21/10/2008 - 09:12

Matilda Minerals calls in administrators

21/10/2008 - 09:12

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Less than a week after placing its shares in a trading halt pending a financial review, West Perth-based Matilda Minerals Ltd has called in administrators from Ferrier Hodgson.

Matilda Minerals calls in administrators

Less than a week after placing its shares in a trading halt pending a financial review, West Perth-based Matilda Minerals Ltd has called in administrators from Ferrier Hodgson.

The mineral sands company said today it had been placed in a situation that it has no alternative but to appoint Messrs Martin Jones, Andrew Saker and Darren Weaver of Ferrier Hodgson as voluntary administrators.

"The Administrators are working with the board and management to look at options for the restructure of Matilda Minerals Limited and its financial positions," the company said.

Last month the company reported a full year net loss of $17.3 million for the 2008 financial year, up from to previous year's $3.1 million, due to impairment losses and write-downs.

At the end of the fiscal 2008, Matilda said it had $619,656 in cash and cash equivalents, down from the previous year's $3.14 million.

The loss follows Matilda's decision in August to suspend operations at its Tiwi Islands mine due to rising operations costs and the then stronger Australian dollar.

Shares in Matilda last traded at five cents.

Its another blow to Michael Kiernan who had built an empire of Western Australian mining companies including Territory Resources Ltd and the now collapsed Monarch Gold Mining Company Ltd.

Mr Kiernan, who had served as a non-executive director on the Matilda board, resigned in late June.

Territory has a 27.4 per cent holding in Matilda and had made a $4.6 million impairment for its investment in Matilda in its 2008 full year report.


 

 

 

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