TIDMSRO

RNS Number : 4268G

Spitfire Oil Limited

17 March 2020

SPITFIRE OIL LIMITED

8(th) Floor, Royal Trust House, 54 Jermyn Street, London SW1Y 6LX, United Kingdom

Telephone: + 44 (0)20 7629 7774. Facsimile: + 44 (0)20 7629 7773. E mail:spitfire@spitfireoil.com

Level 9, BGC Centre, 28 The Esplanade, Perth, WA 6000, Australia.

Telephone: + 61 (8)9321 0544. Facsimile: + 61 (8) 9321 7035

17(th) March 2020

INTERIM STATEMENT FOR THE SIX MONTHSED 31(st) DECEMBER 2019

Spitfire Oil Limited ("Spitfire" or "the Company") is pleased to publish a copy of its condensed consolidated unaudited interim results for the six months ended the 31(st) December 2019.

Spitfire and its subsidiaries (together "the Group") recorded a loss before tax for the six months ended the 31(st) December 2019 of A$113,324 (2018: A$325,594). With cash balances of A$2m, the Group has benefited from interest receipts of A$12,050 (2018 A$11,715) in the period. With all directors' fees suspended and other administration costs curtailed operating costs were A$102,527 (2018 A$86,680) and costs incurred prior to the relinquishment of the retention licence on the Salmon Gums lignite deposits of A$22,847 (2018 provision $250,620) have been written off.

Following the relinquishment of the Salmon Gums lignite tenement retention licence in September 2019 the directors have continued to review and investigate possible new projects and to revisit potential projects previously rejected, for acquisition by the Company. Unfortunately no potential projects have been identified that could bring value to the Company exacerbated by difficulties in raising finance for such projects in the markets at this time.

Chairman's Statement

Chairman Mladen Ninkov commented, "It has been a long and tortuous journey for the directors, management and shareholders of Spitfire. The dearth of projects and/or companies capable of being acquired, joint ventured or developed over the past decade has been frightening, not least for their lack of quality, resources or integrity of certain vendors. It has led to the inescapable conclusion that the Company should be suspended, delisted and liquidated and surplus funds returned to shareholders so that you may be able to deploy the capital in a more successful manner. I hope so in this particularly difficult world economic environment. "

Further Information

 
 Spitfire Oil Limited 
  Mladen Ninkov - Chairman       Telephone: +44(0)20 7629 7774 
  Roger Goodwin - Director 
 
 Panmure Gordon (UK) Limited   Telephone: +44 (0)20 7886 2500 
  Dominic Morley 
 
 

Spitfire Oil Limited's shares are quoted on the Alternative Investment Market (AIM)

of the London Stock Exchange (symbol SRO).

The Company's news releases are available on the Company's web site: www.spitfireoil.com

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No.596/2014.

 
               SPITIFIRE OIL LIMITED 
 CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS 
           OR OTHER COMPREHENSIVE INCOME 
     FOR THE SIX MONTHSED 31 DECEMBER 2019 
         (expressed in Australian dollars) 
 
 
                                                  Half-year                      Full-year 
                                           31 December  31 December                30 June 
                                                  2019         2018                   2019 
                                             Unaudited    Unaudited                Audited 
                                     Note           A$           A$                     A$ 
OTHER INCOME                                    12,050       11,715                 26,610 
 
EXPITURE 
Corporate and other expenses                 (102,527)     (86,680)              (199,206) 
OPERATING LOSS                                (90,477)     (74,965)             ( 172,596) 
Imparment - exploration and 
 evaluation costs                             (22,847)    (250,629)              (763,507) 
                                           -----------  -----------  --------------------- 
LOSS BEFORE INCOME TAX                       (113,324)    (325,594)             ( 936,103) 
INCOME TAX                                           -            -                      - 
LOSS AFTER INCOME TAX                        (113,324)    (325,594)              (936,103) 
OTHER COMPREHENSIVE INCOME, 
 NET OF TAX                                          -            -                      - 
TOTAL COMPREHENSIVE LOSS FOR 
 THE PERIOD ATTRIBUTABLE TO OWNERS 
 OF SPITFIRE OIL LIMITED                     (113,324)    (325,594)             ( 936,103) 
                                           ===========  ===========  ===================== 
 
Basic and diluted loss per share 
 for loss attributable to the 
 ordinary equity holders of the 
 Company (cents per share).           6          (0.5)        (1.3)                 ( 3.6) 
 

The above consolidated statement of profit or loss or other comprehensive income should be read in conjunction with the accompanying notes.

