LONDON (Alliance News) - Alecto Minerals PLC Friday said its pretax loss widened slightly in 2013 as lower administrative expenses were offset by higher impairment charges and foreign exchange losses.
The gold mining company, which is yet to produce any revenues, said its pretax loss widened to GBP1.2 million from GBP1.1 million the previous year.
The company said its administrative expenses fell 18% to GBP789,213 from GBP961,053 as directors and employee's fees fell slightly while travel costs and other expenses dropped at the company.
However, Alecto said its finances were hit by an increase in impairment charges to GBP337,398 from GBP137,111 due to losses in the value of its two uranium exploration licences in Mauritania, and a GBP116,483 loss on foreign exchange.
The company acquired the Kossanto Gold project in Mali during October and is now building on the current resources on the site towards possible near term production at the Kossanto project. In April 2014, Alecto announced a substantial 80% upgrade in the JORC Code compliant inferred resource estimate for Gourbassi within the Kossanto Project to 193,000 ounces of gold across two targets, following drilling.
During October, it also announced a joint venture with Centamin PLC to develop operations at the Wayu Boda and Aysid-Metekel sites in Ethiopia.
In January 2014, Alecto raised GBP1.5 million and the company said that on May 29 it had cash of GBP1.2 million so is well positioned to pursue exploration opportunities at the Kossanto Project while work on its Ethiopian properties is currently being funded by Centamin.
Alecto Minerals shares were down 2.7% to 0.851 pence on Friday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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