Asiamet Resources Limited Asiamet Resources Limited - Half-Year Results 2017

 
TIDMARS 
 
 
   VANCOUVER, British Columbia, Sept. 15, 2017 -- Asiamet Resources Limited, 
(AIM:ARS) ('the Company'), Half-year financial statements for the six 
months ended 30 June 2017 are available for viewing on www.sedar.com or 
www.asiametresources.com. 
 
   As at 30 June 2017, the Company had cash of $137,445.  On 11 August 
2017, the Company placed a total of 139,534,884 new common shares 
("Placing Shares") to raise a total of GBP6.0m (approximately $7.7m) 
(before expenses) (the "Placing") at a price of GBP0.043 (the "Placing 
Price").  The Placing Shares were admitted for trading on AIM on 15 
August 2017. Insider purchasers included Antony Manini, a Director and 
Executive Chairman of the Company, Stephen Hughes, a Director and Vice 
President Exploration of the Company, and Faldi Ismail, a Director of 
the Company, who purchased 1,000,000, 418,605 and 283,395 Placing Shares 
respectively at the Placing Price. In addition, Significant Shareholders 
Asipac Group Pty Ltd. and Namarong Investments Pty Ltd. participated in 
the Placing and purchased 7,441,860 (4.9%) and 7,209,302 (4.25%) Placing 
Shares respectively, at the Placing Price.  JP Morgan Asset Management 
purchased 71,010,118 (8.31%) Placing Shares at the Placing Price to 
become a new Significant Shareholder. 
 
   The loss from continuing operations for the half-year ended 30 June 2017 
was $2,014,057 (2016: $808,752) was net of a $708,089 gain on sale of 
its subsidiary. The loss results from $2,096,264 of exploration 
expenditure incurred and expensed, $492,005 of administration costs and 
$96,910 of non-cash share-based compensation expenditure. The 
exploration expenditure incurred and expensed mainly relates to the 
ongoing feasibility study work on the Beruang Kanan Main zone and 
peripheral exploration and on advancing the conversion of the IUP at 
Beutong from an exploration IUP to a production IUP. 
 
   Management 
 
   On 20 February 2017, the Company strengthened its Board and management 
team to oversee the advancement the BKM feasibility study and ramp up 
project financing and mine development related activities.  Peter Bird, 
a highly experienced mining company executive joined the Board of 
Directors and assumed the role of Deputy Managing Chairman and Chief 
Executive Officer with Tony Manini stepping up from that role to 
Executive Chairman.  Peter Pollard, the former non-executive Chairman 
remains on the Board along with Faldi Ismail, Raynard von Hahn and Steve 
Hughes, the Vice President of Exploration.  Further changes to the Board 
will be made in due course as the focus of Company activities 
transitions from exploration and feasibility studies to project 
financing, mine construction and operations. 
 
   Marketplace 
 
   The Company is a "designated foreign issuer" as that term is defined 
under National Instrument 71-102 - Continuous Disclosure and Other 
Exemptions Relating to Foreign Issuers ("NI 71-102"). The Company is 
subject to "foreign disclosure requirements" (as such term is defined in 
NI 71-102) of the Financial Conduct Authority of the United Kingdom and 
the London Stock Exchange.  The Company is relying on the exemptions 
contained in Part 5 of NI 71-102.  The Company's shares were de-listed 
from trading on the TSX Venture Exchange on 28 February 2017, and 
continue to trade on the AIM market of the London Stock Exchange ("AIM") 
under the symbol "ARS".  In 2017, the Company will only prepare and file 
half-year and annual financial statements within the time deadlines 
regulated by AIM. 
 
   Beruang Kanan Main ("BKM") Zone 
 
   On 15 August 2017, the Company filed a technical report titled "Beruang 
Kanan Main Zone, Kalimantan Indonesia: 2017 Resource Estimate Report", 
prepared by Duncan Hackman of Hackman and Associates Pty. Ltd. as at 28 
June 2017 and the report is dated 28 July 2017. 
 
