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REG - Rockfire Resources - Interim Results

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RNS Number : 9794A  Rockfire Resources PLC  28 September 2022

The information contained within this announcement is deemed by the Company to constitute inside information pursuant to Article 7 of EU Regulation 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 as amended.

 

 

28 September 2022

Rockfire Resources plc

("Rockfire" or the "Company")

 

Interim Results

Rockfire Resources plc (LON: ROCK), the gold and base metal exploration
company, is pleased to announce its unaudited interim results for the six
months ended 30 June 2022.

 

Rockfire has continued its focus on a strategic campaign to attain value
growth, primarily through exploration success. This forms an integral part of
the growth strategy adopted by the Board to achieve increased asset value and
thereby, shareholder wealth.

 

The Company's exploration activities have focused on its large-scale battery
metal and critical metal Molaoi zinc-lead-silver-germanium deposit ("Molaoi")
in Greece, at a time when European energy supply is being revised and zinc
prices have materially increased. The Board believes the timing of higher zinc
prices and exploration drilling at the Company's 100%-owned Molaoi Deposit
within the strategic EU country of Greece are combining to Rockfire's
advantage.

 

The loss attributable to the shareholders of the Company for the six months
ended 30 June 2022 was

£302,582, a reduction of £123,355 from the comparable period to 30 June
2021. The primary reason for the reduction is that the prior period included a
share-based payment expense of £116,049. There were no grants of options
during this current period.

 

Rockfire project portfolio

 

Molaoi Zinc-Lead-Silver-Germanium Deposit, Peloponnese, Greece

Rockfire announced on 8 March 2022 that it had won the international tender
for the high-grade Molaoi zinc-lead-silver deposit in Greece via the local
Greek company of Hellenic Minerals IKE. Hellenic Minerals IKE was acquired by
Rockfire Resources plc (as announced on the 16 May 2022). Some of the
outstanding results from historical drilling at Molaoi include:

 

·          10.4 m @ 10.63 % Zn, 1.45% Pb, & 62 g/t Ag (AN011,
from 79 m)

 

·          15.0 m @ 11.94 % Zn, 1.96% Pb, & 66 g/t Ag (AN017,
from 136 m)

 

·          7.0 m @ 14.96 % Zn, 2.13% Pb, & 63 g/t Ag (AN028,
from 187 m)

 

·          7.0 m @ 19.17 % Zn, 2.89% Pb, & 76 g/t Ag (B010, from
43 m)

 

·          9.9 m @ 18.06 % Zn, 2.87% Pb, & 91 g/t Ag (B011, from
184 m)

 

·          2.8 m @ 26.51 % Zn, 1.87% Pb, & 80 g/t Ag (BG013,
from 57 m)

As part of our technical due diligence, the historical diamond drill core for
Molaoi was located within the Greek Government storage facility (as announced
on 3 May 2022). Select intervals were chosen for re-analysis using an
independent geochemical laboratory (ALS). Samples were selected to verify a
spread of original assays ranging from 0.9 % Zn to a maximum of 36.75 % Zn.
Additionally, the samples represented a spatial spread to include a 1.5 km
distance where most of the historical drilling has occurred. Re-analysis of
historical diamond drill core has returned high-grade zinc, lead and silver
values which closely replicate historical analyses.

 

On 10 May 2022, the Company announced the discovery of the critical metal
germanium (Ge) at Molaoi during the re-analysis of the historical diamond
drill core. The European Union Environmental Agency includes germanium in the
top 20 raw materials which have been identified by the European Commission as
being critical metals, owing to risk of supply shortages. The weighted average
grade of the 51 samples collected during the re-analysis of core from Molaoi
is 51 grams per tonne (g/t) Ge, with a peak value of 197 g/t Ge. 41% of
samples returned germanium values above 50 g/t Ge. The germanium metal ingot
price is currently US$ 1,330 per kilogram (USD$ 1.3M per tonne) which, if
commercially recoverable in concentrate from Molaoi, would add material value
to the overall financial metrics of the Molaoi deposit. Germanium is used in
the manufacture of everyday technology including mobile phones, electronics,
solar cells, camera lenses, satellites, computer screens, as well as steering
and parking sensors for vehicles. Germanium is also used in numerous military
applications, including weapons-sighters (scopes) and infrared night vision.

