21st Dec 2006 07:01
Triple Plate Junction Plc21 December 2006 For Immediate Release 21 December 2006 Triple Plate Junction plc ("TPJ" or the "Company") INTERIM RESULTS Triple Plate Junction Plc (AIM : TPJ), is pleased to announce its InterimResults for the six months ended 30 September 2006. HIGHLIGHTS • Impressive progress in Vietnam, Papua New Guinea and Africa • Capital expenditure in three countries totaled £2.034m • Vietnam : First drill hole with TPJ's rig expected to be collared in January 2007 • Papua New Guinea : 'Fast track' drilling at Otibanda prospect anticipated commencing in Q1 2007 • Africa : Production designed to self-fund TPJ exploration schedule Ian Gowrie-Smith, Chairman said: "Triple Plate Junction has had a highly productive year in 2006. The Companycontinued to consolidate its large exploration licences in an emerging mineralprovince in Papua New Guinea and discovered the Otibanda Prospect which hascontinued to grow in size and scale. Triple Plate Junction has made goodprogress with the development of its furnaces in Africa and continued anaggressive exploration programme with Newmont Mining Corporation in Vietnam. Welook forward to continued positive results in 2007." For further information please contact: Triple Plate Junction plc 0207 340 9970 Geoff Walsh, Chief Executive David Lees, Finance Director Buchanan Communications 020 7466 5000 Tim Anderson / Isabel Podda/Ben Willey Chairman's Statement Triple Plate Junction Plc (TPJ) has had a highly productive year in 2006 -actively developing a cash generative strategy in Central Africa anddiscovering the Otibanda gold prospect in Papua New Guinea (PNG). In Vietnam theCompany has completed an airborne geophysical and radiometric survey at its PuSam Cap project which has yielded a number of exciting new targets. Capital expenditure to 30 September 2006 of £2.034m Funds was spent mainly onexploration activities in Vietnam (£0.524m), Papua New Guinea (£1.171m) and theconstruction of electric arc furnaces and copper ore procurement in Africa(£0.339m). Vietnam - TPJ continues to receive a very high level of support on the Pu SamCap iron oxide-gold copper deposit from Newmont Mining Corporation, whosesubsidiary Newmont Vietnam Pty Ltd is TPJ's joint venture partner in theproject. In cooperation with Newmont, an airborne geophysical survey has beencompleted, highlighting a number of anomalies which are being actively followedup with intensive field programmes. Mapping and systematic sampling ofgold-bearing structures that extend over several kilometres strike length anddelineation of the Nam Dich copper-gold "porphyry" style mineralisation has alsocontinued. The Company has an experienced and capable team of Vietnamese andexpatriate geologists and support staff who are progressively investigating theanomalies in preparation for new drilling campaigns. Our Explorer MD drill righas been commissioned and Vietnamese drill-crews have been trained inanticipation of collaring the first drill hole with this new rig in earlyJanuary 2007. Papua New Guinea - The Company has five active field programmes, the mostexciting of which is the Otibanda project in the Wau-Morobe mineral province.The gold potential of the Otibanda prospect has been significantly increased bythe discovery of a second major gold-bearing structure parallel to the initialstructure, where high gold and silver values have already been discovered by theCompany. Preliminary rock chip sampling across this second structure have givena result of 10.4 metres of 18.01 grams per tonne gold, including 1.9 metres of53.6 grams per tonne gold. Otibanda is a very large mineral field of structuresmeasuring at least 2.5 kilometres by 2.5 kilometres containing high grade goldand silver values. Due to the enormous potential of this project, management haselected to 'fast track' it's exploration with drilling expected to commence inQ1 2007. The Company has continued exploration with promising results startingto emerge from some of its many other prospects and targets in PNG. Africa - A key part of the Company's strategy of developing an operational basein Africa is the production of sufficient positive cash flow to enable TPJ toself-fund its global exploration activities whilst strengthening the balancesheet. The project to develop an initial 1 MVA capacity electric arc furnaceoperation in Zambia is on track and on budget and the Company anticipates itsfirst copper pour in February 2007. TPJ is building its copper-ore productionbase through licence application and acquisition and is looking to negotiatemore production joint ventures in the region. Management is very encouraged bythe progress so far in Africa. Summary - During 2006 TPJ has continued to consolidate its large explorationlicences in an emerging mineral province in PNG and discovered the OtibandaProspect which has continued to grow in size and scale. The Company has madegood progress with the construction of its furnaces in Africa and has continuedan aggressive exploration programme with Newmont Mining Corporation in Vietnam.We look forward to continued positive results in 2007. Ian Gowrie-SmithChairman21 December 2006 CONSOLIDATED PROFIT AND LOSS ACCOUNTFor the six months ended 30 September 2006 Note Six months Six months ended 30 ended 30 September September Year to 31 2006 2005 March 2006 (unaudited) (unaudited) (audited) As restated As restated £'000 £'000 £'000 Turnover - - -Administrative expensesCharge from employee share option valuation (209) (206) (815)Other administration charges (547) (503) (806)Total administration expenses (756) (709) (1,621) Operating loss (756) (709) (1,621) Net interest 174 209 425 Loss on ordinary activities before taxation (582) (500) (1,196) Tax on loss on ordinary activities 2 - - - Loss after taxation for the year (582) (500) (1,196) Minority interest - 12 - Loss sustained for the year (582) (488) (1,196) Loss per share 4 (0.62)p (0.56)p (1.32)p There were no recognised gains or losses other than the loss for the financialperiod. CONSOLIDATED BALANCE SHEETAt 30 September 2006 30 September 30 September 31 March 2006 2005 2006 (unaudited) (unaudited) (audited) As restated As restated £'000 £'000 £'000Fixed assetsIntangible assets 15,036 11,823 13,353Tangible assets 577 281 292 15,613 12,104 13,645 Current assetsDebtors 499 371 265Cash at bank and in hand 6,566 10,761 9,284 7,065 11,132 9,549 Creditors: amounts falling due within one year (210) (348) (394) Net current assets 6,855 10,784 9,155 Net Assets 22,468 22,888 22,800 Capital and reservesCalled up share capital 944 944 944Share premium account 16,969 16,969 16,969Shares to be issued 209 206 815Share option reserve 1,230 206 815Profit and loss account 4,789 4,080 3,333Minority interest (8) (20) (8) Shareholders' funds 22,888 5,982 12,261 CONSOLIDATED CASH FLOW STATEMENTFor the six months ended 30 September 2006 Note Six months Six months ended 30 ended 30 September September Year to 31 2006 2005 March 2006 (unaudited) (unaudited) (audited) £'000 £'000 £'000 Net cash outflow from operating activities 5 (858) (405) (506) Returns on investments and servicing of financeInterest received 174 209 425 Net cash inflow from returns on investments and servicing 174 209 425of finance Capital expenditurePurchase of tangible fixed assets (351) (191) (253)Purchase of intangible fixed assets (1,683) (1,017) (2,547) Net cash outflow from capital expenditure (2,034) (1,208) (2,800) Management of liquid resourcesPurchase of short-term deposits - - (7,500)FinancingIssue of ordinary share capital - 11,735 11,735Share issue costs - 815 815Net cash inflow from financing - 10,920 10,920 (Decrease)/ Increase in cash 6 (2,718) 9,516 539 The accompanying accounting policies and notes form an integral part of thesefinancial statements. NOTES TO THE INTERIM RESULTSFor the six months ended 30 September 2006 1. BASIS OF PREPARATION The interim unaudited financial statements have been prepared in accordance withapplicable accounting standards and under the historical cost convention. Theprincipal accounting policies of the Group have remained unchanged from thoseset out in the Group's 2006 Annual Report and financial statements, other thanadoption of FRS 20 "share based payments" which applied for the first in thisperiod. The impact of this was to increase administration expenses by £208,883and the comparatives have been restated. The financial information herein does not constitute the statutory accounts asdefined in section 240(5) of the Companies Act 1985. The Report and Accounts forthe year ended 31 March 2006, on which the auditors' report was unqualified,have been filed with the Registrar of Companies. Copies of the Interim Report will be available to the public from the Company'sregistered office at 5-8 The Sanctuary, London, SW1P 3JS. 2. TAXATION On the grounds that losses have been made in this and prior periods, there is notaxation charged to the profit and loss account in this period. 3. DIVIDENDS The Directors have not declared a dividend for the six months ended 30 September2006. 4. LOSS PER SHARE The calculation for the basic loss per share is based upon the loss attributableto ordinary shareholders divided by the weighted average number of shares inissue during the year. Reconciliation of the loss and weighted average number of shares used in thecalculations are set out below: Six months Six months ended 30 ended 30 September September Year to 31 2006 2005 March 2006 (unaudited) (unaudited) (audited) As restated As restated £'000 £'000Basic loss per shareLoss on ordinary activities before tax (£'000) (582) (488) (1,196)Weighted average number of shares ('000) 94,415 87,234 90,924Amount of loss per share (pence) (0.62) (0.56) (1.32) The options and warrants are anti-dilutive so there is no diluted loss pershare. 5. Net cash outflow from operating activities Six months Six months ended 30 ended 30 September September Year to 31 2006 2005 March 2006 (unaudited) (unaudited) (audited) As restated As restated £'000 £'000 £'000 Operating loss (756) (709) (1,621)Depreciation 66 31 81Increase in employee share option valuation 209 206 815(Increase)/decrease in debtors (234) (54) 52Increase/(Decrease) in creditors (143 (121) 167Net cash outflow from operating activities (858) (405) (506) 6. Reconciliation of net cash flow to movement in net debt Six months Six months ended 30 ended 30 September September Year to 31 2006 2005 March 2006 (unaudited) (unaudited) (audited) £'000 £'000 £'000 (Decrease)/ Increase in cash in the period (2,718) 9,516 539Purchase of short-term deposits - - 7,500Change in net funds/(debt) during the period (2,718) 9516 8,039Net funds at beginning of period 9,284 1,245 1,245Net funds at end of period 6,566 10,761 9,284 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Tethyan Resources