   As announced on 28 June 2017 the highlights of the updated Resources 
are: 
 
 
   -- Resource confidence significantly upgraded with contained copper in 
      Measured and Indicated Resources increased by 207% in comparison to the 
      October 21, 2015 BKM Mineral Resource estimate. The BKM copper deposit is 
      now estimated to contain Measured and Indicated Resources of 49.2 million 
      tonnes at 0.70% copper containing 711.3MIbs (322,600 tonnes) of copper at 
      a 0.2% copper cut-off grade (see Table 1 for details). 
 
   -- Additional 66Mlbs (30,000 tonnes) of contained copper (0.2% copper 
      cut-off grade) added to the BKM Resource inventory. 
 
   -- Beruang Kanan Main Resources are now estimated as: 
 
          -- Measured Resources of 20.5 million tonnes at 0.7% 
             Cu containing 325.7MIbs (147,700 tonnes) of copper at a 0.2% 
             copper cut-off grade (refer Table 1). The October 21, 2015 BKM 
             Mineral Resource estimate contained no Measured Resources. 
 
          -- Indicated Resources of 28.7 million tonnes at 0.6% Cu 
             containing 385.6MIbs (174,900 tonnes) of copper at a 0.2% copper 
             cut-off grade (refer Table 1). The October 21, 2015 BKM Mineral 
             Resource estimate contained 15.0 million tonnes at 0.7% Cu 
             containing 231MIbs (105,000 tonnes) of copper. 
 
          -- Inferred Resources of 17.7 million tonnes at 0.6% Cu containing 
             241.0MIbs pounds (109,300 tonnes) of copper at a 0.2% copper 
             cut-off grade (refer Table 1). The October 21, 2015 BKM Mineral 
             Resource estimate contained 49.7 million tonnes at 0.6% Cu 
             containing 657MIbs (298,000 tonnes) of copper. 
 
   -- 73% of the copper contained in Resources is within the April 2016 BKM 
      Preliminary Economic Assessment ("PEA") conceptual open pit mine design. 
 
 
   The 2017 updated Mineral Resource estimate will be the subject of 
ongoing mining engineering and metallurgical studies as part of a BKM 
Feasibility Study and further optimisation of the BKM PEA open pit 
design is expected. A leachable copper model for the BKM deposit will be 
constructed using sequential copper analysis data from all post 2013 
drill core samples and an initial Mineral Reserve will in turn be 
generated from the Measured and Indicated component of this leachable 
copper Resource model. The Company expects to complete the feasibility 
study in early 2018 and make a development decision at that time. 
 
   The BKM Mineral Resource estimate is based on assays from 269 diamond 
drill core holes that were drilled from 1998 to 2007, from 2012 to 2013 
and by ARS from 2015 to 2017. Mineralisation is contained within a 
near-surface, shallow-dipping and strongly mineralised system, that 
extends over an area of 1300m (N-S) and 800m (E-W) with depth extents 
ranging from surface to between 100m and 400m below surface (top to 
bottom). The 2015 Resource drilling programme undertaken by ARS was 
designed to delineate the extent and continuity of the BKM 
mineralisation and the 2016-2017 Resource drilling program designed to 
test for geological and grade continuity of the BKM mineralisation. 
Both programmes were completed successfully, meeting their objectives of 
both expanding and increasing the robustness and integrity of the 
Mineral Resource estimate. 
 
   Exploration Potential in vicinity of BKM 
 
   Other priority targets in the vicinity of the BKM deposit are the focus 
of planned scout drilling programs, and include Beruang Kanan South 
("BKS"), Beruang Kanan West ("BKW") and KSK's standalone polymetallic 
BKZ (BKZ) prospect; each within 1.5km of the BKM Mineral Resource 
(Figure 1).  Geologic observations during field mapping and geochemical 
data from drill core and/or surface rock chip samples at BKS and BKW 
prospects indicate near surface and similar style copper mineralisation 
to BKM. Prospect details are summarised as follows: 
 
 
   -- BKS prospect: Drill hole KBK-28 (151.30m end of hole 'EOH') intersected 
      10.5 metres @ 0.88% Cu from 14.5 metres depth and BKM30500-01 (63.9m EOH) 
      intersected 10.0 metres @ 2.52% Cu from 19.5 metres depth.  Drill hole 
      KBK-28 also intersected high grade gold mineralisation from 11.5m, 
      returning 3m @ 11.52g/t Au, including 1.5m @ 21.7g/t Au (refer ARS 
      Release February 23, 2017). 
 