 

On 23 May 2022, the Company delivered a maiden JORC 2012 compliant inferred
mineral resource of

2.3 million tonnes @ 11 % ZnEq. for 250,000 tonnes of ZnEq at Molaoi. This
resource uses a 4% low- grade cut, with individual elemental grades of 9.4 %
Zn, 1.7 % Pb and 47 g/t Ag. Molaoi currently contains 210,000 tonnes of zinc,
39,000 tonnes of lead, and 3.5 million ounces of silver. Only 1,400 m of a
potential strike extent of 7 km has been included in the resource and the
resource remains open at depth and along strike. Multiple, parallel
mineralised lodes, which are not included in the resource, are yet to be fully
tested. The images of the resource model, which can be viewed via the link
below, demonstrate the quality of zinc intercepts in parallel lodes which may
add materially to the resource in future estimates. Metallurgical flotation
test work completed in 1984 resulted in 96% zinc recovery, 92% lead recovery
and 91% silver recovery into a bulk concentrate. These recovery factors have
been applied to the mineral resource to calculate the resulting zinc
equivalent tonnes and grade. Mineralisation starts at surface. Despite this,
and to ensure a practical estimate is delivered, the top 40 m has been
excluded from the mineral resource. Rockfire is planning underground mining
only to minimise social and environmental impacts. Germanium has not been
included in the resource estimate owing to limited quantitative analysis.

 

Plateau

Soil sampling was completed at Plateau (announced 21 June 2022) in an
undrilled area outside of the defined JORC 2012 mineral resource. The soil
sampling returned a large gold anomaly which extends for over 200 m. This
anomaly is located on the margin of the breccia/rhyolite intrusion complex and
returned very high gold values with a maximum value of 0.67 g/t Au.

 

On 2 August 2022, Rockfire announced the results of rock samples which were
collected in areas of geophysical and geochemical anomalism. 17 rock samples
collected during June 2022 outlined two of the new exploration targets, with
results including 10.7 g/t Au, 3.2 g/t Au and 2.3 g/t Au. 29% of the samples
returned results above 0.5 g/t Au, with more than 80% of results being above
0.1 g/t Au.

Copperhead

As part of Rockfire's maiden drilling program at Copperhead, the results for
drill hole BCH003 were announced on 20 January 2022. Hole BCH003 returned 370
m @ 0.20 % CuEq. from 57 m, with copper veins observed throughout the entire
429 m long drill hole. The drill hole finished in copper-bearing veins. Within
this broad zone, a higher-grade interval of 50 m @ 0.35 % CuEq. occurs from
259 m downhole depth, and a more intensely veined interval of 22 m @ 0.41 %
CuEq. has been intersected from 271 m downhole depth. Copper mineralisation
has been significantly expanded 100 m directly east of hole BCH001 and 200 m
north of hole BCH002, resulting in another significant increase in the
footprint of the drilled copper-bearing area. Alteration and visible copper
mineralisation in each hole continues to indicate that the Company's drilling
is occurring in the upper, "phyllic" levels of a large porphyry copper system.

 

On 21 March 2022, Rockfire announced a maiden JORC 2012 compliant mineral
resource of 64 million tonnes @ 0.19 % Cu EQ for 120,000 tonnes of Cu Eq. in
the inferred category. The resource contains 80 Kt of Cu (@ 0.12%), 9.4 Kt of
Mo (@0.015 %), and 1.1 Moz Ag (@0.55 g/t Ag). The mineral resource remains
open to the north, east, west and at depth, leaving scope for significant,
further resource increases. This resource comprises five diamond drill holes
drilled by Rockfire, which were designed to validate historical drilling
results and to attain a JORC resource. Both aims have been comprehensively
accomplished. The extent and tenor of mineralisation at Copperhead have yet to
be fully tested. Copper mineralisation starts at surface and continues for at
least 400 m vertically below surface. With continued exploration success and
expansion of the resource, Copperhead demonstrates potential to form a
low-cost, bulk-tonnage, open cut mining scenario. The copper price remains
robust with the continued strong demand for electric vehicles and green
energy, including wind turbines and solar panels. Copperhead is situated
approximately 250 km by road from Australia's largest copper smelter near
Townsville.

 

Post-period end

 

On 24 August 2022, Rockfire announced that metallurgical test-work on the
Molaoi historical core returned excellent recoveries of zinc (89% Zn) and lead
(74% Pb). Additionally, commercially saleable grades of zinc (57% Zn), silver
(856 g/t Ag), lead (63.6% Pb), germanium (117 g/t Ge), copper (2.62% Cu) and
gold (0.52 g/t Au) are readily returned.

