Half-year Report

RNS Number : 1421S

Great Western Mining Corp. plc

29 September 2017

 

Great Western Mining Corporation PLC

("Great Western Mining", "GWM", "Group" or the "Company")

Half Yearly Report

Great Western Mining the AIM and ESM quoted mining company, announces its half yearly report for the six months to 30 June 2017.

Highlights:

·           The Group reports a loss for the period of €259,674

·           Basic and diluted loss per share (cent) 0.001

·           M2 JORC Resource Upgrade

·           M2 Technical Scoping Study completed

·           Placing of new shares for cash

Great Western Mining is currently focused on continued exploration and appraisal of its prospects so is not yet generating revenue.  The Group reports a loss for the period of €259,674 (30 June 2016: €252,881, 31 December 2016: €430,205). At 30 June 2017 net-current assets totaled €1,802,544 (30 June 2016: €505,435, 31 December 2016: €768,685) Overheads are tightly controlled and the Group has no debt.

During the period, WT Cohan & Associates ("WTC") of Grand Junction, Colorado provided an updated Mineral Resource estimate on the Company's M2 Copper-Gold target. At a 0.2% cut-off, the WTC estimate of total Indicated and Inferred Mineral Resources is 16,989,570 tonnes of 0.52% copper of which 3,917,490 falls into the Indicated category. In addition, WTC has provided an independent estimate of the Exploration Target beneath the M2 Sharktooth Peak, which was identified by reconnaissance and outcrop mapping, surface sampling and two discovery drill holes in 2014. The low end of the WTC estimate is 87,100,000 tonnes of 1% copper.

Since the period end, WTC has completed an M2 Technical Scoping Study, originally commissioned in 2016. The company is currently evaluating this study and will update shareholders on its conclusions shortly.

During the reporting period, the Great Western Mining field team participated in a drill programme on M1 conducted by Huntoon Cooperation Agreement partner Crown Point Gold & Silver Mining LLC ("Crown Point"). GWM has funded two drill holes, and independent assays, on an area of anomalous mineralistion straddling the border of both companies' properties. The area is a magnetite breccia zone where grades of 400-500 ppb Au have been found in surface soil samples. Crown Point has continued with the drill programme after the period end, and the Company looks forward to analysing all the assay results when these become available.

Great Western has recently completed two placings of new ordinary shares, one during the reporting period and the other shortly after the period-end date, raising combined gross proceeds of £2,600,000 (€3,012,108). This significant injection of new funds is enabling a major acceleration of work on the Company's mineral prospects in Nevada.

The Group's strategic objectives for its principal activities, being the exploration and mining for copper, silver, gold and other minerals, are only achievable if certain risks are managed effectively. The board has overall accountability for determining the type and level of risk it is prepared to take. The principal risks and uncertainties that may affect the Group's business remain unchanged from those disclosed on page 6 of the Company's Annual Report for the year ended 31 December 2016. The principal risks include but are not limited to exploration, currency and commodity price.

Certain statements made in this half yearly report are forward-looking and these are based on current expectations which remain subject to a number of risks and uncertainties.  As a consequence, events or ultimate results could differ materially from those anticipated in the forward-looking statements.

Looking to the near future, the Group has an ambitious field programme scheduled for the rest of this year and early next year. In the autumn, a discovery level drill programme is planned on the M4 (Target 4) Copper-Gold prospect, immediately followed by a Phase 3 drill programme on M2. As soon as the weather permits in early spring 2018 a discovery level drill programme is planned for the Sharktooth Exploration Target.

As always, the Board and management greatly appreciate shareholder support and look forward to reporting on an active period going forward.

Enquiries:

Great Western Mining Corporation Plc David Fraser, Chief Executive	[phone] (via Walbrook)
Davy (Nomad, ESM Adviser & Joint Broker) John Frain	[phone]
Beaufort Securities Ltd (Joint Broker) Jon Belliss Elliot Hance	[phone]
Walbrook PR (UK PR and IR) Paul Cornelius Nick Rome	[phone]  [e-mail]

Important Information

The group's strategic objectives for its principal activities, being the exploration and mining for copper, silver, gold and other minerals, are only achievable if certain risks are managed effectively. The board has overall accountability for determining the type and level of risk it is prepared to take. The principal risks and uncertainties that may affect the group's business remain unchanged from those disclosed on page 7 of the annual report for the year ended 31 December 2016. The principal risks include, but are not limited to exploration risk, currency risk and of commodity price risk.

