Dalradian Resources Dalradian Reports Q2 2016 Results

 
TIDMDALR 
 
Dalradian Reports Q2 2016 Results 
Dalradian Reports Q2 2016 Results 
 
TORONTO, ONTARIO--(Marketwired - Aug. 10, 2016) - Dalradian Resources Inc. (TSX:DNA)(AIM:DALR) ("Dalradian" or the 
"Company") announces results for the three and six months ended June 30, 2016, including closing cash and cash 
equivalents of $22.7 million(1). The Company also reports that the work program at its Curraghinalt Gold Project 
in Northern Ireland continues on-schedule toward completion of the Feasibility Study (FS) and Environmental & 
Social Impact Assessment (ESIA) by Q4 of 2016. 
 
Patrick F.N. Anderson, Dalradian's President and CEO, commented: 
 
"Following Britain's recent decision to leave the European Union, Dalradian reaffirms our commitment to Northern 
Ireland and the Curraghinalt Gold Project, one of a handful of undeveloped high grade gold systems in the world. 
 
We remain on track and on budget to deliver our feasibility study in the autumn this year and only the test stope 
study and paste backfill tests remain to be completed. We expect to release the results from the test stopes and a 
grade reconciliation study in the coming weeks." 
 
(1) All amounts are in Canadian dollars unless otherwise noted. 
 
Operational highlights as of August 8, 2016 
 
 
=-  Completion of 492 days working underground, 232 blasts, approximately 
    960 metres of underground development, partial completion of 2 test 
    stopes, all with zero non-compliance with regulations and zero lost-time 
    injuries. Since the beginning of the underground exploration program in 
    2014, more than 70 inspections have been carried out by various health & 
    safety and environmental regulatory authorities; 
=-  FS is progressing well, with metallurgy/flow sheet planning and the 
    geotechnical program complete, test stoping and paste backfill tests 
    still ongoing and mine planning and engineering nearing completion. The 
    FS remains on track for release in Q4 2016; 
=-  Baseline studies for the ESIA are complete and impact studies are 
    expected to be finished during Q4. Consultations with stakeholders are 
    ongoing, with more than 500 individuals having been consulted to date 
    and 400 community members having toured our operations. The final 
    project design is expected to be presented to stakeholders this fall and 
    the planning application submitted during Q4 following completion of the 
    FS and ESIA 
=-  Jim Rutherford, a director of the Company with more than 25 years of 
    capital markets experience and in-depth knowledge of the mining 
    industry, was appointed as Non-Executive Chairman of the board of 
    directors; 
=-  The Company was granted option agreements for precious metals and 
    prospecting licenses for base metals for two new licence areas (DG5 and 
    DG6) contiguous with Dalradian's existing licences in Northern Ireland. 
    The Company's licence areas now stretch over approximately 122,000 
    hectares of proven prospective ground. Dalradian's field crews began 
    regional prospecting and sampling in June as part of its 2016 regional 
    exploration program, which includes the new licence areas; 
=-  Metallurgical testing for the FS demonstrated that gold recoveries over 
    94% are achievable with a simplified processing circuit that allows for 
    a coarser primary grind size and reduced process equipment; and 
=-  The updated mineral resource statement showed a 109% increase in gold 
    ounces contained in the Measured and Indicated categories compared with 
    the 2014 resource. 
 
 
Corporate and financial highlights of Q2 2016 and subsequent period 
 
 
=-  Cash and cash equivalents were $22.7 million at June 30, 2016 compared 
    with $43.3 million as at December 31, 2015; 
=-  Net loss of $3.4 million ($0.02 per share) in the six months ended June 
    30, 2016 compared with a net loss of $2.6 million ($0.02 per share) in 
    the comparable period of 2015. Net loss of $1.4 million ($0.01 per 
    share) in the three months ended June 30, 2016 compared with a net loss 
    of $1.2 million ($0.01 per share) in the comparable period of 2015; 
=-  Spending on asset evaluation, which includes infill drilling, 
    underground development, field and desktop studies, permitting and other 
    activities associated with the Underground Program, in the six months 
    ended June 30, 2016 was $14.5 million compared with $14.9 million in the 
    comparable period of 2015. Spending on asset evaluation for the three 
    months ended June 30, 2016 was $5.6 million compared with $9.4 million 
    during the comparable period in 2015; 
=-  Exploration expenditures (outside of the Curraghinalt gold deposit) 
    during the six months ended June 30, 2016 were $0.4 million compared 
    with a nominal amount for the comparable period of 2015. For the three 
    months ended June 30, 2016 exploration expenditures were $0.2 million 
    compared with a nominal amount for the comparable period of 2015. The 
    increased spending in 2016 reflects increased regional exploration 
    activity; and 
=-  As of August 8, 2016 Dalradian had 217,848,949 Common Shares issued and 
    outstanding. 
 
