Trading Symbols
AIM: AGQ
FWB: I3A
ARIAN
SILVER
29 September
2017
Interim results
for the six months ended 30 June
2017
Arian Silver Corporation (“Arian” or the “Company”) is pleased
to announce its financial results for the six months ended
30 June 2017.
Jim Williams, Chief Executive of Arian, commented: “Our
strategy is to create a portfolio of primarily lithium, silver and
gold exploration projects, principally in Mexico.
The investment case for lithium is
well understood given the expected demand for energy storage in the
automotive and housing sectors. This demand for the metal is
expected to grow and be sustained, which makes this an ideal time
to have moved into the sector.
The region in Mexico in which Arian
has been operating for many years is already known to host some
large lithium deposits, and we are presently seeking out similar
prospective mining concessions. As announced earlier today, we have
withdrawn from exploring a group of projects under option, which
although they confirmed consistency of lithium grades, did not
contain the higher grades known to be attainable in the region.
With regards to Arian’s portfolio of
silver projects, these contain some very promising targets which we
are keen to retain and explore further once the silver price has
demonstrated sustainability at higher levels.”
Strategy
Arian’s objective is to create a portfolio of primarily lithium,
silver and gold exploration projects, principally in Mexico.
The group has operated in Mexico for over ten years during which
time it has established long-term relationships with local
government, communities, and key stakeholders. Arian’s geological
experts assess and identify projects for potential mineralisation.
Wherever possible, the Company will seek to enter into agreements
whereby Arian has the option to acquire projects, allowing
preliminary exploration work to be undertaken whilst minimising any
financial commitment.
Where preliminary studies evidence sufficient mineralisation,
increasingly comprehensive studies will be undertaken with a view
to delineating a compliant mineral resource estimate in readiness
of potential sale of the asset to a producing mining company, at
which time a significant premium over its acquisition and
development cost may be justified.
Financial highlights
As at 30 June 2017, the Company
had total assets of US$1.5 million
(2016: US$2.2 million) of which
US$0.9 million (2016: US$1.2 million) was cash. The Company had total
liabilities of US$0.1 million (2016:
US$0.1 million) of which US$0.1 million were current liabilities (2016:
US$0.1 million).
In the six months ended 30 June
2017 the Company made an operating loss of US$0.7 million (2016: US$0.9 million) and a loss per share of
US$0.003 (2016: US$0.006). The Company raised proceeds by way of
private placings of shares of US$0.8
million before costs and expenses, to further its
strategy.
Overview of operations
During the six months ended 30 June
2017, the Company carried out a high level exploration
programme over its portfolio of silver mining concessions covering
an area of over approximately 1,500 hectares, to develop and direct
future exploration work, the findings of which are set out in more
detail below.
Properties
As at 30 June 2017, the Company
fully owned 12 silver mining concessions covering an area of
approximately 1,500 hectares. During the six months ended
30 June 2017, Arian acquired an
option over three lithium mining concessions covering approximately
1,600 hectares for consideration of US$200,000, payable in instalments up to
March 2018.
In light of assay results from the initial auger drill programme
received after the period end, in September
2017, the Company will not undertake any further exploration
work on these projects and will seek to negotiate an extension to
the option agreement.
Silver projects
Los Campos project
The Los Campos project comprises four concessions covering an
area of approximately 500 hectares, located on the south side of
the city of Zacatecas. The property is easily accessible and is
only a 15-minute drive from the centre of the City of Zacatecas and
from the Calicanto project.
San Celso project
San Celso consists of three contiguous mining concessions
totalling 88 hectares. The concessions are located in the historic
mining district of Pánfilo Natera-Ojocaliente and are surrounded by
other concessions to the south and west.
Calicanto project
The Calicanto property, the sale of which was completed in
February 2017, consists of seven
contiguous mining concessions totalling approximately 75 hectares.
The property is located in the heart of the Zacatecas mining
district, adjacent and partly contiguous to Capstone Mining’s
Cozamin mine, and covers four known main vein systems.
Other silver projects
Arian Silver holds five additional silver mining concessions
covering over 900 hectares. These concessions were acquired in 2006
because of their strategic position to the San Celso project. These
concessions too require further exploratory work to fully assess
their economic potential.
Lithium projects
Initial sampling at the three lithium projects held under option
evidenced lithium grades of up to 0.016% (160 parts per
million).