Certain statements made in this half-yearly report are forward looking statements. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual events or results to differ materially from the expected future events or results referred to in these forward-looking statements.

 

Unaudited Condensed Consolidated Income Statement

For the six months to 30 June 2017

				Notes		Unaudited 6 months ended 30 Jun '17		Unaudited 6 months ended 30 Jun '16		Audited year ended 31 Dec '16
						€		€		€
	Administrative expenses					(269,859)		(253,064)		(430,490)
	Finance income					54		231		333
	Finance costs					10,131		(48)		(48)
Loss for the year before tax						(259,674)		(252,881)		(430,205)
	Income tax expense			4		-		-		-
Loss for the financial year						(259,674)		(252,881)		(430,205)
Loss attributable to:
	Equity holders of the Company			3		(259,674)		(252,881)		(430,205)
Earnings per share from continuing
operations
	Basic and diluted loss per share (cent)			5		(0.001)		(0.001)		(0.001)

 

Unaudited Condensed Consolidated Statement of Other Comprehensive Income

For the six months to 30 June 2017

				Notes		Unaudited 6 months ended 30 Jun '17		Unaudited 6 months ended 30 Jun '16		Audited year ended 31 Dec '16
						€		€		€
Loss for the financial year						(259,674)		(252,881)		(430,205)
Other comprehensive income
Items that are or may be reclassified to
profit or loss:
	Currency translation differences					(247,408)		(58,445)		100,497
						(247,408)		(58,445)		100,497
Total comprehensive expense for the
financial year attributable to equity
holders of the Company						(507,082)		(311,326)		(329,708)

 

Unaudited Condensed Consolidated Statement of Financial Position

For the six months to 30 June 2017

				Notes		Unaudited 6 months ended 30 Jun '17		Unaudited 6 months ended 30 Jun '16		Audited year ended 31 Dec '16
Assets						€		€		€
	Non-current assets
		Intangible assets		6		3,342,604		3,278,207		3,496,297
	Total non-current assets					3,342,604		3,278,207		3,496,297
	Current assets
		Trade and other receivables		7		177,340		229,861		128,848
		Cash and cash equivalents		8		1,801,816		461,698		712,273
	Total current assets					1,979,156		691,559		841,121
Total assets						5,321,760		3,969,766		4,337,418
Equity
	Capital and reserves
		Share capital		10		2,671,648		2,648,238		2,660,738
		Share premium		10		6,633,239		4,630,945		5,173,692
		Share based payment reserve				113,730		-		44,448
		Foreign currency translation reserve				463,311		551,777		710,719
		Retained earnings				(4,736,780)		(4,047,318)		(4,324,615)
	Attributable to owners of the Company					5,145,148		3,783,642		4,264,982
Total equity						5,145,148		3,783,642		4,264,982
Liabilities
	Current liabilities
		Trade and other payables		9		176,612		186,124		72,436
		Convertible debt				-		-		-
	Total current liabilities					176,612		186,124		72,436
Total liabilities						176,612		186,124		72,436
Total equity and liabilities						5,321,760		3,969,766		4,337,418

Unaudited Condensed Consolidated Statement of Changes in Equity

For the six months to 30 June 2017

				Notes		Share capital		Share premium		Share based payment reserve		Foreign currency translation reserve		Retained earnings		Total
						€		€		€		€		€		€
Balance at 1 January 2016						2,648,238		4,630,945		-		610,222		(3,794,437)		4,094,968
Comprehensive income for the period
		Loss for the period				-		-		-		-		(252,881)		(252,881)
		Currency translation differences				-		-		-		(58,445)		-		(58,445)
	Total comprehensive income for the
	period					-		-		-		(58,445)		(252,881)		(311,326)
Transactions with owners, recorded
directly in equity
		Shares issued				-		-		-		-		-		-
		Share warrants granted				-		-		-		-		-		-
		Share options granted				-		-		-		-		-		-
	Total transactions with owners,
	recorded directly in equity					-		-		-		-		-		-
Balance at 30 June 2016						2,648,238		4,630,945		-		551,777		(4,047,318)		3,783,642

