Greatland Resources Regulatory News (GGP)

30 Oct 2007 07:00

Greatland Gold PLC30 October 2007 Greatland Gold plc Final audited results for the year ended 30 June 2007 Dated: 30 October 2007 Greatland Gold plc (the "Company") the mineral exploration and developmentcompany focused on gold projects in Tasmania and Western Australia announcedtoday its final audited results for the period ended 30 June 2007. Chairman's Statement The financial period to 30 June 2007 was the second of Greatland Gold plc'scorporate life, and saw both the successful admission of the Company to theAlternative Investment Market (AIM) of the London Stock Exchange, andcommencement of exploration activities at its Australian properties. In the latter part of the Company's financial year, Greatland Gold plc placed40,000,000 ordinary shares in several tranches, raising £800,000 before expensesand putting the Company in a position to continue its policy of building valuein its projects through continuing active exploration. At the end of June 2007the company's total shares in issue were 146,550,000 ordinary shares, with6,000,000 employee options outstanding. Post Balance Sheet Events On 19 July 2007 Greatland Gold plc placed a further 30,000,000 ordinary sharesraising £675,000 before expenses, and on 30 July 2007, taking advantage of goodinvestor demand at a time of growing uncertainty, Greatland Gold plc placed afurther 20,000,000 ordinary shares raising an additional £450,000 beforeexpenses. Total shares in issue rose to 196,550,000 ordinary shares as a resultof these placements. Exploration Exploration activities during the period provided positive results from both theTasmanian properties of Firetower and Warrentinna. At listing the Company hadstated its immediate purpose as being the further development of its existingproperties, and it kept to this remit. Outlook The Directors believe the Company is well positioned within the global miningsector. This sector has seen strong growth over recent years underpinned byunprecedented demand for raw materials. Looking forward, 2007 and 2008 arelikely to be a period of active development for the Company. Recent rises inthe gold price are focussing interest on the sector, and this will give rise toopportunities. Some of these opportunities may be brought to us, and others wemay seek out. Already, along with ongoing activities at its existing projects,the Directors are constantly reviewing new opportunities that are beingpresented, and it is reasonable to expect that the Company may undertake furtheracquisitions of quality exploration and mining projects. Conclusions I would like to record my appreciation and thanks to our new investors whosupported the Company through its admission to AIM and subsequent placings aswell as thanks to our professional advisors for their work during the period. Andrew R. McM. Bell Chairman Managing Director's Operating Review The main activities of Greatland Gold plc are the exploration for, anddevelopment of, large gold resources. The Company was formed and registered asGreatland Gold Limited in 2005 and admitted to AIM as Greatland Gold plc duringJuly 2006. The Company owns three mineral projects all located in Australia, two inTasmania and one in Western Australia, all gold focussed. The total areacovered by the three projects is approximately 450sq kilometres. The gold price has been on an upward trend since 2001. However, these gainshave accelerated since the latter parts of 2005 through to 2007. Factorsaffecting the price of the metal include investment demand, central bank sales,jewellery demand, industrial demand, gold based foreign exchange reserves, mineproduction and scrap reclamation. Factors most prevalent in determining priceduring the year were increased investment demand and central bank divestment.These trends are likely to continue into the 2007-2008 period. In Tasmania the company owns the Firetower and Warrentinna gold projects, and inWestern Australia the Lackman Rock project. Since admission, exploration at the Firetower project has yielded positiveresults. These include high gold grades from drilling within the Firetowerresource area, and additional gold mineralisation identified at surface. At theFiretower West prospect, first pass drilling of an extensive area reported goldand base metal mineralisation confirming a large mineralised system. At the Warrentinna project, early exploration work has shown the project to hostgold mineralisation over a number of large areas. These areas are characterisedby numerous shallow workings that constitute several historic goldfields.Activities to date have been restricted to surface work. Gold mineralisation ofan extremely high tenor has been reported. One of the factors that will help the Company achieve its goals of developinglarge gold resources is the calibre of its board. The board has proventechnical talent, corporate ability, promotional experience and financingcapacity. The admission to AIM during July 2006, and subsequent fundraising, reflects wellon the progress made during the year. Advancing the Company's assets willcontinue with vigour and we expect commensurate results. We are delighted with results to date, and to have had a second successful year.We look forward to exciting progress in the year ahead. Callum N Baxter Managing Director The Company's audited results for the year ended 30 