 
                 SPITFIRE OIL LIMITED 
 CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION 
                 AS AT 31 December 2019 
           (expressed in Australian dollars) 
 
 
                                      31 December   31 December        30 June 
                                             2019          2018           2019 
                                        Unaudited     Unaudited        Audited 
                              Note             A$            A$             A$ 
CURRENT ASSETS 
Cash and cash equivalents               1,998,480     2,250,704      2,124,200 
Accrued revenues                                -             -        - 
Other current assets                       44,926        31,307         22,904 
TOTAL CURRENT ASSETS                    2,043,406     2,282,011      2,147,104 
                                    -------------  ------------  ------------- 
 
NON-CURRENT ASSETS 
Capitalised exploration and 
 evaluation costs                               -       450,000              - 
Other non-current assets                        -        45,000         45,000 
                                    -------------  ------------  ------------- 
TOTAL NON-CURRENT ASSSETS                       -       495,000         45,000 
                                    -------------  ------------  ------------- 
TOTAL ASSETS                            2,043,406     2,777,011      2,192,104 
                                    -------------  ------------  ------------- 
 
CURRENT LIABILITIES 
Trade and other payables                   22,400        32,172         57,774 
TOTAL CURRENT LIABILITIES                  22,400        32,172         57,774 
                                    -------------  ------------  ------------- 
TOTAL LIABILITIES                          22,400        32,172         57,774 
                                    -------------  ------------  ------------- 
NET ASSETS                              2,021,006     2,744,839      2,134,330 
                                    =============  ============  ============= 
 
EQUITY 
Issued capital                 5       19,289,284    19,289,284     19,289,284 
Accumulated losses                  ( 17,268,278)  (16,544,445)  ( 17,154,954) 
                                    -------------  ------------  ------------- 
TOTAL EQUITY                            2,021,006     2,744,839      2,134,330 
                                    =============  ============  ============= 
 

The above consolidated statement of financial position should be read in conjunction with the accompanying notes.

 
                 SPITFIRE OIL LIMITED 
 CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 
       FOR THE SIX MONTHSED 31 DECEMBER 2019 
           (expressed in Australian dollars) 
 
 
                                  Issued    Accumulated 
                                  Capital      Losses       Total 
                                    A$           A$          A$ 
 
  BALANCE AT 31 DECEMBER 2017   19,289,284  (15,312,484)  3,976,800 
                                ----------  ------------  --------- 
 
  Loss for the period                    -     (906,367)  (906,367) 
                                ----------  ------------  --------- 
TOTAL COMPREHENSIVE LOSS                 -     (906,367)  (906,367) 
                                ----------  ------------  --------- 
 
  BALANCE AT 30 JUNE 2018       19,289,284  (16,218,851)  3,070,433 
                                ----------  ------------  --------- 
 
  Loss for the period                    -     (325,594)  (325,594) 
                                ----------  ------------  --------- 
TOTAL COMPREHENSIVE LOSS                 -     (325,594)  (325,594) 
                                ----------  ------------  --------- 
 
  BALANCE AT 31 DECEMBER 2018   19,289,284  (16,544,445)  2,744,839 
                                ----------  ------------  --------- 
 
  Loss for the period                    -     (610,509)  (610,509) 
                                ----------  ------------  --------- 
TOTAL COMPREHENSIVE LOSS                 -     (610,509)  (610,509) 
                                ----------  ------------  --------- 
 
  BALANCE AT 30 JUNE 2019       19,289,284  (17,154,954)  2,134,330 
                                ----------  ------------  --------- 
 
  Loss for the period                    -     (113,324)  (113,324) 
                                ----------  ------------  --------- 
TOTAL COMPREHENSIVE LOSS                 -     (113,324)  (113,324) 
                                ----------  ------------  --------- 
 
  BALANCE AT 31 DECEMBER 2019   19,289,284  (17,268,278)  2,021,006 
                                ==========  ============  ========= 
 

The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

 
             SPITFIRE OIL LIMITED 
 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS 
   FOR THE SIX MONTHS ENDED 31 DECEMBER 2019 
       (expressed in Australian dollars) 
 
 
                                                     Half-year          Full-year 
                                              31 December  31 December    30 June 
                                                     2019         2018       2019 
                                                Unaudited    Unaudited    Audited 
                                                       A$           A$         A$ 
CASH FLOWS FROM OPERATING ACTIVITIES 
Payments to suppliers and employees             (113,561)     (91,204)  (167,158) 
Interest received                                  12,050       34,944     49,839 
Net cash (outflow) from operating 
 activities                                     (101,511)     (56,260)  (117,319) 
                                              -----------  -----------  --------- 
 
CASH FLOWS FROM INVESTING ACTIVITIES 
Payments for exploration and evaluation 
 expenditure                                     (22,847)    (250,629)  (313,507) 
Net cash (outflow) from investing 
 activities                                      (22,847)    (250,629)  (313,507) 
                                              -----------  -----------  --------- 
 
NET (DECREASE) IN CASH AND CASH EQUIVALENTS     (124,358)    (306,889)  (430,826) 
Cash and cash equivalents at the 
 beginning of the period                        2,124,200    2,560,120  2,560,120 
Effects of exchange rate changes 
 on cash and cash equivalents                     (1,362)      (2,527)    (5,094) 
                                              -----------  -----------  --------- 
CASH AND CASH EQUIVALENTS AT THE 
 END OF THE PERIOD                              1,998,480    2,250,704  2,124,200 
                                              ===========  ===========  ========= 
 

The above consolidated statement of cash flows should be read in conjunction with the accompanying notes.

