Half Yearly Report and Directorate Change

RNS Number : 2462Y
Goldstone Resources Ltd
28 November 2014
 



GOLDSTONE RESOURCES LIMITED

("GoldStone" or the "Company")

Interim Results for the six months ended 31 August 2014

Directorate Change

GoldStone (AIM: GRL), the AIM quoted company focused on gold in West and Central Africa, announces its interim results for the six months ended 31 August 2014.

Chief Executive Officer's Report

 

Introduction

 

Since the release of the Company's Final Results on 29 August 2014, corporate activity was dominated by the finalisation of the proposed subscription by Stratex International plc ("Stratex"), which completed on 30 October 2014.  The subscription raised gross proceeds of £1.25 million through the issue of 20,833,333 new ordinary shares after a 1 for 10 consolidation at a price of 6 pence per share (the "Subscription").  Up to the finalisation of the Subscription, operational activities remained restricted to keeping the licences in good standing. 

 

Senegal (Sangola)

 

During the course of 2013 and early 2014, Randgold Resources Ltd ("Randgold") executed 10,000m of reverse circulation drilling at four of the eight prospects identified at the Company's Sangola licence. The joint venture was terminated in April 2014 but Randgold noted in the termination notice that the licence is "prospective for smaller or lower grade deposits" than their internal requirement of a 3 million ounce deposit at 3 g/t.  The licence area contains four gold-in-soil anomalies identified by GoldStone and four further conceptual regional target areas identified by Randgold.

 

Gabon projects (Oyem and Ngoutou)

 

The Oyem and Ngoutou licences contain 15km long gold-in-soil anomalies with favourable geophysics and significant artisanal gold workings.  Early results from only three diamond drilled holes (totalling 535m) included 16m @ 1.3 g/t gold (including 2m @ 5.6 g/t), 33.5m @ 0.4 g/t and 32m @ 0.4 g/t.  Further exploration is necessary to determine the full potential of this licence area.

 

At Oyem only 400m of the 15km long Oyem gold-in-soil anomaly were drill tested and high grade gold mineralisation in a 120m wide deformational zone was encountered along two drill lines.  Best results included 2m @ 5.3 g/t (including 1m @ 9.5 g/t) in the first drill line and 2.2m @ 4.5 g/t (including 1m at 9.1 g/t) in the second drill line.

 

Ghana projects

 

The Homase/Akrokerri project is located in the Ashanti Gold Belt in Ghana and borders AngloGold Ashanti's Obuasi permit.  The project has a JORC-compliant resource of 10.6 million tonnes at an average grade of 1.77 g/t for 602,000oz and the potential of increasing this with further exploration on the licence.  GoldStone owns 65% of the Homase licence and may attain an 85% interest upon successful completion of a feasibility study of any nature over the area.  The Company owns 100% of the Akrokerri licence through its wholly owned Ghanaian registered subsidiary.

 

At the Manso Amenfi project trenching results were received but were found to be inconclusive. 

Changes to the Board

 

With effect from 30 October 2014 and as a result of the successful conclusion of the Subscription, Christopher Hall and Bob Foster were appointed as non-executive directors of the Company and Emma Priestley was appointed as an independent non-executive director. 

 

Emma Priestley has today been appointed executive director of Stratex and as a consequence has resigned as a director of the Company. 

 

The board now consists of Christopher Hall (serving as the Company's chairman and appointed as nominee of Stratex in his capacity as non-executive chairman of Stratex), Bob Foster  (appointed as nominee of Stratex in his capacity as Chief Executive of Stratex), Andrew McIlwain (appointed as nominee of Unity Mining Ltd in his capacity as Managing Director of Unity) and myself (Jurie Wessels, serving as Managing Director. The board has resolved to appoint a further non-executive director and is seeking to identify a suitable candidate.

 

Jonathan Best, Hendrik Schloemann and Benjamin Hill resigned from the Board with effect from 30 October 2014. I have extended my thanks to the aforementioned gentlemen before but would like to thank Jonathan, Hendrik and Ben again for their invaluable contributions.

 

Outlook

 

Following the Subscription a thorough review of the Company's projects has begun with the aim of deciding which of the Company's projects will be progressed under the circumstances by utilising Company resources and, particularly in relation to the Homase/Akrokerri project, defining the potential for further resource yielding exploration targets.   

 

Subsequent to the newly constituted board's first meeting held in Ghana on 20 November 2014, it was decided that exploration efforts will primarily be directed at exploring Homase/Akrokerri, that the joint venture with Asaasemu Mining Ltd in respect of Manso Amenfi is to be reviewed by geologists appointed by the Company and that joint ventures are to be considered for all the other projects. 

 

Jurie Wessels

Chief Executive Officer

 

 

Enquiries

GoldStone Resources Limited

+27 21 551 9009

Jurie Wessels


WH Ireland Limited

+44 20 7220 1666

Tim Feather


Liam Gribben




 

 

Consolidated Statement of Financial Position


as at 31 August 2014

 

In United States dollars

31 August 2014

 

28 February 2014

 

31 August 2013

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

Property, plant and equipment

32,676

 

32,676

 

47,849

Non-current assets

32,676

 

32,676

 

47,849

 

 

 

 

 

 

Trade and other receivables

10,193

 

17,976

 

4,467

Cash and cash equivalents

189,155

 

619,095

 

535,948

Current assets

199,348

 

637,071

 

540,415

 

 

 

 

 

 

Total assets

232,025

 

669,747

 

588,264

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

 

 

 

Share capital

6,340,370

 

6,340,370

 

5,807,074

Share premium

24,110,882

 

24,110,882

 

23,844,234

Capital contribution reserve

555,110

 

555,110

 

555,110

Share options reserve

605,808

 