June 2006 are as follows. Group income statement for the year ended 30 June 2007 Year ended Period 16 30 June 2007 November 2005 to 30 June 2006 £ £ Turnover 6,276 -Exploration costs (327,332) -Administrative expenses (283,128) (27,743)Currency gains 15,552 -Operating loss (588,632) (27,743)Interest receivable 27,306 131Loss on ordinary activities before taxation (561,326) (27,612)Tax on loss on ordinary activities - -Loss for the financial period (561,326) (27,612) Loss per share - basic (0.51) pence (0.23) pence All of the operations are considered to be continuing. Group statement of recognised income and expense for the year ended 30 June 2007 Year ended Period 16 30 June 2007 November 2005 to 30 June 2006 £ £ Exchange translation differences on consolidation of - 13,444group entitiesDeficit on revaluation of available for sale (16,026) -financial assetsIncome and expense recognised directly in equity (16,026) 13,444Loss for the financial period (561,326) (27,612)Total recognised income and expense for the financial (577,352) 14,168period Group balance sheet as at 30 June 2007 30 June 2007 30 June 2006 £ £ £ £ASSETSNon-current assets Tangible assets 7,339 -Intangible assets 463,613 291,379 470,952 291,379Current assets Cash and cash equivalents 1,241,211 1,318,648 Trade and other receivables 60,982 33,897 Available for sale financial assets 106,203 -Total current assets 1,408,396 1,352,545TOTAL ASSETS 1,879,348 1,643,924LIABILITIESCurrent liabilities Trade and other payables (88,104) (224,458)TOTAL LIABILITIES (88,104) (224,458)NET ASSETS 1,791,244 1,419,466 EQUITY Called-up share capital 146,550 100,550 Share premium reserve 1,936,771 1,108,084 Share option reserve 74,443 - Retained losses (588,938) (27,612)Other reserves 222,418 238,444 TOTAL EQUITY 1,791,244 1,419,466 Company balance sheet as at 30 June 2007 30 June 2007 30 June 2006 £ £ £ £ASSETSNon-current assets Investment in subsidiary 250,000 250,000Current assets Cash and cash equivalents 1,196,273 1,317,243 Trade and other receivables 637,642 43,138Total Current Assets 1,833,915 1,360,381TOTAL ASSETS 2,083,915 1,610,381LIABILITIESCurrent Liabilities Trade and other payables (60,060) (183,692)TOTAL LIABILITIES (60,060) (183,692)NET ASSETS 2,023,855 1,426,689 EQUITY Called-up share capital 146,550 100,550 Share premium reserve 1,936,771 1,108,084 Share option reserve 74,443 - Merger reserve 225,000 225,000Retained losses (358,909) (6,945) TOTAL EQUITY 2,023,855 1,426,689 Group cash flow statement for the year ended 30 June 2007 Year ended Period ended 30 June 2007 30 June 2006 £ £ Cash flows from operating activities Operating loss (588,632) (27,743) Increase in debtors (18,239) (23,100) (Decrease)/Increase in creditors (136,354) 174,142 Depreciation 2,958 - Share based payments 74,443 - Currency adjustments (16,788) -Cash (outflow)/generated from operations (682,612) 123,299Cash flows from investing activities Interest received 27,306 131 Purchase of intangible assets (165,230) (590) Purchase of fixed assets (9,360) - Purchase of current asset investments (122,228) -Net cash flows used in investing activities (269,512) (459)Acquisitions and disposals Cash acquired with subsidiary acquisition - 12,174Net cash inflow from acquisitions and disposals - 12,174Cash inflows from financing activities Proceeds from issue of shares 920,000 1,411,000 Transaction costs of issue of shares (45,313) (227,366)Net cash flows from financing activities 874,687 1,183,634Net (decrease)/increase in cash and cash equivalents (77,437) 1,318,648Cash and cash equivalents at the beginning of period 1,318,648 -Cash and cash equivalents at end of period 1,241,211 1,318,648 Notes to the Financial Statements for the period ended 30 June 2007 1. The Directors are not recommending the payment of an ordinary share dividend. 2. Loss per share on the net basis is calculated on a loss on ordinary activities after taxation of NIL and on 110,456,849 (2006: 12,000,886) ordinary shares being the weighted average number of shares in issue and ranking for dividend during the period. No diluted loss per share is presented as the effect of exercise of outstanding options is to decrease the loss per share. 3. The financial information set out in this final results announcement does not constitute statutory accounts as defined in section 240 of the Companies Act 1985. Results for the year ended 30 June 2007 are abridged from the 2007 Annual Report and Accounts, which received an unqualified auditor's report and will be filed with the Registrar of Companies following the Annual General Meeting. 4. The Annual Report will be posted to shareholders week commencing on 5 November 2007. Further copies will be available from the Company's registered office: 3rd Floor, 55 Gower Street, London WC1E 6HQ for one month from Friday 9 November or from the company's website www.greatlandgold.com. 5. The Annual General Meeting of the Company will be held at the Company's offices at 115 Eastbourne Mews, Paddington, London W2 6LQ, on Thursday 6 December 2007 at 10.00 a.m. Enquiries: Callum Baxter +44 (0)20 7099 5845 Greatland Gold plc Managing Director John Simpson +44 (0)20 7512 0191 ARM Corporate Finance Ltd Nominated Adviser Updates on the Company's activities are regularly posted on its website www.greatlandgold.com This information is provided by RNS The company news service from the London Stock Exchange