TIDMGGP
RNS Number : 6088R
Greatland Gold PLC
09 March 2021
9 March 2021
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED
UNDER THE UK VERSION OF THE MARKET ABUSE REGULATION NO 596/2014
WHICH IS PART OF ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL)
ACT 2018, AS AMED. ON PUBLICATION OF THIS ANNOUNCEMENT VIA A
REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO
BE IN THE PUBLIC DOMAIN.
Greatland Gold plc
("Greatland" or "the Company")
Interim Results
Greatland Gold plc (AIM:GGP), the precious and base metals
mineral exploration and development company, announces its
unaudited results for the six months ended 31 December 2020.
Operational highlights
The Company made significant progress in the first six months of
the financial year, consolidating its reputation as one of the most
successful operators in the Paterson region of north-western
Australia as it delivered the initial Mineral Resource estimate at
its Havieron project.
-- Havieron delivers initial Mineral Resource estimate and accelerates development
o Initial Inferred Mineral Resource estimate of 52Mt @ 2.0g/t
Au, 0.31% Cu or 2.5g/t AuEq for 3.4Moz Au, 160Kt Cu or 4.2Moz
AuEq(1) , with mineralisation open outside of the resource shell
and potential to grow the resource over time
o Commenced preparation for the construction of the box cut and
decline with A$146 million (US$112 million) in funding approved by
Newcrest Mining Limited ("Newcrest") Board
o Four successive sets of excellent, high-grade results from
Newcrest drilling between July 2020 and January 2021 resulted
in:
- Expanded footprint of mineralisation: additional zones of
mineralisation identified to the east, north and north-west
- Best intercept to date: infill drilling returns further
high-grade results, including the best intercept to date, 120.7m @
9.3g/t Au and 0.18% Cu from 1349.3m (HAD065W2)
o Newcrest commencing 65,000 metre growth drilling campaign;
Stage 3 of Farm-in Agreement completed and up to nine drill rigs
operational
-- Juri JV - Second joint venture signed with Newcrest in the Paterson region
o Entered into a farm-in and joint venture agreement with
Newcrest to accelerate exploration at Greatland's Black Hills and
Paterson Range East licences
o Two-stage farm-in over five years, including a A$3 million
minimum commitment for Stage 1
o Newcrest has right to earn up to a 75% interest in licences by
spending up to A$20 million
-- Advancing strategy to discover potential Tier-1 gold-copper deposits in the Paterson
o Multiple new targets identified at Scallywag and first three
drill holes intersect prospective target lithologies and pathfinder
element anomalism
o Expanding exploration footprint in the Paterson with Rudall
licence application and new Canning licence application
(post-period)
(1) The gold equivalent (AuEq) is based on assumed prices of
US$1,400/oz Au and US$3.40/lb Cu, gold recoveries of 94% (Crescent)
and 84% (Breccia), and copper recoveries of 84% (Crescent) and 82%
(Breccia), which equates to a formula of approximately AuEq = Au
(g/t) + 1.65 * Cu (%). In Greatland's opinion both gold and copper
have a reasonable potential to be recovered and sold.
Corporate and financial highlights
-- Appointment of a new Chief Executive Officer, Shaun Day, to
oversee the development of Havieron and to scale-up the wider
business
-- Secured funding for Greatland's JV costs at Havieron,
including Early Works and Growth Drilling, up to the completion of
the Feasibility Study, through US$50 million loan facility on
commercial terms, agreed with Newcrest
-- Well capitalised to push forward with exploration programmes
in 2021 with cash equivalents of GBP5.9 million as at 31 December
2020
Outlook highlights
-- Havieron
o Newcrest planning approximately 65,000 metres of growth
drilling in the six months to 30 June to test potential extensions
to resource shell
o Pre-Feasibility Study for Havieron and Indicated Mineral
Resource estimate expected to be delivered by late calendar
2021
o Work continues to investigate the potential to achieve
commercial production at Havieron within three years of the
commencement of the decline
-- Juri JV (Paterson Range East and Black Hills licences)
o First round of drilling of high-priority targets across the
Paterson Range East and Black Hills licences, including Los
Diablos, Goliath, Outamind and Parlay, expected to commence by
early April
o Ground electromagnetic surveys to be conducted over several
newly identified targets to assist with prioritisation of further
drilling
-- Further opportunities
o Finalising plans to conduct further exploration across
Greatland's 100% owned licences (Scallywag, Rudall, Canning) in the
highly prospective Paterson region
o Reviewing other projects in the Greatland portfolio for
further work and actively assessing new opportunities
Shaun Day, Chief Executive Officer of Greatland Gold plc,
commented:
"We are very pleased with developments in the first six months
as we worked with our partners to reach key milestones at Havieron
- delivering the initial Inferred Mineral Resource estimate and
securing US$50 million of development funding via a Loan Agreement
with Newcrest.
