LONDON (Alliance News) - Natural resource investment company Leed Resources PLC Thursday reported a widened pretax loss for its most recently ended financial year.
For the year to end-June the company reported a pretax loss of GBP291,000, widened from GBP236,000 a year before, as a GBP62,000 loss on investments offset lower administrative costs. It did not post revenue in either period.
In January the company made a AUD1.2 million investment in a convertible loan note issue by Battalion, a company with a controlling interest in High Mannor Pty Ltd. High Mannor is an integrated limestone quarrying business in Western Australia. Leed invested a further AUD480,000, taking its total investment in Battalion to AUD1.7 million, which would be an 18.4% stake on conversion.
Elsewhere, it noted a lack of progress in relation to Manas Coal LLC, in which it had a 17% stake. Manas had been working to raise funds for a project, however, due to poor market conditions for coal projects Leed said it does not appear Manas has been able to raise sufficient funds to move the project forward. As its licence expires at the end of November, Leed noted it is now "highly unlikely" any progress can be made, in which case the licence will lapse.
As such, the value of its investment in Manas will continue to be held at zero unless and until there is "any clarity on realisable value."
Shares in Leed Resources were up 13% at 0.0510 pence Thursday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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