THE
DIRECTORS OF IMC EXPLORATION GROUP PLC CONSIDER THIS ANNOUNCEMENT
TO CONTAIN INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION (EU) NO. 596/2014 OF THE EUROPEAN PARLIAMENT AND THE
COUNCIL OF 16 APRIL 2014 ON MARKET
ABUSE AS IT FORMS PART OF RETAINED EU LAW AS DEFINED IN THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018 (THE "MARKET ABUSE
REGULATION"). UPON THE PUBLICATION OF THIS ANNOUNCEMENT THE INSIDE
INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC
DOMAIN.
HALF-YEARLY FINANCIAL REPORT
FOR THE PERIOD 1st
JULY 2023 TO
31st
DECEMBER
2023
IMC
Exploration Group Public Limited Company
(“IMC”
or the “Company”)
Chairman’s Statement
The Directors of IMC are pleased to present the Company’s
unaudited, consolidated, half-yearly financial report for the
six-month period ended 31 December
2023.
The
six months under review have been very significant for IMC and its
shareholders, with the successful completion, in October 2023, of the acquisition of MVI Ireland
s.r.o. (“MVI”), the 100% owner of the Armenian company, Assat LLC,
which owns and operates the Karaberd Mine, an operating gold mine
located in Lori Marz, Northern Armenia.
The acquisition of MVI constituted a reverse takeover under the
Listing Rules and as required by the Financial Conduct Authority’s
updated rule on a minimum required market capitalisation of £30m
for a company undertaking such a transaction, we were pleased that
international consultants Alvarez and Marsal conducted a valuation
of MVI, in accordance with the International Valuation Standards
(IVS, 2020), that demonstrated a value in excess of the required
threshold of £30m.
Since the completion of the acquisition of MVI on 1 November 2023 we have been delighted by the
performance at the Karaberd mine and the extraction of ore
continues, including a sale of ore in December 2023 for a consideration of
€1,500,000.
We believe there is great potential in Armenia, both with the Karaberd mine and more
widely.
We are continuing to review other projects in Armenia, and all at IMC believe that operating
in Armenia will provide
significant future growth opportunities.
I
am also pleased that following our acquisition of MVI we have, post
period end, strengthened the IMC Board with a new CFO, Vahagn Marukhyan, who has significant experience
with Ernst & Young in Armenia,
and a geologist, Gagik Gevorgyan,
who has worked as chief geologist in Armenia with a number of mining companies and
who has a tremendous knowledge of projects in Armenia that are likely to form part of the
IMC pipeline of projects going forward.
In
Ireland, IMC has a mineral-rich
supply of spoils and tailings with a Mineral Resource Estimate
(MRE) on its Avoca spoils and tailings.
Based on the
Inferred Mineral Resource Estimate there are circa. 20,000 oz gold,
600,000oz silver, 2,600 tonnes copper and 7,800 tonnes lead in
these spoils and tailings heaps, which are in crushed rock sitting
above ground.
At
current commodity metal prices, this represents a total gross value
of £71,346,400.
IMC
has the intention to advance the Avoca opportunity as an
eco-remediation project, aligning closely with the goals outlined
by both the Irish government and the objectives of the European
Union.
To
progress this opportunity, at IMC’s invitation, China National
Geological & Mining Corporation (“CGM”), who have experience
working global projects and especially have experience in eco-based
extraction of metals and the remediation of mining sites, recently
visited our Avoca site to assess how further progress should be
made.
I
am pleased to say that following this visit we have completed and
signed a Memorandum of Understanding for Cooperation with CGM and I
look forward to the completion of a project plan to maximise the
potential of our Avoca site given the gross value of metals sitting
in the spoils and tailings and also given that the
European Union has passed a Nature Restoration Law requiring the
restoration of up to 20% of lands and sea by
2030.
We believe that this will also give impetus to our proposed
remediation of the 155-acre Avoca mine site.
We are also reviewing the potential for further copper extraction
on our Avoca licence given the significant increase in copper
prices since mining stopped in Avoca in 1982.
Also in
Ireland, I am very encouraged by
the recent drilling results from IMC’s North Wexford Gold Project
which confirms interpretation
of two structural zones, up to 20 metre (“m”) wide, associated with
gold (“Au”) mineralization.
An
historic drillhole intercepted 1.5m
grading 354g/t Au, interpreted as part of an upper, near surface
zone of mineralization and a lower zone of 2m grading 1.4g/t Au. The new drillhole extends
these zones of mineralization by 150m
to the northeast and intersected grades of 1m grading 5.8g/t Au in the upper zone and
1m grading 1.1g/t Au in the lower
zone.
Both
the upper and lower zones are open along strike and to
depth.
Geological
interpretation suggests more structural zones are
present.