"At Havieron, additional mineralised zones were identified and
further drilling returned the best intercept recorded to date. This
gives us great excitement for the significant, 65,000m growth
drilling programme now underway. It is an affirmation of the
quality of our projects and our team that Newcrest agreed to a
second joint venture with us, the Juri JV, in the Paterson
region.
"Looking ahead, Greatland has three elements it is actively
progressing in the Paterson region and these will be the focus as
we enter the 2021 exploration season. Alongside the potential for
rapid development at Havieron, Newcrest and Greatland are preparing
for the imminent launch of the exploration programme at the Juri JV
which will initially focus on drilling several high-priority
targets. Additionally, we will be ramping up exploration activities
across our multiple 100% owned targets in the Paterson. The goal
for both these campaigns will be to map out large intrusive
structures similar to the Havieron discovery.
"Greatland is well capitalised and in a strong operational
position to execute our strategy as we assess new opportunities to
build a multi-asset company of significant scale."
Operational review
Greatland continued its strategic focus on the Paterson region
in the six-month period, advancing projects, reaching key
milestones and entering new agreements to develop highly
prospective discoveries.
Havieron continued to progress towards potential commercial
production, delivering its initial Inferred Mineral Resource
estimate and, post period, commencing earth moving activities and
in February 2021 the construction of the box cut in advance of the
decline.
Greatland also entered a second joint venture with Newcrest over
the Paterson Range East and Black Hills licences (the "Juri JV").
The Company identified new high-priority targets, advanced
exploration at its 100% owned assets and post period expanded its
footprint in the region with the addition of new licences.
Paterson Project
The Paterson Project covers more than 560 square kilometres of
under-explored ground in the Paterson province of north-western
Australia, following the post-period application for the Canning
licence. The region hosts two of Australia's larger gold and copper
mines: Telfer, operated by Newcrest, and Nifty. In recent years, it
has also hosted two of the country's largest gold and copper
discoveries: Greatland's Havieron deposit and Rio Tinto's Winu
project. This underexplored region is regarded as one of the most
prospective frontiers in Australia for the discovery of
multi-cycle, Tier-1 gold and copper deposits.
Havieron Joint Venture
In March 2019, Greatland signed a Farm-in Agreement with
Newcrest Operations Limited, a wholly owned subsidiary of Newcrest
Mining Limited (ASX: NCM), to explore and develop Greatland's
Havieron gold-copper deposit in the Paterson region of Western
Australia. In November 2020, Newcrest and Greatland entered the
Havieron Joint Venture, providing a formal framework beyond the
original Farm-in Agreement. Newcrest can earn up to a 70% joint
venture interest through total expenditure of US$65 million and the
completion of a series of exploration and development milestones in
a four-stage farm-in over a six-year period that commenced in March
2019. Newcrest may acquire an additional 5% interest at the end of
the farm-in period at fair market value.
During the period, the development of Havieron continued at a
rapid pace towards the objective of establishing a potentially
large, multi-commodity, bulk tonnage, underground mining operation.
The Havieron Joint Venture with Newcrest was established to
facilitate acceleration of early works and extended exploration
activities. In addition, a US$50 million loan facility was provided
by Newcrest to fund Greatland's share of joint venture costs
leading up to the completion of the Feasibility Study.
As at 30 December 2020, Newcrest had completed a total of
138,504m of drilling from 153 drill holes since commencing
exploration activity in May 2019. This included an additional four
sets of drilling results during the six-month period, culminating
in the delivery of an initial Inferred Mineral Resource estimate in
December 2020.
Infill and step-out drilling
The drilling programme at Havieron has focused on both infill
drilling and step-out drilling to test the depth and lateral extent
of mineralisation. The Company continued to receive outstanding
results from infill drilling during the period, intersecting
high-grade mineralisation and further improving grade distribution
within the crescent zone. This included the best intersection
recorded at Havieron to date, 120.7m @ 9.3g/t Au and 0.18% Cu from
1349.3m (HAD065W2), in addition to other notable intercepts such as
45.7m @ 6.5g/t Au, 0.70% Cu from 934.8m (HAD054W4).
Drilling since May 2019 had outlined an ovoid-shaped zone of
variable brecciation, alteration and sulphide mineralisation with
dimensions of 650m x 350m trending in a north west orientation.
Significantly, step-out drilling during the period was successful
in highlighting the potential for this zone to expand with
mineralisation external to the Crescent sulphide zone observed to
the east, north-west and south-east.