 
Outlook 
 
The budget for completion of the FS, Underground Program (including infill drilling), land acquisition, ESIA, 
submission of the planning application and corporate, general and administrative costs is approximately GBP 28 
million ($56 million), for the budget period from October 1, 2015 to December 31, 2016. The work program remains 
on-track and on-budget, with $40.1 million spent to June 30, 2016. With the infill drill program and underground 
development (other than test stoping) completed, project spending is expected to decrease in the two remaining 
quarters of 2016. Test stoping, field and study work for the FS and ESIA will continue through Q3, and permitting 
activities and ESIA study work will continue to increase leading to submission of the planning application. 
Dalradian's net working capital at June 30, 2016 was approximately $19.6 million against a remaining budget of 
approximately the same amount for the Underground Program, FS, ESIA, Planning Application and corporate, general 
and administrative costs for the year ended December 31, 2016. 
 
Supporting Documents 
 
The Q2 2016 Financial Statements (not including notes) can be found below. The full Q2 2016 Financial Statements 
and Management Discussion and Analysis are available on www.dalradian.com and also on www.sedar.com. 
 
Dalradian Resources Inc. 
(An exploration stage company) 
 
Condensed Consolidated Balance Sheets 
(Expressed in Canadian dollars) 
(Unaudited) 
 
 
 
                                                      As at           As at 
                                                   June 30,        Dec. 31, 
                                                       2016            2015 
                                            -------------------------------- 
ASSETS 
Current assets: 
  Cash and cash equivalents                  $   22,711,757  $   43,322,899 
  Amounts receivable                                289,478         856,244 
  Prepaid expenses and advance payments           1,069,056       1,373,798 
                                            -------------------------------- 
                                                 24,070,291      45,552,941 
Non-Current assets: 
  Restoration deposit                             1,072,413       1,268,930 
  Property, plant and equipment                  14,145,921      12,096,928 
  Exploration and evaluation assets              97,651,601      82,356,346 
                                            -------------------------------- 
                                             $  136,940,226  $  141,275,145 
                                            -------------------------------- 
                                            -------------------------------- 
 
LIABILITIES AND SHAREHOLDERS' EQUITY 
Current liabilities: 
  Accounts payable and accrued liabilities   $    3,851,403  $    6,070,328 
                                            -------------------------------- 
 
Non-Current liabilities: 
  Provision for decommissioning and 
   restoration                                    1,067,950       1,265,234 
                                            -------------------------------- 
 
Shareholders' equity: 
  Share capital                                 164,558,063     162,680,450 
  Warrants                                       14,675,601      15,019,060 
  Contributed surplus                            12,478,870      12,533,961 
  Accumulated deficit                           (59,691,661)    (56,293,888) 
                                            -------------------------------- 
                                                132,020,873     133,939,583 
                                            -------------------------------- 
 
                                             $  136,940,226  $  141,275,145 
                                            -------------------------------- 
                                            -------------------------------- 
 
 
Dalradian Resources Inc. 
(An exploration stage company) 
 
Condensed Consolidated Statements of Loss and Comprehensive Loss 
(Expressed in Canadian dollars) 
(Unaudited) 
 
 
 
 
                            Three         Three           Six           Six 
                           months        months        months        months 
                            ended         ended         ended         ended 
                         June 30,      June 30,      June 30,      June 30, 
                             2016          2015          2016          2015 
                    -------------------------------------------------------- 
Operating expenses: 
  Salaries and 
   related benefits  $    549,492  $    595,105  $  1,099,808  $  1,544,597 
  Professional fees 
   and consulting         228,091       113,433       695,422       224,358 
  Share-based 
   payments               123,215       272,238       279,712       605,173 

  Investor relations 
   and general 
   travel                 198,180       346,983       406,500       567,312 
  Office, regulatory 
   and general            137,657       212,742       330,608       412,440 
  Amortization              1,150        38,066         2,302        77,007 
  Foreign exchange 
   loss (gain)            224,026      (311,553)      665,096      (696,214) 
  Interest and bank 
   charges                  2,251         1,677         6,474         2,815 
                    -------------------------------------------------------- 
                        1,464,062     1,268,691     3,485,922     2,737,488 
 
Interest income and 
 other                     37,182        68,964        88,149       133,051 
                    -------------------------------------------------------- 
 
Loss and 
 comprehensive loss 
 for the period      $ (1,426,880) $ (1,199,727) $ (3,397,773) $ (2,604,437) 
                    -------------------------------------------------------- 
                    -------------------------------------------------------- 
 
Loss per share - 
 basic and diluted   $      (0.01) $      (0.01) $      (0.02) $      (0.02) 
                    -------------------------------------------------------- 
                    -------------------------------------------------------- 
 
