concessions at
San Lorenzo and Monti post year-end. The holding costs and capital
requirements for those projects did not justify continued expenditure in
comparison to the outstanding results at Especularita.
Corporate
We successfully completed three fundraises within the year, supported by
existing shareholders and new institutional investors. This consisted of
placings in June 2024 and November 2024, and a subscription and convertible
loan facility in February 2025. This funding has allowed the Company to
accelerate drilling and exploration activities. Together with further warrant
exercises, this has strengthened the Company's cash position and is a
testament to the continued support and confidence of our shareholder base.
We also note with appreciation that our share price has remained resilient
despite challenging capital market conditions for junior explorers. We believe
this underscores the market's recognition of our disciplined approach and the
tangible value being created through consistent delivery of exciting results.
Looking ahead
Looking ahead, our commitment remains to deliver value to our stakeholders
through the discovery and advancement of high-potential copper-gold-silver
assets. We operate in a tier-one jurisdiction with first-class infrastructure
and a skilled workforce, which we believe will continue to provide a
competitive advantage. The coming year will see us continue to advance our
exploration pipeline, with a clear priority on exploration and
resource-focused drilling at Mostaza and systematic testing of our newly
defined targets.
Finally, on behalf of the Board, I would like to extend my sincere thanks to
our dedicated team, from management to our partners on the ground in Chile,
whose professionalism and commitment make these achievements possible. I would
also like to thank our shareholders for their ongoing support. The copper
market, and indeed the broader critical metals sector, continues to face
supply constraints against a backdrop of strong long-term demand, particularly
from the energy transition. While the broader funding environment for
exploration remains challenging, we believe our approach has proven resilient
and puts us in a strong position for the future.
Charles Bond
17 July 2025
Operations Report
The Company remains committed to its mandate of discovering and advancing
high-potential copper-gold-silver assets in Chile, supported by a technically
robust and disciplined exploration strategy. Chile continues to offer a
tier-one jurisdiction for mining with world-class infrastructure and a highly
skilled mining workforce, providing GSC an exceptional platform for growth.
During the year, the Company had three projects all located in Chile:
Especularita, San Lorenzo and Monti Lithium. Of these, the primary focus is
its Especularita Project which is highly prospective for porphyry-related and
IOCG type copper-gold-silver deposits.
Especularita is strategically located within the coastal metallogenic belt,
offering significant infrastructure advantages over peer explorers operating
in the high-altitude Andean belt, including access to roads, power, towns and
ports, which facilitate more efficient and cost-effective operations.
Geologically, the coastal metallogenic belt also offers the Company deposit
style optionality, being known for large iron oxide copper gold (IOCG)
deposits as well as porphyry copper deposits ("PCD"), and more recently
intrusive related gold deposits ("IRG"). Especularita is favourably located
along trend from major developing deposits and projects attracting significant
exploration investment, and suggests the potential for a new emerging copper
district. Despite substantial evidence of historical artisanal mining and
processing of copper and gold at Especularita, the area remains relatively
underexplored compared to the Andean regions. This under exploration presents
an opportunity for significant discoveries in a region with proven mineral
potential.
Exploration activities at the projects for the year to 31 March 2025 and
subsequent to the year-end are set out below.
Especularita Project
In June 2024, the Company secured option agreements over the Cerro Negro and
Artemisa concessions, adding a combined 1,748 hectares of new concessions
within the Especularita project area, including the Mostaza Mine, within Cerro
Negro, and the Viuda Negra prospect(1 2). The inclusion of these areas has
consolidated GSC's control over the Mostaza trend while expanding the
exploration footprint to cover high-potential lateral extensions at
Especularita generally. Initial mapping and sampling across these newly
secured areas confirmed multiple mineralised prospects, with potential
drill-ready targets identified and subsequently drilled.
The Company has delivered substantial progress and technical success during
the year as it advanced exploration around the Mostaza Mine, one of its most
compelling high-grade copper-silver targets. The Phase I diamond drilling
programme, comprising 1,002.6 metres ("m") across nine holes(3), was
successfully completed in early 2025. Drilling focused on testing depth and
strike extensions to the known mineralisation beneath the historical Mostaza
open pit, where prior surface sampling and historical data reviews had
confirmed significant high-grade copper-silver potential(4).
Hole DD001 was designed to confirm historical drill results and intersected
20m of 3.3% copper ("Cu") and 270 grammes per tonne ("g/t") silver ("Ag") from
27m downhole representing an approximate 300% increase in
historically-reported Cu-Ag grades(5). Hole DD005 intersected 12m of 4.24% Cu
and 370g/t Ag from 40m downhole confirming extension of the Mostaza
mineralisation at depth below the known deposit. In addition, the Phase I
programme confirmed extensions of the high-grade Cu-Ag system along trend to
the south with hole DD007 intersecting 33m of 1.96% Cu and 60.6g/t Ag from 87m
down-hole representing a newly discovered mineralised lens.
Following the success of Phase I, Phase II drilling commenced in early March
2025, and was completed post-year end. The programme utilised two diamond
drill rigs and consisted of 16 exploration and in-fill drill holes for a total
of 1,701m. Results from Phase II exploration holes successfully confirmed
mineralisation up to 500m along trend of the Mostaza mine in the Lens 4 area
whilst in-fill holes continued to intercept exceptional Cu-Ag grades at depth
beneath the Mostaza open pit with the highest assays including 10.4% Cu and
672g/t Ag(6). The results highlighted both the exciting potential of the
Mostaza deposit and its potential to extend along trend to the south.
Mapping and sampling at the Viuda prospect identified a large alteration
system indicative of porphyry gold type deposits. A subsequent scout RC
drilling programme confirmed this thesis with 7 RC holes drilled for a total
of 1,020m. All holes identified sub-vertical zones of anomalous
fracture-controlled silver+gold-molybdenum mineralisation with hole RC005
intersecting 12m of 1.5g/t Au and 0.47% Cu from 132m(7). Geochemical vectoring
suggests that the system is developing toward the south and east of the
drilled targets.
In addition, post year-end, the Company commenced a programme of ground-based
geophysical surveys along approximately two and a half kilometres of strike at
Mostaza(8). These surveys, combining gradient array pole-dipole induced
polarisation (PDIP) and audio-frequency magneto-telluric (AMT) techniques,
were designed to identify extensions of the known mineralisation to depths of
up to 250m below surface, providing essential targeting data for the next
Phase III drilling campaign.
Phase III exploration drilling at Mostaza is in the advanced planning stage
and will be guided by the recent results received from the PDIP and AMT
geophysical surveys, surface mapping and the geochemical analysis of rock chip
samples. The Company remains committed to advancing Mostaza toward resource
definition drilling.
Post year-end, the Company also conducted a scout diamond drilling programme
at the Viuda Negra prospect within Especularita(9). Initial drillholes
intersected strong hydrothermal alteration zones, including quartz-magnetite
vein swarms and hydrothermal breccias indicative of Maricunga-style gold-rich
porphyry systems(10). These promising geological features provide a compelling
pipeline of targets for future drilling. Assay results for the scout drilling
are pending.
Taken together, these achievements reflect the disciplined and technically
robust approach to exploration that the Company continues to prioritise. The
Board remains confident that the progress made at Especularita during the year
has significantly advanced the project toward resource-focused drilling
programmes in the years ahead.
San Lorenzo
At San Lorenzo, the Company undertook various reconnaissance programmes and
desktop evaluations during the year to assess copper-gold potential across the
concession areas. However, the results of these reviews were not sufficiently
compelling to justify ongoing expenditure, particularly given the encouraging
exploration outcomes at Especularita and the significant holding costs
associated with San Lorenzo. In line with its disciplined exploration strategy
and the need to ensure capital is allocated to the most value-accretive
opportunities, the Company reviewed its position on these concessions and made
the decision not to renew them.