 

The flotation process was successfully able to separate two distinct
concentrates, the first being a zinc- germanium concentrate with first-pass
metallurgical recovery of zinc of 89%. This figure is likely to increase with
more detailed tests. The Company's consultants, BHM Process Consultants Pty.
Ltd., report the performance of the zinc system as "excellent" with a product
grade of 57% Zn concentrate achieved in a single pass through a 3-stage
flotation circuit. This is well above the desired product grade of 50% Zn
contained for a saleable concentrate. Germanium reports to the zinc
concentrate with a commercially competitive grade of 117 g/t Ge and is
expected to be recovered as part of the zinc concentrate. This is expected to
be a valuable credit in the concentrate. The second being a lead-
silver-copper-gold concentrate.

 

First-pass metallurgical recovery of lead is 74%, with this figure also
expected to increase with more detailed test work. The lead circuit recovery
is at a greatly over-concentrated value of 63.6% Pb concentrate achieved in a
single pass through a 3-stage circuit configuration. This also far exceeds the
market requirement of 40% - 50% Pb contained for a saleable concentrate.
Silver recovery is 85.6% from the rougher tails, with 15.2% of the silver
reporting through to the lead concentrate at a grade of 856 g/t Ag. Copper and
gold both reported to the lead concentrate with grades of 2.62% Cu and

0.52 g/t Au. Historical copper mines exist in the northern part of the Molaoi
tenement, suggesting copper and gold is likely to add material value to future
concentrates.

The metallurgical test-work company believes that these recovery figures may
be conservative, as there is much metallurgical development and many
optimisation tests still to occur on the project. A differential flotation
system was tested, by which the first stage targets the recovery of lead,
copper, and silver together into a single bulk sulphide concentrate, whilst
sphalerite (zinc) is depressed. The second system targets the recovery of zinc
(with germanium). The results available so far are for tests on composite
samples from Molaoi core which have been blended to produce an "industry
average" grade. The composite average feed grade used in the tests is 5.9% Zn
and 1.6% Pb. Test work remains in progress on a much higher average grade
composite sample of 18.9% Zn and 4.5% Pb, which Rockfire's management believes
may be closer to the ultimate feed head grade, based on drilling at Molaoi.
More definitive testing will be initiated using core obtained from the planned
diamond drilling later in the year. This work will include crushing, milling
and abrasion work indices.

 

Competent person statement

 

Information in this announcement that relates to exploration results is based
on information compiled by Mr Edward Fry, the Exploration Manager of Rockfire
Resources plc, who is a Member of the Australasian Institute of Mining and
Metallurgy (MAusIMM). Mr Fry has sufficient experience relevant to the style
of mineralisation and type of deposit under consideration and to the activity
which has been undertaken to qualify as a Competent Person as defined by the
2012 Edition of the Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves (the JORC Code) and under the AIM Rules -
Note for Mining and Oil & Gas Companies. Mr Fry consents to the inclusion
in the announcement of the matters based on their information in the form and
context in which it appears.

 

 

For further information on the Company, please visit www.rockfireresources.com
(http://www.rockfireresources.com/) or contact the following:

 

 Rockfire Resources plc:                                                         info@rockfire.co.uk (mailto:info@rockfire.co.uk)
 David Price, Chief Executive Officer

 Allenby Capital Limited (Nominated Adviser & Broker)                            Tel: +44 (0) 20 3328 5656
 John Depasquale / George Payne (Corporate Finance) Matt Butlin / Kelly Gardner
 (Sales and Corporate Broking)

 Yellow Jersey PR                                                                rockfire@yellowjerseypr.com (mailto:rockfire@yellowjerseypr.com)
 Sarah Hollins / Henry Wilkinson                                                 Tel: +44 (0) 20 3004 9512

Notes to Editors

 

Rockfire Resources plc (LON: ROCK) is a mineral exploration company with a
portfolio of 100%-owned gold and copper projects in Queensland Australia and a
high-grade zinc deposit in Greece.

 

§ The Molaoideposit in Greece has a JORC resource of 210,000 tonnes of zinc,
39,000 tonnes of lead and

3.5 million ounces of silver.

 

§ The Plateaudeposit in Queensland has a JORC resource of 208,000 ounces of
gold and 1.5 million ounces of silver (0.2 g/t Au cut-off).