Pozo Hondo
The Pozo Hondo project is the largest of the projects at almost
1,100 hectares in size and covers one salar, the Laguna El
Salado.
Columpio
The Columpio project is almost 400 hectares in size,
encompassing two salars, Laguna Tenango and Laguna La Virgen,
approximately 24km from the town of Villa de Cos.
Abundancia
The Abundancia project is 150 hectares in size and encompasses
the Laguna Noria del Burro salar, approximately 40km from the town
of Villa de Cos.
Post balance sheet
events
On 13 July 2017, the Company
announced a fundraise of £600,000 before expenses through the
private placing for 0.5p each, of 120 million units, each
comprising one Common share in the capital of the Company and one
warrant exercisable to receive one Common share in the capital of
the Company at 0.6p each. Admission of the Placing Shares became
effective at 8:00am on 27 July 2017.
Future outlook
The expected increase in demand for lithium has significantly
improved the economic potential for mining companies with access to
good quality lithium assets. Arian is focussed on identifying new
lithium prospects predominantly within the Zacatecas region of
Mexico.
The review of the Company’s silver mining concessions resulted
in the identification of good opportunities for the future
exploration of those assets once the silver price has demonstrated
sustainability at higher levels, the disposal of one silver
project, and the absence of a need for any impairment.
Management continue to work towards the identification of
additional opportunities to expand and develop the Company’s mining
assets, with a particular focus on assets giving access to
near-term revenues.
Notice of no auditor
review of interim financial information
The interim unaudited consolidated financial information for the
six month period ended 30 June 2017
have been prepared by and are the responsibility of the Company’s
management, in accordance with International Accounting Standards
(“IAS”) 34 Interim Financial Reporting.
Arian Silver Corporation
Consolidated statement of
comprehensive income
For the six months ended 30 June 2017
(tabular amounts expressed in thousands of US dollars unless
otherwise stated)
|
Unaudited
six months ended
30 June
2017 |
As restated
unaudited
six months ended
30 June
2016 |
Audited
year ended
31 December
2016 |
Continuing
operations |
|
|
|
Administrative
expenses |
(653) |
(663) |
(1,366) |
Impairment |
- |
(202) |
(202) |
Operating
loss |
(653) |
(865) |
(1,568) |
Net investment
income |
5 |
60 |
20 |
Loss from continuing
operations |
(648) |
(805) |
(1,548) |
|
|
|
|
|
|
|
|
Profit/(loss) for
the period attributable to equity shareholders of the
parent |
(648) |
(805) |
(1,548) |
|
|
|
|
Other comprehensive
income |
|
|
|
Foreign exchange
translation differences recognised directly in equity |
41 |
(145) |
(263) |
Other comprehensive
income for the year |
41 |
(145) |
(263) |
Total comprehensive
income for the year attributable to equity shareholders of the
parent |
(607) |
(950) |
(1,811) |
Basic and diluted loss
per share ($/share) |
(0.003) |
(0.006) |
(0.010) |
The accompanying
notes are an integral part of these consolidated financial
information.
These
consolidated financial information have been approved by the
Company’s directors.
Arian Silver Corporation
Consolidated statement of financial
position
For the six months ended 30 June 2017
(tabular amounts expressed in thousands of US dollars)
|
Note |
Unaudited
30 June
2017 |
As restated
unaudited
30 June
2016 |
Audited
31 December
2016 |
Assets |
|
|
|
|
Non-current
assets |
|
|
|
|
Intangible assets |
2 |
233 |
662 |
173 |
Property, plant and
equipment
Available-for-sale investment |
3 |
6
272 |
10
- |
7
- |
Total non-current
assets |
|
511 |
672 |
180 |
|
|
|
|
|
Current
assets |
|
|
|
|
Trade and other
receivables |
|
66 |
351 |
309 |
Cash and cash
equivalents |
|
891 |
1,169 |
416 |
Total current
assets |
|
957 |
1,520 |
725 |
Asset held for
sale |
|
- |
- |
400 |
Total
assets |
|
1,468 |
2,192 |
1,305 |
|
|
|
|
|
Equity attributable
to equity shareholders of the parent |
|
|
|
|
Share capital |
4 |
52,559 |
52,396 |
52,396 |
Warrant reserve |
4 |
1,867 |
1,333 |
1,333 |
Share-based payment
reserve |
4 |
1,389 |
1,417 |
1,417 |
Foreign exchange
translation reserve |
4 |
1,869 |
1,946 |
1,828 |
Accumulated losses |
|
(56,328) |
(55,021) |
(55,764) |
Total
equity |
|
1,356 |
2,071 |
1,210 |
|
|
|
|
|
Liabilities |
|
|
|
|
Trade and other
payables |
|
112 |
121 |
95 |
Total current
liabilities |
|
112 |
121 |
95 |
|
|
|
|
|
Total equity and
liabilities |
|
1,468 |
2,192 |
1,305 |
The accompanying
notes are an integral part of these consolidated financial
information.
