LONDON (Alliance News) - Papua Mining PLC Tuesday posted a widened pretax loss for 2014 as a result of higher costs as it continues to seek additional funds to complete its drilling at Tripela in Papua New Guinea.
The company posted a pretax loss of USD2.8 million for 2014, widened from a pretax loss of USD2.9 million in 2013, as a result of higher administrative expenses. It did not post revenue in either period.
The company said it has made "excellent technical progress" at Tripela, as well as discovering a number of new and "highly prospective" targets on its other licences. It plans to expand its exploration programme to some of these other targets as its resources allow.
Papua Mining is looking to funds to recommence drilling at Tripela, and said it is cautiously optimistic it will secure the financing it needs. If it is unable to, however, it will defer this drilling until the funding is obtained. If it is able to secure the financing arrangements it currently has under discussion it will be in a position to trade for at least the next year, and its going concern uncertainty will be removed.
"We have achieved considerable exploration success in a climatic and topographic setting which is particularly challenging. We believe that we could now be on the verge of the discovery of an important porphyry body which we hope will lead to a significant re-evaluation of your company's asset value. We are hopeful that such success will come in the short term," the company said in a statement.
Shares in Papua Mining are untraded Tuesday morning. It last closed at 4.75 pence.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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