 

§ The Copperhead deposit in Queensland has a JORC resource of 80,000 tonnes
of copper, 9,400 tonnes of molybdenum and 1.1 million ounces of silver.

ROCKFIRE RESOURCES PLC

UNAUDITED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS
ENDED 30 JUNE 2022

 

 

                                                                                                     12 months to

                                                                       6 months to    6 months to    31 December

                                                                       30 June 2022   30 June 2021   2021
                                                                       £              £              £
                                                                 Note  (unaudited)    (unaudited)    (audited)
 Impairment of intangible assets                                       -              -              (12,324)
 Administrative expenses                                               (302,582)      (425,937)      (732,619)
 Loss before taxation                                                  (302,582)      (425,937)      (744,953)
 Taxation                                                              -              -              -
 Loss attributable to shareholders of the Company                      (302,582)      (425,937)      (744,953)
 Items that may be subsequently reclassified to profit or loss:
 Foreign exchange translation movement                                 86,249         (42,929)       (162,830)
 Total comprehensive loss attributable to                              (216,333)      (468,866)      (907,783)

 shareholders of the Company

 Loss per share attributable to shareholders of the Company
 Basic and diluted (pence)                                       4     (0.03)         (0.05)         (0.08)

ROCKFIRE RESOURCES PLC

UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2022

 

                                                           6 months to   6 months to   12 months to

                                                           30 June       30 June       31 December

                                                           2022          2021          2021
                                                           £             £             £
                                                     Note  (unaudited)   (unaudited)   (audited)
 ASSETS
 Non-current assets
 Intangible assets                                         4,095,276     2,925,443     3,447,739
 Property, plant and equipment                             20,686        24,760        20,189
 Total non-current assets                                  4,115,962     2,950,203     3,467,928

 Current assets
 Cash and cash equivalents                                 853,601       1,493,441     1,473,599
 Trade and other receivables                               57,957        27,110        124,261
 Total current assets                                      911,558       1,520,551     1,597,860

 Total assets                                              5,027,520     4,470,754     5,065,788

 EQUITY AND LIABILITIES
 Equity attributable to shareholders of the Company
 Share capital                                       5     7,131,114     6,950,667     7,078,136
 Share premium                                             18,191,679    17,337,252    18,180,659
 Other reserves                                            2,295,035     2,295,035     2,295,035
 Merger relief reserve                                     190,000       -             -
 Foreign exchange reserve                                  (103,757)     (70,105)      (190,006)
 Retained deficit                                          (22,711,002)  (22,089,406)  (22,408,420)
 Total equity                                              4,993,069     4,423,443     4,955,404

 Current liabilities
 Trade and other payables                                  34,451        47,311        110,384
 Total current liabilities                                 34,451        47,311        110,384

 Total liabilities                                         34,451        47,311        110,384

 Total equity and liabilities                              5,027,520     4,470,754     5,065,788

ROCKFIRE RESOURCES PLC

UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE SIX MONTHS ENDED
30 JUNE 2022

 

                                                            Other reserves  Merger           Foreign

                            Share capital   Share premium                   relief reserve   exchange reserve   Accumulated

                                                                                                                losses        Total
                            £               £               £               £                £                  £             £
 At 1 January 2021          6,828,085       16,658,354      2,295,035       -                (27,176)           (21,779,517)  3,974,781
 Loss for the period        -               -               -               -                -                  (425,937)     (425,937)
 Foreign exchange

 translation movement       -               -               -               -                (42,929)           -             (42,929)
 Total comprehensive loss   -               -               -               -                (42,929)           (425,937)     (468,866)
 Issue of share capital     122,582         737,423         -               -                -                  -             860,005
 Cost of share Issue        -               (58,525)        -               -                -                  -             (58,525)
 Share based payments       -               -               -               -                -                  116,048       116,048
 Total transactions with

 shareholders               122,582         678,898         -               -                -                  116,048       917,528
 At 30 June 2021            6,950,667       17,337,252      2,295,035       -                70,105             (22,089,406)  4,423,443
 Loss for the period        -               -               -               -                -                  (319,014)     (319,017)
 Foreign exchange

 translation movement       -               -               -               -                (260,111)          -             (260,111)
 Total comprehensive loss   -               -               -               -                (260,111)          (319,014)     (260,111)
 Issue of share capital     127,469         893,572         -               -                -                  -             1,021,041
 Cost of share issue        -               (50,165)        -               -                -                  -             (50,165)
 Total transactions with