Monti Lithium Project
At Monti, following the October 2023 consolidation of the Company's
33,100-hectare concession package in the Salar de Atacama(11), it has
continued to monitor developments in the lithium sector, including significant
regulatory shifts in Chile. Given prevailing market headwinds for lithium
exploration and the Company's decision to focus its technical and financial
resources on advancing its high-priority copper-gold targets at Especularita,
exploration expenditure at Monti was not justified during the year. Further,
the Company does not believe the Monti project meets its target threshold and
has decided not to pursue the Option agreement preferring to deploy its
capital and resources to the Especularita project.
Outlook
The coming 12 months will be pivotal, as the Company continues its focus on
Especularita and particularly on Mostaza. Planning is well advanced for Phase
III drilling at Mostaza, using the Company's geophysical and geochemical data
to refine deeper exploration-focused targets. Subject to results, Phase II
drilling is planned at Viuda Negra to further test the geological model for
Maricunga-style gold-silver mineralisation⁸. These campaigns are intended to
build sufficient confidence to support a future resource drilling programme
across the best prospects. In addition, the Company plans to initiate scout
drilling across a range of targets within its Especularita drilling pipeline
including Brechia Amarilla, Victoria and Lipa.
The Company remains committed to disciplined, technically robust exploration
and maximising stakeholder value through systematic copper-gold-silver
exploration. While the funding environment for juniors continues to pose
challenges, GSC's strengthened position, supportive shareholders and clear
strategic focus leave it well placed to deliver results in the year ahead.
Sam Garrett
Chief Executive Officer
17 July 2025
References
1. RNS 12 Jun 2024 - GSC Signs Purchase Option
Agreement for Artemisa
2. RNS 08 Jul 2024 - GSC Signs Cerro Negro Purchase
Option Agreement
3. RNS 18 Feb 2025 - Diamond Drilling Programme
Complete at Cerro Negro
4. RNS 31 Oct 2024 - Cerro Negro Results Up To 4.64%
Cu and 177ppm Ag
5. RNS 16 Jan 2025 - First Drillhole at Cerro Negro
6. RNS 24 June 2025 - Exceptional Drilling Results
Continue at Mostaza
7. RNS 16 April 2025 - Scout RC Drilling at Viuda
8. RNS 05 Jun 2025 - Geophysics Surveys Commence at
Cerro Negro
9. RNS 23 Apr 2025 - Commencement of Drilling at Viuda
Negra
10. RNS 21 May 2025 - Drilling Completed at Viuda Negra
11. RNS 31 Oct 2023 - Lithium Project Grows by 40% with New
Concession
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
YEAR ENDED 31 MARCH 2025
Year ended Year ended
31 March 2025 31 March 2024
£'000 £'000
Note
Continuing operations
Administrative expenses 6 (1,961) (1,759)
Impairment of intangible assets 11 (2,229) -
Operating loss (4,190) (1,759)
Loss before taxation (4,190) (1,759)
Taxation 9 - -
Loss for the year attributable to the owners of the Company
(4,190) (1,759)
Other comprehensive income
Items that may be reclassified subsequently to
profit or loss:
Exchange rate differences on translation of foreign
operations
45 1
Total comprehensive loss attributable to the owners of the Company
(4,145) (1,758)
Pence Pence
Earnings per share - basic and diluted 10 (0.933) (0.638)
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025
2025 2024
Note £'000 £'000
Assets
Non-current assets
Intangible assets 11 1,980 3,202
Property, plant and equipment 12 1 1
Total non-current assets 1,981 3,203
Current assets
Trade and other receivables 14 97 93
Cash and cash equivalents 15 1,003 503
Total current assets 1,100 596
Total assets 3,081 3,799
Liabilities
Current Liabilities
Trade and other payables 16 (451) (204)
Total liabilities (451) (204)
Net current assets 649 392
Net assets 2,630 3,595
Equity
Share capital 18 5,509 3,435
Share premium 18 4,756 3,816
Share based payment reserve 19 402 342
Foreign currency translation reserve 20 51 6
Retained earnings 20 (8,088) (4,004)
Total equity attributable to the owners of the Company
2,630 3,595
COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2025
2025 2024
Note £'000 £'000
Assets 13
Non-current assets
Investments 7,155 5,269
Total non-current assets 7,155 5,269
Current assets
Trade and other receivables 14 72 72
Cash and cash equivalents 15 809 492
Total current assets 881 564
Total assets 8,036 5,833
Liabilities
Current liabilities
Trade and other payables 16 (255) (138)
Total liabilities (255) (138)
Net current assets 626 426
Net assets 7,781 5,695
Equity
Share capital 18 5,509 3,435
Share premium 18 4,756 3,816
Share based payments reserve 19 402 342
Retained earnings 20 (2,886) (1,898)
Total equity 7,781 5,695
The Company has taken advantage of the exemption under section 408 of the
Companies Act 2006 by choosing not to present its individual Statement of
Comprehensive Income and related notes that form part of these approved
financial statements. The Company's loss for the period from operations was
£1,094k (2024: £1,131k).
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
YEAR ENDED 31 MARCH 2025
Foreign currency translation reserve
Share £'000
Share Share based Retained earnings
capital premium payments £'000 Total Equity
£'000
£'000 £'000 £'000
As at 1 April 2023 2,133 3,176 236 5 (2,351) 3,199
Loss for the year - - - - (1,759) (1,759)
Exchange rate differences on translation of foreign operations - - - 1 - 1
Total comprehensive income for the year - - - 1 (1,759) (1,758)
Transactions with shareholders:
Issue of share capital, net of issue costs (note 18) 1,302 640 - - - 1,942
Share based payments - - 212 - - 212
Cancellation of share options - - (106) - 106 -
As at 31 March 2024 3,435 3,816 342 6 (4,004) 3,595
Loss for the year - - - - (4,190) (4,190)
Exchange rate differences on translation of foreign operations - - - 45 - 45
Total comprehensive income for the year - - - 45 (4,190) (4,145)
Transactions with shareholders:
Issue of share capital, net of issue costs (note 18) 2,074 940 - - - 3,014
Share based payments (note 19) - - 166 - - 166
Cancellation of share options (note 19) - - (106) - 106 -
As at 31 March 2025 5,509 4,756 402 51 (8,088) 2,630
COMPANY STATEMENT OF CHANGES IN EQUITY
YEAR ENDED 31 MARCH 2025
Share Share premium Share Based payments Retained earnings Total
capital £'000 £'000 £'000 equity
£'000 £'000
As at 1 April 2023 2,133 3,176 236 (873) 4,672
Loss for the year - - - (1,131) (1,131)
Total comprehensive income for the year - - - (1,131) (1,131)
Transactions with shareholders:
Issue of shares, net of issue costs (note 18) 1,302 640 - - 1,942
Share based payments - - 212 - 212
Cancellation of share options - - (106) 106 -
As at 31 March 2024 3,435 3,816 342 (1,898) 5,695
Loss for the year - - - (1,094) (1,094)
Total comprehensive income for the year - - - (1,094) (1,094)
Transactions with shareholders:
Issue of shares, net of issue costs (note 18) 2,074 940 - - 3,014
Share based payments (note 19) - - 166 - 166
Cancellation of share options (note 19) - - (106) 106 -
As at 31 March 2025 5,509 4,756 402 (2,886) 7,781
CONSOLIDATED STATEMENT OF CASH FLOWS
YEAR ENDED 31 MARCH 2025
Year ended Year ended
31 March 31 March
2025 2024
£'000 £'000
Cash flows from operating activities
Loss for the year (4,190) (1,759)
Adjustments for:
Share based payments 166 212
Impairment of intangible assets 2,229 -
Depreciation 1 1
Remuneration settled through issue of shares 39 68
Net foreign exchange losses 100 57
Working capital adjustments
(Increase)/decrease in trade and other receivables (1) 73
Increase in trade and other payables 246 78
Net cash outflow from operations (1,410) (1,270)
Cash flows from investing activities
Purchase of intangible assets (1,043) (759)
Purchase of plant, property and equipment (1) -
Net cash used in investing activities (1,044) (759)
Cash flows from financing activities
Issue of ordinary share capital, net of issue costs 2,955 1,376
Proceeds from convertible loan note - 501
Net cash generated from financing activities 2,955 1,877
Net increase/(decrease) in cash and cash equivalents
502 (152)
Exchange (losses)/gains on cash and cash equivalents (2) 1
Cash and cash equivalents brought forward 503 654
Cash and cash equivalents carried forward 1,003 503
Significant non-cash transactions from investing and financing activities are
as follows:
2025 2024
£'000 £'000
Share option charge 166 212
Remuneration settled through issue of shares 39 68
Shares issued to redeem convertible loan note - 501
Issuance of shares in lieu of option payment 20 20
COMPANY STATEMENT OF CASH FLOWS
YEAR ENDED 31 MARCH 2025
Restated*
Year ended Year ended
31 March 31 March
2025 2024
£'000 £'000
Net cash flows from operating activities
Loss for the year (1,094) (1,131)
Adjustments for:
Share based payments 166 212
