LONDON (Alliance News) - Mining exploration and investment company Regency Mines PLC Thursday posted a narrowed pretax loss in the half-year ended December 31, 2013, as it saw revenues rise and sold tenements to Ram Resources Ltd.
Regency posted a pretax loss of GBP1.1 million, narrowed from a pretax loss of GBP3.0 million, as revenue rose to GBP1.0 million from GBP187,266 million in the previous year, boosted by a GBP973,702 gain on the sale of its base metal and gold prospective tenements in the Fraser Range of Western Australia to Ram.
Regency said its actions during 2013 had positioned it well for any recovering markets, and it will continue to build on the progress it has already made with its projects.
The company expects to see further progress in 2014 as it actively explores its Australian interests and the gradual recovery in the nickel price boosts its nickel investments.
The company said that the growth in the export of untreated nickel ore in China and Japan in recent years had resulted in the Indonesian government banning exports of nickel and aluminium ore to which no local value can be added, starting from the beginning of 2013.
Regency said that it considered this a good development, as pricing has been undermined by the reduction in processed nickel imports by China. This will restore the traditional nickel production model, Regency said, which is already being reflected by the improvement in prices.
Shares in Regency Mines were trading up 7.5% at 0.342 pence Thursday afternoon.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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