   -- BKW prospect: Multiple copper mineralised sheeted vein zones with wide 
      spread alteration approximately 1km west of BKM and similar to BKM are 
      observed within a 2.5 sqkm area, and three well defined copper in soil 
      anomalies occur coincident with these sheeted vein zones, the largest 
      measuring 1.7km x 1km. Historic rock chip sampling yielded highly 
      anomalous copper values, with individual rock chip samples assaying up to 
      7.1% Cu.  As announced on 19 July 2017, results received to date at BKW 
      confirm a copper in soil anomaly in the northern part of BKW is 
      associated with a zone of quartz-chalcocite-bornite veins hosted in a 
      polymict breccia.  A rock grab sample collected from a 30-cm wide 
      quartz-sulphide vein cutting sericite altered breccia assayed 26.1% 
      copper and 57.1g/t silver.  Approximately 200m west is a sericite altered 
      breccia cut by quartz-bornite-chalcocite-pyrite veins, with individual 
      rock chip grab samples assaying up to 4.1% copper. 
 
   -- BKZ Polymetallic prospect: A continuous 15m rock channel sample averaged 
      19.5% zinc, 8.1% lead, 121g/t silver, 0.69g/t gold and 0.50% copper 
      (refer ARS Release June 9, 2017).  Drill hole BKZ-1 (300.0m deep) tested 
      outcropping massive sulphide style mineralisation and intersected 16m @ 
      5.75% Zn, 2.78% Pb, 0.64g/t Au, 57.5g/t Ag and 0.16% Cu, including 6m @ 
      11.63% Zn, 5.99% Pb, 0.71g/t Au, 98g/t Ag and 0.32% Cu (refer ARS Release 
      February 23, 2017).  A grid-based soil sampling program defined a 400m by 
      200m anomalous zone of Pb-Zn soil geochemistry, which remains untested. 
 
 
   Beutong 
 
   Efforts to convert the Beutong IUP from exploration to production 
continued in the first half of 2017.  All requested information and 

reports have been delivered to the Government of Indonesia and it is 
hoped that the production IUP will be in hand soon.  Funds from the 
August 2017 private placement will also be used to conduct drilling 
aimed at expanding the Beutong Porphyry Cu-Au-Mo deposit (40% owned by 
the Company with the option to own up to 80%) to the west, east and at 
depth where strong mineralisation remains open (for example hole 
BEU0700-03 in Beutong East Porphyry intersected 385m at 0.68% Cu, 
0.21g/t Au from 74m to 459m incl. 148m at 0.81% Cu, 0.15g/t Au open to 
depth). See ARS RNS dated 26 November 2014 for the Resource details. 
 
   Technical data disclosed in this Press Release have been reviewed and 
verified by Asiamet Resources Limited's qualified person, Stephen Hughes, 
P. Geo. a director of Asiamet Resources Limited and a Qualified Person 
within the meaning of NI 43-101 and the AIM Rules for Companies. 
 
   Enquiries: 
 
   Tony Manini 
 
   Executive Chairman, Asiamet Resources Limited 
 
   Email: [e-mail] 
 
   Peter Bird 
 
   Director & CEO, Asiamet Resources Limited 
 
   Email: [e-mail] 
 
   Optiva Securities Limited 
 
   Christian Dennis 
 
   Telephone: [phone] 
 
   Email: [e-mail] 
 
   NRG Capital Partners 
 
   Mick Oliver, Rita Adiani 
 
   Telephone: [phone],4504 
 
   Email: [e-mail], 
[e-mail] 
 
   FlowComms Limited 
 
   Sasha Sethi 
 
   Telephone: [phone] 
 
   Email: [e-mail] 
 
   Asiamet Resources Nominated Adviser 
 
   RFC Ambrian Limited 
 
   Andrew Thomson / Stephen Allen 
 
   Telephone: [phone] 
 
   Email: [e-mail] / [e-mail] 
 
   Important notice 
 
   Neither the contents of the Company's website nor the contents of any 
website accessible from hyperlinks on the Company's website (or any 
other website) is incorporated into, or forms part of, this 
announcement. 
 