Remuneration settled through issue of shares 39 68
Working capital adjustments
Decrease in trade and other receivables - 37
Increase/(decrease) in trade and other payables 118 35
Net cash used in operations (771) (779)
Cash flows from investing activities
Increase in long term receivables (1,867) (1,257)
Net cash used in investing activities (1,867) (1,257)
Cash flows from financing activities
Issue of ordinary share capital, net of issue costs 2,955 1,376
Proceeds from convertible loan note - 501
Net cash generated from financing activities 2,955 1,877
Net decrease in cash and cash equivalents 317 (159)
Cash and cash equivalents brought forward 492 651
Cash and cash equivalents carried forward 809 492
Significant non-cash transactions from investing and financing activities are
as follows:
2025 2024
£'000 £'000
Share option charge 166 212
Remuneration settled through issue of shares 39 68
Shares issued to redeem convertible loan note - 501
Issuance of shares in lieu of option payment 20 20
* The 2024 restatement is in relation to the reallocation of the long term
receivables (being an inter-company loan) from operating to investing
activities. This resulted in investing activities decreasing by £1,257k and
net cash used in operations increasing by the same amount.
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2025
1. General Information
Great Southern Copper plc ('the Company') and its subsidiaries
(together 'the Group') principal activity is currently focused upon the
exploration for copper and gold in Chile. Further detail is covered in the
Chairman's Statement and also in the Operations Report.
The Company is a public limited Company, which is listed on the
London Stock Exchange and incorporated and domiciled in England and Wales. The
address of its registered office is Salisbury House, London Wall, London,
United Kingdom, EC2M 5PS.
2. Basis of Preparation
The consolidated Group financial statements and Company financial
statements have been prepared in accordance with United Kingdom ("UK") adopted
International Accounting Standards ('IFRS') and those parts of the Companies
Act 2006 applicable to companies reporting under IFRS. The consolidated Group
financial statements and Company financial statements are presented in
Sterling and rounded to the nearest thousand pound unless otherwise indicated.
The financial statements are prepared on the historical cost basis, except for
certain financial instruments and share-based payments that have been measured
at fair value.
Going Concern Basis
In common with many other mineral exploration companies, the Group has raised
equity and debt finance for its exploration activities. The Board recognises
that further finance will need to be raised as and when required to progress
its exploration projects and add shareholder value. The Board also
acknowledges that previous success in raising funds does not necessarily
provide any guarantee that the Group will be able to do so in the future,
despite a highly supportive shareholder base.
As at 31 March 2025, the Group's cash at bank amounted to £1,003k; at the
date of signing this report, the balance of cash and committed convertible
loan funds amounted to £482k and £522k respectively.
The Board has reviewed the Group's cash flow forecast up to 31 July 2026 and
are aware that additional funds will need to be sourced to continue to advance
its exploration activities, keep its concessions in good standing and pay
option fees when they fall due (note 22), in order to continue as a going
concern for a period of at least 12 months from the approval of these
financial statements. The Directors are confident that they will be able to
secure the necessary funding in order to enable the Group to continue to
advance its projects, however the requirement for further uncommitted fundings
casts significant doubt over the Group's ability to continue as a going
concern. The auditors have acknowledged this going concern uncertainty in
their unqualified audit report
The Board continues to closely monitor its cash position, allocate funds in
line with its detailed budget and maintain a strict control over non-project
spend. The Directors remain confident in the Company's ability to raise
additional funds as required, from existing and/or new investors and therefore
consider it appropriate to continue to adopt the going concern basis of
accounting in preparing these financial statements.
3. Accounting Policies
The principal accounting policies adopted are set out below.
Basis of Consolidation
The consolidated financial statements incorporate the assets,
liabilities, income and expenses of the Company and entity controlled by the
Company (its subsidiary) made up to the Company's accounting reference date.
Control is achieved when the Company has the power over the investee, is
exposed or has rights to variable return from its involvement with the
investee and has the ability to use its power to affect its returns. The
Company reassesses whether or not it controls an investee if facts and
circumstances indicate that there are changes to one or more of the three
elements of control listed above.
Consolidation of a subsidiary begins when the Company obtains control over the
subsidiary and ceases when the Company loses control of the subsidiary.
Specifically, the results of subsidiaries acquired or disposed of during the
period are included in the consolidated income statement from the date that
the Company gains control until the date when the Company ceases to control
the subsidiary.
Where necessary, adjustments are made to the financial statements of
a subsidiary to bring the accounting policies used into line with the Group's
accounting policies. All intra group assets and liabilities, equity, income,
expenses and cash flows, relating to transactions between the members of the
Group, are eliminated on consolidation.
The results of overseas subsidiaries are translated at the monthly
average rates of exchange during the period and their statements of financial
position at the rates ruling at the reporting date. Exchange differences
arising on translation of the opening net assets and on foreign currency
borrowings or deferred consideration, to the extent that they hedge the
Group's investment in such subsidiaries, are reported in the statement of
comprehensive income. The financial statements of the subsidiary are drawn up
to 31 December, with management information utilised to take this out to 31
March in line with the reporting period of the Group.
Currencies
Presentational Currency
Items included in the financial statements are measured using the
currency of the primary economic environment in which the ultimate parent
undertaking operates which is Sterling (£). The functional currency of the
only subsidiary of the Group is the United States Dollar ($).
Transactions and Balances
Foreign currency transactions are translated into the functional
currency using the exchange rates prevailing at the dates of the transactions
or at an average rate for a period if the rates do not fluctuate
significantly. Foreign exchange gains and losses, resulting from the
settlement of such transactions and from the translation at year end exchange
rates of monetary assets and liabilities denominated in foreign currencies,
are recognised in the income statement. Non-monetary items that are measured
in terms of historical cost in a foreign currency are not retranslated.
Revenue Recognition
Revenue is recognised in the individual company financial statements
in respect of management fees charged to the subsidiary company. Revenue is
recognised in respect of the period that the service has been completed.
Intangible Assets - Exploration and Evaluation Expenditure
Mineral exploration and evaluation expenditure relates to costs
incurred in the exploration and evaluation of potential mineral resources and
includes exploration and mineral licences, researching and analysing
historical exploration data, exploratory drilling, trenching, sampling and the
costs of pre-feasibility studies.
Exploration and evaluation expenditure for each area of interest,
other than that acquired from another entity, is charged to profit or loss as
incurred except when the expenditure is expected to be recouped from future
exploitation or sale of the area of interest and it is planned to continue
with active and significant operations in relation to the area, or at the
reporting period end, the activity has not reached a stage which permits a
reasonable assessment of the existence of commercially recoverable reserves,
in which case the expenditure is capitalised. Purchased exploration and
evaluation assets are recognised at their fair value at acquisition. As the
capitalised exploration and evaluation expenditure asset is not available for
use, it is not depreciated.