 
Dalradian Resources Inc. 
(An exploration stage company) 
 
Condensed Consolidated Statements of Shareholders' Equity 
(Expressed in Canadian dollars) 
(Unaudited) 
 
 
 
 
                                                Six months       Six months 
                                                     ended            ended 
                                                  June 30,         June 30, 
                                                      2016             2015 
                                          ---------------------------------- 
Share capital: 
Balance, beginning of period               $   162,680,450  $   110,693,043 
Common shares issued                               121,500        8,838,934 
Warrants exercised                               1,217,482       11,089,372 
Options exercised                                  261,131                - 
RSUs redeemed                                      277,500                - 
                                          ---------------------------------- 
Balance, end of period                     $   164,558,063  $   130,621,349 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
Warrants: 
Balance, beginning of period               $    15,019,060  $     7,288,894 
Warrants issued                                          -        1,984,250 
Warrants exercised                                (299,676)      (1,778,196) 
Warrants expired                                   (43,783)         (53,085) 
                                          ---------------------------------- 
Balance, end of period                     $    14,675,601  $     7,441,863 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
Contributed surplus: 
Balance, beginning of period               $    12,533,961  $    11,118,485 
Increase from share-based payments                 339,757          672,391 
Warrants expired                                    43,783           53,085 
Options exercised                                 (161,131)               - 
RSUs redeemed                                     (277,500)               - 
                                          ---------------------------------- 
Balance, end of period                     $    12,478,870  $    11,843,961 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
Accumulated deficit: 
Balance, beginning of period               $   (56,293,888) $   (48,830,319) 
Loss and comprehensive loss for the period      (3,397,773)      (2,604,437) 
                                          ---------------------------------- 
Balance, end of period                     $   (59,691,661) $   (51,434,756) 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
Total shareholders' equity                 $   132,020,873  $    98,472,417 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
 
Dalradian Resources Inc. 
(An exploration stage company) 
 
Condensed Consolidated Statements of Cash Flows 
(Expressed in Canadian dollars) 
(Unaudited) 
 
 
 
 
                                                Six months       Six months 
                                                     ended            ended 
                                                  June 30,         June 30, 
                                                      2016             2015 
                                          ---------------------------------- 
Cash flows from (used in) operating 
 activities: 
  Loss and comprehensive loss for the 
   period                                  $    (3,397,773) $    (2,604,437) 
Items not affecting cash: 
  Unrealized foreign exchange loss (gain)          997,964         (616,026) 
  Interest income and other                        (88,149)        (133,051) 
  Amortization                                       2,302           77,007 
  Share-based payments                             279,712          605,173 
Change in non-cash operating working 
 capital: 
  Amounts receivable                               554,902         (457,355) 
  Prepaid expenses and advance payments             (7,029)         (93,111) 
  Restoration deposit                              196,517          (97,223) 
  Accounts payable and accrued liabilities         177,575         (747,943) 
                                          ---------------------------------- 
Cash flows used in operating activities    $    (1,283,979) $    (4,066,966) 
                                          ---------------------------------- 
Cash flows from financing activities: 
  Net proceeds from common shares and 
   warrants issued                         $             -  $    10,823,184 
  Exercise of warrants                             917,806        9,311,176 
  Exercise of options                              100,000                - 
                                          ---------------------------------- 
Cash flows from financing activities       $     1,017,806  $    20,134,360 
                                          ---------------------------------- 
Cash flows from (used) in investing 
 activities: 
  Expenditures on exploration and 
   evaluation assets                       $   (17,132,889) $   (10,235,283) 
  Additions to property, plant and 
   equipment                                    (2,314,385)        (222,820) 
  Interest received                                100,269          132,191 
                                          ---------------------------------- 
Cash flows used in investing activities    $   (19,347,005) $   (10,325,912) 
                                          ---------------------------------- 
Net change in cash and cash equivalents        (19,613,178)       5,741,482 
Cash and cash equivalents, beginning of 
 period                                         43,322,899       29,776,872 
Effect of exchange rate fluctuations on 
 cash held                                        (997,964)         616,026 
                                          ---------------------------------- 
Cash and cash equivalents, end of period   $    22,711,757  $    36,134,380 
                                          ---------------------------------- 
                                          ---------------------------------- 
 
 
About Dalradian Resources Inc. 
 
Dalradian Resources Inc. is a gold exploration and development company that is focused on advancing its high-grade 
Curraghinalt Gold Project located in Northern Ireland, United Kingdom. The Company is in the midst of a work 
program in support of a planning (permitting) application for construction of an operating mine at Curraghinalt. 
Components of the program include a feasibility study, an environmental and social impact assessment and 
underground exploration (at least 950 metres of development with associated test stoping). 
 