The
mineralization is present in wide zones of quartz-veined sediments
(6m and 20m wide respectively) of which the upper zone is
interpreted as the probable host of the 354g/t Au bonanza grade
boulder.
The
last six months has been very productive for IMC, particularly the
successful conclusion of the acquisition of the Karaberd mine in
Armenia and the strengthening of
the Board.
With
the current high price of gold, silver and copper and IMC’s
projects in Armenia and
Ireland, IMC expects to make
notable progress in the coming months.
Eamon P. O’Brien,
Executive Chairman,
Dublin, 28 March 2024
IMC
Exploration Group Public Limited Company
Consolidated Statement of Comprehensive
Income
for the period 1st
July 2023 to
31st
December
2023
Continuing
Operations
|
|
|
|
|
|
|
|
|
|
|
|
Dec’23
|
|
Jun’23
|
|
|
|
Revenue
|
|
1,492,000
|
|
-
|
|
|
|
Cost of
Sales
|
|
(501,912)
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
990,088
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Administration
Costs
|
|
(783,789)
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Profit /(loss) for the period
|
|
206,299
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Finance
Income
|
|
-
|
|
-
|
|
|
|
Amount written
off Intangible Assets
|
|
-
|
|
-
|
|
|
|
Amount written
off investment
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit
/ (Loss) for period before tax
|
|
206,299
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
expenses
|
|
(159,296)
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Total
comprehensive income (loss) for the period
|
|
47,003
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable
to:
|
|
|
|
|
|
|
|
Equity holders
of the Company
|
|
47,003
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
Total
Comprehensive Income (Loss) attributable to:
|
|
|
|
|
|
|
|
Equity holders
of the Company
|
|
47,003
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
Earnings
per share
|
|
|
|
|
|
|
|
From
continuing operations
|
|
|
|
|
|
|
|
Basic and
Diluted profit per share (cent)
|
|
0.000
|
|
(0.000)
|
|
|
|
|
|
|
|
|
|
All
activities derived from continuing operations. All gains or losses
and total comprehensive income or losses for the period are
attributable to the owners of the Company.
The
Company has no recognised gains or losses other than those dealt
with in the statement of comprehensive income.
IMC
Exploration Group Public Limited Company
Consolidated Statement of Financial
Position
As at 31st
December
2023
|
|
|
|
|
|
|
|
|
|
|
|
Dec’23
|
|
Jun’23
|
|
|
|
Assets
|
|
|
|
|
|
|
|
Intangible
assets
|
|
3,878,881
|
|
640,291
|
|
|
|
Property, plant
and equipment
|
|
64,472
|
|
946
|
|
|
|
Goodwill
|
|
522,913
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Total
Non-Current Assets
|
|
4,466,266
|
|
641,237
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
|
|
Inventory
|
|
206,298
|
|
-
|
|
|
|
Trade and other
receivables
|
|
2,483,052
|
|
9,045
|
|
|
|
Cash and cash
equivalents
|
|
7,036
|
|
101,018
|
|
|
|
|
|
|
|
|
|
|
|
Total Current
Assets
|
|
2,696,385
|
|
110,063
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Assets
|
|
7,162,651
|
|
751,300
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
Share
Capital
|
|
723,190
|
|
364,384
|
|
|
|
Share premium
& Capital
|
|
8,974,269
|
|
4,253,642
|
|
|
|
Retained
deficit
|
|
(4,809,338)
|
|
(4,823,272)
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to
owners of the Company
|
|
4,888,122
|
|
(205,246)
|
|
|
|
|
|
|
|
|
|
|
|
Total
Equity
|
|
4,888,122
|
|
(205,246)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
– Current
|
|
|
|
|
|
|
|
Trade and other
payables
|
|
903,701
|
|
294,260
|
|
|
|
Current tax
liabilities
|
|
575,962
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Total
Liabilities-Current
|
|
1,479,662
|
|
294,260
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
– Non-Current
|
|
|
|
|
|
|
|
Loan
|
|
794,868
|
|
662,286
|
|
|
|
|
|
|
|
|
|
|
|
Total
Liabilities-Current
|
|
794,868
|
|
662,286
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Equity and Liabilities
|
|
7,162,652
|
|
751,300
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IMC
Exploration Group Public Limited Company
Consolidated Statement of Changes in
Equity
for the period 1st
July 2023 to
31st
December
2023
|
|
|
|
|
|
|
|
|
|
|
|
Share
Capital €
|
Share
Premium €
|
Other
Reserves €
|
Retained
Losses €
|
Total
€
|
|
|
|
Balance at
30 June 2022
|
349,589
|
4,164,633
|
|
(4,498,355)
|
15,867
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
comprehensive income for the period
|
|
|
|
|
|
|
|
|
Loss for
the period
|
-
|
-
|
-
|
(324,917)
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