Exploration and evaluation assets have an indefinite useful life and
are assessed for impairment when facts and circumstances may suggest an
impairment and circumstances suggest that the carrying amount of an asset may
exceed its recoverable amount. The assessment is carried out by allocating
exploration and evaluation assets to cash generating units, which are based on
specific projects or geographical areas. IFRS 6 permits impairments of
exploration and evaluation expenditure to be reversed should the conditions
which led to the impairment improve. The Group continually monitors the
position of the projects capitalised and impaired.
Whenever the exploration for and evaluation of mineral resources in
cash generating units does not lead to the discovery of commercially viable
quantities of mineral resources and the Group has decided to discontinue such
activities of that unit, the associated expenditures are written off to profit
or loss.
Income Tax
The tax expense or credit represents the sum of the tax currently
payable or recoverable and the movement in deferred tax assets and
liabilities.
Current Income Tax
Current tax is based upon taxable income for the year and any
adjustment to tax from previous years. Taxable income differs from net income
in the income statement because it excludes items of income or expense that
are taxable or deductible in other years or that are never taxable or
deductible. The calculation uses the latest tax rates for the year that have
been enacted or substantively enacted by the reporting date.
Deferred Tax
Deferred tax is calculated at the latest tax rates that have been
substantively enacted by the reporting date that are expected to apply when
settled. It is charged or credited to profit or loss, except when it relates
to items credited or charged directly to equity, in which case it is also
dealt with in equity.
Deferred tax is the tax expected to be payable or recoverable on
differences between the carrying amounts of assets and liabilities in the
financial statements and the corresponding tax bases used in the computation
of taxable income and is accounted for using the liability method. Deferred
tax liabilities and assets are not discounted.
Deferred Tax
Deferred tax liabilities are generally recognised for all taxable temporary
differences and deferred tax assets are recognised to the extent that it is
probable that taxable income will be available against which the asset can be
utilised. Such assets are reduced to the extent that it is no longer probable
that the asset can be utilised.
Deferred tax assets and liabilities are offset when there is a right to offset
current tax assets and liabilities and when the deferred tax assets and
liabilities relate to taxes levied by the same taxation authority, on either
the same taxable entity or different taxable entities, where there is an
intention to settle the balances on a net basis.
Payroll Expense and Related Contributions
The Group provides a range of benefits to employees, including annual
bonus arrangements, paid holiday arrangements and defined contribution pension
plans.
Short-term benefits, including holiday pay and other similar
non-monetary benefits, are recognised as an expense in the period in which the
service is received.
Pension Costs
The Group operates a defined contribution pension scheme for employees. The
annual contributions payable are charged to profit or loss.
Share-Based Compensation
The Group issues share-based payments to certain employees and
Directors. Equity-settled share-based payments are measured at fair value at
the date of grant and expensed on a straight-line basis over the vesting
period, along with a corresponding increase in equity. The Group has measured
share based payments using the Black Scholes and Monte Carlo option (note 19)
models.
At each reporting date, the Group revises its estimate of the number of equity
instruments expected to vest as a result of the effect of non-market based
vesting conditions. The impact of any revision is recognised in profit or
loss, with a corresponding adjustment to equity reserves.
The fair values of share options are determined using the Monte Carlo
and Black Scholes models, taking into consideration the best estimate of the
expected life of the option and the estimated number of shares that will
eventually vest.
Financial Instruments
Financial assets and financial liabilities are recognised in the
Statement of Financial Position when the Group becomes party to the
contractual provisions of the instrument. Financial assets are
derecognised when the contractual rights to the cash flows from the financial
asset expire or when the contractual rights to those assets are transferred.
Financial liabilities are derecognised when the obligation specified in the
contract is discharged, cancelled or expired.
Impairment of Financial Instruments
The Group recognises an allowance for expected credit losses ('ECLs')
for all debt instruments not held at fair value through profit or loss. ECLs
are based on the difference between the contractual cash flows due in
accordance with the contract and all the cash flows that the Group expects to
receive, discounted at an approximation of the original effective interest
rate ('EIR'). The expected cash flows will include cash flows from the sale of
collateral held or other credit enhancements that are integral to the
contractual terms
IFRS 9.5.5.1 ECLs are recognised in two stages. For credit exposures
for which there has not been a significant increase in credit risk since
initial recognition, ECLs are provided for credit losses that result from
default events that are possible within the next 12-months (a 12-month ECL).
For those credit exposures for which there has been a significant increase in
credit risk since initial recognition, a loss allowance is required for credit
losses expected over the remaining life of the exposure, irrespective of the
timing of the default (a lifetime ECL).
The Group considers a financial asset in default when contractual
payments are 90 days past due. However, in certain cases, the Group may also
consider a financial asset to be in default when internal or external
information indicates that the Group is unlikely to receive the outstanding
contractual amounts in full before taking into account any credit enhancements
held by the Group. A financial asset is written off when there is no
reasonable expectation of recovering the contractual cash flows and usually
occurs when past due for more than one year and not subject to enforcement
activity.
At each reporting date, the Group assesses whether financial assets
carried at amortised cost are credit impaired. A financial asset is
credit-impaired when one or more events that have a detrimental impact on the
estimated future cash flows of the financial asset have occurred.
Property Plant and Equipment
Property, plant and equipment are stated at cost net of
accumulated depreciation and accumulated impairment losses. Cost comprises
purchase cost together with any incidental costs of acquisition.
Depreciation is provided to write down the cost less the estimated
residual value of all tangible fixed assets by equal instalments over their
estimated useful economic lives on a straight-line basis. The following rates
are applied.
1 Computer equipment 2 3 years straight line
The gain or loss arising on the disposal of an asset is determined as
the difference between the sale proceeds and the carrying value of the asset
and is credited or charged to profit or loss.
Trade and Other Receivables
Trade and other receivables, and amounts owed by Group undertakings,
are classified at amortised cost and recognised initially at fair value and
subsequently measured at amortised cost using the effective interest method
(except for short-term receivables where interest is immaterial) less
provisions for impairment. These assets are held to collect contractual cash
flows being solely the payments of the principal amount and interest.
Provisions for impairment of trade receivables are recognised for expected
lifetime credit losses using the simplified approach. Impairment reviews of
other receivables, including those due from related parties, use the general
approach whereby twelve month expected losses are provided for and lifetime
credit losses are only recognised where there has been a significant increase
in credit risk, by monitoring the creditworthiness of the other party.
Cash and Cash Equivalents
Cash and cash equivalents are held at amortised cost and consist of
cash on hand, demand deposits and other short-term highly liquid investments
that are readily convertible to a known amount of cash and are subject to an
insignificant risk of changes in value. Further details are given in note 15.
Trade and Other Payables
Trade and other payables are initially measured at their fair value
and are subsequently measured at their amortised cost using the effective
interest rate method. This method allocates interest expense over the relevant
period by applying the 'effective interest rate' to the carrying amount of the
liability.
Classification As Debt Or Equity
Debt and equity instruments issued by the Group are classified as
either financial liabilities or as equity in accordance with the substance of
the contractual arrangements and the definitions of a financial liability and
an equity instrument.
Equity Instruments
An equity instrument is any contract that evidences a residual
interest in the assets of an entity after deducting all of its liabilities.
Equity instruments issued by the Group are recognised at the proceeds
received, net of direct issue costs.