In July 2020, the footprint of mineralisation expanded at
Havieron with the discovery of an additional breccia and
high-grade, crescent-style mineralisation in the north-west of the
system ("North West Crescent") . In September 2020, step-out
drilling to the north-west identified an additional new breccia
zone ("Northern Breccia"), further expanding the defined limits of
the orebody and demonstrating potential for additional breccia and
higher-grade sulphide style mineralisation. The deposit was
extended again in October 2020 when a potential fourth new target
area was identified, the "Eastern Breccia". This was interpreted
from two holes of growth drilling , including 342.2m @ 2.0g/t Au,
0.11% Cu from 1536.8m (HAD084).
At this stage, exploration has identified four key target
regions. Mineralisation remains open in these four regions and at
depth:
-- South East Crescent and Breccia
-- North West Crescent
-- Northern Breccia
-- Eastern Breccia
Initial Inferred Mineral Resource estimate
The Company reached a significant milestone in December 2020
with the publication of the initial Inferred Mineral Resource
estimate for Havieron of 52Mt @ 2.0g/t Au, 0.31% Cu or 2.5g/t AuEq
for 3.4Moz Au, 160Kt Cu or 4.2Moz AuEq(1) . The Inferred Resource
was based on a total of 125 drillholes for a total of 126,643
metres of drilling as at 26 October 2020 and, with mineralisation
remaining open outside of the resource shell, infill drilling since
has continued to demonstrate the potential to grow the resource
over time.
In addition, reasonable prospects for eventual economic
extraction were assessed through preliminary ongoing mining and
processing studies. These have suggested that conventional bulk
underground mining and processing would be appropriate for
exploitation of the Havieron deposit. The delivery of the Inferred
Mineral Resource within two years of signing the Farm-in is a
testament to the expertise of Newcrest and their commitment to fast
track the development of Havieron.
Havieron Joint Venture and US$50 million Loan Facility
The excellent drilling results to date have highlighted the
world-class potential of Havieron and the project has progressed
faster than originally anticipated. As a result, Greatland entered
into a series of new agreements with Newcrest in November 2020 to
provide a formal framework beyond the Farm-in Agreement and to
structure the next stage of Havieron's development.
In order to accelerate construction of a box-cut and decline
(Early Works) and provide for a faster rate and scope of planned
spending on exploration activities (Growth Drilling), the parties
agreed to fund these activities in proportion to their post-Farm-in
period interests (70% Newcrest; 30% Greatland). The new structure
allows Newcrest to deliver the Pre-Feasibility Study in Stage 4
and, consequently, Newcrest met the Stage 3 expenditure
requirements, entitling it to earn an additional 20% interest in
the Havieron Joint Venture for an overall 60% interest (40%
Greatland). Newcrest's total Farm-in commitment remains to incur
expenditure of US$65 million and deliver a Pre-Feasibility Study to
earn 70%.
Greatland secured its share of the necessary funds to accelerate
activities at the Havieron project by entering into a US$50 million
loan facility with Newcrest. This is expected (based on current
forecasts) to fund Greatland's share of joint venture costs,
including Early Works and Growth Drilling, up to the completion of
the Feasibility Study.
Mining Lease and commencement of Early Works
During the period, the Company received the necessary regulatory
approvals to commence key early works activities at the Havieron
Project for a box cut and decline . The approvals permit the
construction of supporting surface infrastructure, including
evaporation ponds, an explosives magazine, maintenance workshops,
fuel facilities, an administration building and a laydown area.
This followed the application and grant of a mining lease at
Havieron by the Western Australian Department of Mines, Industry
Regulation and Safety ("DMIRS").
Post period, the Newcrest Board approved A$146 million (US$112
million), on a 100% basis, for the construction of the box cut,
decline and associated surface infrastructure at Havieron. Early
Works activities have now commenced at Havieron with earth moving
activities and construction of a box cut ahead of development of
the decline.
Juri Joint Venture
The Juri Farm-in and Juri JV comprises Greatland's Paterson
Range East and Black Hills licences to the north of Havieron,
covering an area of approximately 249 square kilometres in the
Paterson region of north-western Australia. The Joint Venture,
which commenced on 30 November 2020, gives Newcrest the right to
earn up to a 75% interest in the licences by spending up to A$20
million as part of a two-stage Farm-in over five years.
Following the success to date at Havieron, Greatland entered its
second joint venture with Newcrest in November 2020, the Juri JV,
over the Paterson Range East and Black Hills licences. Over the
past few years, Greatland has identified a number of high-priority
targets across these licences, many of which display similar
geophysical characteristics to the Havieron gold-copper
deposit.
Under the terms of the joint venture, Newcrest immediately
received a 25% interest in both licences and has the right to earn
up to a 75% interest in the licences by spending up to A$20 million
as part of a two-stage Farm-in over five years, including a A$3
million minimum commitment for Stage 1.
