REG - Xtract Resources plc - Half Yearly Report <Origin Href="QuoteRef">XTR.L</Origin> - Part 2
29/09/2015 07:02
- Part 2: For the preceding part double click ID:nRSc4746Aa
assets or liabilities.
5. Loss per share
The calculation of the basic and diluted loss per share is based on the
following data:
Six months ended Year ended
Losses 30 June 2015£'000 30 June 2014 31 December 2014£'000
£'000
(Losses)/profit for the purposes of basic earnings per share being net loss attributable to equity holders of the parent (810) (1,009) (2,949)
Number of shares
Weighted average number of ordinary and diluted shares for the purposes of basic earnings per share 4,798,111,259 3,207,405,355 3,403,266,982
(Loss)/profit per ordinary share basic and diluted (pence) (0.00) (0.00) (0.00)
Where a loss has occurred, basic and diluted earnings per share are the same
because the outstanding share options and warrants are anti-dilutive.
6. Intangible fixed assets
Land acquisition costs Development expenditure Reclamation & mine closure costs Mineral exploration rights Total
£'000 £'000 £'000 £'000 £'000
As at 1 January 2015 4,184 471 266 - 4, 921
Additions - 190 - 496 686
Disposals - (33) - - (33)
As at 30 June 2015 4,184 628 266 496 5,574
Amortisation
As at 1 January 2015 246 28 15 - 289
Charge for the year 68 22 4 - 94
As at 30 June 2015 314 50 19 - 383
Net book value At 30 June 2015 3,870 578 247 496 5,191
At 31 December 2014 3,938 443 251 - 4,632
7. Property, plant and equipment
Cost or fair value on acquisition of subsidiary Mining plant & equipment Land & Buildings Furniture & Fittings Total
£'000 £'000 £'000 £'000
At 1 January 2015 1,167 103 10 1,280
Additions - at cost 174 32 206
At 30 June 2015 1,341 103 42 1,486
Depreciation
At 1 January 2015 73 9 3 85
Charge for the period 51 8 5 64
At 30 June 2015 124 17 8 149
Net book value
At 30 June 2015 1,217 86 34 1,337
At 1 January 2015 1,094 94 7 1,195
8. Financial assets available for sale
Details of the Group's available-for-sale investments as at 30 June 2015 are
as follows:
30 June 2015£'000 30 June 2014£'000 31 December 2014£'000
At beginning of the period 570 2,580 2,580
Disposal - - (1,182)
Movement in fair value - (810) (828)
At the end of the period 570 1,770 570
9. Current Liabilities
As at 30 June 2014 £'000 As at 30 June 2014£'000 As at 31 December 2014£'000
Trade creditors and accruals 2,141 2,494 2,512
Option instalments 978 929 1,207
SEDA backed loan - 93 462
3,119 3,516 4,181
10. Share capital
As at30 June 2015Number As at30 June 2014Number As at31 December 2014Number
Issued and fully paid Ordinary shares of 0.01p each 6,644,897,697 3,580,599,980 3,830,599,980
Deferred shares of 0.09p each 1,547,484,439 1,547,484,439 1,547,484,439
8,192,382,136 5,128,084,419 5,378,084,419
£ £ £
Ordinary shares of 0.01p each 664,489 358,059 383,060
Deferred shares of 0.09p each 1,392,736 1,392,736 1,392,736
2,057,225 1,750,795 1,775,796
Options and warrants
The following warrants were issued during the period:
· Issued 27 March 2015 - 55,666,667 exercisable at 0.15p per share
· Issued 7 May 2015 - 60,000,000 exercisable at 0.25p per share
· Issued 26 June 2015 -73,333,333 exercisable at 0.30p per share
The following warrants were exercised during the period:
· Issued 12 September 2012 - 172,954,884 exercised at 0.045p per share
· Issued 27 March 2015 - 55,666,667 exercised at 0.15p per share
11. Cash flows from operating activities
Six months period ended30 June 2015 £'000 Six months period ended30 June 2014£'000 Year ended 31 December 2014£'000
Profit/(loss) for the period (810) (1,009) (2,949)
Adjustments for:
Continuing Operations
Depreciation of property, plant and equipment 64 37 85
Amortisation of intangible fixed assets 94 - 289
Finance costs 84 (1) 76
Other (gains) /losses (8) (37) 44
Other payables - (52) -
Gain on disposal of intangible fixed assets (359) - -
Share-based payments expense - 29 29
Operating cash flows before movements in working capital (935) (1,033) (2,426)
(Increase) in receivables (106) (397) (60)
(Decrease)/increase in payables (294) 487 648
Cash used in operations (1,335) (943) (1,838)
Income taxes paid - - -
Foreign currency exchange differences 6 103 (2)
Net cash used in operating activities (1,329) (840) (1,840)
12. Related party transactions
Transactions between Group companies, which are related parties, have been
eliminated on consolidation and are therefore not disclosed. The only other
transactions which fall to be treated as related party transactions are those
relating to the remuneration of key management personnel, which are not
disclosed in the Half Yearly Report, and which will be disclosed in the
Group's next Annual Report.
