RNS Number : 5756U
Chaarat Gold Holdings Ltd
16 May 2008
Company : Chaarat
Gold Holdings Ltd
TIDM : CGH
Headline : Chaarat
Gold Holdings Ltd -
Final Results 2007
16 May 2008
Chaarat Gold Holdings Ltd
Ticker- AIM:CGH
PRELIMINARY ANNOUNCEMENT OF AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 December 2007
Chairman's Report
A Year of Progress
Our Company has achieved a new milestone in its development with
the admission of its shares to trading on the Alternative
Investment Market in London. For the first time, this provides
investors with the ability to trade in our shares on the stock
exchange.
New capital raised by the IPO amounted to $16.4 million net,
which was less than had been sought but sufficient,
nevertheless, to fund the Company at planned levels of
expenditure into 2009. The onset of the credit crisis at the
time of the IPO undermined sentiment towards exploration
investment. The Company and its strategy were, however, well
received by the investment community.
The fall in our share price since the issue will, I regret, have
been a disappointment to shareholders and in the view of the
Board does not adequately value the prospects of your Company.
To address this further, efforts are being made to raise the
awareness of both the scale of the project and the progress that
we are making towa
Chief Executive's Operation Report
General
The past year has been one of transition, from being a small
private exploration company, we are now a public listed company.
Furthermore, we have increased the scale of our operations and
now operate on a year round basis, with our well established
field base allowing us to avoid the winter close-down, which we
had practised until recently. In addition, the Company commenced
the preparation of a scoping study, which is scheduled for
completion during the 2nd quarter of 2008.
With these developments, the skills base of the Company is being
expanded by recruitment and training. The communication
infrastructure and IT systems have been upgraded. Indeed, during
the recent winter, we were able to continue with field
operations in the development of the adit and the attendant
underground drilling operations, which are ongoing.
Your Company is now well prepared to meet its objectives, namely
the delineation of sufficient resources to support the
development of a
Consolidated income statement
For the years ended 31 December
2007 2006
USD USD
Exploration expenses (5,298,560) (2,695,571)
Administrative expenses (1,623,792) (513,656)
Other operating income/(expense) (2,852) 21,268
Operating loss (6,925,204) (3,187,959)
Financial expense - (82,264)
Financial income 384,858 131,781
Loss for the year, attributable to equity (6,540,346) (3,138,442)
shareholders of the Company
Loss per share (basic and diluted) - USD cents (11.21)c (6.04)c
All amounts relate to continuing activities.
Consolidated balance sheet
At 31 December
2007 2006
USD USD
Assets
Non-current assets
Intangible assets 4,797 -
Property, plant and equipment 1,215,273 126,217
Other receivables 37,740 16,308
1,257,810 142,525
Current assets
Inventories 475,846 -
Trade and other receivables 742,433 110,178
Cash and cash equivalents 13,128,822 846,573
14,347,101 956,751
Total assets 15,604,911 1,099,276
Liabilities and equity
Equity attributable to shareholders
Share capital 718,834 3,431
Share premium 15,665,928 6,454,707
Other reserves 11,048,357 -
Foreign currency reserve (408,059) 11,801
Retained losses (11,995,860) (5,455,514)
15,029,200 1,014,425
Current liabilities
Trade payables 401,253 42,171
Accrued liabilities 174,458 42,680
575,711 84,851
Total liabilities and equity 15,604,911 1,099,276
Consolidated statement of changes in equity
For the years ended 31 December
Share capital USD Share premium USD Retained losses USD Other reserves USD Translation
reserve
USD Total USD
Balance at 31 December 2005 3,156 3,431,063 (2,317,072) -
- 1,117,147
Currency translation - - - -
11,801 11,801
Net income recognised directly - - - -
11,801 11,801
in equity
Loss for the year ended
31 December 2006 - - (3,138,442) -
- (3,138,442)
Total recognised income and
expense for the year - - (3,138,442) -
11,801 (3,126,641)
Issuance of shares 275 3,303,850 - -
- 3,304,125
Share issue costs - (280,206) - -
- (280,206)
Balance at 31 December 2006 3,431 6,454,707 (5,455,514) -
11,801 1,014,425
Currency translation - - - -
(419,860) (419,860)
Net loss recognised directly - - - -
(419,860) (419,860)
in equity
Loss for the year ended
31 December 2007 - - (6,540,346) -
- (6,540,346)
Total recognised income and
expense for the year - - (6,540,346) -
(419,860) (6,960,206)
attributable to equity
shareholders of the Company
Issuance of shares and options 308 4,750,232 - 248,509
- 4,999,049
for cash, pre reverse
acquisition
Transfer to reserves - reverse (3,739) (11,204,939) - 11,208,678
- -
acquisition *
Share for share exchange - 572,136 - - (572,136)
- -
reverse acquisition *
Share options expense - - - 163,306
- 163,306
Issuance of shares for cash 146,698 18,119,004 - -
- 18,265,702
Share issue costs - (2,453,076) - -
- (2,453,076)
Balance at 31 December 2007 718,834 15,665,928 (11,995,860) 11,048,357
(408,059) 15,029,200