Post period, the Company announced the initial 2021 work
programme for the Juri JV, including the drilling of several
targets such as Los Diablos, Goliath, Outamind and Parlay, expected
to commence by early April 2021. In addition, analysis of results
from a heliborne AEM geophysical survey conducted in 2020
identified multiple new conductors within the Juri JV including
A11, a moderate amplitude anomaly, and A25 (Tama Prospect), a
strong, apparently flat-lying conductor.
The Juri JV is regarded by management as an affirmation of the
prospectivity of the Paterson Range East and Black Hills licences.
It befits Greatland's strategy to discover and develop potential
Tier-1 opportunities to maximise the long-term strategic value of
its licences.
Scallywag and other licences
During the period, the Company commenced a drilling programme at
its 100% owned Scallywag prospect, completing seven drill holes for
3,761 metres, with a focus on high-priority targets including the
Kraken, Blackbeard and London prospects. The initial results from
the first three drill holes, announced in January 2021, indicate
the drilling intersected prospective target lithologies and
identified pathfinder element anomalism, providing valuable
geological information to assess and prioritise drill targets
across Scallywag. Greatland also identified several new targets
following analysis of a heliborne electromagnetic ("EM") survey
data collected last year.
A more detailed evaluation of drill results will be undertaken
on receipt of all analytical data from the 2020 field season and
Greatland will conduct further drill testing during 2021 of
existing targets and other high-priority targets identified by the
EM survey.
Greatland continued to expand its exploration footprint in the
Paterson with a successful application for the Rudall licence (
E45/5533) in June 2020 and the post-period application for the
Canning licence (E45/5862). Located 20 kilometres south-southeast
of Havieron, Rudall covers an area of approximately 65km(2) and is
considered to be prospective for Havieron and Telfer style
gold/copper occurrences. The Canning exploration licence
application comprises an area of 114km(2) and is located
approximately 175km south east of Havieron. Canning contains the
bulk of a large magnetic "bullseye" anomaly, similar to the
magnetic "bullseye" located over the Havieron deposit.
While the prospects in the Paterson region remain the priority,
Greatland will continue to pursue its other 100% owned licences,
while remaining open to potential opportunities that can bring
additional value to the Company.
Corporate development
Greatland has undergone a transformative shift in the scale and
scope of the Company's operations in recent years. The Board
continually looks to develop its infrastructure, operations and
team to ensure the right practices, processes and people are in
place to drive the business forward. A key pillar of taking
Greatland to the next stage is the appointment of a new Chief
Executive Officer, Shaun Day, in November 2020.
Shaun, who started in February 2021, has extensive experience
with major mining companies and capital markets with a proven
record of successful transactions including M&A of publicly
listed companies, farm-in agreements and raising capital. During
his five years as Chief Financial Officer at ASX 100 Northern Star
Resources Limited ("Northern Star"), one of Australia's largest
gold miners, Shaun oversaw Northern Star's growth from a similar
size to Greatland to an approximate A$8 billion market
capitalisation, demonstrating his all-round expertise and
suitability for the role.
In line with the Company's growth, and subsequent broader and
increasing institutional investor base, Greatland appointed
Berenberg and H&P Advisory Limited ("Hannam & Partners") as
Joint Corporate Brokers and Financial Advisers to the Company in
July 2020. In addition, the Company appointed PKF Littlejohn LLP as
auditor in August 2020.
Greatland is committed to safe, responsible and sustainable
exploration. The Company continues to focus on improving health and
safety training and processes, and on further strengthening its
relationships with the indigenous communities in the areas that it
operates.
Financial review
Greatland reported an unaudited operating loss for the six
months ended 31 December 2020 of GBP2,674,445 (six months to
December 2019: loss of GBP2,623,975). Loss per share for the period
was 0.07p (six months to December 2019: 0.07p).
The Company is well financed with GBP5.9 million in cash as at
31 December 2020, which enables the Company to pursue a targeted
exploration programme across its key projects over the next 12
months. The Company issued 118,458,915 shares during the six months
ended 31 December 2020.
Greatland continues to adopt a disciplined approach to cashflow
management while it grows the business. As part of the Havieron
Joint Venture, the Company secured a US$50 million loan facility
with Newcrest to fund its share of joint venture costs, including
Early Works and Growth Drilling up to the completion of the
Feasibility Study. In addition, as part of the new Juri JV,
Newcrest has committed a minimum of A$3m in exploration spending,
which is expected to cover the costs of planned activities for
2021. As well as securing funding for the development of Havieron
and Juri, this enables the Company to focus resources on its 100%
owned licences.
COVID-19
As the Company has stated previously, Greatland benefits from
the remote location of its key operations in Western Australia. In
addition, there were no recorded cases of community transmission of
COVID-19 in Western Australia during the period.
