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(HER.L) Herencia Resources PLC Buy/Sell
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| Date/Time | Headline | Source |
|---|---|---|
| 1 | ||
| 30-10-09 | RNS |
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RNS Number : 4958B Herencia Resources PLC 30 October 2009 Herencia Resources plc (the "Company") Total Voting Rights For the purposes of the Financial Services Authority's Disclosure and Transparency Rules, the total number of ordinary shares of 0.1p each in the capital of the Company in issue as at the date of this notice is 860,932,470 with each share carrying the right to one vote. There are no shares held in treasury. Therefore, the total number of voting rights in the Company is 860,932,470. The above figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Disclosure and Transparency Rules. For more information please contact: Michael Bohm, Herencia Resources plc +61 8 9211 0600
This information is provided by RNS The company news service from the London Stock Exchange END
TVRMGMZGLRZGLZG More |
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| 28-10-09 | RNS |
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RNS Number : 5194B Herencia Resources PLC 28 October 2009 Herencia Resources plc (the "Company") Notification of Interest The Company announces that it received notification on 28 October, 2009, that following an acquisition on 15 October, 2009, Cadrela Malta Limited is interested in 44,000,000 ordinary shares of 0.1p each in the Company, representing 5.11% of the current issued share capital of the Company. For further information please contact:
Further background details on the Company can be found at www.herenciaresources.com This information is provided by RNS The company news service from the London Stock Exchange END
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| 28-10-09 | RNS |
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RNS Number : 4956B Herencia Resources PLC 28 October 2009 Herencia Resources plc ("Herencia" or the "Company") Notification of Change in Shareholding The Company has received notifications that: Following an acquisition of ordinary shares in the Company, Anglo Pacific Group plc now hold an interest in 103,828,572 ordinary shares in Herencia Resources plc, which represents 12.06% of the total number of shares in issue and 12.06% of the voting rights of the Company. In addition, also following an acquisition of ordinary shares in the Company R B Rowan holds 59,867,530 ordinary shares in Herencia Resources plc which represents 6.95% of the total number of shares in issue and 6.95% of the voting rights of the Company.
Further background details on the Company can be found at www.herenciaresources.com This information is provided by RNS The company news service from the London Stock Exchange END
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| 20-10-09 | RNS |
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RNS Number : 0795B Herencia Resources PLC 20 October 2009 Herencia Resources plc ("Herencia" or the "Company") Completion of Placing The Company announces that it has completed a placing, through WH Ireland Limited, to raise £22,000 from the issue of 4,000,000 new ordinary shares of 0.1p each ("Ordinary Shares") at a price of 0.55p per share (the "Placing"). Application has been made for the new Ordinary Shares to be admitted to trading on AIM and dealings are expected to commence on 27 October 2009. Following the Placing, the number of Ordinary Shares in issue will increase to 860,932,470.