These
consolidated financial information have been approved by the
Company’s directors.
Arian Silver
Corporation
Consolidated statement of cash
flows
For the and six months ended
30 June 2017
(tabular amounts expressed in thousands of US dollars)
|
Unaudited
six months ended
30 June
2017 |
As restated
unaudited
six months ended
30 June
2016 |
Audited
year ended
31 December
2016 |
Cash flows from
operating activities |
|
|
|
(Loss)/profit before
tax from continuing operations |
(648) |
(805) |
(1,548) |
Adjustments for
non-cash items: |
|
|
|
Depreciation and
amortisation |
2 |
1 |
3 |
Exchange
difference |
55 |
(105) |
(69) |
Net interest
receivable |
(6) |
(1) |
(20) |
Proceeds from Quintana
for working capital |
- |
(50) |
- |
Impairment of
intangible assets |
- |
202 |
202 |
Equity-settled
share-based payment transactions |
56 |
- |
- |
Operating cash flows
before movements in working capital |
(541) |
(758) |
(1,432) |
Increase in trade and
other receivables |
(38) |
(120) |
(48) |
Increase/(decrease) in
trade and other payables |
11 |
(362) |
(433) |
Cash used in
operating activities |
(568) |
(1,240) |
(1,913) |
|
|
|
|
Cash flows from
investing activities |
|
|
|
Interest received |
1 |
1 |
1 |
Proceeds from Quintana
for working capital
Proceeds from asset held for sale |
-
400 |
50 |
50 |
Purchase of intangible
assets |
(34) |
(52) |
(84) |
Acquisition of
property, plant and equipment |
- |
(7) |
(7) |
Cash used in
investing activities |
367 |
(8) |
(40) |
|
|
|
|
Cash flows from
financing activities |
|
|
|
Proceeds from issue of
share capital |
775 |
2,157 |
2,157 |
Issue costs |
(77) |
(210) |
(209) |
Cash from financing
activities |
698 |
1,947 |
1,948 |
|
|
|
|
Net
increase/(decrease) in cash and cash equivalents |
497 |
699 |
(5) |
Cash and cash
equivalents at beginning of period/year |
416 |
474 |
474 |
Effect of exchange rate
fluctuations on cash held |
(22) |
(4) |
(53) |
Cash and cash
equivalents at end of period/year |
891 |
1,169 |
416 |
The accompanying
notes are an integral part of these consolidated financial
information.
These
consolidated financial information have been approved by the
Company’s directors.