Newcrest, on behalf of the Havieron Joint Venture, has
implemented and maintained measures to reduce and mitigate the risk
of the COVID-19 pandemic to its project workforce and key
stakeholders, and operations have continued without
interruption.
All projects have followed government requirements and health
guidelines while focusing on protecting the well-being of local and
indigenous communities. The Company is committed to a safe working
environment and has implemented monitoring and preventative
measures to mitigate the impact of COVID-19 on its workforce and
stakeholders, in line with health and government guidance.
Outlook
The 2021 exploration season will see Greatland embark on a
highly focused, multi-pronged exploration programme across the
Paterson province, regarded by management as one of the leading
frontiers in the world for the discovery of Tier-1, gold-copper
deposits.
At Havieron, Newcrest is planning an additional 65,000 metres of
growth drilling in the six months to 30 June, designed to identify
extensions to mineralisation adjacent to the existing resource
shell . Further targets outside of Havieron, but within the
Havieron Joint Venture area, have been identified with the
potential to conduct drilling to test these targets in the future.
Studies are ongoing to support delivery of a Pre-Feasibility Study
in late 2021 and to investigate the potential to achieve commercial
production within three years from commencement of the decline.
Additionally, drilling activity is expected to commence at
Paterson Range East and Black Hills by early April 2021. The Juri
JV will be drill testing several high-priority targets across the
Paterson Range East licence, including Goliath, Outamind, Los
Diablos and Parlay. In addition, Ground EM surveys will be
conducted over several newly identified targets to better locate
and prioritise several newly identified targets. This will be
complemented by Greatland's exploration activity across its 100%
owned licences in the region, the goal of which will be to map out
large intrusive structures similar to the nearby Havieron, Telfer
and Winu discoveries.
On a macro level, unprecedented fiscal and monetary stimulus is
set to structurally support the gold price. The Company considers
that the gold price will be further supported by supply challenges,
as major new gold discoveries in safe jurisdictions become less
frequent and reserves at larger deposits are increasingly
depleted.
In addition, Havieron provides Greatland with substantial
exposure to copper. The current copper price is around ten-year
highs with growing demand forecast to outstrip supply. Many market
analysts consider copper to be the preferred metal for exposure to
the electrical vehicle (EV) market.
Greatland enters the new exploration season in as strong a
position as ever. The Company is well capitalised, has a supportive
joint venture partner in Newcrest across multiple licence areas and
has plans to test a number of exciting targets. The Company will
continue to execute on its strategy while assessing new
opportunities that arise in line with its stated strategy. As a
result, Greatland is well positioned to build a multi-asset company
of genuine scale.
Competent Person:
Information in this announcement that relates to exploration
results has been extracted from the following announcements:
"Further Drilling Results at Havieron", dated 28 January
2021
"Initial Scallywag Results, New Targets Identified", dated 20
January 2021
"Havieron: Mining Proposal Approved for Early Works" dated 29
December 2020
"Initial Mineral Resource Estimate for Havieron" dated 10
December 2020
"Further Drilling Results at Havieron" dated 10 December
2020
"Potential New Eastern Breccia Target at Havieron" dated 29
October 2020
"Latest Drilling Results at Havieron" dated 10 September
2020
"Greatland commences drilling at Scallywag prospect" dated 19
August 2020
"New Zone of Mineralisation Identified at Havieron" dated 23
July 2020
Information in this announcement that relates to exploration
results has been reviewed and approved by Mr John McIntyre, a
Member of the Australian Institute of Geoscientists (MAIG), who has
more than 30 years relevant industry experience. Mr McIntyre is a
full-time consultant to the Company and has no financial interest
in Greatland Gold plc or its related entities. Mr McIntyre has
sufficient experience relevant to the style of mineralisation and
type of deposit under consideration, and to the activity which he
is undertaking to qualify as a Competent Person as defined by the
2012 Edition of the Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves (the JORC Code) and
under the AIM Rules - Note for Mining and Oil & Gas Companies,
which outline standards of disclosure for mineral projects. Mr
McIntyre consents to the inclusion in this announcement of the
matters based on this information in the form and context in which
it appears. Mr McIntyre confirms that the Company is not aware of
any new information or data that materially affects the information
included in the relevant market announcements, and that the form
and context in which the information has been presented has not
been materially modified.