Michael Bohm, Herencia Resources plc +61 8 9221 7466
Further background details on the Company can be found at www.herenciaresources.com This information is provided by RNS The company news service from the London Stock Exchange END
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| 19-10-09 | RNS |
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RNS Number : 9854A Herencia Resources PLC 19 October 2009 19 October 2009 Herencia Resources plc ("Herencia" or the "Company") Completion of Placing Herencia Resources Plc (AIM: HER), the development and exploration company with a primary focus on developing its Paguanta zinc-silver-lead-gold Project in northern Chile, is pleased to announce that it has completed a placing, through WH Ireland Limited, to raise approximately £1.37 million from the issue of 249,532,471 new ordinary shares of 0.1p each ("Ordinary Shares") at a price of 0.55p per share (the "Placing"). Application has been made for the new Ordinary Shares to be admitted to trading on AIM and dealings are expected to commence on 23 October 2009. Following the Placing, the number of Ordinary Shares in issue will increase to 856,932,470. The funds raised from the Placing will be used to advance the Company's Paguanta Project and its adjacent La Rosa porphyry-copper prospect. Commenting on the placing, Managing Director Michael Bohm stated: "The Paguanta orebody remains open both along strike and at depth. We are very pleased with the support we continue to receive in relation to our plans to target the potential extensions to the known areas of high grade mineralization at Paguanta and to further evaluate the gold-copper prospectivity of the Project. At this stage we are making plans to commence our next drill program in early 2010". Herencia also confirms that Charmaine Lobo acquired 1,818,182 Ordinary Shares in the Placing. Charmaine Lobo is the wife of Michael Bohm, an executive director of the Company. Following the above mentioned acquisition Michael Bohm has an interest in 5,301,515 ordinary shares of 0.1p each in the Company which represents 0.62% of the total number of issued ordinary shares of the Company. Further information on the Company can be found at www.herenciaresources.com Enquiries:
This information is provided by RNS The company news service from the London Stock Exchange END
ROIFFISMUSUSEDS More |
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| 19-10-09 | RNS |
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RNS Number : 9852A Herencia Resources PLC 19 October 2009 19 October 2009 Herencia Resources plc ("Herencia" or the "Company") Notification of Change in Shareholding The Company has today received notification that Cape Lambert Iron Ore Limited (Cape Lambert) who hold 279,400,000 ordinary shares in Herencia Resources plc through its wholly owned subsidiaries, Mineral Securities Operations Limited and Minsec Investments BVI, has disposed of all 279,400,000 ordinary shares in Herencia Resources plc. Cape Lambert no longer hold a notifiable interest in the Company.
Michael Bohm, Herencia Resources plc +61 8 9211 0600
Further background details on the Company can be found at www.herenciaresources.com
This information is provided by RNS The company news service from the London Stock Exchange END
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| 06-10-09 | RNS |
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RNS Number : 2939A Herencia Resources PLC 06 October 2009 6 October 2009 Herencia Resources plc ("Herencia" or the "Company") Project Update - Paguanta Zinc-Silver-Lead-Gold Project Further to the recent announcement in relation to the granting of Mining Tenements at the Company's flagship Paguanta zinc-silver-lead-gold Project in northern Chile, Herencia Resources Plc (AIM: HER), is pleased to provide an update on Project status:
Commenting on the update, Managing Director Michael Bohm stated: "With the significant improvement in base metal prices seen over the course of 2009, combined with the recent project milestones achieved and the potential to expand the existing mineral resource immediately along strike and down dip, the Company is currently reviewing options available to advance both the Paguanta Project and its adjacent La Rosa porphyry-copper prospect". A copy of the Company's latest presentation can be found at www.herenciaresources.com Enquiries:
This information is provided by RNS The company news service from the London Stock Exchange END
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| 09-09-09 | RNS |
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RNS Number : 7481Y Herencia Resources PLC 09 September 2009 9 September 2009 Herencia Resources plc ("Herencia" or the "Company")
Herencia Resources Plc (AIM: HER), the development and exploration company with a primary focus on developing its Paguanta zinc-silver-lead-gold Project in northern Chile, is pleased to announce that the remaining 10 'Exploitation' tenements have now been granted for the project. This brings the total number of 'Exploitation' tenements granted for the Paguanta Project to 14, encompassing 39 km². Subject to various approvals processes, an 'Exploitation' tenement allows for mining and processing to occur. Commenting on the granting of the tenements, Herencia's Managing Director Michael Bohm stated: "We are extremely pleased with this latest milestone for the Paguanta Project, which is the culmination of over 12 months diligent work by our personnel in Chile. The entire Project Area is now covered by exploitation tenements, encompassing the area of the Paguanta Mineral Resource and all proposed project infrastructure. With zinc and lead prices improving, achieving this significant milestone is another hurdle cleared along the path to eventual project development". Further background details on the Company and the Paguanta Project can be found at www.herenciaresources.com Enquiries:
HERENCIA RESOURCES PLC
WH IRELAND LIMITED
This information is provided by RNS The company news service from the London Stock Exchange END
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| 08-09-09 | RNS |
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RNS Number : 6612Y Herencia Resources PLC 08 September 2009 7 September 2009 Herencia Resources plc ("Herencia" or the "Company")
INTERIM FINANCIAL RESULTS For the six months ended 30 June 2009 Herencia Resources plc is pleased to announce the unaudited interim results of the Company and its subsidiaries (the "Group") for the six months ended 30 June 2009.