In May 2016, Dalradian announced an updated mineral resource estimate for Curraghinalt, including a 109% increase 
in gold ounces contained in the Measured and Indicated categories compared with the 2014 resource. The current 
resource consists of 2.1 million ounces of contained gold in the Measured and Indicated categories (5.61 million 
tonnes at 11.61 g/t) and 2.3 million ounces of contained gold in the Inferred category (7.13 million tonnes at 
10.06 g/t gold). For further information, see the NI 43-101 technical report entitled, "Technical Report for the 
Northern Ireland Gold Project, Northern Ireland", dated June 17, 2016 and prepared by Dr. Jean-Francois Couture, 
PGeo (APGO#0197) and Dr. Oy Leuangthong, PEng (PEO#90563867), both of SRK Consulting (Canada) Inc. and Stacy 
Freudigmann, PEng (APEGBC #33972) of JDS Energy & Mining Inc. 
 
FORWARD LOOKING STATEMENTS 
 
This news release contains "forward looking information" which may include, but is not limited to, statements with 
respect to the future financial or operating performance of the Company and its subsidiaries and its mineral 
project, the future price of metals, test work and confirming results from work performed to date, the estimation 
of mineral resources, the realization of mineral resource estimates, the timing and amount of estimated future 
production, costs of production, capital, operating and exploration expenditures, costs and timing of the 

development of new deposits, costs and timing of future exploration, requirements for additional capital, 
government regulation of mining operations, environmental risks, reclamation expenses, title disputes or claims, 
limitations of insurance coverage, the timing and possible outcome of pending regulatory matters and the 
realization of the expected economics of the Curraghinalt gold deposit. Often, but not always, forward looking 
statements can be identified by the use of words and phrases such as "plans", "expects", "is expected", "budget", 
"scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative 
variations) of such words and phrases, or statements that certain actions, events or results "may", "could", 
"would", "might" or "will" be taken, occur or be achieved. 
 
Forward looking statements are based on the opinions and estimates of management as of the date such statements 
are made and are based on various assumptions such as the continued political stability in Northern Ireland, that 
permits required for Dalradian's operations will be obtained on a timely basis in order to permit Dalradian to 
proceed on schedule with its planned exploration and development programs, that skilled personnel and contractors 
will be available as Dalradian's operations continue to grow, that the price of gold will be at levels that render 
Dalradian's mineral project economic, that the Company will be able to continue raising the necessary capital to 
finance its operations and realize on mineral resource estimates and current mine plans, that the assumptions 
contained in the Company's Preliminary Economic Assessment are accurate and complete, that results from the infill 
drilling program continue to be positive, that the mineral resource update is positive, that the results of the 
Environmental and Social Impact Assessment and the Feasibility Study will be positive and that a permitting 
application for mine construction will be approved. 
 
Forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the 
actual results, performance or achievements of Dalradian to be materially different from any future results, 
performance or achievements expressed or implied by the forward looking statements. Such factors include, among 
others, general business, economic, competitive, political and social uncertainties; the actual results of current 
and future exploration activities; the actual results of reclamation activities; conclusions of economic 
evaluations; meeting various expected cost estimates; changes in project parameters and/or economic assessments as 
plans continue to be refined; future prices of metals; possible variations of mineral grade or recovery rates; the 
risk that actual costs may exceed estimated costs; failure of plant, equipment or processes to operate as 
anticipated; accidents, labour disputes and other risks of the mining industry; political instability; delays in 
obtaining governmental approvals or financing or in the completion of development or construction activities, as 
well as those factors discussed in the section entitled "Risk Factors" in the Company's annual information form. 
Although the Company has attempted to identify important factors that could cause actual actions, events or 
results to differ materially from those described in forward looking statements, there may be other factors that 
cause actions, events or results to differ from those anticipated, estimated or intended. Forward looking 
statements contained herein are made as of the date of this news release and the Company disclaims any obligation 
to update any forward looking statements, whether as a result of new information, future events or results, except 
as may be required by applicable securities laws. There can be no assurance that forward looking statements will 
prove to be accurate, as actual results and future events could differ materially from those anticipated in such 
statements. Accordingly, readers should not place undue reliance on forward looking statements. 
 
 
FOR FURTHER INFORMATION PLEASE CONTACT: 
 
Marla Gale 
Vice President Communications 
[phone] 
[e-mail] 
 
OR 
 
Grant Thornton UK LLP (Nominated Adviser) 
Philip Secrett / Richard Tonthat / Harrison Clarke 
[phone] 
 
OR 
 
Canaccord Genuity Limited (Broker) 
Henry Fitzgerald-O'Connor / Martin Davison 
[phone] 
 
 
Dalradian Resources Inc. 
 

(END) Dow Jones Newswires

August 10, 2016 02:16 ET (06:16 GMT)