Horizonte Minerals Quarterly Loss Widens As Administrative Costs Rise

LONDON (Alliance News) - Brazil-focused nickel developer Horizonte Minerals PLC said Thursday its loss widened in the first quarter.

Horizonte Minerals pretax loss for the three months to March 31 widened to GBP453,470 from GBP415,960 loss in the corresponding period a year earlier.

The company's administrative expenses almost doubled in the period to GBP517,987 from GBP291,193 the year before.

The miner did not generate any revenue in either the period.

Horizonte Minerals gained GBP279,320 in the period on a change in the fair value of contingent consideration payable to Xstrata Brasil Mineracao Ltda compared to a gain of GBP108,569 the year before. The gain in the period was attributed to changes in the currency in which the liability is payable.

Horizonte Minerals owes Xstrata Brasil Mineracao GBP5.0 million in cash on the date of first commercial production from Horizonte's Araguaia project. The carrying value of the consideration was valued at GBP3.0 million at March 31.

Shares in Horizonte Minerals were down 2.9% Thursday at 1.90 pence each.