31st Aug 2018 11:19
LONDON (Alliance News) - Beowulf Mining PLC said Friday its loss in the first half of the year narrowed on expenses but no final decision on its Kallak project has been made.
The Sweden-focused mining company recorded a GBP442,238 pretax loss in the six months to June 30, improving upon its GBP467,100 loss the year before.
The primary reason for this change was that administrative expenses shrank to GBP349,027 from GBP364,522, while share based payment expense also fell to GBP97,423 from GBP104,021.
At present, Beowulf is in its exploratory mining phase and, as such, has yet to report a revenue.
Post period end, Beowulf's Aitolampi graphite mining project's mineral resource estimate has been completed. Aitolampi has a global indicated and inferred resource of 19.3 million tonnes at 4.5% total graphitic carbon per 878,000 tonnes of contained graphite, comprising eastern and western lenses above a 3.0% cut-off grade.
Beowulf is in talks with the Swedish government regarding its Kallak magnetite iron ore project. The project awaits approval, but this has been delayed by the Swedish election. The company's chief executive, Kurt Budge, intends to be into Sweden after the election in order to press for an early decision.
An application by Jokkmokk Iron Mine AB to extend its Kallak nr 2 license, which is not part of Beowulf's project, was rejected by an administrative court. Jokkmokk has appealed the decision.
"While an imminent decision on Kallak has been delayed by the Swedish general election, the company has pushed ahead with the Aitolampi graphite project, most importantly delivering a maiden resource estimate," said Budge.
"In early September, the company has meetings planned with key decision makers in the Heinävesi area, to discuss Aitolampi, and is preparing to initiate a scoping study on the project," Budge added.
Shares in Beowulf were untraded at 5.30 pence on Friday.
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