Convertible loan notes
The convertible loan note issued during the current and previous years are
considered to be compound financial instruments comprising a financial
liability (loan) and an embedded derivative (equity). At the date of issue
both elements were included in the balance sheet as liabilities and held at
fair value as the equity element was considered immaterial. The fair value of
the loan element was estimated using the prevailing market interest rate for
similar non-convertible debt. Subsequently the loan element was accounted for
at amortised cost. On conversion of the loan note to equity, the difference
between the nominal value of the equity issued and the contracted conversion
price was credited to the share premium account. The loan issued during the
current year had not yet been drawn at the reporting date.
Accounting Developments
There have been no new standards, amendments and interpretations adopted in
the preparation of the financial statements. The Group does not expect any
standards issued by the IASB, but not yet effective, to have a material impact
on the Group.
4. Critical Accounting Estimates and Judgements
The preparation of these financial statements requires management to
make judgements and estimates that affect the reported amounts of assets and
liabilities at each reporting date and the reported results. Actual results
could differ from these estimates. Information about such judgements and
estimations is contained in individual accounting policies.
Accounting Estimates and Judgements
The key accounting estimates and judgements used in the preparation
of the financial statements are as follows:
Recognition and Valuation of Exploration Assets
Exploration and evaluation assets include mineral rights and
exploration and evaluation costs, including geophysical, topographical,
geological and similar types of costs. Exploration and evaluation costs are
capitalised if management concludes that future economic benefits are likely
to be realised and determines that economically viable extraction operation
can be established as a result of exploration activities and internal
assessment of mineral resources. According to 'IFRS 6 Exploration for and
evaluation of mineral resources', the potential indicators of impairment
include: management's plans to discontinue the exploration activities, lack of
further substantial exploration expenditure planned, expiry of exploration
licences in the period or in the nearest future, or existence of other data
indicating the expenditure capitalised is not recoverable. At the end of each
reporting period, management assesses whether such indicators exist for the
exploration and evaluation assets capitalised, which requires significant
judgement. As of 31 March 2025 total exploration and evaluation costs
capitalised amounted to £4,209,625 (2024: £3,202,080). This amount is before
the recognition of an impairment totalling £2,229,390 (2024: nil). Refer to
note 11 for more information.
Carrying Value of Investments in Subsidiary Undertakings
Management must consider the carrying value of investments in
subsidiary companies based on the ongoing performance of said company. The
nature of the judgement will impact whether or not there is deemed to be any
indicators of impairment, which could materially impact the carrying value of
those investments. The key driver of the assessment is linked to the
impairment review carried out in respect of exploration assets. The impairment
review is carried out under IAS 36 - Impairment of assets and assesses
impairment indicators such as market value declines, negative changes in the
industry and obsolescence of the underlying assets. At 31 March 2025, the
carrying value amounted to £7,154,653 (2024: £5,269,417). Refer to note 13
for more information.
Share Based Payments
The Group measures the cost of equity-settled transactions with
employees by reference to the fair value of the equity instruments at the date
at which they are granted. The fair value is determined by using either the
Monte Carlo or Black-Scholes model taking into account the terms and
conditions upon which the instruments were granted, see note 19 for further
details.
5. Operating Segments
Operating segments are reported in a manner that is consistent with
the internal reporting provided to the chief operating decision maker. The
chief operating decision maker has been identified as the Board. The Board is
responsible for allocating resources and assessing performance of operating
segments.
The Group has two reportable segments, exploration and corporate,
which are the Group's strategic divisions. For each of the strategic divisions
the Board reviews internal management reports on a regular basis.
The Group's reportable segments are:
Exploration: the exploration segment is presented as an aggregate of all Chile
licences held. Expenditure on exploration activities for each licence is used
to measure agreed upon expenditure targets for each licence to ensure the
licence clauses are met.
Corporate: the corporate segment includes the holding company costs in respect
of managing the Group.
Segment result:
2025 2024
£'000 £'000
Exploration - Chile (3,096) (628)
Corporate - UK (1,094) (1,131)
Loss before tax (4,190) (1,759)
Taxation - -
Loss after tax (4,190) (1,759)
Segment assets and liabilities:
Non current assets 2025 2024
£'000 £'000
Exploration - Chile 1,981 3,202
Corporate - UK - -
Total 1,981 3,202
Total assets 2025 2024
£'000 £'000
Exploration - Chile 2,200 3,234
Corporate - UK 881 565
Total 3,081 3,799
Total liabilities 2025 2024
£'000 £'000
Exploration - Chile (196) (64)
Corporate - UK (255) (140)
Total (451) (204)
6. Operating Expenses
2025 2024
£ £
Staff costs (including share based payments) 731 700
Foreign exchange loss/(gain) 111 68
Auditor's remuneration 70 80
Travel expenses 61 90
Legal, professional & consultancy fees 210 250
Insurance 30 36
Impairment of intangible assets (note 11) 2,229 -
Subcontracted labour 303 252
Other administrative expenses 445 283
Total 4,190 1,759
As per the accounting policy disclosed in note 3 the Group has made the policy
choice to only capitalise specific identifiable exploration costs as an
intangible asset. Related administration and contractor costs (including
staff and labour costs) are expensed as incurred.
7. Auditor's Remuneration
2025 2024
£'000 £'000
Fees payable to the Company's auditor for the audit of the parent and
consolidated annual accounts
60 55
Additional fees charged in relation to the previous year 10 25
Total audit fees 70 80
Audit-related assurance services - 35
Total non-audit fees - 35
8. Employee Numbers and Costs
The average monthly number of people employed was:
Group Company
2025 2024 2025 2024
Number Number Number Number
Average number of employees: Directors 5 5 5 5
Administrative staff 7 5 - -
Total 12 10 5 5
The aggregate remuneration of all employees, including Directors, comprises:
Group Company
2025 2024 2025 2024
£'000 £'000 £'000 £'000
Wages and salaries 519 451 372 324
Social security costs 28 23 16 13
Other pension costs 18 14 18 14
Share based payments 166 212 139 219
Total 731 700 545 570
Details of Directors' remuneration and pension entitlements are
disclosed in the Remuneration Report on page 16. Please refer to the Directors
Remuneration report and related party note (note 21) for additional disclosure
relating to key management personnel.
The aggregate amount of gains made by Directors on the exercise of
share options was £Nil (2024: £Nil).
9. Taxation
2025 2024
£'000 £'000
Current tax
Current period - UK corporation tax - -
Adjustments in respect of prior periods - -
Foreign current tax expense - -
Total current tax - -
Deferred tax
Origination and reversal of temporary differences - -
Adjustments in respect of prior periods - -
Impact of change in tax rate - -
Total deferred tax - -
Total tax charge - -
The standard rate of tax applied to reported profit on ordinary activities is
25% (2024: 25%). The Finance Act 2021, which was substantively enacted on 24
May 2021, created a 25% main rate, 19% small profits rate and a marginal rate
which is effective from 1 April 2024.
The tax charge for the year can be reconciled to the loss per the
income statement as follows:
2025 2024
£'000 £'000
Loss before tax (4,190) (1,759)
Tax charge at 25.0 % (2024: 25.0%) (1,047) (440)
Expenses not deductible for tax 42 56
Movement in deferred tax not recognised 1,005 384
Total tax expense - -
Deferred tax in relation to carried forward losses is not recognised as there
is deemed to be uncertainty over when they will be recoverable.
The Company has tax losses of £2,373,424 (2024: £1,320,473) carried forward.
The Group has tax losses of £7,366,165 (2024: £3,344,205) carried forward.
10. Earnings Per Share
Basic earnings per share is calculated by dividing the net income for
the period attributable to ordinary equity holders by the weighted average
number of ordinary shares outstanding during the period.
