26th Aug 2014 10:18
LONDON (Alliance News) - FinnAust Mining PLC Tuesday said its net loss widened in its last financial year after being hit by higher expenses and impairment costs.
The Finnish metals miner, which is yet to generate any revenue, said its net loss widened to GBP2.4 million in the financial year ended June 30, compared with a loss of GBP400,786 last year.
The company said its administrative expenses increased to GBP1.2 million from GBP400,923, and it was hit by a GBP1.2 million goodwill impairment charge through a business combination with Finland Investments PLC in December 2013, as well as the impairment of certain Finnish exploration licences that were not renewed during the period.
FinnAust Mining successfully completed the reverse takeover of London AIM-listed, Centurion Resources PLC with readmission to the London AIM market in December 2013.
Following readmission to AIM, Centurion was renamed FinnAust Mining, with Western Areas Ltd holding a majority 68% of the enlarged entity, after which FinnAust acquired three high grade copper, zinc and nickel projects in Finland by way of a reverse-takeover from Western Areas.
In a statement Tuesday, FinnAust said its fully funded drill programme has already identified a new mineralised area at its Hammaslathi Copper Project in southern Finland. It said it believes that the follow up holes will extend the known mineralised zone to the south and north as it focuses on targeting the high-grade portions to better define overall grade and tonnes.
"Our programme has already been highly productive, having led to the possible discovery of at least four separate plunging lodes at the Hammaslahti Project and with drilling on-going, we are excited to receive further results in the coming months, which we are confident will add value to our portfolio for the benefit of shareholders," the company said.
The company said it is confident in the year ahead, as further drill results demonstrate the scale of the opportunity at Hammaslahti and its portfolio as a whole.
FinnAust Mining shares were untraded Tuesday morning at 2.75 pence.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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