Ormonde Mining PLC - Irish natural resource company focused on Spain - Reports widened annual loss in 2021 as it did not generate money from a multi-million euro sale as it did in 2020.
Pretax loss and loss from continuing operations widen to EUR1.6 million in 2021 from EUR464,000 in 2020. Loss on ordinary activities widens to EUR1.6 million from EUR1.1 million. Posts a EUR1.2 million net decrease in cash and equivalents, versus a EUR4.8 million rise in 2020.
In 2020, Ormonde sold a 30% interest in a tungsten mining project in Barruecopardo, Spain, to Los Angeles-based asset management company Oaktree Capital Management for EUR6.0 million. This generated net cash of EUR5.9 million for Ormonde. In 2021, the firm sold no interests, posting a net cash loss of EUR14,000 in the investing activities part of the business, which was the cost of intangible assets.
Administration expenses rose to EUR1.2 million from EUR1.1 million. Firm says annual impairment costs fall to EUR400,000 from EUR1.1 million in 2020. Total assets shrink to EUR6.1 million from EUR7.7 million.
"2021 was a year of transition for the company as we restructured the board, reviewed the company's assets, reorganised the company to operate on a reduced cost basis, and positioned Ormonde to execute an opportunity to enable the company to leverage its listing and balance sheet and generate value for shareholders," says Chair Brian Timmons, who started his role in October. Chief Executive Officer Brendan McMorrow started his role in November. The firm also appointed new technical and geological consultants.
Current stock price: 0.69 pence, up 6.2% on Tuesday
12-month change: down 27%
By Tom Budszus; tombudszus@alliancenews.com
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