Arian Silver Corporation
Consolidated statement of changes in
equity
For the six months ended 30 June 2017
(tabular amounts expressed in thousands of US dollars)
For the six months ended 30 June
2017
Unaudited |
Share
capital |
Warrant
reserve |
Share
based
payment reserve |
Foreign exchange
translation reserve |
Accumulated
losses |
Total |
Balance: 1 January
2017 |
52,396 |
1,333 |
1,417 |
1,828 |
(55,764) |
1,210 |
Loss for the
period |
- |
- |
- |
- |
(648) |
(648) |
Foreign exchange |
- |
- |
- |
41 |
- |
41 |
Total comprehensive
income |
- |
- |
- |
41 |
(648) |
(607) |
Shares issued for
cash |
775 |
- |
- |
- |
- |
775 |
Share issue costs |
(78) |
- |
- |
- |
- |
(78) |
Share options
lapsed
Share options issued |
-
- |
-
- |
(84)
56 |
-
- |
84
- |
-
56 |
Cancellation of
warrants |
- |
- |
- |
- |
- |
- |
Fair value of warrants
issued |
(534) |
534 |
- |
- |
- |
- |
Balance: 30 June
2017 |
52,559 |
1,867 |
1,389 |
1,869 |
(56,328) |
1,356 |
For the six months ended 30 June
2016
Unaudited |
As restated
Share
capital |
As restated
Warrant reserve |
Share
based
payment reserve |
Foreign exchange
translation reserve |
As restated
Accumulated losses |
Total |
Balance: 1 January
2016 |
51,781 |
3,455 |
7,701 |
2,091 |
(63,955) |
1,073 |
Profit for the
period |
- |
- |
- |
- |
(805) |
(805) |
Foreign exchange |
- |
- |
- |
(145) |
- |
(145) |
Total comprehensive
income |
- |
- |
- |
(145) |
(805) |
(948) |
Share options
lapsed
Fair value of warrants
Share issued
Share issue costs
Cancellation of warrants |
-
-
825
(210)
- |
-
1,333
-
-
(3,455) |
(6,284)
-
-
-
- |
-
-
-
-
- |
6,284
-
-
-
3,455 |
-
1,333
825
(210)
- |
Balance: 30 June
2016 |
52,396 |
1,333 |
1,417 |
1,946 |
(55,021) |
2,071 |
For the year ended 31 December 2016
Audited |
Share
capital |
Warrant
reserve |
Share
based
payment reserve |
Foreign exchange
translation reserve |
Accumulated
losses |
Total |
Balance: 1 January
2016 |
51,781 |
3,455 |
7,701 |
2,091 |
(63,955) |
1,073 |
Loss for the year |
- |
- |
- |
- |
(1,548) |
(1,548) |
Foreign exchange |
- |
- |
- |
(263) |
- |
(263) |
Total comprehensive
income |
- |
- |
- |
(263) |
(1,548) |
(1,811) |
Share issued for
cash
Share issue costs
Fair value of warrants issued
Share options lapsed
Cancellation of warrants |
824
(209)
-
-
- |
-
-
1,333
-
(3,455) |
-
-
-
(6,284)
- |
-
-
-
-
- |
-
-
-
6,284
3,455 |
824
(209)
1,333
-
- |
Balance: 31 December
2016 |
52,396 |
1,333 |
1,417 |
1,828 |
(55,764) |
1,210 |
The accompanying
notes are an integral part of these consolidated financial
information.
These
consolidated financial information have been approved by the
Company’s directors.
Arian Silver Corporation
Notes to Consolidated Financial
Information (Unaudited)
For the six months ended 30 June 2017
(tabular amounts expressed in thousands of US dollars unless
otherwise stated)
1. Basis of
preparation, going concern and adequacy of project finance
These interim unaudited consolidated financial information for
Arian Silver Corporation (“ASC” or the “Company”) have been
prepared in accordance with International Financial Reporting
Standards.
ASC is a company domiciled in the British Virgin Islands. The
consolidated financial information of the Company comprise
financial information of the Company and its subsidiaries (together
referred to as the “Group”). The Group is primarily involved in the
exploration and development of mineral resource assets.
The accounting policies and methods of computation used in the
preparation of the interim unaudited consolidated financial
information are the same as those described in the Company’s
audited consolidated financial information and notes thereto for
the year ended 31 December 2016. In
the opinion of the management, the interim unaudited consolidated
financial information include all adjustments considered necessary
for fair and consistent presentation of financial information.
These interim unaudited consolidated financial information should
be read in conjunction with the Company’s audited financial
statements and notes for the year ended 31
December 2016.
These consolidated financial information are presented in United
States dollars as the Company believes it to be the most
appropriate and meaningful currency for investors. The functional
currencies of the Company and its subsidiaries are pounds sterling,
Mexican peso and United States dollars.
The financial Information have been prepared on a going concern
basis. The directors regularly review cash flow forecasts to
determine whether the Group has sufficient cash reserves to meet
future working capital requirements and discretionary business
development opportunities including exploration activities.
On 8 June 2017, the Company
successfully raised gross proceeds of US$775,000 (£600,000) by issuing 120,000,000
common shares at 0.5 pence each.
The Group’s assets are at an early stage and in order to meet
financing requirements for their development previously the Company
has raised equity funds in several discrete share placements, which
is a common practice for junior mineral exploration companies.