Diluted earnings per share amounts are calculated by dividing the
profit attributable to owners of the parent by the weighted average number of
ordinary shares in issue during the financial year, adjusted for the effects
of potentially dilutive options. The dilutive effect is calculated on the full
exercise of all potentially dilutive ordinary share options granted by the
Group, including performance-based options which the Group considers to have
been earned
The calculations of earnings per share are based upon the following:
2025 2024
£'000 £'000
Loss for the year (4,190) (1,759)
Number Number
Weighted average number of shares in issue 448,900,452 275,726,884
Weighted average number of shares - basic 448,900,452 275,726,884
Share options and warrants 313,692,144 154,531,593
Weighted average number of shares - diluted 762,592,596 430,258,477
Pence Pence
Earnings per share - basic (0.933) (0.638)
Earnings per share - diluted (0.933) (0.638)
In accordance with IAS 33, basic and diluted earnings per share are
identical for the Group as the effect of the exercise of the share options
would be to decrease the loss per share.
11. Intangible Assets
Group Exploration
assets
Cost £'000
As at 1 April 2023 2,479
Additions 779
Exchange difference (56)
As at 1 April 2024 3,202
Additions 1,062
Exchange difference (55)
As at 31 March 2025 4,209
Amortisation and impairment
As at 1 April 2023 -
Charge for the period -
As at 1 April 2024 -
Impairment expense 2,229
As at 31 March 2025 2,229
Carrying Amount:
As at 31 March 2025 1,980
As at 31 March 2024 3,202
Exploration projects in Chile are at an early stage of development
and there are no JORC (Joint Ore Reserves Committee) or non-JORC compliant
resource estimates available to enable value in use calculations to be
prepared.
In accordance with IFRS 6, the Directors undertook an assessment of the
following areas and circumstances which could indicate the existence of
impairment:
· The Group's right to explore in an area has expired, or will
expire in the near future without renewal.
· No further exploration or evaluation is planned or budgeted for.
· A decision has been taken by the Board to discontinue exploration
and evaluation in an area due to the absence of a commercial level of
reserves.
· Sufficient data exists to indicate that the book value may not be
fully recovered from future development and production.
Following the year end the Group did not renew the San Lorenzo and
Monti lithium option agreements, accordingly the underlying concession areas
are no longer considered to be in good standing. All historic capitalised
exploration costs were impaired totalling £1,936,864 (2024: nil) and £73,667
(2024: nil) respectively.
In addition, following the decision to discontinue exploration and
evaluation work at the Teresita concession, within the Especularita project, a
further impairment was recognised totalling £218,121 (2024: nil). All other
concessions remain in good standing and budgeted for further work and are not
impaired.
The Company had no intangible assets at 31 March 2025 or 31 March
2024.
12. Property, Plant and Equipment
Group Computer equipment
Cost £'000
As at 1 April 2023 2
Additions -
Exchange difference -
As at 1 April 2024 2
Additions 1
Exchange difference -
As at 31 March 2025 3
Accumulated Depreciation
As at 1 April 2023 -
Charge for the period (1)
As at 1 April 2024 (1)
Charge for the year (1)
As at 31 March 2025 (2)
Carrying Amount:
As at 31 March 2025 1
As at 31 March 2024 1
The Company had no plant, property and equipment at 31 March 2025 or 31 March
2024.
13. Investments
Company Amounts owed by subsidiary Shares in group undertakings
£'000 £'000 Total
£'000
At 1 April 2024 4,047 1,222 5,269
Additions 1,886 - 1,886
Carrying value at end of the year 5,933 1,222 7,155
At 31 March 2025 the Company owned the following subsidiary:
Registered Office Holding Proportion of Nature of Business
Voting Rights and Shares Held
Pacific Trends Resources Chile SpA 1 Ordinary Shares 100% Mining and exploration
1. Avenue El Bosque Central No. 92, 7th floor, Borough of Las Condes,
Metropolitan Region
The credit risk of related parties is estimated based on the expected
recoverable amount, taking into account the creditworthiness of the other
party. Any expected credit loss is calculated based on the general approach as
set out in IFRS 9. The Directors have determined that there has not been an
increased credit risk within the year and no impairment charge has been
recognised against these balances.
Amounts owed by group undertakings are interest free and are due on demand.
The recoverability of this debt is dependent upon the liquidity of the
subsidiary's intangible assets. More details can be found in note 11.
A review of the recoverable amount of the underlying assets of the Group under
IAS 36 - Impairment of Assets identified that the value in use of those assets
are in excess of the carrying value and accordingly investments are not
impaired.
14. Trade and Other Receivables
Group
2025 2024
£'000 £'000
Other receivables 17 8
Prepayments 80 85
97 93
Company
2025 2024
£'000 £'000
Other receivables 55 8
Prepayments 17 64
72 72
Other receivables consist of amounts owed in respect of shares subscribed for
as part of the IPO, as well as amounts due in respect of VAT.
15. Cash and Cash Equivalents
Group
2025 2024
£'000 £'000
Cash at bank 1,003 503
Company
2025 2024
£'000 £'000
Cash at bank 809 492
Banking facilities utilised by the Group are rated as follows:
· Bendigo and Adelaide Bank
A- (Fitch)
· Revolut
No rating available
· Banco
Security
BBB (Fitch)
Cash was held in the following currencies:
Group
2025 2024
£'000 £'000
GBP Sterling 792 421
US Dollars 207 11
Australian Dollars 3 62
Chilean Peso 1 9
1,003 503
16. Trade and Other Payables
Group
2025 2024
£'000 £'000
Other payables 293 136
Accruals 158 68
451 204
Other payables principally consist of amounts outstanding for trade purchases
and ongoing costs. They are non-interest bearing and are typically settled on
30 to 60 day terms.
The Directors consider that the carrying value of trade and other payables
approximates their fair value. Trade and other payables are denominated in
Sterling. Great Southern Copper plc has financial risk management policies in
place to ensure that all payables are paid within the credit time frame and no
interest has been charged by any suppliers as a result of late payment of
invoices during the period.
Company
2025 2024
£'000 £'000
Other payables 97 70
Accruals 158 68
255 138
17. Financial Instruments
Principal Financial Instruments
The principal financial instruments used by the Group, from which financial
instrument risk arises, are as follows:
Financial Assets
The Group held the following financial assets at amortised cost:
Group
2025 2024
£'000 £'000
Cash and cash equivalents 1,003 503
Other receivables (excluding VAT and prepayment) - -
1,003 503
Financial Liabilities
The Group held the following financial liabilities, classified as other
financial liabilities at amortised cost:
Group
2025 2024
£'000 £'000
Other payables and accruals 451 204
451 204
Financial Assets
The Company held the following financial assets at amortised cost:
Company
2025 2024
£'000 £'000
Cash and cash equivalents 809 492
Other receivables (excluding VAT and prepayments) - -
809 492
Financial Liabilities
The Company held the following financial liabilities, classified as other
financial liabilities at amortised cost:
Company
2025 2024
£'000 £'000
Other payables and accruals 255 138
255 138
The Group's activities expose it to certain financial risks: market risk,
credit risk and liquidity risk. The overall risk management programme focuses
upon the unpredictability of financial markets and seeks to minimise potential
adverse effects on the Group's financial performance. Risk management is
carried out by the Directors, who identify and evaluate financial risks in
close cooperation with key members of staff.
Market Risk
Market risk is the risk of loss that may arise from changes in market factors
such as interest rates and foreign exchange rates.
Foreign Currency Risk Management
Currency risk is the risk that the financial results of the Group will be
adversely affected by changes in exchange rates to which the Group is exposed.
No foreign currency sensitivities have been included as they are deemed to be
immaterial. The Group undertakes certain transactions denominated in foreign
currencies. The majority of the Company's expenditures are denominated in
Pound Sterling, while its exploration expenses are incurred in US Dollars,
accordingly, the result for the year are adversely impacted by depreciation of
the Pound Sterling against the US$ while the Group's assets are positively
impacted by appreciation of the US$ against the Pound. Currency risk is
monitored on a regular basis.