 

Unaudited Condensed Consolidated Statement of Changes in Equity (continued)

For the six months to 30 June 2017

				Notes		Share capital		Share premium		Share based payment reserve		Foreign currency translation reserve		Retained earnings		Total
						€		€		€		€		€		€
Balance at 1 July 2016						2,648,238		4,630,945		-		551,777		(4,047,318)		3,783,642
Comprehensive income for the period
		Loss for the period				-		-		-		-		(177,324)		(177,324)
		Currency translation differences				-		-		-		158,942		-		158,942
	Total comprehensive income for the
	period					-		-		-		158,942		(177,324)		(18,382)
Transactions with owners, recorded
directly in equity
		Shares issued				12,500		542,747		-		-		(55,525)		499,722
		Share warrants granted				-		-		44,448		-		(44,448)		-
		Share options granted				-		-		-		-		-		-
	Total transactions with owners,
	recorded directly in equity					12,500		542,747		44,448		-		(99,973)		499,722
Balance at 31 December 2016						2,660,738		5,173,692		44,448		710,719		(4,324,615)		4,264,982

 

Unaudited Condensed Consolidated Statement of Changes in Equity (continued)

For the six months to 30 June 2017

				Notes		Share capital		Share premium		Share based payment reserve		Foreign currency translation reserve		Retained earnings		Total
						€		€		€		€		€		€
Balance at 1 January 2017						2,660,738		5,173,692		44,448		710,719		(4,324,615)		4,264,982
Comprehensive income for the period
		Loss for the period				-		-		-		-		(259,674)		(259,674)
		Currency translation differences				-		-		-		(247,408)		-		(247,408)
	Total comprehensive income for the
	period					-		-		-		(247,408)		(259,674)		(507,082)
Transactions with owners, recorded
directly in equity
		Shares issued				10,910		1,459,547		-		-		(98,086)		1,372,371
		Share warrants granted				-		-		54,405		-		(54,405)		-
		Share options granted				-		-		14,877		-		-		14,877
	Total transactions with owners,
	recorded directly in equity					10,910		1,459,547		69,282		-		(152,491)		1,387,248
Balance at 30 June 2017						2,671,648		6,633,239		113,730		463,311		(4,736,780)		5,145,148

Unaudited Condensed Consolidated Statement of Cash Flows

For the six months to 30 June 2017

				Notes		Unaudited 6 months ended 30 Jun '17		Unaudited 6 months ended 30 Jun '16		Audited year ended 31 Dec '16
						€		€		€
Cash flows from operating activities
		Loss for the year				(259,674)		(252,881)		(430,205)
		Interest receivable and similar income				(54)		(231)		(333)
		Interest payable and similar charges				(10,131)		48		48
		Movement in trade and other receivables				(48,492)		(55,561)		45,452
		Movement in trade and other payables				104,176		106,809		(6,879)
		Currency translation differences				(247,408)		(58,445)		100,497
		Share options granted				14,877		-		-
	Net cash flows from operating activities					(446,706)		(260,261)		(291,420)
Cash flow from investing activities
		Expenditure on intangible assets				(79,589)		(77,136)		(148,268)
		Interest received				54		231		333
		Interest paid				10,131		(48)		(48)
	Net cash from investing activities					(69,404)		(76,953)		(147,983)
Cash flow from financing activities
		Proceeds from the issue of new shares				1,470,457		-		555,247
		Commission paid from the issue of new
		shares				(98,086)		-		(55,525)
		Repayment of convertible debt				-		(15,000)		(15,000)
	Net cash from financing activities					1,372,371		(15,000)		484,722
Increase/(decrease) in cash and cash
equivalents						856,261		(352,214)		45,319
Exchange rate adjustment on cash and
cash equivalents				8		233,282		54,531		(92,427)
Cash and cash equivalents at beginning
of the year				8		712,273		759,381		759,381
Cash and cash equivalents at end of
the year						1,801,816		461,698		712,273

 

Notes to the Financial Statements

Please click below to view notes to financial statements

http://www.rns-pdf.londonstockexchange.com/rns/1421S_-2017-9-28.pdf 

 

END

 

 

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