Although the Company has been successful in the past in raising
equity finance, there can be no assurance that the funding required
by the Group will be made available to it when needed or, if such
funding were to be available, that it would be offered on
reasonable terms. The terms of such financing might not be
favourable to the Group and might involve substantial dilution to
existing shareholders.
The directors currently believe that the Group has adequate
resources for the foreseeable future or access to such resources in
order to continue to prepare the Company’s financial information on
a going concern basis. In reaching this conclusion, the directors
have reviewed cash flow forecasts to the end of July 2018 and considered their ability to reduce
expenditure in the event that further fundraisings are not
completed within that timeframe, and have concluded they can make
such savings as may be necessary in order to operate within the
funds currently available to them.
2.
Intangible assets – deferred exploration and evaluation costs
The Group’s deferred exploration and evaluation costs comprise
costs directly incurred in exploration and evaluation as well as
the cost of maintaining mineral licences. They are capitalised as
intangible assets pending the determination of the feasibility of
the project. When the decision is taken to develop a mine, the
related intangible assets are transferred to property, plant and
equipment. Where a project is abandoned or is determined not
economically viable, the related costs are written off.
The recoverability of deferred exploration and evaluation costs
is dependent upon a number of factors common to the natural
resource sector. These include the extent to which the Group can
establish economically recoverable reserves on its properties, the
ability of the Group to obtain necessary financing to complete the
development of such reserves and future profitable production or
proceeds from the disposition thereof.
Intangible assets for the six months ended 30 June 2017 are detailed in the following table
and relate entirely to deferred exploration and development
costs:
|
Unaudited
30 Jun
2017
$ |
As restated
unaudited
30 Jun
2016
$ |
Audited
31 Dec
2016
$ |
Cost |
|
|
|
Opening balance 1 January |
173 |
812 |
812 |
Additions for the period |
33 |
52 |
84 |
Transferred to investments held for
sale |
- |
- |
(400) |
Impairment |
- |
(202) |
(202) |
Foreign exchange |
27 |
- |
(121) |
Closing balance |
233 |
662 |
173 |
The opening balance for 30 June
2016 has been restated because upon review of licences in
prior year, directors identified 4 licences relating to the San
Jose project, which were discontinued in 2015. Therefore, the loss
on discontinued operations in 2015 was restated, increasing by
$69,000, with intangible assets and
equity decreasing by the same amount.
3.
Available-for-sale investment
Investments classified as available-for-sale comprise the
Group's investments in entities not qualifying as subsidiaries,
associates or jointly controlled entities. They are carried at fair
value with changes in fair value, other than those arising due to
exchange rate fluctuations and interest calculated using the
effective interest rate, recognised in other comprehensive income
and accumulated in the available-for-sale reserve. Exchange
differences on investments denominated in a foreign currency and
interest calculated using the effective interest rate method are
recognised in profit or loss. The available-for-sale
investments held at period end are held at cost as management
consider it representative of fair value.
4.
Share capital and reserves
Share capital
The Company is authorised to issue an unlimited number of common
shares of no par value.
Changes in share capital for the six months ended 30 June 2017 are as follows:
|
Number of
Shares
‘000 |
Amount
US$ |
Opening balance 1
January 2016 |
33,907 |
51,781 |
Closing balance 30 June
2016 (unaudited) – as restated |
183,695 |
52,396 |
Closing balance 31
December 2016 (audited) |
183,695 |
52,396 |
Shares issued |
120,000 |
775 |
Share issue costs
Fair value of share warrants issued |
-
- |
(78)
(534) |
Closing balance 30
June 2017 (unaudited) |
303,695 |
52,559 |
2016
· On 27
January 2016, 79,787,493 common shares were issued at £0.01
each, £797,875 (US$1,137,419).
· On 13 May
2016, 70,000,000 common shares were issued at £0.01 each,
£700,000 (US$1,019,970).
Six months ended
30 June 2017
· On 8 June
2017, 120,000,000 common shares were issued at 0.5 pence each, £600,000 (US$775,110).
Six months ended
30 June 2016
· Upon review, it was determined
that the fair value of the warrants issued during the period was
incorrectly charged to the income statement, instead of being
charged to share capital. Accordingly share capital was restated to
include a charge of $1.3m.