The following is a note of the assets and liabilities denominated at each
period end in US Dollars:
Group
2025 2024
$'000 $'000
Other receivables 103 10
Cash and cash equivalents 267 14
Other payables (312) (170)
58 (146)
Liquidity Risk
Liquidity risk is the risk that the Group will not be able to meet its
financial obligations as they fall due. This risk relates to the Group's
prudent liquidity risk management and implies maintaining sufficient cash. The
Directors monitor rolling forecasts of the Group's liquidity and cash and cash
equivalents based upon expected cash flow.
Credit Risk
Credit risk is the risk that a customer may default or not meet its
obligations to the Group on a timely basis, leading to financial losses to the
Group. Credit risk arises from cash and deposits kept with banks, advances
paid and other receivables. The maximum exposure to credit risk at the
reporting date to recognised financial assets is the carrying amount, net of
any provisions for impairment of those assets, as disclosed in the statement
of financial position and notes to the financial statements. The consolidated
entity does not hold any collateral.
Generally, other receivables are written off when there is no reasonable
expectation of recovery. Indicators of this include the failure of a debtor to
engage in a repayment plan, no active enforcement activity and a failure to
make contractual payments for a period greater than 1 year.
Capital Risk Management
The Group's objectives when managing capital are to safeguard the Group's
ability to continue as a going concern, to enable the Group to continue its
exploration and evaluation activities, and to maintain an optimal capital
structure to reduce the cost of capital. In order to maintain or adjust the
capital structure, the Group may adjust the issue of shares or sell assets to
reduce debts.
At 31 March 2025 the Group had borrowings of £Nil (2024: £Nil) and defines
capital based on the total equity of the Group. The Group monitors its level
of cash resources available against future planned exploration and evaluation
activities and may issue new shares in order to raise further funds from time
to time.
Fair Value Estimation
The carrying value of other receivables and payables are assumed to
approximate to their fair values because of the short-term nature of such
assets and the effect of discounting liabilities is negligible.
The Group is exposed to the risks that arise from its financial instruments.
The policies for managing those risks and the methods to measure them are
described earlier in this note.
Maturity Of Financial Assets And Liabilities
All of the Group's non-derivative financial liabilities and its financial
assets at the reporting date are either payable or receivable within one year.
18. Share Capital
Number of Shares in Issue
Share capital Share premium
Ordinary share capital Number £'000 £'000
Authorised, Issued and fully paid:
Ordinary shares of £0.01 as at 1 April 2024 343,491,487 3,435 3,816
Issued during the year 207,360,836 2,074 940
Ordinary shares of £0.01 as at 31 March 2025 550,852,323 5,509 4,756
Rights of Share Capital
Ordinary shares carry rights to dividends and other distributions from the
Company, as well as carrying voting rights.
On 4 April 2024, the Company issued 304,673 ordinary shares with a nominal
value per share of £0.01 as remuneration for work performed by key management
personnel. The amount of remuneration in relation to the share issue amounted
to £7,437.
On 2 July 2024, the Company issued 104,416,667 ordinary shares with a nominal
value of £0.01 per share, through a placing and subscription at a share price
of £0.012, raising £1,253,000 before costs of £39,380.
On 13 November 2024, the Company issued 62,400,000 ordinary shares with a
nominal value of £0.01 per share, through a placing and subscription at a
share price of £0.0125, raising £780,000 before costs of £23,760.
On 21 November 2024, the Company issued 1,590,333 ordinary shares with a
nominal value of £0.01 per share, as part payment to the vendors of the
Especularita project, at a share price of £0.0120 per share.
On 21 November 2024, the Company issued 646,611 ordinary shares with a nominal
value per share of £0.01 as remuneration for work performed by key management
personnel. The amount of remuneration in relation to the share issue amounted
to £8,568.
On 21 November 2024, the Company issued 521,969 ordinary shares with a nominal
value per share of £0.01 as remuneration for work performed by key management
personnel. The amount of remuneration in relation to the share issue amounted
to £8,002.
On 21 November 2024, the Company issued 1,272,250 ordinary shares with a
nominal value per share of £0.01 to a consultant in lieu of services
provided, at a share price of £0.0120 per share.
On 11 March 2025, the Company issued 36,000,000 ordinary shares with a nominal
value of £0.01 per share, through a placing and subscription at a share price
of £0.029, raising £1,044,000 before costs of £63,890.
On 20 March 2025, the Company issued 208,333 ordinary shares with a nominal
value of £0.01 per share, following exercise of warrants, at a share price of
£0.024 per share.
19. Share Based Payments
The Group had warrants and share option schemes in place during the year ended
31 March 2025 and 31 March 2024 as follows:
Warrants - outstanding at the beginning of the year
On 7 December 2021 the Company issued 1,407,300 broker warrants as part of the
IPO. The Broker warrants had an exercise price of £0.05 and a life of three
years and expired during the year ended 31 March 2025.
On 19 May 2023, the Company issued 41,749,998 warrants (conditional on the
publication of a prospectus that was subsequently issued on 7 December 2023)
in relation to a share placing and subscription.
On 19 May 2023, the Company issued 41,749,995 warrants (conditional on the
publication of a prospectus that was subsequently issued on 7 December 2023)
in relation to a convertible loan note (see note 23).
The above warrants entitled the holder to subscribe for one ordinary share at
a price of £0.024 per share. The warrants became immediately exercisable
and had a maximum life of three years.
On 14 December 2023, the Company issued 40,222,206 warrants in relation to a
share placing and subscription. The warrants entitled the holder to
subscribe for one ordinary share at a price of £0.045 per share. The
warrants became immediately exercisable and had a maximum life of two years.
Warrants - granted during the year
On 2 July 2024, the Company issued 104,416,667 warrants in relation to a share
placing and subscription. The warrants entitled the holder to subscribe for
one ordinary share at a price of £0.03 per share. The warrants became
immediately exercisable and had a maximum life of two years.
On 13 November 2024, the Company issued 62,400,000 warrants in relation to a
share placing and subscription. The warrants entitled the holder to
subscribe for one ordinary share at a price of £0.025 per share. The
warrants became immediately exercisable and had a maximum life of two years.
Weighted average exercise price Weighted average exercise price
Number of Number of warrants
warrants
2025 2025 2024 2024
Outstanding at beginning of the year 125,129,499 £0.03 148,327,850 £0.10
Granted during the year 166,816,667 £0.03 123,722,199 £0.03
Exercised during the year (208,333) £0.02 - -
Lapsed during the year (1,407,300) £0.05 (146,920,550) £.010
Outstanding at the end of the year 290,330,533 £0.03 125,129,499 £0.03
Exercisable at the end of the year 290,330,533 £0.03 125,129,499 £0.03
Broker warrants fall within the scope of IFRS 2 - Share Based Payments as
there is an associated service attached to their issue, whilst the other
warrants referred to above do not confer any such service so have not been
subject to valuation. The weighted average contract length of the warrants is
2 years 3 months, whilst the remaining average contractual life is 1 year 2
months (2024: 1 year 11 months).
Share options
On 19 September 2023 the Company issued 22,500,000 options to director and
other personnel employed within the group. These options all carry an
exercise price of £0.01 and vest in 3 tranches, 1/3 on the first anniversary
of the grant, 1/3 on the second anniversary of the grant and 1/3 on the third
anniversary of the grant and expire on 19 September 2030.
On 7 December 2021, the Company issued 11,702,232 options to directors and key
personnel employed within the group as follows:
1.) 10,105,554 options were granted to directors and a key employee of Great
Southern Copper Plc. These options are split into 2 equal tranches, all carry
an exercise price of £0.05 per share and have the following vesting
conditions:
a.) 50% vest in 3 tranches, 1/3 on admission, 1/3 on the first anniversary of
admission and 1/3 on the second anniversary of admission.
b.) 50% vest in 3 tranches, 1/3 when the share price reaches £0.10, 1/3 when
the share price reaches £0.15 and 1/3 when the share price reaches £0.20.
