Alba Mineral Resources Regulatory News (ALBA)

12 Apr 2006 09:00

Alba Mineral Resources PLC12 April 2006 Alba Mineral Resources Plc Preliminary results for the period ended 30 November 2005 CHAIRMAN'S STATEMENT The results for Alba Mineral Resources plc (the "Company", and collectively withthe Subsidiary Company, the "Group") cover the period from 12 November 2004, thedate of incorporation, to 30 November 2005. They incorporate the results of itsonly subsidiary, Aurum Mineral Resources Limited (the "Subsidiary Company"),which is wholly owned. INTRODUCTION The Company acquired the Subsidiary Company on 4 March 2005. The SubsidiaryCompany holds or has applied for exclusive rights to explore a portfolio ofmineral exploration properties, primarily gold and nickel exploration projectsin Scotland and Ireland, which are at different stages of development fromconceptual exploration targets to more advanced drill ready projects. The Company was admitted to the AIM market on 4 April 2005 after successfullyraising £1,050,000 (before expenses) to finance the exploration of its existinggold, nickel and base metal projects and to investigate, acquire and advancefurther exploration properties, as identified elsewhere. On 23 September 2005 the Company placed 1,250,000 ordinary shares of 1 penceeach at 8 pence per share with Altius Minerals Corporation ("Altius"). The grossproceeds of the placing were £100,000. The Group has entered into an agreementwith Altius to use the proceeds of the placing for exploration activities incertain areas in Norway, Sweden and Finland. REVIEW OF ACTIVITIES The Board has been actively exploring and enhancing its understanding of theGroup's nickel-copper-PGE and gold licences which it holds in Scotland andIreland. The Group's activities have principally been focused on its nickel-copper-PGEprospect in Scotland where orientation geochemical and geophysical samplingprogrammes and verification drilling have been undertaken. The drilling resultsfrom this project have been highly encouraging and clearly demonstrate the sizeof the mineralizing system and highlight the potential for higher grades withinthe large, poorly explored area over which the Group has an interest. The Boardbelieves that this project has now sufficiently progressed to enable it toexamine and evaluate the various options available to it to pursue furtherdetailed exploration. The Group has also undertaken initial exploration activities at its Bohaun,Lough Gowna and North Limerick properties in Ireland. Positive initialexploration results from a rock sampling programme confirmed Bohaun as aprospective gold target with high-grade potential. The Group intends to conductdetailed infill sampling, soil sampling and prospecting to further assess thisexciting project. Work programmes at Lough Gowna and North Limerick are ongoingand the Group looks forward to reporting the results of these activities in duecourse. As referred to above the Group has entered into an agreement with Altius toconduct exploration activities in certain areas in Norway, Sweden and Finland.Regional target generation has commenced identifying priority areas for detailedexploration. OUTLOOK The Group is a committed junior explorer developing a diversified explorationportfolio focused on the Appalachian-Caledonide trend, a zone extending from theeastern seaboard of North America to Scandinavia. The Group's overall corporateand exploration strategy is to develop a series of well-researched and promisingexploration properties which will be pursued further, either in the Group's ownright or in conjunction with other parties. Whilst our principal objective, in the immediate future, is to further advanceour nickel-copper-PGE prospect in Scotland, we are also aware that there arepotential opportunities in base and precious metals elsewhere. We will continueto evaluate such projects, adding them to our portfolio where appropriate,whilst at the same time looking to advance the development of our existingprojects. Lance O'NeillChairman11 April 2006 CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE PERIOD ENDED 30 NOVEMBER 2005 2005 £Turnover from continuing operations - Cost of sales - Gross profit -Administrative expenses Acquisitions (94,647) Other continuing operations (118,798) (213,445)Operating loss Acquisitions (94,647) Other continuing operations (118,798)Operating loss (213,445) Interest receivable and investment income 20,269 Loss on ordinary activities before taxation (193,176)Tax on loss on ordinary activities - Retained loss on ordinary activities after taxation (193,176) Loss per ordinary 1p share Basic 0.47 pence Diluted 0.47 pence CONSOLIDATED BALANCE SHEET 30 NOVEMBER 2005 2005 £Fixed assetsIntangible fixed assets 454,077Tangible fixed assets 630 454,707Current assetsDebtors 63,076Cash at bank and in hand 653,764 716,840 Creditors: Amounts falling due within one year (187,219) Net current assets 529,621 Total assets less current liabilities 984,328 Capital and reservesCalled up share capital 603,126Share premium account 374,887Profit and loss account (193,176)Merger reserve 200,000Foreign exchange revaluation reserve (509) Equity shareholders' funds 984,328 CONSOLIDATED CASH FLOW STATEMENT FOR THE PERIOD ENDED 30 NOVEMBER 2005 2005 £Net cash outflow from operating activities (54,893) Returns on investmentsInterest received 20,269 20,269 TaxationUK corporation tax - - Capital expenditurePayments for intangible assets (235,365)Purchase of tangible fixed assets (708) (236,073) AcquisitionsNet overdrafts acquired with subsidiary undertakings (3,552) (3,552) FinancingIssue of ordinary share capital net of costs 928,013 928,013 Increase in cash in the period 653,764 NOTES 1. Basis of preparation The financial information set out above does not constitute the Group'sstatutory accounts within the meaning of section 240 of the Companies Act 1985.The balance sheet at 30 November 2005 and the profit and loss account and cashflow statement for the period then ended have been extracted from the Group'saudited financial statements. The auditors report on those financial statements is unqualified and does not contain statements under s.237(2) or (3) CompaniesAct 1985.These financial statements will be delivered to the Registrar ofCompanies and shareholders in due course. 2. Taxation No charge for corporation tax for the period has been made due to the expectedtax losses available. 3. Loss per share Basic loss per share is calculated by dividing the loss attributed to ordinaryshareholders of £193,176 by the weighted average number of shares of 40,700,500in issue since admission to AIM. The diluted loss per share calculation isidentical to that used for basic loss per share as the exercise of warrantswould have the effect of reducing the loss per ordinary share and is thereforenot dilutive under the terms of Financial Reporting Standard 14 "Earnings perShare". Enquiries: Lance O'Neill, Alba Mineral Resources Plc 020 7499 8334Nigel Duxbury, Alba Mineral Resources Plc 020 7499 8334Liam Murray, City Financial Associates Limited 020 7090 7800 This information is provided by RNS The company news service from the London Stock Exchange