LONDON (Alliance News) - Aurum Mining PLC Monday said it narrowed its loss in its last financial year, helped by lower administrative expenses, as it managed costs tightly.
The Spain-focused gold and tungsten explorer posted a pretax loss of GBP478,000 for the financial year to March 31, compared with GBP615,000 a year earlier.
"During the period, administrative costs have been materially reduced, including significant reductions in directors' salaries. The full impact of these cost reductions will be visible in the 2015 financial year numbers," the company said.
Aurum said it held cash of around GBP214,000 at the end of March.
Through its joint venture agreement with Ormonde Mining PLC, Aurum currently has a 60% interest in the Pino de Oro project in Zamora Province, and a 54% interest in the Peralonso and Cabeza projects in Salamanca Province.
Aurum said that there have been a number of discussions with interested parties around structuring a deal for its interest and participation in the gold projects, a number of discussions of which it said are on-going.
"Currently activity on the gold projects is at a very low level, and during this transitional period Aurum will not be funding the projects - this will lead to a small immaterial dilution in its interest on the gold projects," the company said.
Aurum also has a 20% carried interest in the Morille project in North West Spain following its farmout deal with operator Plymouth Minerals Ltd.
The company said the first phase drilling programme at Morille has been completed, of which it said numerous significant near-surface scheelite intercepts were identified.
"The programme has identified multiple follow-up targets for future exploration and resource definition drilling, which will be tackled as part of the second phase drilling programme," it said.
Shares in Aurum Mining were untraded before midday Monday, at 1.25 pence.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
Copyright 2014 Alliance News Limited. All Rights Reserved.