 shareholders               127,469         843,407         -               -                -                  (319,014)     651,862
 At 31 December 2021        7,078,136       18,180,659      2,295,035       -                (190,006)          (22,408,420)  4,955,404
 Loss for the period        -               -               -               -                -                  (302,582)     (302,582)
 Foreign exchange

 translation movement       -               -               -               -                86,249             -             86,249
 Total comprehensive loss   -               -               -               -                86,249             (302,582)     (216,333)
 Issue of share capital     2,978           11,020          -               -                -                  -             13,998
 Acquisition of subsidiary  50,000          -               -               190,000          -                  -             240,000
 Total transactions with

 shareholders               52,978          11,020          -               190,000          -                  -             253,998
 At 30 June 2022            7,131,114       18,191,679      2,295,035       190,000          (103,757)          (22,711,002)  4,993,069

ROCKFIRE RESOURCES PLC

UNAUDITED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE SIX MONTHS ENDED 30
JUNE 2022

 

                                                           6 months to  6 months to  12 months to

                                                           30 June      30 June      31 December

                                                           2022         2021         2021
                                                           £            £            £
                                                           (unaudited)  (unaudited)  (audited)
 Cash flow from operating activities
 Loss for the period                                       (302,582)    (425,937)    (744,953)
 - Impairment of intangible assets                         -            -            12,334
 - Share-based payments                                    -            116,048      116,049
 - Expenses settled in shares                              14,000       10,000       -
 - Depreciation                                            2,614        3,312        7,052
 - Foreign exchange rate changes                           83,137       (20,311)     (47,913)
                                                           (202,831)    (316,888)    (657,431)
 Decrease/ (increase) in trade and other receivables       83,374       12,058       (61,748)
 (Decrease) in trade and other payables                    (81,352)     (48,153)     (9,147)
 Net cash flow used in operating activities                (200,809)    (352,983)    (728,326)

 Cash flow from investing activities
 Exploration expenditure                                   (501,471)    (293,276)    (918,667)
 Acquisition of property, plant and equipment              -            (2,705)      (2,690)
 Cash acquired from acquisition of subsidiary              82,282       -            -
 Net cash used in investing activities                     (419,189)    (295,981)    (921,357)

 Cash flow from financing activities
 Proceeds from issuance of ordinary shares                 -            850,004      1,881,046
 Share issue costs                                         -            (58,525)     (108,690)
 Net cash generated by financing activities                -            791,479      1,772,356

 Net (decrease)/ increase in cash and cash equivalents     (619,998)    142,515      122,673
 Cash and cash equivalents at the beginning of the period

                                                           1,473,599    1,350,926    1,350,926
 Cash and cash equivalents at the end of the period        853,601      1,493,441    1,473,599

ROCKFIRE RESOURCES PLC

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS FOR THE SIX
MONTHS ENDED 30 JUNE 2022

 

1               Principal activities

 

The Company is a public limited company, admitted to trading on AIM and
incorporated and domiciled in England and Wales.

 

On 8 March 2022, Rockfire announced the winning of an Open International
Tender for a 30-year licence to explore and mine the high-grade Molaoi
Zn/Pb/Ag deposit, located in the Hellenic Republic of Greece. Therefore, the
Group's principal activities are now exploration for gold and base metals in
Molaoi, Greece and Queensland, Australia.

 

2              Basis of preparation

 

The unaudited consolidated financial statements are for the six-month period
ended 30 June 2022. They do not include all the information required for full
annual financial statements and should be read in conjunction with the audited
consolidated financial statements of the Group for the year ended 31 December
2021.

The financial statements are prepared on the historical cost basis or the fair
value basis where the fair valuing of relevant assets and liabilities has been
applied.

The financial statements have been prepared in accordance with accounting
policies consistent with those set

out in the Group's financial statements for the year ended 31 December 2021.

 

The financial statements incorporate the financial statements of the Company
and subsidiaries controlled by the Company as at 30 June 2022.

The financial information set out in this interim report does not constitute
statutory accounts as defined in Section 435 of the Companies Act 2006. The
Group's statutory financial statements for the year ended 31 December 2021
have been filed with the Registrar of Companies. Those financial statements
received an unqualified audit report and did not contain statements or matters
to which the auditors drew attention under the Act.

The Group's consolidated financial statements are presented in GB pounds
sterling ("£" or "GBP") which is also the functional currency.

