(Alliance News) - Adriatic Metals PLC on Monday said its half-year loss widened as expenses increased and one-off gains dropped.
The firm's key assets are the Vares silver project in Bosnia & Herzegovina and the Raska zinc-silver project in Serbia.
Adriatic's pretax loss in the six months to June 30 widened to USD8.8 million from USD4.5 million.
Finance expenses multiplied to USD5.5 million from USD1.6 million. General & administrative expenses increased by 32% to USD4.2 million from USD3.2 million.
Further, gains from the revaluation of derivative liability dropped 55% to USD1.5 million from USD3.4 million.
Looking ahead, the company said it is working "extremely hard" to start production at the Vares project in Bosnia & Herzegovina in the second quarter of 2023. "We remain on track to finish construction on time," commented Chair Michael Rawlinson.
Managing Director Paul Cronin said: "Despite difficult market conditions and inflationary pressures affecting the mining sector, the team's ability to identify cost savings opportunities has meant that the Vares project is expected to have a capital expenditure of USD170 million, less than a 1.1% increase from our 2021 definitive feasibility study".
Adriatic Metals shares were 0.3% lower at 123.40 pence each in London on Monday morning.
By Tom Budszus; tombudszus@alliancenews.com
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Adriatic Metal. (ADT1)