(Alliance News) - Oriole Resources PLC on Wednesday said its Turkish subsidiary Stratex Madencilik Sanayi ve Ticaret Ltd has continued to trade profitably over the course of the year and has started to realise value across the portfolio.
The exploration company focused on West Africa said the year-to-date cash flows of about GBP162,000 from its Turkish consultancy has exceeded expenses.
The Oriole Resources said it is well placed to attract buyers for remaining royalties which includes the Muratdere copper-gold porphyry project as well as being able to benefit from the recent rises in the gold and copper prices.
The company has started discussions to recover an outstanding USD425,000 success-based payment at Karaagac and has received an initial instalment of USD30,000 from its local partner Bati Toroslar Madencilik Sanayi ve Ticaret Ltd.
Oriole Resources Chief Executive Tim Livesey said: "We are extremely pleased to see our Turkish entity continuing to be financially self-sufficient, enabling the repayment of significant inherited employment liabilities whilst still generating net cash inflows. This has been an excellent effort by our Turkish manager, Bahri Yildiz, and his team.
"Meanwhile, the significant efforts to realise value from the Turkish royalty portfolio has been met with modest success so far, following the recent withdrawal of a portfolio deal with a quoted royalty company after the right of first refusal was exercised by some of our Turkish partners.
Oriole Resources shares were up 2.6% at 0.39 pence each on Wednesday morning in London.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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Oriole Resources (ORR)