Additional information on the projects can be found on the
Company's website at www.greatlandgold.com/projects/
In addition to this release, a PDF version of this report, with
supplementary information can be found at the Company's website:
www.greatlandgold.com/media/jorc/
Enquiries:
Greatland Gold PLC
Shaun Day/Callum Baxter
Tel: +44 (0)20 3709 4900
Email: info@greatlandgold.com
www.greatlandgold.com
SPARK Advisory Partners Limited (Nominated
Adviser)
Andrew Emmott/James Keeshan
Tel: +44 (0)20 3368 3550
Berenberg (Joint Corporate Broker and Financial
Adviser)
Matthew Armitt/Jennifer Wyllie/Detlir Elezi
Tel: +44 (0)20 3207 7800
Hannam & Partners (Joint Corporate Broker
and Financial Adviser)
Andrew Chubb/Matt Hasson/Jay Ashfield
Tel: +44 (0)20 7907 8500
SI Capital Limited (Joint Broker)
Nick Emerson/Alan Gunn
Tel: +44 (0)14 8341 3500
Luther Pendragon (Media and Investor Relations)
Harry Chathli/Alexis Gore/Joe Quinlan
Tel: +44 (0)20 7618 9100
Notes for Editors:
Greatland Gold plc is a London Stock Exchange AIM-listed
(AIM:GGP) natural resource exploration and development company with
a current focus on precious and base metals.
The Company's flagship asset is the world class Havieron
gold-copper deposit in the Paterson region of Western Australia.
This asset is held in joint venture with Newcrest Mining Ltd.
Havieron is located approximately 45km's east of Newcrest's Telfer
gold mine, processing plant and existing infrastructure.
The box cut and decline to develop the Havieron ore body was
commenced in February 2021. In addition, there is a substantial
ongoing growth drilling program presently underway at Havieron
which is being undertaken in conjunction with preparation of a
Pre-Feasibility Study. Newcrest is managing the preparation of the
PFS, which is expected to be released in late calendar 2021.
The Joint Venture Agreement includes tolling principles
reflecting the intention of the parties that, subject to a
successful exploration program and feasibility study and a positive
decision to mine, the resulting joint venture mineralised material
will be processed at Telfer, located 45km west of Havieron.
Greatland is seeking to identify large mineral deposits in areas
that have not been subject to extensive exploration previously. It
is widely recognised that the next generation of large deposits
will come from such under-explored areas and Greatland is applying
advanced exploration techniques to investigate a number of
carefully selected targets within its focused licence
portfolio.
The Company is also actively investigating a range of new
opportunities in Australia for precious and strategic metals and
will update the market on new opportunities as and when
appropriate.
Group statement of comprehensive income
6 months 6 months Year ended
to to 30 June
31 December 31 December 2020
2020 2019
Unaudited Unaudited Audited
GBP GBP GBP
Revenue - - -
Exploration expenses (1,790,722) (1,881,532) (3,392,789)
Administrative expenses (842,171) (732,506) (1,632,571)
Depreciation (55,319) - (67,396)
Amortisation - - (65,230)
Impairment cost - (11,321) (38,376)
Operating loss (2,688,212) (2,625,359) (5,196,362)
Other income 12,902 - 55,438
Finance income 865 1,384 17,663
Finance costs - - (21,734)
Loss on ordinary activities
before taxation (2,674,445) (2,623,975) (5,144,995)
Tax on loss on ordinary - - -
activities
--------------- --------------- ---------------
Loss for the financial
period (2,674,445) (2,623,975) (5,144,995)
--------------- --------------- ---------------
Other comprehensive
income
Exchange differences
on translation of foreign
operations 56,780 (142,956) 207,440
--------------- --------------- ---------------
Other comprehensive
income for the year
net of taxation 56,780 (142,956) 207,440
Total comprehensive
income for the year
attributable to equity
holders of the parent (2,617,665) (2,766,931) (4,937,555)
--------------- --------------- ---------------
Earnings per share
- see note 3 (0.07) pence (0.07) pence (0.14) pence
Basic and diluted
--------------- --------------- ---------------
Group statement of financial position
31 December 2020 31 December 30 June 2020
2019
Unaudited Unaudited Audited
GBP GBP GBP
Assets
Non-current assets
Tangible assets 139,191 106,850 132,061
Intangible assets 2,014,390 2,022,633 1,989,363
Joint arrangement 1,224,282 - -
Right of use asset 418,883 - 414,616
Total non-current
assets 3,796,746 2,129,483 2,536,040
--------------- --------------- ---------------
Current assets
Cash and cash equivalents 5,896,329 4,058,070 6,022,745
Trade and other receivables 243,200 166,695 79,076
--------------- --------------- ---------------
Total current assets 6,139,529 4,224,765 6,101,821
--------------- ---------------
Total assets 9,936,275 6,354,248 8,637,861
--------------- ---------------
Liabilities
Current liabilities
Trade and other payables (792,314) (659,432) (932,759)
--------------- --------------- ---------------
Total current liabilities (792,314) (659,432) (932,759)
--------------- --------------- ---------------
Non-current liabilities
Joint venture payables(2) (1,317,499) - -
Other non-current
payables (360,135) - (390,718)
--------------- --------------- ---------------
Total non-current
liabilities (1,677,634) - (390,718)
--------------- --------------- ---------------
Total liabilities (2,469,948) (659,432) (1,323,477)
--------------- --------------- ---------------
Net assets 7,466,327 5,694,816 7,314,384
--------------- --------------- ---------------
Equity
Share capital 3,878,665 3,577,234 3,760,207
Share premium 22,507,797 16,337,431 19,878,782
Share based payment
reserve 267,915 423,257 372,953
Retained earnings (19,620,730) (14,668,610) (17,073,458)
Other reserves 432,680 25,504 375,900
--------------- --------------- ---------------
Total equity 7,466,327 5,694,816 7,314,384
--------------- --------------- ---------------
(2) The payable to Newcrest becomes a loan effective 22 January
2021.