Warrant
reserve
The number and weighted average exercise price for the period
ended 30 June 2017 are set out in the
table below:
|
Outstanding
(000’s) |
Weighted average
exercise price
US$ |
Opening balance 1
January 2016 |
12,152 |
0.88 |
Closing balance 30 June
2016 (unaudited) |
114,787 |
0.02 |
Closing balance 31
December 2016 (audited) |
114,787 |
0.02 |
Issued |
132,000 |
0.01 |
Cancelled |
- |
- |
Closing balance 30
June 2017 (unaudited) |
246,787 |
0.01 |
On 9 June 2017 132,000,000 common
share purchase warrants were issued, exercisable at 0.76 US cents
(0.6p) per common share, until 8 June
2019.
Upon review, it was determined that the fair value of the
warrants issued during the period was incorrectly calculated as
US$2.8m and should have been
US$1.3m. Accordingly the balance of
the warrant reserve for the six-month period ended 30 June 2016 has been restated.
Fair value of Warrants and
assumptions
The estimate of the fair value of the Warrants is measured based
on the Black-Scholes model. The following inputs were used in the
calculation of the fair value of the warrants granted.
|
|
9 June
2017 |
Fair value (US$
000s) |
|
534 |
Share price (£) |
|
0.007 |
Weighted average
exercise price (£) |
|
0.006 |
Expected
volatility |
|
68.29% |
Expected warrants
life |
|
2 years |
Expected dividend
yield |
|
0% |
Risk-free interest
rate |
|
0.12% |
Share based payment reserve
The share based payment reserve arises on the grant of share
options to directors, employees and other eligible persons under
the share option plan.
A summary of the changes in the Group’s contributed surplus for
the six months ended 30 June 2017 is
set out below:
|
Unaudited
30 Jun
2017
US$ |
Unaudited
30 Jun
2016
US$ |
Audited
31 Dec
2016
US$ |
Opening balance 1 January |
1,417 |
7,701 |
7,701 |
Fair value of share options |
56 |
- |
- |
Incentive stock options lapsed |
(84) |
(6,284) |
(6,284) |
Closing balance |
1,389 |
1,417 |
1,417 |
Foreign exchange
translation reserve
The translation reserve comprises foreign exchange differences
arising from the translation of the financial statements of
operations that do not have a US dollar functional currency.
Exchange differences arising are classified as equity and
transferred to the Group’s translation reserve. Such translation
differences are recognised in profit or loss in the period in which
the operation is disposed of.
Accumulated
losses
Accumulated losses contain losses incurred in the current and
prior years.
5. Incentive stock
options
A summary of the Company’s stock options as at 30 June 2017 is set out below:
Outstanding
shares |
Exercise
price |
Expiry |
725,000 |
£0.70 |
29 May 2018 |
50,000
6,250,000
2,250,000 |
£0.44
£0.01
£0.01 |
5 January 2020
2 February 2022
9 February 2022 |
6. Related party
transactions
These unaudited interim consolidated financial information
include balances and transactions with directors and officers of
the Company and/or corporations related to them. All transactions
have been recorded at the exchange amount which is the
consideration established and agreed to between the related
parties.
Control of the Company
In the opinion of the Board, at 30 June
2017 there was no ultimate controlling party of the
Company.
Identity of related parties
The Company and its subsidiaries have a related party
relationship, with its Directors and executive officers.
Siberian
Goldfields Ltd (“SGL”)
On 24 September 2013 the Company
acquired an option for US$200,000 to
conduct due diligence on SGL and its mineral properties, with a
view to ASC undertaking a potential equity transaction or other
corporate transaction or investment with SGL (“Transaction”). On
27 November 2013, ASC gave notice to
SGL of its election not to proceed with a Transaction.
The option grant fee was repayable by SGL to ASC together with
interest payable at a rate of 10% per annum in the event that ASC
elects not to proceed with a Transaction. On 21 April 2017 the outstanding debt owed by SGL
was settled through the issue of 2 million SGL shares representing
0.70% of the issued share capital of SGL. These were subsequently
exchanged for 881,077 ordinary shares (representing 0.35% of the
issued share capital) of Siberian Goldfields Ltd (“SGL UK”), a UK
registered company. The Company’s interest in the underlying
Siberian Goldfields project remains unchanged as a consequence of
the restructuring from SGL to SGL UK.
As at 30 June 2017 the investment
in SGL UK is shown as an investment held for sale in the statement
of financial position.