13. Transactions with directors
Lion Mining Finance Limited, a company in which Colin Bird is a Director and
shareholder has provided administrative and technical services to the Company
amounting to £15K plus VAT in the period. The amount of £21K was outstanding
as at 30 June 2015 (30 June 2014:14.4k).
As at 30 June 2015, loans from directors amounted to £nil (31 June 2014:£
40K). These loans are interest free and repayable by mutual agreement.
14. Events after the balance sheet date
Manica Gold Project
On 29 June 2015 the Company announced that it had signed an agreement to
acquire 100% of the Manica Gold Mining license (which includes a number of
gold prospects including the Fair Bride open pit gold deposit) in Mozambique
from Auroch Minerals NL ('Auroch'), an ASX listed company. The total
consideration for the Transaction was US$12.5 million and would be satisfied
through a payment of US$4.5m in cash, the issue of new ordinary shares of
0.01p per share ("Ordinary Shares") to the value of US$6.5m ("Consideration
Shares"), and a further cash payment by Xtract of up to US$1.5 million to
settle project related creditors.
The completion of the acquisition agreement is conditional upon Auroch
obtaining necessary shareholder approval as well as obtaining relevant
approvals to the extent required under the Mozambique Mining Act and other
applicable laws relating to the change of control of Auroch's subsidiary and
communicating such change of control to the Mozambican Mining Authorities.
Completion is also conditional on admission of the Consideration Shares to
trading on AIM.
On 3 July 2015, the company raised £4.4 million from the placement and issue
of 1,466,666,665 ordinary shares of 0.01p per share at 0.30p per share in
order to satisfy the cash consideration.
On 10 September 2015 the Company announced that it had negotiated and agreed
revised terms with Auroch regarding the conditional acquisition of the Manica
gold project. Under the terms of the original agreement the number of
Consideration Shares issued was to be determined by using the lesser of the
VWAP at which the Company's shares traded 10 days prior to Completion and
0.35p (the "Conversion Price"). At an assumed Conversion Price of 0.35p the
Company anticipated that it would be required to issue Consideration Shares
which would result in dilution to existing Xtract shareholders ("Dilution") of
approximately 12%. Since the terms of the Transaction were agreed the
Company's share price has decreased and the closing price on 9 September 2015
stood at 0.26p. At an assumed Conversion Price of 0.26p Dilution would be
approximately 16%. In order to limit Dilution the Company has successfully
negotiated a revision to the terms of the Transaction whereby a fixed number
of Conversion Shares will now be issued and Dilution will be approximately
11%.
The cash consideration will now total US$7 million and has been re-structured
such that US$2 million of cash payable to Auroch three months after Completion
is expected to be settled through project finance and a further US$1 million
of cash will be retained by the Company to settle any tax liability relating
to the capital gain due on the disposal of the asset in due course.
O'Kiep copper Sulphide Project
On 3 July 2015 the Company allotted and issued 491,939,159 ordinary shares of
0.01p each, at price of 0.03275 per share, in settlement of the final payment
of U$$2.5 million which was due to be paid on the commencement of mining
activities.
This information is provided by RNS
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