   This announcement does not constitute, or form part of, a prospectus 
relating to the Company, nor does it constitute or contain any 
invitation or offer to any person, or any public offer, to subscribe for, 
purchase or otherwise acquire any shares in the Company or advise 
persons to do so in any jurisdiction, nor shall it, or any part of it 
form the basis of or be relied on in connection with any contract or as 
an inducement to enter into any contract or commitment with the Company. 
 
   The content of this announcement has not been approved by an authorised 
person within the meaning of the Financial Services and Markets Act 2000 
("FSMA"). 
 
 
 
 
ASIAMET RESOURCES LIMITED 
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL 
 POSITION 
(unaudited - expressed in United States dollars) 
 
 
                                                        June 30,       June 30,     December 31, 
                                                           2017          2016           2016 
                                                        Unaudited     Unaudited       Audited 
                                                            $             $              $ 
Assets 
Non-current assets 
Equipment                                                   27,004        62,424        37,243 
Security deposit                                            80,272        92,835        94,575 
Total non-current assets                                   107,276       155,259       131,818 
Current assets 
Cash                                                       137,445     1,961,683     1,747,530 
Receivables and other assets                               406,217       184,445       253,552 
Subscriptions receivable                                         -             -       801,840 
Total current assets                                       543,662     2,146,128     2,802,922 
Total assets                                               650,938     2,301,387     2,934,740 
 
 
Liabilities 
Non-current liabilities 
Provision for employee service entitlements                 97,559        44,355       101,875 
Current liabilities 
Trade and other payables                                   686,156       344,224     1,016,175 
Related party loans                                              -             -       233,290 
Total current liabilities                                  686,156       344,224     1,249,465 
Total liabilities                                          783,715       388,579     1,351,340 
Total net assets (liabilities)                            (132,777)    1,912,808     1,583,400 
Capital and reserves attributable to owners of the 
 Company 
Share capital                                            7,114,311     6,190,610     7,060,176 
Equity reserves                                         33,567,289    31,534,532    33,323,413 
Other comprehensive loss                                    (2,374)            -        (2,243) 
Deficit                                                (40,804,975)  (35,805,306)  (38,790,918) 
Capital and reserves attributable to owners of the 
 Company                                                  (125,749)    1,919,836     1,590,428 
Non-controlling interest                                    (7,028)       (7,028)       (7,028) 
Total equity                                              (132,777)    1,912,808     1,583,400 
 
 
 
 
 
 
 
ASIAMET RESOURCES LIMITED 
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE 
 LOSS 
(unaudited - expressed in United States dollars) 
 
                                                         6 months to 30    6 months to 30    12 months to 31 
                                                            June 2017         June 2016       December 2016 
                                                            unaudited        unaudited           audited 
                                                                $                $                  $ 
Expenses 
Accounting and audit                                           6,279          26,887              98,888 
Consultants and shared office costs                          278,584         301,088             510,230 
Exploration and evaluation expenditures                    2,096,264         375,524           2,689,467 
Investor relations                                            40,978          35,888             106,164 
Legal                                                          3,250           2,558               6,738 
Office and administrative services                            18,025          20,269              26,270 
Share-based compensation                                      96,910               -             300,134 
Transfer agent and regulatory fees                            68,747          76,120             108,685 
Travel and accommodation                                      76,142           5,237              42,677 
                                                           2,685,179         843,571           3,889,253 
 