On 19 September 2023, in relation to the issuance of the new 2023 share
options, 4,800,138 share options (as described in 1b above) were cancelled.
The share-based payment expense in relation to these options was accelerated
and fully recognised in the year totalling £79,123.
The remaining options lapsed on the third anniversary of admission, being 20
December 2024.
2.) 1,596,678 options were granted to other key personnel, including employees
of Pacific Trends Resources Chile SpA. These options all carry an exercise
price of £0.01 and vest in 3 tranches, 1/3 on admission, 1/3 on the first
anniversary of admission and 1/3 on the second anniversary of admission.
The above options (2) must be exercised by 7 December 2026.
Weighted average exercise price Weighted average exercise price
Number of Number of options
options
2025 2025 2024 2024
Outstanding at beginning of the year 29,402,094 £0.02 11,702,232 £0.04
Exercised during the year - - - -
Granted during the year - - 22,500,000 £0.01
Cancelled/lapsed during the year (6,040,483) £0.05 (4,800,138) £0.05
Outstanding at the end of the year 23,361,611 £0.01 29,402,094 £0.02
Exercisable at the end of the year 8,528,277 6,649,455
The weighted average contract length on the options was 7 years (2024: 6
years). The remaining average contractual life of the options was 5 years 3
months (2024: 5 years 2 months).
Valuation
Given the existence of market based vesting conditions in certain of the
options, the valuation exercise was split into 2 parts with the options
including those conditions being valued using a Monte Carlo option pricing
model, whilst the other options have been valued using the Black Scholes
option pricing model.
Options granted on 7 December 2021 valued - Black Scholes Model
Share price at date of grant £0.0455
Fair value at the year end - £0.01 options £0.02
Fair value at the year end - £0.05 options £0.01
Exercise price £0.05; £0.01
Time to expiry (years) 3 and 5 years
Risk-free rate (%) - £0.01 options 0.35%
Risk-free rate (%) - £0.05 options 0.46%
Volatility (%) 70.0%
Dividend yield (%) 0%
Employee retention rate (%) 100% for employees with £0.01 options,
100% for employees with £0.05 options
Options granted on 19 September 2023 valued - Black Scholes Model
Share price at date of grant £0.025
Fair value at the year end - £0.01 options £0.017
Exercise price £0.01
Time to expiry (years) 7 years
Risk-free rate (%) - £0.01 options 0.35%
Volatility (%) 70.0%
Dividend yield (%) 0%
Employee retention rate (%) 100% for employees with £0.01 options
Volatility is measured using a weekly share price over a period of 5 years
prior to the date of grant.
The risk-free rate is derived using a 3 and 5 year gilt rate.
The total share-based payment expense in relations to warrants and options in
the year is £166,831 (2024: £212,005).
20. Reserves
Share Premium
Consideration received for shares issued above their nominal value net of
transaction costs.
Share Based Payments
The cumulative share-based payment expenses of unvested awards that have not
been exercised.
Shares To Be Issued
Shares to be issued to a director in lieu of cash remuneration.
Foreign Currency Translation
Cumulative gains and losses in respect of the translation of the results of
overseas subsidiaries into the presentational currency of the Group.
Retained Earnings
Cumulative profit and loss net of distributions to owners.
21. Related Party Transactions
Remuneration Of Key Personnel - Group
Remuneration of key management personnel, considered to be the Directors and
other senior management of the Group is as follows:
2025 2024
£'000 £'000
Short-term remuneration* 388 337
Other pension costs 18 13
Share-based payments 139 177
545 527
3 Reconciliation of short-term remuneration 4 5
6 * As above 7 388 8 337
9 Less: Employer's National Insurance 10 (16) 11 (13)
12 Previous Chief Financial Officer's 13 - 14 (32)
remuneration
15 Annual bonuses 16 (60) 17 (7)
18 19 20
21 Total per Directors' Remuneration Report - Page 22 312 23 285
16
Transactions And Balances With Key Personnel - Group
Balances outstanding to key personnel at year end totalled to
£15,555 (2024: £9,504).
As at 31 March 2025 a balance of £14,150 was owed to the largest shareholder
(2024: £14,150).
During the year the charge for the services of the Chief Executive were made
through Metal Ventures Inc totalling £130,155 (2024: £138,137).
The Directors' disclosures have been included in the Directors Remuneration
report.
22. Contingencies and Commitments
At the date of the approval of these financial statements the Company holds 3
option agreements over concessions in the Especularita project. The option
agreements held by the Company in relation to the Especularita project give
the Company the discretionary right to acquire the relevant concessions,
provided the annual option fees specified in such agreements, and detailed
below, have been paid in full.
The Company's commitments to meeting and finalising its purchase of the
mineral concessions under the Option Agreements, if it chooses to do so, are
summarised in the following table:
Especularita - option 1
Date Payment
01/03/2025 Final Payment US$ 1,100,000
Extension of final payment to 01/03/2026 US$ 100,000
Especularita - option 2 - Cerro Negro
Date Payment
08/07/2025 Annual payment US $50,000
08/07/2026-2028 Annual payment US$100,000
08/07/2029 Final payment US $1,500,000
Especularita - option 3 - Artemisa
Date Payment
08/05/2025 Annual payment US $100,000
08/05/2026 Annual payment US $150,000
08/05/2027 Annual payment US $400,000
08/05/2029 Final payment US $1,500,000
Both the Cerro Negro and Artemisa vendors have 1% net smelter royalty
interests over the projects.
The Company notes the timing of the Final Payment due on option 1 and fully
intends to make payment as it falls due. The Company also notes that the
current primary assets, exploration focus and consequently value of the Group
relate to concessions in options 2 and 3.
Option agreements held over the San Lorenzo and Monti Lithium projects were
allowed to lapse following the year end and are no longer consider
commitments.
23. Convertible loan note
On 5 March 2025, the Company entered into a convertible loan totalling
£522,000 with its major shareholder Foreign Dimensions Pty Ltd. The loan is
interest free, unsecured and automatically converts to equity once the Company
has the relevant shareholder authorities in place, or a prospectus has been
published. As at the year end and at the date of this report there has been
no drawdown of the loan.
The convertible loan note will initially be recognised as a compound financial
instrument. The host contract will be recognised as a liability on the balance
sheet. The conversion element will be recognised as equity, although the
balance is calculated as immaterial, and not relevant at the year-end given no
funds have yet been drawn.
24. Post Balance Sheet Events
On 14 April 2025, the Company issued 1,291,667 ordinary shares with a nominal
value of £0.01 per share, following exercise of warrants, at a share price of
£0.024 per share.
On 14 April 2025, the Company issued 3,749,990 ordinary shares with a nominal
value of £0.01 per share, following exercise of warrants, at a share price of
£0.030 per share.
On 2 May 2025, the Company issued 5,000,000 ordinary shares with a nominal
value of £0.01 per share, following exercise of warrants, at a share price of
£0.025 per share
On 7 July 2025, the Company issued 10,416,667 ordinary shares with a nominal
value of £0.01 per share, following exercise of warrants, at a share price of
£0.024 per share
On 7 July 2025, the Company issued 811,240 ordinary shares with a nominal
value of £0.01 per share as remuneration for work performed by key management
personnel. The amount of remuneration in relation to the share issue amounted
to £15,555.
On 7 July 2025, the Company issued 1,590,333 ordinary shares with a nominal
value of £0.01 per share, as part payment to the vendors of the Especularita
and Artemisa projects1,399,513, at a share price of £0.037 per share
On 29 April 2025, the Company issued 24,800,000 share options to Directors and
employees at an exercise price of £0.029.
25. Ultimate Controlling Party
In the opinion of the Directors, there is considered to be no ultimate
controlling party.
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. END FR RRMPTMTIBBMARecent news on Great Southern Copper
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