As at 21 April 2017, interest
accrued during the period ended 30 June
2017 amounted to US$6,000
(30 June 2016: US$10,000, 31 December
2016: US$20,000). As at
21 April 2017, total amount owed to
ASC by SGL was US$272,000
(30 June 2016: US$255,000, 31 December
2016: US$265,000).
A.J. Williams is a director and shareholder of SGL.
Directors’ interests in shares of the Company
At 30 June 2017 the Directors of
the Company and their immediate relatives controlled approximately
1.7% (30 June 2016: 2.8%,
31 December 2016: 2.8%) of the voting
shares of the Company.
Directors’ interests in the common shares of the Company as at
30 June 2017 are set out below.
|
Unaudited
30 Jun
2017 |
Unaudited
30 Jun
2016 |
Audited
31 Dec
2016 |
A J Williams |
1,688,702 |
1,688,702 |
1,688,702 |
J T Williams |
1,500,000 |
1,500,000 |
1,500,000 |
T A Bailey |
1,314,226 |
1,314,226 |
1,314,226 |
J A Crombie |
566,665 |
566,665 |
566,665 |
Transactions with key management personnel
During the period ended 30 June
2017 the Company entered into the following transactions
involving key management personnel:
Dragon Group Ltd charged the Company a total of US$65,832 (30 June
2016: US$67,834, 31 December 2016: US$122,266). This relates to the reimbursement of
A.J. Williams’ remuneration paid on behalf of the Company. A.J.
Williams, Chairman and a director of the Company, beneficially owns
Dragon Group Ltd. At 30 June 2017,
US$21,944 (30
June 2016: US$11,306,
31 December 2016: US$10,413) was outstanding.
Key management personnel also participate in the Group’s share
option programme.
JS Cable consulting fees
During the period JS Cable charged the Company a total of nil
(30 June 2016: nil, 31 December 2016: US$10,141) in respect of consulting fees. There
was no outstanding balance at 30 June
2017 (30 June 2016: nil, 2016:
nil).
TA Bailey consulting fees
During the period TA Bailey charged the Company a total of nil
(30 June 2016: nil, 2016:
US$9,395) in respect of consulting
fees. There was no outstanding balance at 30
June 2017 (30 June 2016: nil,
2016: nil).
7. Post
balance sheet events
On 13 July 2017, the Company
announced a fundraise of £600,000 before expenses through the
private placing for 0.5p each, of 120 million units each comprising
one Common share in the capital of the Company and one warrant
exercisable to receive one Common share in the capital of the
Company at 0.6p each. The placing was conditional on the shares
being admitted to trading on AIM (“Admission”). Admission of 120
million shares became effective at 8:00am on 27 July
2017.
This announcement contains inside information for the purposes
of Article 7 of Regulation (EU) 596/2014.
For further
information please contact:
Arian Silver
Corporation
Jim Williams, CEO
David Taylor, Company Secretary
Tel: +44 (0)20 7887 6599 |
Northland Capital
Partners Limited
Gerry Beaney / David Hignell / Jamie Spotswood
Tel: +44 (0)203 861 6625 |
OR |
OR |
Beaufort Securities
Limited
Jon Belliss
Tel: +44 (0)20 7382 8300 |
Yellow Jersey
Charles Goodwin / Harriet Jackson
Tel: +44 (0)7747 788 221 |
|
|
Forward-Looking
Information
This press release contains certain “forward-looking
information”. All statements, other than statements of historical
fact that address activities, events or developments that the
Company believes, expects or anticipates will or may occur in the
future are deemed forward-looking information.
This forward-looking information reflects the current
expectations or beliefs of the Company based on information
currently available to the Company as well as certain assumptions.
Forward-looking information is subject to a number of significant
risks and uncertainties and other factors that may cause the actual
results of the Company to differ materially from those discussed in
the forward-looking information, and even if such actual results
are realised or substantially realised, there can be no assurance
that they will have the expected consequences to, or effects on the
Company.
Any forward-looking information speaks only as of the date on
which it is made and, except as may be required by applicable
securities laws, the Company disclaims any intent or obligation to
update any forward-looking information, whether as a result of new
information, future events or results or otherwise. Although the
Company believes that the assumptions inherent in the
forward-looking information are reasonable, forward-looking
information is not a guarantee of future performance and
accordingly undue reliance should not be put on such information
due to the inherent uncertainty therein.