CHAIRMAN'S STATEMENT
Despite the circumstances, the Company was quick to react to conserve cash in the uncertain economic times, and continued to advance progress on several fronts in relation to the Paguanta Project. This included managing the tenure process in relation to eventually securing 'exploitation' licences (mining licences) over the areas presently covered by 'exploration' licences. This work will prove beneficial in terms of reducing the future development time line. The technical aspects of the Project remain robust - the mineralisation is open along strike and down dip (providing the potential to increase tonnages), drill assay grades at depth are higher than the mineral resource estimate grades and appear to be increasing, initial metallurgical recoveries seen in testwork are high, the mineralisation outcrops and is of a width that would support cost effective mechanised mining, we have a gold component to the project that has not as yet been factored into any of our economic models and the regional infrastructure (including roads and port access) in northern Chile is excellent. In addition to the technical positives just listed, the ability to source second hand equipment has recently emerged (almost unheard of 12 months ago), providing significant opportunities for capital cost savings. Importantly, both zinc and lead prices have also recovered strongly in recent months, with many forecasters predicting this to continue over the next several years. Complimenting our Paguanta Project, the La Rosa and La Serena porphyry-copper targets add another component to the Herencia story. With copper prices strengthening, the options for advancing these opportunities and unlocking their potential for the benefit of shareholders will be reviewed and implemented. The Company continues to work diligently on advancing our Projects toward development as soon as possible. Our primary goal is to place the Company in a position to take advantage of predicted higher commodity prices as quickly as possible. The board and management wish to thank our shareholders for their continued support. Hon. John Moore AO Chairman 7 September 2009 Please refer to the project announcements at the Company's website (www.herenciaresources.com) for further information on the Company operations. For further information please contact: Michael Bohm, Herencia Resources plc Tel: +61 (0)8 9211 0600
GROUP INCOME STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
2009 2008 2008
Attributable to:
basic and diluted The results shown above relate entirely to continuing operations. There are no recognised gains and losses other than those passing through the income statement.
GROUP BALANCE SHEET
FOR THE SIX MONTHS ENDED 30 JUNE 2009
2009 2008 2008
ASSETS
Non current assets
Current assets
LIABILITIES Non current liabilities
Current liabilities
EQUITY
attributable to equity holders
GROUP CASH FLOW STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
operating activities
Cash flows from investing
activities
plant and equipment
undertakings
shareholder
in exploration
activities
and cash equivalents
the beginning of the period
the end of the period GROUP STATEMENT OF CHANGES in EQUITY
FOR THE SIX MONTHS ENDED 30 JUNE 2009
translation of foreign
operations
interest in share capital of
subsidiary
NOTES TO THE FINANCIAL REPORTS FOR THE SIX MONTH PERIOD ENDED 30 JUNE 2009
The principal accounting policies, all of which have been applied consistently to all the periods for which the financial reports have been presented are set out below.
The interim financial information for the six months ended 30 June 2009 is un-audited and does not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985. The financial reports have been prepared using the historical cost convention and are presented in UK pound sterling. In addition, the financial reports have been prepared in accordance with the International Financial Reporting Standards ("IFRS") including IFRS 6, Exploration for and Evaluation of Mineral Resources, as adopted by the European Union ("EU"). The interim financial information for the six months ended 30 June 2009 has been prepared pursuant to AIM rule 18 and represents the half yearly report for the six months then ended. AIM rule 18 states "An AIM company must prepare a half-yearly report in respect of the six month period from the end of the financial period for which financial information has been disclosed in its admission document and at least every subsequent six months thereafter (apart from the final period of six months preceding its accounting reference date for its annual audited accounts)." The Group financial statements are presented in UK pound sterling.
Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-consolidated from the date that control ceases. The purchase method of accounting is used to account for the acquisition of subsidiaries by the Company. The cost of an acquisition is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the acquisition. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The excess of the cost of acquisition over the fair value of the Group's share of the identifiable net assets acquired is recorded as goodwill. Goodwill is capitalised as an intangible asset and in accordance with IFRS3 'Business Combinations' it is not amortised but tested for impairment when there are any indications that its carrying value is not recoverable. As such, goodwill is stated at cost less any provision for impairment in value. If a subsidiary undertaking is subsequently sold, goodwill arising on acquisition is taken into account in determining the profit and loss on sale. Inter-company transactions, balances and unrealised gains on transactions between group companies are eliminated. All the companies over which the Company has control, apply, where appropriate, the same accounting policies as the Company.
1.3. Foreign currency translation Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. The resulting exchange gain or loss is dealt with in the profit and loss account. The individual financial statements of each group company are presented in the currency of the primary economic environment in which it operates (its functional currency). For the purpose of the consolidated financial statement the assets and liabilities of the foreign subsidiary undertakings are translated into Sterling at the rates of exchange ruling at the period end and their results are translated at the average exchange rate for the period. Exchange differences resulting from the retranslation of net investments in subsidiary undertakings are treated as movements of reserves.
The company considers all highly liquid investments, with a maturity of 90 days or less to be cash equivalents, carried at the lower of cost or market value.
Deferred tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the interim financial information. Deferred tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the balance sheet date and are expected to apply when the related deferred tax is realised or the deferred liability is settled. Deferred tax assets are recognised to the extent that it is probable that the future taxable profit will be available against which the temporary differences can be utilised.
All costs associated with mineral exploration and investments are capitalised on a project by project basis, pending determination of the feasibility of the project. Costs incurred include appropriate technical and administrative expenses but not general corporate overheads. If an exploration project is successful, the related expenditures will be transferred to mining assets and amortised over the estimated life of the commercial ore reserves on a unit of production basis. Where a licence is relinquished or project abandoned, the related costs are written off. Where the Group maintains an interest in a project, but the value of the project is considered to be impaired, a provision is made against the relevant capitalised costs. The recoverability of all exploration and development costs is dependent upon the discovery of economically recoverable reserves, the ability of the Group to obtain necessary financing to complete the development of the reserves and future profitable production or proceeds from the disposition thereof. Amounts recorded for these assets represent costs and are not intended to reflect present or future values. 1.7. Impairment of exploration and development costs The carrying value of unevaluated areas is assessed on at least an annual basis or when there has been an indication that impairment in value may have occurred. The impairment of unevaluated prospects is assessed based on the Directors' intention with regard to future exploration and development of individual significant areas and the ability to obtain funds to finance such exploration and development.
The Company made share-based payments to certain directors and employees by way of issue of share options. The fair value of these payments is calculated by the Company using the Black Scholes option pricing model. The expense is recognised on a straight line basis over the period from the date of award to the date of vesting, based on the Company's best estimate of shares that will eventually vest. 2. Critical accounting estimates and judgements The directors evaluate estimates and judgements incorporated into the financial statements based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externally and within the group. Impairment of intangible assets Determining whether intangible assets are impaired requires an estimation of whether there are any indications that its carrying value is not recoverable.
The basic loss per ordinary share of (0.03)p (30 June 2008; (0.09)p, 31 December 2008; (0.06)p) for the Group has been calculated by dividing the loss for the period of £189,424 (30 June 2007; £519,357, 31 December 2008; £393,099) by the weighted average number of ordinary shares in issue of 607,399,999 (30 June 2008; 607,399,999, 31 December 2008; 607,399,999). The diluted loss per share has been calculated using a weighted average number of shares in issue and to be issued of 607,399,999 (30 June 2008; 607,399,999, 31 December 2008; 607,399,999). The diluted loss per share has been kept the same as the conversion of share options decreases the basic loss per share, thus being anti-dilutive.
During the period, the Group was organised into its main business segment as mineral exploration. The primary segmental reporting is determined to be geographical segment according to the location of the asset. There are two reporting geographical segments.