* The transfers to reserves during 2007 represent the issued share capital and share premium of subsidiary Chaarat Gold Limited prior to
its reverse
acquisition of Chaarat Gold Holdings Ltd
Consolidated cash flow statement
For the periods ended 31 December
2007 2006
USD USD
Operating activities
Result for the period before and after tax (6,540,346) (3,138,442)
Adjustments:
Amortisation expense intangible assets 430 -
Depreciation expense property, plant and 200,415 21,486
equipment
Loss on disposal of property, plant and 3,541 19,782
Equipment
Loan discounting - 82,264
Interest income (263,558) (131,781)
Share based payments 163,306 -
Foreign exchange 87,875 (7,145)
(Increase)/decrease in inventories (475,846) -
(Increase)/decrease in accounts receivable (633,208) (29,344)
Increase/(decrease) in accounts payable 490,859 45,454
Net cash flow used in operations (6,966,532) (3,137,726)
Investing activities
Purchase of computer software (5,227) -
Purchase of property plant and equipment (1,297,372) (123,689)
Proceeds from sale of equipment 13,750 26,707
Loans issued - (160,000)
Loans repaid 40,000 40,000
Interest received 203,079 105,825
Net cash used in investing activities (1,045,770) (111,157)
Financing activities
Proceeds from issue of share capital 23,264,751 3,304,125
Issue costs (2,453,076) (280,206)
Net cash from financing activities 20,811,675 3,023,919
Net change in cash and cash equivalents 12,799,373 (224,964)
Cash and cash equivalents at beginning of 846,573 1,059,977
the year
Effect of changes in foreign exchange rates (517,124) 11,560
Cash and cash equivalents at end of the year 13,128,822 846,573
Notes:
1 Preparation of accounts
The financial information set out in this preliminary announcement does not constitute the Group's complete financial statements under
the
definition of ISA 1, for the years ended 31 December 2007 or 2006.
The consolidated balance sheet at 31 December 2007, the consolidated income statement, consolidated statement of changes in equity,
consolidated
cash flow statement and associated notes for the year then ended have been extracted from the Group's 2007 annual financial statements
upon which
the auditors' opinion is unqualified.
2 Loss per share
The loss per share is calculated by reference to the loss for the year of USD6,540,346 (2006:USD3,138,442) and the weighted average
number of
shares in issue during the year of 58,366,390 (2006: 51,938,220). There is no dilutive effect of share options or warrants.
3 Dividend
No dividend is proposed in respect of the period.
4 Selected accounting policies
Basis of preparation of financial statements
The financial information has been prepared on the historical cost basis and in accordance with International Financial Reporting
Standards (IFRSs
and IFRIC interpretations) as adopted by the European Union. The acquisition of the Company has been treated as a reverse acquisition
by its
operating subsidiary, without the presence of goodwill.
In common with many exploration companies, the Company raises finance for its exploration and appraisal activities in discrete
tranches to finance
its activities for limited periods. Further funding is raised as and when required.
The Directors are confident that the Group has sufficient funding to enable it to continue to meet its debts as they fall due.
The Directors are of the opinion that the Company will require to raise additional financial resources to enable the group to
undertake an optimal
programme of exploration and appraisal activity beyond the next twelve months. Accordingly, the Directors intend to raise further
funds during the
course of the next twelve months.
Basis of consolidation
Where the Company has the power, either directly or indirectly, to govern the financial and operating policies of another entity or
business so as
to obtain benefits from its activities, that entity or business is classified as a subsidiary. The consolidated financial statements
present the
results of the Company and its subsidiaries as if they formed a single entity. Intercompany transactions and balances between group
companies are
therefore eliminated in full.
On 7 September 2007, the Company became the legal parent company of
5 Publication of Annual Report
Copies of the Annual Report and Accounts for the year ended 31 December 2007 will be posted to shareholders during May 2008 and will
be available,
free of charge, from Central Asia services Limited, 5 Conduit Street, London, W1S.2XD, for a period of 14 days from the date of their
posting and
will be made available on the Company's website - www.chaarat.com.
The Company's Annual General Meeting will be held at the offices of Chaarat Zaav CJSC, Chokmorova Street 127, Bishkek 720040, Kyrgyz
Republic, on
3 July 2008 at 4:00pm local time.
Enquiries:
Chaarat Gold Holdings Ltd Tel: +44 (0) 20 7499 2612
Dekel Golan - Dekel@chaarat.com
Terry Cross - terry@caserve.co.uk
Canaccord Adams Limited Tel: +44 (0) 20 7050 6500
Mike Jones
Robin Birchall
This information is provided by RNS
The company news service from the London Stock Exchange
END
FR BSGDUIXBGGIU
Chaarat Gold (LSE:CGH)
Gráfico Histórico do Ativo
De Jun 2024 até Jul 2024
Chaarat Gold (LSE:CGH)
Gráfico Histórico do Ativo
De Jul 2023 até Jul 2024