SPITFIRE OIL LIMITED

Notes to the CONDENSED CONSOLIDATED financial statements

NOTE 1: BASIS OF PREPARATION OF THE SIX MONTH FINANCIAL REPORT

This condensed consolidated interim financial report for the six month reporting period ended 31 December 2019 has been prepared in accordance with Accounting Standard AASB 134 Interim Financial Reporting.

The summary accounts set out above do not constitute statutory accounts as defined by Section 84 of the Bermuda Companies Act 1981 or Section 435 of the UK Companies Act 2006. The condensed consolidated statement of financial position at 30 June 2019 and the condensed consolidated statement of profit or loss and other comprehensive income, condensed consolidated statement of changes in equity and the condensed consolidated statement of cash flows for the year then ended have been extracted from the Group's 2019 statutory financial statements upon which the auditors' report was unqualified.

This condensed consolidated interim financial report does not include all the notes of the type normally included in an annual financial report. Accordingly, this report is to be read in conjunction with the annual report for the year ended 30 June 2019 and any public announcements made by Spitfire Oil Limited during the interim reporting period in accordance with the continuous disclosure requirements.

Copies of this interim report are available from the Company's London office, 8(th) Floor, 54 Jermyn Street, London, SW1Y 6LX.

The accounting policies adopted are consistent with those of the previous financial year and corresponding interim reporting period.

Adoption of new and revised accounting standards

In the six months ended 31 December 2019, the Group has reviewed all of the new and revised Standards and Interpretations issued by the AASB that are relevant to its operations and effective for annual reporting periods beginning on or after 1 July 2019.

It has been determined by the Group that, there is no material impact of the new and revised standards and interpretations on its business and therefore no change is necessary to the Group's accounting policies.

The Group has also reviewed all new Standards and Interpretations that have been issued but are not yet effective for the half-year ended 31 December 2019. As a result of this review the Directors have determined that there is no impact, material or otherwise, of the new and revised Standards and Interpretations on its business and, therefore, no change necessary to Group accounting policies.

SPITFIRE OIL LIMITED

Notes to the CONDENSED CONSOLIDATED financial statements .

NOTE 2: SEGMENT INFORMATION

Management has determined the operating segments based on the reports reviewed by the Board of Directors that are used to make strategic decisions. For management purposes, the Group has identified only one reportable segment, being the exploration and mining for valuable resources that produce energy in Australia.

NOTE 3: DIVIDENDS

The Company has not declared any dividends in the period ended 31 December 2019.

NOTE 4: CONTINGENCIES

There has been no change in contingent liabilities or contingent assets since the last annual reporting date.

NOTE 5: ISSUED CAPITAL

 
                          31 December 2019        31 December 2018          30 June 2019 
                           No          A$          No          A$          No          A$ 
Issued and Paid Up 
 Capital 
Fully Paid Ordinary 
 Shares                25,884,001  19,289,284  25,884,001  19,289,284  25,884,001  19,289,284 
                       ----------  ----------  ----------  ----------  ----------  ---------- 
Total Issued Capital               19,289,284              19,289,284              19,289,284 
                                   ==========              ==========              ========== 
 

NOTE 6: LOSS PER SHARE

 
                                         31 December  31 December           30 June 
                                             2019         2018                2019 
Basic and diluted loss per share 
 (cents)                                       (0.4)        (1.3)                      (3.6) 
 
a) Net loss used in the calculation 
 of basic and diluted loss per share 
 (A$)                                      (113,324)    (325,594)                  (936,103) 
 
b) Weighted average number of ordinary 
 shares outstanding during the period 
 used in the calculation of basic 
 and diluted loss per share               25,884,001   25,884,001                 25,884,001 
 

NOTE 7: SUBSEQUENT EVENTS

Since 31 December 2019, the directors have resolved that following the relinquishment of the Salmon Gums lignite tenement retention licence, as a result of; changes to the "Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" requirements for the renewal of retention licences; a number of reviews of the economic feasibility of the Salmon Gums lignite project, in particular with consideration of the current and long term forecast for the continued relatively low oil prices; and the continuing costs of maintaining the retention licence over the Salmon Gums tenements; and despite substantial efforts by the directors and the Company's advisers to find another company, project or venture with the potential to bring value to Company, the Company is no longer serving any useful purpose and it is proposed that it be wound up by way of a Members' voluntary liquidation. Provision has not been made in the condensed financial statements to 31(st) December 2019 for ongoing costs to date of dissolution and liquidation costs.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

END

IR JRMLTMTTBMLM

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