As at 30 June 2009
6 months ended 30 June 2008
As at 30 June 2008
12 months ended 31 December 2008
As at 31 December 2008
At the end of the financial period, the Group had not commenced commercial production from its exploration sites and therefore had no turnover in the period.
2009 2008 2008
5. Cash and cash equivalents
6. Trade and other receivables
7. Other current assets
8. Intangible assets
Cost
Impairment
Carrying amount
The goodwill and exploration and development costs as at 30 June 2009 relate to the Paguanta project located in Chile, South America. During the period ended 30 June 2006, the Company acquired the entire issued share capital of Tarapaca Resources (Bermuda) Limited ("Tarapaca") from Mineral Securities Limited. The initial purchase consideration gave rise to a goodwill of £500,000. The subsidiaries of Tarapaca have interest in two separate blocks of tenements over the Iquique Mineral Fields and one block at Paguanta Mineral Field. As the fair value of these tenements could not be measured reliably at the date of acquisition, the intangible assets purchased had been subsumed within the amount of purchase consideration attributed to that goodwill. However, there was a further consideration of £500,000, comprising 50,000,000 shares at £0.01p each, to be issued in respect of this acquisition. This was contingent upon the Group's investing at least US$2,000,000 in the projects owned by Tarapaca and its subsidiaries within thirty six months of the date of the acquisition. On satisfaction of this performance criterion during the period ended 31 December 2007, the contingent consideration was met, which gave rise to a further goodwill of £500,000 arising from this acquisition. For the same reasons as referred to above, the intangible assets purchased at the date of the acquisition also had been subsumed within the amount of this contingent consideration attributed to this goodwill. As at 31 December 2007, the Directors assessed the value of goodwill and the exploration and development costs carried in the accounts as intangible fixed assets. An impairment provision of £547,133 on exploration and development costs and that of £125,000 on goodwill was made in respect of the Iquique Mineral Fields as the Directors decided to withdraw from the Iquique project to focus on the Group's 70% owned Paguanta project. Based on the Scoping Study completed in December 2008 and the expected zinc price, the Directors believe that there has not been any impairment of goodwill and exploration and development costs in respect of the Paguanta project.
2009 2008 2008
9. Property, plant and equipment
Plant and equipment
Movements in carrying amounts Movement in the carrying amounts for each class of plant and equipment between the beginning and end of the financial period:
operations
10. Provisions
2009 2008 2008
11. Trade and other payable Other creditors and accruals 6,275 163,400 82,532 12. Fixed asset investments
Direct
Limited
Indirect
The principal activity of Iquique Resources (Chile) SA, Paguanta Resources (Chile) SA, Herencia Resources (Chile) SA and Compania Minera Paguanta SA was mineral exploration whereas Tarapaca Resources (Bermuda) Limited and Tarapaca Holdings (BVI) Ltd are holding companies. 13. Minority interest
2009 2008 2008
2009 2008 2008
14. Called up share capital
Authorised:
£0.001 each
Allotted, issued and fully paid:
607,399,999 ordinary shares
(30 June 2008: 384,066,666 ordinary
31 December 2008: 607,399,999) 15. Control No one party is identified as controlling the Company. 16. Subsequent events No matter or circumstances have arisen since the end of the reporting date and the date of this report which significantly affect the results of the operations of the Company. 17. Related party transactions John Bottomley, the secretary of the Company is an employee of Sprecher Grier Halberstam LLP, a firm of solicitors. During the last 6 months this partnership was paid a sum of £5,498 in respect of legal and secretarial services to the Company. This related party transaction is based on independent third party commercial rates. 18. Contingent liabilities and capital commitments The Group had no contracted capital commitments at 30 June 2009. The Group had no contingent liabilities at 30 June 2009. 19. Decommissioning expenditure The Directors have considered the environmental issues and the need for any necessary provision for the cost of rectifying any environmental damage, as might be required under local legislation. A provision of £54,506 has been made for any future costs of decommissioning or environmental damage. This information is provided by RNS The company news service from the London Stock Exchange END
IR BLGDCLBGGGCR More |
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| 08-09-09 | RNS |
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RNS Number : 6612Y Herencia Resources PLC 08 September 2009 7 September 2009 Herencia Resources plc ("Herencia" or the "Company")
INTERIM FINANCIAL RESULTS For the six months ended 30 June 2009 Herencia Resources plc is pleased to announce the unaudited interim results of the Company and its subsidiaries (the "Group") for the six months ended 30 June 2009.
