Half Yearly Report

Eurasia Mining plc

Interim Results

for the six months ended

30 June 2014

Chairman's Statement 

I am pleased to be able to report on very important progress made by Eurasia Mining plc ("Eurasia" or the "Company") over the past six months, with the agreement to increase our equity share in our Russian projects and the advancement of the permitting progress of the mining project at West Kytlim in the Urals. 

Joint Venture with Anglo Platinum 

Eurasia agreed to acquire the remaining 50 percent of Urals Alluvial Platinum Limited (the "UAP") that it did not already own from Anglo American Platinum Limited. UAP is the operating company for both the West Kytlim project in the Urals and the Monchetundra project in the Kola Peninsula. As a result, Eurasia will hold 75% equity in West Kytlim and 100% in Monchetundra. The agreement is conditional on South African exchange control approval. 

I believe the timing of this transaction is of great benefit to the Company as production becomes closer to realization. Eurasia has been executing and funding a work programme on its own on both projects since 2009. I believe our work has produced attractive assets which, particularly in the case of West Kytlim, are nearing production and it is therefore an excellent outcome that we should enter this next phase with double the original interest in the projects. Eurasia's increased equity interest in UAP should also provide greater flexibility to bring in new partners or to restructure the holdings for improved efficiency of future operations, should the Company wish to do so. 

West Kytlim 

Exploration work has completed on the West Kytlim licence and work is now concentrated on the regulatory steps necessary to allow mining to commence. Earlier this year we announced a substantial uplift in approved reserves, for which we have made application for a Discovery Certificate and are hopeful that this will be awarded in the very near future. Following its receipt the Company will immediately lodge an application for a Production Licence; preparatory work for this has already been completed. 

Monchetundra 

After several years of exploration the Company is now in the process of 3D modeling of two priority open pit targets and is putting together a feasibility study of these 2 targets.

Michael Martineau 

Chairman 

Condensed consolidated statement of comprehensive income

for the six months ended 30 June 2014

Condensed consolidated statement of financial position

as at 30 June 2014

Condensed statement of changes in equity

for the six months ended 30 June 2013

Condensed statement of changes in equity

for the six months ended 30 June 2014

Condensed consolidated statement of cash flows

for the six months ended 30 June 2014

Selected notes to the condensed consolidated financial statements

for the six months ended 30 June 2014

1. General information

Eurasia Mining plc (the "Company") is a public limited company incorporated and domiciled in Great Britain with its registered office and principal place of business at 2nd Floor, 85-87 Borough High Street, London SE1 1NH. The Company's shares are listed on the Alternative Investment Market of the London Stock Exchange. The principal activities of the Company and its subsidiaries (the "Group") are related to the exploration for and development of platinum group metals, gold and other minerals in Russia.

The financial information set out in these condensed interim consolidated financial statements (the "Interim Financial Statements") do not constitute statutory accounts as defined in Section 435 of the Companies Act 2006. The Group's statutory financial statements for the year ended 31 December 2013, prepared under International Financial Reporting Standards (the "IFRS"), have been filed with the Registrar of Companies. The auditor's report on those financial statements was unqualified. The report did not contain a statement under Section 498(2) of the Companies Act 2006.

2. Basis of preparation

The Group prepares consolidated financial statements in accordance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) ,as endorsed by the European Union (EU). These condensed consolidated interim financial statements for the period ended 30 June 2014 have been prepared by applying the recognition and measurement provisions of IFRS and the accounting policies adopted in the audited accounts for the year ended 31 December 2013.

These Interim Financial Statements have been prepared under the historical cost convention.

The accounting policies have been applied consistently throughout the Group for the purposes of preparation of these condensed consolidated interim financial statements.

The Interim Financial Statements are presented in Pounds Sterling (£), which is also the functional currency of the parent company.

3. Accounting policies

The Interim Financial Statements have been prepared in accordance with the accounting policies adopted in the Group's last annual financial statements for the year ended 31 December 2013.

4. Additions and disposals of property, plant and equipment

5. Other financial assets

Loan to joint venture is provided by the Group on an interest free basis with no fixed date of repayment. The Group does not hold any collateral as security.

In prior periods the Group recognised that the loan advanced to the joint venture was not to be repaid within 12 months from the start of the platinum production mining licence for which is expected to be granted by authorities in Russia. Consequently the Group have fair valued the loan estimating the repayment of the loan based on cash flows due to be generated by the joint venture. The loan was discounted using NPV method. No discount has been recognised in the period (£270,178 within the comparative period of 2013). Actual repayment schedule and interest chargeable on the loan will be revised by the joint venture partners as soon as the production licence has been granted.

Undiscounted amount of the loan at 30 June 2014 is £3,809,026.

Advances to acquire interest in uranium project represent payment of $602,000 made in 2011 towards acquisition of 55% interest in the Kamushanovsky uranium project in Kyrgyzstan.

6. Share capital

Deferred shares have the following rights and restrictions attached to them:- they do not entitle the holders to receive any dividends and distributions;- they do not entitle the holders to receive notice or to attend or vote at General Meetings of the Company;- on return of capital on a winding up the holders of the deferred shares are only entitled to receive the amount paid up on such shares after the holders of the ordinary shares have received the sum of 0.1p for each ordinary share held by them and do not have any other right to participate in the assets of the Company.

7. Reserves

The capital redemption reserve was created as a result of a share capital restructuring in earlier years. There is no policy of regular transactions affecting the capital redemption reserve.

The foreign currency translation reserve represents exchange differences relating to the translation from the functional currencies of the Group's foreign subsidiaries into GBP.

The share-based payments reserve represents a reserve arising on the grant of share options to employees under the employee share option plan.