 

3              Critical accounting estimates and judgements

 

In the application of the Group's accounting policies, the Directors are
required to make judgements, estimates and assumptions about the carrying
amounts of certain assets and liabilities. The Directors have identified the
following critical judgements and estimates in applying the Group's accounting
policies that have the most significant impact on the amounts recognised in
this Interim Report.

Asset acquisition

In the acquisition of Hellenic, the Directors have determined that the
business does not meet the definition of a business as outlined in IFRS 3. As
such the Directors have elected to adopt the policy choice not to recognise
contingent consideration with respect to an asset acquisition until such time
as the related activity that gives rise to the liability occurs.

4              Loss per share

 

Basic and diluted loss per share

 

The calculation of basic and diluted loss per share is based on the loss
attributable to ordinary shareholders of

£302,582 (2021: £425,937) and a weighted average number of ordinary shares
in issue of 1,096,066,785 (30 June 2021: 833,273,833).

 

5              Share capital

 

                                  30 June        30 June      31 December

                                  2022           2021         2021
 Issued share capital             Number         Number       Number
 Ordinary shares of £0.001 each   1,135,444,195  954,997,653  1,082,466,125
 Deferred shares of £0.099 each   51,215,534     51,215,534   51,215,534

                                  30 June        30 June      31 December

                                  2022           2021         2021
 Issued share capital             £              £            £
 Fully paid                       7,131,114      6,950,667    7,078,136
                                  7,131,114      6,950,667    7,078,136

 

Fully paid ordinary shares carry one vote per share and carry the right to
dividends. There are no shares held by the Company or its subsidiaries.

 

The deferred shares carry no voting or income rights. The only right attaching
to deferred shares is to receive the amount paid up on a winding up of the
Company once the holders of ordinary shares have received

£1,000,000 per ordinary share.

 

On 18 March 2022, the Company issued 1,228,070 new ordinary shares to Patrick
Elliott in settlement of

Director's fees.

 

On 13 May 2022, the Company issued 1,750,000 new ordinary shares to Patrick
Elliott in settlement of Director's

fees.

 

On 16 May 2022, the Company issued 50,000,000 new ordinary shares to the
vendors of Hellenic Minerals as settlement of Tranche 1 of the acquisition
agreement for the Molaoi project in Greece. David Price (or his related party
nominees) was issued 25,000,000 of these new ordinary shares in the Company as
per the historic agreement which is outlined in the Strategic Report of the
Group's financial statements for the year ended 31 December 2021.

 

The nominal value of the issued share capital includes a cumulative foreign
exchange difference of £925,331

which was recognised in 2017 when the Group's functional currency was changed
from US$ to GBP.

6        Asset acquisition

 

On 8 March 2022, Rockfire announced the winning of an Open International
Tender for a 30-year licence to explore and mine the high-grade Molaoi
Zn/Pb/Ag deposit, located in the Hellenic Republic of Greece. Rockfire
participated in the tender under a Memorandum of Understanding with a local
Greek company, Hellenic Minerals IKE ("Hellenic"), the applicant in the
tender. Subsequently, Rockfire acquired 100% of the shares in Hellenic.

 

On 16 May 2022, the Company acquired 100% share capital purchase in Hellenic
Minerals IKE. Consideration was paid by the Company issuing 50,000,000 new
ordinary shares to the vendors of Hellenic Minerals at an issue price of 0.01p
and potential deferred consideration of £400,000 in respect of obtaining a
JORC- compliant mineral resource exceeding four hundred thousand tonnes of
zinc equivalent value. The principal reason for the acquisition is that Molaoi
is an outstanding high-grade zinc deposit, and the addition of the project
strategically complements Rockfire's existing portfolio of precious and base
metal assets. The following table summarises the net liabilities acquired, and
assumed at the acquisition date:

 

                                                Fair value

                                                £'s
 Trade and other receivables                    17,070
 Cash and cash equivalents                      82,282
 Trade and other payables                       (131,735)
 Net liabilities acquired                       (32,383)
 Consideration                                  362,147
 Fair value attributable to exploration assets  394,530

 

 

7        Post balance sheet events

 

There have been no material post balance sheet events that would require
disclosure or adjustment to these interim financial statements.

 

8        Availability of interim results

 

A copy of the half-yearly results can be viewed on the Company's website at:
www.rockfireresources.com (http://www.rockfireresources.com/)

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.   END  IR SEDSAAEESEFU

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