Other items 
Non-refundable deposit received                                    -               -             100,000 
Taxation (expense)                                                 -               -              (6,528) 
Foreign exchange (loss) gain                                 (37,252)         33,080                (872) 
Gain on sale of subsidiary                                   708,089               -                   - 
Interest income                                                  285           1,739               2,289 
                                                             671,122          34,819              94,889 
 Net loss                                                 (2,014,057)       (808,752)         (3,794,364) 
Items that may be reclassified subsequently to profit 
 or loss: 
Provision for employee service entitlements                     (131)              -              (2,243) 
Loss and comprehensive loss for the period                (2,014,188)       (808,752)         (3,796,607) 
 
 
 
 
 
 
 
ASIAMET RESOURCES LIMITED 
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH 
 FLOWS 
(unaudited - expressed in United States dollars) 
 
                                                      6 months to    6 months to    12 months to 31 
                                                      30 June 2017   30 June 2016    December 2016 
                                                       unaudited      unaudited         audited 
                                                           $              $                $ 
 
Operating activities 
Loss for the period                                    (2,014,057)      (808,752)    (3,794,364) 
Adjustment for non-cash items: 
Depreciation                                               17,894         37,427         78,543 
Share-based compensation                                   96,910              -        300,134 
Unrealized foreign exchange loss (gain)                       649          1,517         (4,444) 
Gain on sale of subsidiary                               (708,089)             -              - 
Changes in non-cash working capital: 
Receivables and other assets                             (154,958)       (84,534)      (153,641) 
Trade and other payables                                 (303,780)        (5,019)       666,932 
Provision for employee service entitlements                     -              -         59,498 
                                                       (3,065,431)      (859,361)    (2,847,342) 
 
Investing activities 
Security deposits                                          (5,845)             -              - 
Purchase of equipment                                      (7,655)        (8,052)       (23,987) 
Proceeds on sale of subsidiary, net of cash sold          699,195              -              - 
                                                          685,695         (8,052)       (23,987) 
 
Financing activities 

Related party loans                                      (233,290)             -        233,290 
Share subscription receivable                             801,840              -              - 
Share issues                                              201,101      2,154,807      3,831,110 
Share issue costs                                               -       (104,345)      (224,175) 
                                                          769,651      2,050,462      3,840,225 
 
Decrease (increase) in cash                            (1,610,085)     1,183,049        968,896 
 
Cash, beginning of the period                           1,747,530        778,634        778,634 
                                                                                              - 
Cash, end of the period                                   137,445      1,961,683      1,747,530 
 
Supplementary information: 
Interest paid                                                 307            708          1,342 
Income taxes paid                                               -              -              - 
 
Non-cash investing and financing activities 
Fair value of warrants issued to brokers included 
in share issue costs                                            -         86,808        165,815 
 
 
 
 
 
 
 