CHAIRMAN'S STATEMENT
Despite the circumstances, the Company was quick to react to conserve cash in the uncertain economic times, and continued to advance progress on several fronts in relation to the Paguanta Project. This included managing the tenure process in relation to eventually securing 'exploitation' licences (mining licences) over the areas presently covered by 'exploration' licences. This work will prove beneficial in terms of reducing the future development time line. The technical aspects of the Project remain robust - the mineralisation is open along strike and down dip (providing the potential to increase tonnages), drill assay grades at depth are higher than the mineral resource estimate grades and appear to be increasing, initial metallurgical recoveries seen in testwork are high, the mineralisation outcrops and is of a width that would support cost effective mechanised mining, we have a gold component to the project that has not as yet been factored into any of our economic models and the regional infrastructure (including roads and port access) in northern Chile is excellent. In addition to the technical positives just listed, the ability to source second hand equipment has recently emerged (almost unheard of 12 months ago), providing significant opportunities for capital cost savings. Importantly, both zinc and lead prices have also recovered strongly in recent months, with many forecasters predicting this to continue over the next several years. Complimenting our Paguanta Project, the La Rosa and La Serena porphyry-copper targets add another component to the Herencia story. With copper prices strengthening, the options for advancing these opportunities and unlocking their potential for the benefit of shareholders will be reviewed and implemented. The Company continues to work diligently on advancing our Projects toward development as soon as possible. Our primary goal is to place the Company in a position to take advantage of predicted higher commodity prices as quickly as possible. The board and management wish to thank our shareholders for their continued support. Hon. John Moore AO Chairman 7 September 2009 Please refer to the project announcements at the Company's website (www.herenciaresources.com) for further information on the Company operations. For further information please contact: Michael Bohm, Herencia Resources plc Tel: +61 (0)8 9211 0600
GROUP INCOME STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
2009 2008 2008
Attributable to:
basic and diluted The results shown above relate entirely to continuing operations. There are no recognised gains and losses other than those passing through the income statement.
GROUP BALANCE SHEET
FOR THE SIX MONTHS ENDED 30 JUNE 2009
2009 2008 2008
ASSETS
Non current assets
Current assets
LIABILITIES Non current liabilities
Current liabilities
EQUITY
attributable to equity holders
GROUP CASH FLOW STATEMENT
FOR THE SIX MONTHS ENDED 30 JUNE 2009
operating activities
Cash flows from investing
activities
plant and equipment
undertakings
shareholder
in exploration
activities
and cash equivalents
the beginning of the period
the end of the period GROUP STATEMENT OF CHANGES in EQUITY
FOR THE SIX MONTHS ENDED 30 JUNE 2009
translation of foreign
operations
interest in share capital of
subsidiary
NOTES TO THE FINANCIAL REPORTS FOR THE SIX MONTH PERIOD ENDED 30 JUNE 2009
The principal accounting policies, all of which have been applied consistently to all the periods for which the financial reports have been presented are set out below.
The interim financial information for the six months ended 30 June 2009 is un-audited and does not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985. The financial reports have been prepared using the historical cost convention and are presented in UK pound sterling. In addition, the financial reports have been prepared in accordance with the International Financial Reporting Standards ("IFRS") including IFRS 6, Exploration for and Evaluation of Mineral Resources, as adopted by the European Union ("EU"). The interim financial information for the six months ended 30 June 2009 has been prepared pursuant to AIM rule 18 and represents the half yearly report for the six months then ended. AIM rule 18 states "An AIM company must prepare a half-yearly report in respect of the six month period from the end of the financial period for which financial information has been disclosed in its admission document and at least every subsequent six months thereafter (apart from the final period of six months preceding its accounting reference date for its annual audited accounts)." The Group financial statements are presented in UK pound sterling.
Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-consolidated from the date that control ceases. The purchase method of accounting is used to account for the acquisition of subsidiaries by the Company. The cost of an acquisition is measured as the fair value of the assets given, equity instruments issued and liabilities incurred or assumed at the date of exchange, plus costs directly attributable to the acquisition. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The excess of the cost of acquisition over the fair value of the Group's share of the identifiable net assets acquired is recorded as goodwill. Goodwill is capitalised as an intangible asset and in accordance with IFRS3 'Business Combinations' it is not amortised but tested for impairment when there are any indications that its carrying value is not recoverable. As such, goodwill is stated at cost less any provision for impairment in value. If a subsidiary undertaking is subsequently sold, goodwill arising on acquisition is taken into account in determining the profit and loss on sale. Inter-company transactions, balances and unrealised gains on transactions between group companies are eliminated. All the companies over which the Company has control, apply, where appropriate, the same accounting policies as the Company.
1.3. Foreign currency translation Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. The resulting exchange gain or loss is dealt with in the profit and loss account. The individual financial statements of each group company are presented in the currency of the primary economic environment in which it operates (its functional currency). For the purpose of the consolidated financial statement the assets and liabilities of the foreign subsidiary undertakings are translated into Sterling at the rates of exchange ruling at the period end and their results are translated at the average exchange rate for the period. Exchange differences resulting from the retranslation of net investments in subsidiary undertakings are treated as movements of reserves.
The company considers all highly liquid investments, with a maturity of 90 days or less to be cash equivalents, carried at the lower of cost or market value.
Deferred tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the interim financial information. Deferred tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the balance sheet date and are expected to apply when the related deferred tax is realised or the deferred liability is settled. Deferred tax assets are recognised to the extent that it is probable that the future taxable profit will be available against which the temporary differences can be utilised.
All costs associated with mineral exploration and investments are capitalised on a project by project basis, pending determination of the feasibility of the project. Costs incurred include appropriate technical and administrative expenses but not general corporate overheads. If an exploration project is successful, the related expenditures will be transferred to mining assets and amortised over the estimated life of the commercial ore reserves on a unit of production basis. Where a licence is relinquished or project abandoned, the related costs are written off. Where the Group maintains an interest in a project, but the value of the project is considered to be impaired, a provision is made against the relevant capitalised costs. The recoverability of all exploration and development costs is dependent upon the discovery of economically recoverable reserves, the ability of the Group to obtain necessary financing to complete the development of the reserves and future profitable production or proceeds from the disposition thereof. Amounts recorded for these assets represent costs and are not intended to reflect present or future values. 1.7. Impairment of exploration and development costs The carrying value of unevaluated areas is assessed on at least an annual basis or when there has been an indication that impairment in value may have occurred. The impairment of unevaluated prospects is assessed based on the Directors' intention with regard to future exploration and development of individual significant areas and the ability to obtain funds to finance such exploration and development.
The Company made share-based payments to certain directors and employees by way of issue of share options. The fair value of these payments is calculated by the Company using the Black Scholes option pricing model. The expense is recognised on a straight line basis over the period from the date of award to the date of vesting, based on the Company's best estimate of shares that will eventually vest. 2. Critical accounting estimates and judgements The directors evaluate estimates and judgements incorporated into the financial statements based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externally and within the group. Impairment of intangible assets Determining whether intangible assets are impaired requires an estimation of whether there are any indications that its carrying value is not recoverable.
The basic loss per ordinary share of (0.03)p (30 June 2008; (0.09)p, 31 December 2008; (0.06)p) for the Group has been calculated by dividing the loss for the period of £189,424 (30 June 2007; £519,357, 31 December 2008; £393,099) by the weighted average number of ordinary shares in issue of 607,399,999 (30 June 2008; 607,399,999, 31 December 2008; 607,399,999). The diluted loss per share has been calculated using a weighted average number of shares in issue and to be issued of 607,399,999 (30 June 2008; 607,399,999, 31 December 2008; 607,399,999). The diluted loss per share has been kept the same as the conversion of share options decreases the basic loss per share, thus being anti-dilutive.