Group statement of cash flows
6 months to 6 months Year ended
31 December to 30 June 2020
2020 31 December
2019
Unaudited Unaudited Audited
GBP GBP GBP
Cash flow from operating
activities
Operating loss (2,688,212) (2,625,359) (5,183,317)
Increase in receivables (164,124) (89,215) (1,596)
Increase in payables 1,167,984 29,062 293,450
Share option charge 22,135 101,669 154,492
Depreciation 55,319 - 67,396
Amortisation - - 65,230
Impairment charge - 11,321 38,376
Net cash outflow from
operations (1,606,898) (2,572,522) (4,565,969)
------------ ------------ ------------
Cash flows from investing
activities
Interest received 865 1,384 2,163
Interest payable - - (21,734)
Payments to acquire intangible
assets - (85,640) 9,640
Payments to acquire tangible
assets (61,107) (7,173) (95,624)
Net cash outflow from
investing activities (60,242) (91,429) (105,555)
------------ ------------ ------------
Cash inflows from financing
activities
Proceeds from issue of
shares 2,747,473 4,255,950 7,980,274
Transaction costs of issue
of shares - (218,878) (218,878)
Financing for JV assets (1,224,282) - -
Other income 12,902 - 55,438
Repayment of lease liabilities (38,373) - (67,877)
------------ ------------ ------------
Net cash flows from financing
activities 1,497,720 4,037,072 7,748,957
------------ ------------ ------------
Net (decrease)/increase
in cash and cash equivalents (169,420) 1,373,121 3,077,433
Cash and cash equivalents
at the beginning of period 6,022,745 2,739,045 2,755,998
Exchange gain/(loss) on
cash and cash equivalents 43,004 (54,096) 189,314
------------ ------------ ------------
Cash and cash equivalents
at end of period 5,896,329 4,058,070 6,022,745
------------ ------------ ------------
Statement of group changes in equity
Called up Share Share based Retained Other Total
share capital premium payment earnings reserves
account reserve
GBP GBP GBP GBP GBP GBP
----------
Restated As at
30
June 2019 3,323,420 12,554,173 349,606 (12,059,608) 168,460 4,336,051
---------- ------------------------ ------------- ------------- ------------ ----------
Loss for the
period - - - (2,623,975) - (2,623,975)
Currency
translation
differences - - - - (142,956) (142,956)
---------- ----------- ----------- ------------- ------------- ------------
Total
comprehensive
income - - - (2,623,975) (142,956) (2,766,931)
Share option
charge - - 101,669 - - 101,669
Transfer on
exercise
of options - - (28,018) 28,018 - -
Share capital
issued 253,814 4,002,136 - - - 4,255,950
Cost of share
issue - (218,878) - - - (218,878)
---------- ----------- ----------- ------------- ------------- ------------
Total
contributions
by and
distributions
to owners of
the
Company 253,814 3,783,258 73,651 28,018 - 4,138,741
---------- ----------- ----------- ------------- ------------- ------------
Restated As at
31
December 2019 3,577,234 16,337,431 423,257 (14,655,565) 25,504 5,707,861
---------- ----------- ----------- ------------- ------------- ------------
Loss for the
period - - - (2,521,020) - (2,521,020)
Currency
translation
differences - - - - 350,396 350,396
---------- ----------- ----------- ------------- ------------- ------------
Total
comprehensive
income - - - (2,521,020) 350,396 (2,170,624)
Share option
charge - - 52,823 - - 52,823
Transfer on
exercise
of options - - (103,127) 103,127 - -
Share capital
issued 182,973 3,541,351 - - - 3,724,324
Total
contributions
by and
distributions
to owners of
the
Company 182,973 3,541,351 (50,304) 103,127 - 3,777,147
---------- ----------- ----------- ------------- ------------- ------------
As at 30 June
2020 3,760,207 19,878,782 372,953 (17,073,458) 375,900 7,314,384
---------- ----------- ----------- ------------- ------------- ------------
Loss for the period - - - (2,674,445) - (2,674,445)
Currency translation
differences - - - - 56,780 56,780
---------- ----------- ---------- ------------- -------- ------------
Total comprehensive
income - - - (2,674,445) 56,780 (2,617,665)
Share option charge - - 22,135 - - 22,135
Transfer on exercise
of options - - (127,173) 127,173 - -
Share capital issued 118,458 2,629,015 - - - 2,747,473
Total contributions
by and distributions
to owners of the
Company 118,458 2,629,015 (105,038) 127,173 - 2,769,608
---------- ----------- ---------- ------------- -------- ------------
As at 31 December
2020 3,878,665 22,507,797 267,915 (19,620,730) 432,680 7,466,327
---------- ----------- ---------- ------------- -------- ------------
Statements of changes in other reserves
Merger reserve Foreign currency Total other
translation reserves
reserve
Group GBP GBP GBP
