LONDON (Alliance News) - Horizonte Minerals PLC on Friday reported a widened annual loss, as it made "significant" progress on its Araguaia project.
In 2018, the Brazil-focused nickel explorer reported a pretax loss of GBP1.9 million compared to a GBP1.7 million loss in 2017. The company's administrative expenses increased 18% to GBP1.3 million from GBP1.1 million the year before.
Horizonte did not generate any revenue in 2018 or 2017.
During the year, the company made"significant" advances at its Araguaia ferronickel project, moving closer to becoming a nickel producer. A feasibility study carried out during the period on the project increased its value to USD741 million from USD401 million.
Post-period end, the company was awarded a construction licence for the project and will be prioritising this in 2019.
Horizonte will also release a pre-feasibility study for its nearby Vermelho nickel-cobalt project in 2019.
Chair David Hall added: "We believe Horizonte is currently uniquely placed to benefit from the improving nickel market fundamentals, driven by the robust market for stainless steel combined with the fast growing electric vehicle market.
"The multi-asset approach covering both sections of the nickel market along with the cobalt market means the potential revenue streams are more diversified and de-risked compared to a single asset company."
Shares in Horizonte were down 0.9% Friday at 2.20 pence each.
Horizonte Minerals (HZM)