During the period, the Group was organised into its main business segment as mineral exploration. The primary segmental reporting is determined to be geographical segment according to the location of the asset. There are two reporting geographical segments.
As at 30 June 2009
6 months ended 30 June 2008
As at 30 June 2008
12 months ended 31 December 2008
As at 31 December 2008
At the end of the financial period, the Group had not commenced commercial production from its exploration sites and therefore had no turnover in the period.
2009 2008 2008
5. Cash and cash equivalents
6. Trade and other receivables
7. Other current assets
8. Intangible assets
Cost
Impairment
Carrying amount
The goodwill and exploration and development costs as at 30 June 2009 relate to the Paguanta project located in Chile, South America. During the period ended 30 June 2006, the Company acquired the entire issued share capital of Tarapaca Resources (Bermuda) Limited ("Tarapaca") from Mineral Securities Limited. The initial purchase consideration gave rise to a goodwill of £500,000. The subsidiaries of Tarapaca have interest in two separate blocks of tenements over the Iquique Mineral Fields and one block at Paguanta Mineral Field. As the fair value of these tenements could not be measured reliably at the date of acquisition, the intangible assets purchased had been subsumed within the amount of purchase consideration attributed to that goodwill. However, there was a further consideration of £500,000, comprising 50,000,000 shares at £0.01p each, to be issued in respect of this acquisition. This was contingent upon the Group's investing at least US$2,000,000 in the projects owned by Tarapaca and its subsidiaries within thirty six months of the date of the acquisition. On satisfaction of this performance criterion during the period ended 31 December 2007, the contingent consideration was met, which gave rise to a further goodwill of £500,000 arising from this acquisition. For the same reasons as referred to above, the intangible assets purchased at the date of the acquisition also had been subsumed within the amount of this contingent consideration attributed to this goodwill. As at 31 December 2007, the Directors assessed the value of goodwill and the exploration and development costs carried in the accounts as intangible fixed assets. An impairment provision of £547,133 on exploration and development costs and that of £125,000 on goodwill was made
2009 2008 2008
9. Property, plant and equipment
Plant and equipment
Movements in carrying amounts Movement in the carrying amounts for each class of plant and equipment between the beginning and end of the financial period:
operations
10. Provisions
2009 2008 2008
11. Trade and other payable Other creditors and accruals 6,275 163,400 82,532 12. Fixed asset investments
Direct
Limited
Indirect
The principal activity of Iquique Resources (Chile) SA, Paguanta Resources (Chile) SA, Herencia Resources (Chile) SA and Compania Minera Paguanta SA was mineral exploration whereas Tarapaca Resources (Bermuda) Limited and Tarapaca Holdings (BVI) Ltd are holding companies. 13. Minority interest
2009 2008 2008
2009 2008 2008
14. Called up share capital
Authorised:
£0.001 each
Allotted, issued and fully paid:
607,399,999 ordinary shares
(30 June 2008: 384,066,666 ordinary
31 December 2008: 607,399,999) 15. Control No one party is identified as controlling the Company. 16. Subsequent events No matter or circumstances have arisen since the end of the reporting date and the date of this report which significantly affect the results of the operations of the Company. 17. Related party transactions John Bottomley, the secretary of the Company is an employee of Sprecher Grier Halberstam LLP, a firm of solicitors. During the last 6 months this partnership was paid a sum of £5,498 in respect of legal and secretarial services to the Company. This related party transaction is based on independent third party commercial rates. 18. Contingent liabilities and capital commitments The Group had no contracted capital commitments at 30 June 2009. The Group had no contingent liabilities at 30 June 2009. 19. Decommissioning expenditure The Directors have considered the environmental issues and the need for any necessary provision for the cost of rectifying any environmental damage, as might be required under local legislation. A provision of £54,506 has been made for any future costs of decommissioning or environmental damage. This information is provided by RNS The company news service from the London Stock Exchange END
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