comprehensive income for the period
|
-
|
-
|
-
|
(324,917)
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions
with owners, recorded directly in equity contributions and
distributions to owners
|
|
|
|
|
|
|
|
|
Shares
issued
|
14,795
|
92,009
|
-
|
-
|
106,804
|
|
|
|
Share
issue costs
|
-
|
(3,000)
|
-
|
-
|
(3,000)
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
transactions with owners
|
14,795
|
89,009
|
-
|
-
|
103,804
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at 30 June 2023
|
364,384
|
4,253,642
|
-
|
(4,823,272)
|
(205,246)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
comprehensive income for the period
|
|
|
|
|
|
|
|
|
Profit for
the period
|
-
|
-
|
-
|
47,003
|
47,003
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
comprehensive income for the period
|
-
|
-
|
-
|
47,003
|
47,003
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions
with owners, recorded directly in equity contributions and
distributions to owners
|
|
|
|
|
|
|
|
|
Shares
issued
|
358,807
|
4,565,176
|
-
|
-
|
4,923,982
|
|
|
|
Capital
Contributions
|
-
|
-
|
155,451
|
(33,069)
|
122,382
|
|
|
|
Share
issue costs
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at 31 December 2023
|
723,191
|
8,818,818
|
155,451
|
(4,809,338)
|
4,888,121
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
IMC
Exploration Group Public Limited Company
Consolidated Statement of Cash
Flows
for the period 1st
July 2023 to
31st
December
2023
|
|
|
|
|
|
|
|
|
|
|
|
Dec’23
|
|
Jun’23
|
|
|
|
Cash
flows from operating activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit /(Loss)
for the year
|
|
236,954
|
|
(324,917)
|
|
|
|
|
|
|
|
|
|
|
|
Adjustments
for:
|
|
|
|
|
|
|
|
Other
Expenses
|
|
9,000
|
|
-
|
|
|
|
Income Tax
recognised in profit and loss
|
|
169,000
|
|
-
|
|
|
|
Depreciation
|
|
54,386
|
|
904
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
from operations before changes in working
capital
|
|
469,340
|
|
(324,013)
|
|
|
|
|
|
|
|
|
|
|
|
Movement in
trade and other receivables
|
|
(1,473,488)
|
|
1,942
|
|
|
|
Movement in
trade inventories
|
|
395,000
|
|
-
|
|
|
|
Movement in
trade and other payables
|
|
386,855
|
|
308,386
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
cash flow from operating activities
|
|
(222,293)
|
|
(13,685)
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities
|
|
|
|
|
|
|
|
Capital
Expenditure
|
|
(20,000)
|
|
(12,500)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
cash (used in) investing activities
|
|
(20,000)
|
|
(12,500)
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities
|
|
|
|
|
|
|
|
Proceeds from
the issue of new shares
|
|
139,366
|
|
62,911
|
|
|
|
Finance
income/(expense)
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
cash generated by financing activities
|
|
139,366
|
|
62,911
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Movement
in cash and cash equivalents
|
|
(102,927)
|
|
36,726
|
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at beginning of period
|
|
109,963
|
|
73,237
|
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at end of year
|
|
7,036
|
|
109,963
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The Board continuously assesses and monitors the key risks and
uncertainties affecting the business. These have not substantially
changed from those set out in the prospectus dated 29 September 2023 and published by the
Company.
Responsibility Statement
The directors of the Company (the “Directors”) are responsible for
the contents of this half-yearly financial report.
The Directors, being Eamon O’Brien, Kathryn
Byrne, Andrew (Laz) Fleming,
Vahagn Marukhyan and Gagik Gevorgyan, confirm that to the best of
their knowledge:
·
The half-yearly financial report, which has been prepared in
accordance with the applicable set of accounting standards, gives a
true and fair view of the assets, liabilities, financial position
and profit or loss of the issuer, or the undertakings included in
the consolidation as a whole as required by DTR 4.2.4 R;
and
·
the interim management report (including the Chairman’s Statement)
includes a fair review of the information required by DTR 4.2.7
R;
·
the interim management report (including the Chairman’s Statement)
includes a fair review of the information required by DTR 4.2.8
R.
REGULATORY ANNOUNCEMENT ENDS.
Enquiries
IMC Exploration Group plc
Eamon
O’Brien
+353 87
6183024
Kathryn Byrne
+353 85 233 6033
Keith, Bayley, Rogers & Co. Limited
Stephen Clayson
stephen.clayson@kbrl.co.uk
+44
(0)7771 871 847
Brinsley Holman
brinsley.holman@kbrl.co.uk
+44
(0)7776 302 228
IFC
Advisory Limited (Financial PR and IR)
Tim Metcalfe
Florence Chandler
+44 (0)203
934 6630