  Glossary of Technical Terms 
 
"cut-off"       the grade threshold above which a mineral material 
                 is considered potentially economic. 
"g/t"           grams per tonne; equivalent to parts per million ('ppm'). 
"Mineral        A "Mineral Resource" is a concentration or occurrence 
Resource"        of diamonds, natural solid inorganic material, or 
                 natural solid fossilized organic material including 
                 base and precious metals, coal, and industrial minerals 
                 in or on the Earth's crust in such form and quantity 
                 and of such a grade or quality that it has reasonable 
                 prospects for economic extraction. The location, quantity, 
                 grade, geological characteristics and continuity of 
                 a Mineral Resource are known, estimated or interpreted 
                 from specific geological evidence and knowledge. 
"Inferred       An "Inferred Mineral Resource" is that part of a Mineral 
Resource"        Resource for which quantity and grade or quality can 
                 be estimated on the basis of geological evidence and 
                 limited sampling and reasonably assumed, but not verified, 
                 geological and grade continuity. The estimate is based 
                 on limited information and sampling gathered through 
                 appropriate techniques from locations such as outcrops, 
                 trenches, pits, workings and drill holes. 
"Indicated      An "Indicated Mineral Resource" is that part of a 
Resource"        Mineral Resource for which quantity, grade or quality, 
                 densities, shape and physical characteristics, can 
                 be estimated with a level of confidence sufficient 
                 to allow the appropriate application of technical 
                 and economic parameters, to support mine planning 
                 and evaluation of the economic viability of the deposit. 
                 The estimate is based on detailed and reliable exploration 
                 and testing information gathered through appropriate 
                 techniques from locations such as outcrops, trenches, 
                 pits, workings and drill holes that are spaced closely 
                 enough for geological and grade continuity to be reasonably 
                 assumed. 
"Measured       A "Measured Mineral Resource" is that part of a Mineral 
Resource"        Resource for which quantity, grade or quality, densities, 
                 shape, and physical characteristics are so well established 
                 that they can be estimated with confidence sufficient 
                 to allow the appropriate application of technical 
                 and economic parameters, to support production planning 
                 and evaluation of the economic viability of the deposit. 
                 The estimate is based on detailed and reliable exploration, 
                 sampling and testing information gathered through 
                 appropriate techniques from locations such as outcrops, 
                 trenches, pits, workings and drill holes that are 
                 spaced closely enough to confirm both geological and 
                 grade continuity. 
"chalcocite"    Chalcocite is a copper sulfide mineral with the formula 
                 Cu2S, and is an important copper ore mineral. It is 
                 opaque and dark-gray to black with a metallic luster. 
"bornite"       Bornite, also known as peacock ore, is a copper sulfide 
                 mineral with the formula Cu5FeS4. 
"chalcopyrite"  Chalcopyrite is a copper sulfide mineral with formula 
                 CuFeS2. It has a brassy to golden yellow color. 
"breccia"       Breccia is a rock classification, comprises millimeter 
                 to meter-scale rock fragments cemented together in 
                 a matrix, there are many subclassifications of breccias. 
"veins"         A vein is a sheet-like or anastomosing fracture that 
                 has been infilled with mineral ore (chalcopyrite, 
                 covellite etc) or mineral gangue (quartz, calcite 
                 etc) material, within a rock. Veins form when minerals 
                 carried by an aqueous solution within the rock mass 
                 are deposited through precipitation and infill or 
                 coat the fracture faces. 
"surface rock   Rock chip samples approximately 2kg in size that are 
chip samples"    typically collected from surface outcrops exposed 
                 along rivers and mountain ridgelines. 
"diamond        A drilling method in which penetration is achieved 
drilling"        through abrasive cutting by rotation of a diamond 
                 encrusted drill bit. This drilling method enables 
                 collection of tubes of intact rock (core) and when 
                 successful gives the best possible quality samples 
                 for description, sampling and analysis of an ore body 
                 or mineralised structure. 
"grade"         The proportion of a mineral within a rock or other 
                 material. For copper mineralisation this is usually 
                 reported as % of copper per tonne of rock (g/t). 
"assay"         The laboratory test conducted to determine the proportion 
                 of a mineral within a rock or other material. For 
                 copper, usually reported as percentage which is equivalent 
                 to percentage of the mineral (i.e. copper) per tonne 
                 of rock. 
"dip"           A line directed down the steepest axis of a planar 
                 structure including a planar ore body or zone of mineralisation. 
                 The dip has a measurable direction and inclination 
                 from horizontal. 
"open           A method of extracting minerals from the earth by 
 pit mining"     excavating downwards from the surface such that the 
                 ore is extracted in the open air (as opposed to underground 
                 mining). 
"intercept"     Refers to a sample or sequence of samples taken across 
                 the entire width or an ore body or mineralized zone. 
                 The intercept is described by the entire thickness 
                 and the average grade of mineralisation. 
"channel        Samples collected across a mineralised rock exposure. 
sample"          The channel is typically orientated such that samples 
                 are collected perpendicular to the mineralised structure, 
                 if possible 
"lbs"           Pounds (measure of weight) 
"Mlbs"          Million pounds (measure of weight) 
 
 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Asiamet Resources Limited via Globenewswire 
 
 
  http://www.asiametresources.com 
 

(END) Dow Jones Newswires

September 15, 2017 02:00 ET (06:00 GMT)

Copyright (c) 2017 Dow Jones & Company, Inc.