As at 30 June 2019 225,000 (56,540) 168,460
--------------- ----------------- ------------
Currency translation
differences - (142,956) (142,956)
--------------- ----------------- ------------
As at 31 December
2019 225,000 (199,496) 25,504
--------------- ----------------- ------------
Currency translation
differences - 350,396 350,396
--------------- ----------------- ------------
As at 30 June 2020 225,000 150,900 375,900
--------------- ----------------- ------------
Currency translation
differences - 56,780 56,780
--------------- -----------------
As at 31 December
2020 225,000 207,680 432,680
--------------- ----------------- ------------
Half-yearly report notes
1. Half-yearly report
This half-yearly report was approved by the Directors on 9 March 2021.
The information relating to the six-month periods to 31 December
2019 and 31 December 2020 are unaudited.
The information relating to the year to 30 June 2020 is
extracted from the audited financial statements of the Company
which have been filed at Companies House and on which the auditors
issued an unqualified audit report.
2. Basis of accounting
The report has been prepared using accounting policies and
practices that are consistent with those adopted in the statutory
financial statements for the year ended 30 June 2020, although the
information does not constitute statutory financial statements
within the meaning of the Companies Act 2006. The half-yearly
report has been prepared under the historical cost convention.
This report has not been prepared in accordance with IAS 34.
These half-yearly financial statements consolidate the financial
statements of the Company and its subsidiary and are prepared in
accordance with International Financial Reporting Standards as
adopted for use in the European Union.
This half-year report does not include all the notes of the type
normally included in an annual financial report. Accordingly, this
report should be read in conjunction with the annual report for the
year ended 30 June 2020.
Investments in joint arrangements
A joint arrangement is one in which two or more parties have
joint control. Joint control is the contractually agreed sharing of
control of an arrangement, which exists only when decisions about
the relevant activities require the unanimous consent of the
parties sharing control.
Some of the Group's activities are conducted through joint
operations, whereby the parties that have joint control of the
arrangement have the rights to the assets, and obligations for the
liabilities, relating to the arrangement. The Group reports its
interests in joint operations using proportionate consolidation -
the Group's share of the assets, liabilities, income and expenses
of the joint operation are combined with the equivalent items in
the consolidated financial statements on a line-by-line basis.
Where the Group transacts with its joint operations, unrealised
profits and losses are eliminated to the extent of the Group's
interest in the joint operation.
The Company and Group will report again for the full year to 30
June 2021.
3. Earnings per share
The basic earnings per share is derived by dividing the loss /
profit for the period attributable to ordinary shareholders by the
weighted average number of shares in issue.
6 months 6 months Year ended
to to 30 June
31 December 31 December 2020
2020 2019
Unaudited Unaudited Audited
GBP GBP GBP
Loss for the period: (2,674,445) (2,623,975) (5,144,995)
---------------- ---------------- ----------------
Weighted average number
of Ordinary shares
of GBP0.001 in issue: 3,825,916,868 3,511,070,717 3,593,407,809
---------------- ---------------- ----------------
Loss per share - basic: (0.07) pence (0.07) pence (0.14) pence
---------------- ---------------- ----------------
Weighted average number
of Ordinary shares
of GBP0.001 in issue
inclusive of outstanding
options: 3,977,666,868 3,724,570,717 3,797,907,809
---------------- ---------------- ----------------
Loss per share - diluted: (0.07) pence (0.07) pence (0.14) pence
---------------- ---------------- ----------------
Copies of this half-yearly report are available free of charge
by application in writing to the Company Secretary at the Company's
registered office, Salisbury House, London Wall, London EC2M 5PS,
or by email to info@greatlandgold.com . The report will also be
made available on the Company's website: www.greatlandgold.com
.
End
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END
IR FIFFRVSIAIIL
(END) Dow Jones Newswires
March 09, 2021 02:00 ET (07:00 GMT)
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