Osborne Park-based gold explorer A1 Minerals Ltd has posted a half year net profit of $477,385 compared to a net loss of $310,214 in the previous corresponding period.
Osborne Park-based gold explorer A1 Minerals Ltd has posted a half year net profit of $477,385 compared to a net loss of $310,214 in the previous corresponding period.
The company also recorded exploration expenditure during the period was $ 893,361.
At market close, A1 Minerals share price was down 1 cent to 21 cents.
Below is the Director's Report for the half year ended 31 December:
DIRECTORS' REPORT
Your directors submit the financial report of the consolidated entity for the half year ended 31 December
2005.
Directors
The names of directors who held office during or since the end of the half year and until the date of this report are as below. Directors were in office for this entire period unless otherwise stated.
Michael Hunt Chairman
John Williams Managing Director
Roy Dudney Non executive Director
Peter Thomas Non executive Director
Review of Operations
During the half year A1 released its first JORC compliant resource for BrightStar at 2.34 million tonnes @
4.1g/t for over 311,000 ounces gold. The Mineral Resource included a near surface component (less than
100 metres depth) of 1,382,400 tonnes @ 3.35 g/t (1 g/t lower cut); plus 304,300 tonnes @ 10.3 g/t inferred
resource beyond 100 metres depth (3 g/t lower cut Beta, 5 g/t lower cut Alpha).
This initial resource estimate was further enhanced, to 5.93 tonnes @ 3.16gpt for 602,090 ounces gold, during the period through further drilling and through the announcement of an agreement with West Australian Metals Limited (WME).
The majority of tenements proposed to be acquired from WME are located immediately north of Laverton within economical trucking distance of BrightStar, with reported resources at Ben Hur, Cork Tree Well, King of Creation and Anchor prospects. Most have higher grade components and are open at depth, indicating potential for extensions.
The Company commenced a pre feasibility study on the BrightStar Project and is progressing with its initial upgraded resource estimate and with the assessment of various treatment options.
Exploration expenditure during the period was $ 893,361.
The net profit from operations was $ 477,385 (December 2004 Loss $ 310,214).
Adoption of Australian Equivalents to International Financial Reporting Standards (`AIFRS')
This interim report has been prepared under Australian Equivalents to IFRS. There are no material differences between previous GAAP and Australian Equivalents to IFRS.
Auditor's Declaration
Section 307C of the Corporations Act 2001 requires our auditors, K. Westaway & Associates, to provide the directors of the company with an Independence Declaration in relation to the review of the half-year financial report. This Independence Declaration is set out on page 3 and forms part of this directors' report for the half-year ended 31 December 2005.
This report is signed in accordance with a resolution of the Board of Directors.
John Williams
Director
Dated this 15th day of March 2006.