605,808

 

605,808

Accumulated deficit

(31,718,470)

 

(31,250,496)

 

(30,260,205)

Total equity

(106,300)

 

361,674

 

552,021

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Trade and other payables

338,324

 

308,073

 

36,243

Current and total liabilities

338,324

 

308,073

 

36,243

 

 

 

 

 

 

Total equity and liabilities

232,025

 

669,747

 

588,264

 



 

 

Consolidated statement of comprehensive income

 

for the 6 months ended 31 August 2014

 

in United States dollars

6 months ended

31 August 2014

 

Year ended

28 February 2014

 

6 months ended

31 August 2013

 

 

 

 

 

 

Continuing operations

 

 

 

 

 

 

 

 

 

 

 

Sundry income

35,791

 

49,450

 

39,519

Exploration expenses

(193,562)

 

(709,620)

 

(394,341)

Other expenses

(302,882)

 

(1,036,654)

 

(351,019)

Results from operating activities

(460,653)

 

(1,696,824)

 

(705,841)

 

 

 

 

 

 

Finance income

1,548

 

983

 

291

Net finance cost

1,548

 

983

 

291

 

 

 

 

 

 

Loss before tax

(459,105)

 

(1,695,841)

 

(705,550)

 

 

 

 

 

 

Loss from continuing operations

(459,105)

 

(1,695,841)

 

(705,550)

 

 

 

 

 

 

Other comprehensive income

0

 

0

 

0

 

 

 

 

 

 

Total comprehensive loss for the period

(459,105)

 

(1,695,841)

 

(705,550)

 

 

 

 

 

 

 

 

 

 

 

 

Loss per share:

 

 

 

 

 

Basic loss per share

(0.001)

 

(0.004)

 

(0.002)

Diluted loss per share

(0.001)

 

(0.004)

 

(0.002)

 



 


Consolidated statement of change in equity


for the 6 months ended 31 August 2014

 

in United States dollars

6 months ended

31 August 2014

 

Year ended

28 February 2014

 

6 months ended

31 August 2013

 

 

 

 

 

 

Share capital

 

 

 

 

 

-      at beginning of period

6,340,370

 

5,259,165

 

5,259,165

-      issue of shares

0

 

1,081,205

 

547,909

-      end of period

6,340,370

 

6,340,370

 

5,807,074

 

 

 

 

 

 

Share premium

 

 

 

 

 

-      at beginning of period

24,110,882

 

23,844,234

 

23,844,234

-      issue of shares

0

 

266,648

 

0

-      end of period

24,110,882

 

24,110,882

 

23,844,234

 

 

 

 

 

 

Capital contribution reserve

555,110

 

555,110

 

555,110

 

 

 

 

 

 

Share options reserve

605,808

 

605,808

 

605,808

 

 

 

 

 

 

Accumulated deficit

 

 

 

 

 

-      at beginning of period

(31,250,495)

 

(29,554,655)

 

(29,554,655)

-      credit to equity for equity-settled share based payments

0

 

0

 

0

-      loss for the period

(467,974)

 

(1,695,841)

 

(705,550)

-      end of period

(31,718,470)

 

(31,250,495)

 

(30,260,205)

 



 


Consolidated statement of cash flow


for the 6 months ended 31 August 2014

 

in United States dollars

6 months ended

31 August 2014

 

Year ended

28 February 2014

 

6 months ended

31 August 2013

 

 

 

 

 

 

Cash flow from operating activities

 

 

 

 

 

 

 

 

 

 

 

Loss for the period

(467,974)

 

(1,695,841)

 

(705,550)

adjusted for:

 

 

 

 

 

-      depreciation

0

 

18,332

 

0

-      interest received

(1,548)

 

(983)

 

(291)

-      profit on sale of motor vehicle

0

 

(2,485)

 

0

changes in:

 

 

 

 

 

-      trade and other receivables

7,783

 

130,298

 

143,807

-      trade and other payables

30,251

 

                189,922

 

(81,909)

 

 

 

 

 

 

Net cash used in operating activities

(431,488)

 

(1,360,757)

 

(643,943)

 

 

 

 

 

 

Cash flow from investing activities

 

 

 

 

 

 

 

 

 

 

 

Interest received

1,548

 

983

 

291

Disposal of property, plant and equipment

0

 

4,396

 

0

Acquisition of property, plant and equipment

0

 

(5,235)

 

(164)

 

 

 

 

 

 

Net cash used in / from investing activities

1,548

 

144

 

127

 

 

 

 

 

 

Cash flow from financing activities

 

 

 

 

 

 

 

 

 

 

 

Proceeds from issue of ordinary share capital

0

 

1,347,853

 

547,909

 

 

 

 

 

 

Net cash from financing activities

0

 

1,347,853

 

547,909

 

 

 

 

 

 

Net (decrease) / increase in cash and cash equivalents

(429,940)

 

(12,760)

 

(95,907)

 

 

 

 

 

 

Cash and cash equivalents at beginning of the year

619,095

 

631,855

 

631,855

 

 

 

 

 

 

Cash and cash equivalents at end of the period

189,155

 

619,095

 

535,948

 



 


Notes to the consolidated financial statement

 

1.      Loss per share

 

in United States dollars

6 months ended

31 August 2014

 

Year ended

28 February 2014

 

6 months ended

31 August 2013

 

 

 

 

 

 

Loss attributable to shareholders

(467,974)

 

(1,695,841)

 

(705,550)

Weighted average number of shares

389,137,771

 

389,137,771

 

355,804,438

 

 

 

 

 

 

Basic loss per share

0.001

 

(0.004)

 

(0.002)

 

 

2.      Availability of Interim Report

 

The Interim Report will be available for download from the Company's website (www.goldstoneresources.com)

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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