Half Yearly Report

 

TIDMINDY 
 
RNS Number : 2109J 
India Star Energy plc 
26 March 2010 
 

                              INDIA STAR ENERGY PLC 
                                  (AIM: INDY) 
 
Interim report and financial statements for the 6 months ended 31 December 2009 
 
Chairman's Statement 
 
India Star Energy today announces its unaudited interim results for the six 
months ended 31 December 2009. The Company continues to focus on its strategy of 
making investments in mining related companies and alternative sources of fuel. 
The Company made a loss before tax of GBP37,195 in the six-month period to 
December 2009 compared to a loss before tax of GBP34,225 in the corresponding 
six months in the previous year. The loss per share equated to 0.02p compared to 
0.02p in the previous year. As at 31 December 2009 the company has net assets of 
GBP527,866. 
 
The Company has three principal investments, the progress of which is summarised 
below: 
 
New Fuels International Limited ('NFIL') 
 
NFIL is a Seychelles based, specialised Development Company involved in the 
creation of renewable bio-fuels and bio-energy projects. NFIL is establishing an 
international consortium of investors and technology partners to replicate the 
Brazilian bio-fuel model in carefully selected African countries. As an initial 
strategy, NFIL is seeking to develop captive raw material feedstock through 
sugar cane plantation development and small farmer development in markets that 
have a competitive advantage in sugar cane production. This will be matched with 
the establishment of Ethanol processing facilities based on sugar cane as a 
feedstock for domestic and export consumption. 
 
India Star continues to monitor matters closely as we have previously reported 
the economics are getting harder and at present we are not able to make a 
financial case for further investment in this space but of course keep it under 
review. 
 
Trillium North Minerals Ltd ('Trillium') 
 
Trillium is quoted on the Toronto Ventures Exchange ('TVX') and is developing 
its mineral rights in Ontario, Canada. India Star holds 7 million shares 
 
Trillium is engaged in the acquisition, exploration and if warranted, 
development of mining properties in Canada. It currently holds interests in 
resource properties primarily located in Ontario and intends to seek out and 
acquire additional properties, worthy of exploration and development, as its 
finances permit. The exploration and development of the properties is 
accomplished either through direct expenditure by the Company or joint venturing 
of the property to other companies. Trillium's strategy maximises opportunity by 
complementing the development of its 100% owned properties with a diverse 
portfolio of joint ventures with exploration funding commitments from partners. 
This strategy leverages the exploration teams' proven ability to recognise 
overlooked geological opportunities using advanced geological techniques. 
 
In January Trillium received notification from Manicouagan Minerals Inc. 
("Manicouagan") on the final assay results from the completed diamond drill 
program on the Dorothy-Dobie Lake Property located in the Pickle Lake area, in 
northwest Ontario. Manicouagan completed a sixteen hole (2,292 metre) 
diamond-drilling program on the Dorothy-Dobie Lake Property. Seven holes 
(DOR-09-01 to 07) were drilled on the Dorothy Main Zone while nine holes 
(DOB-09-08 to 16) tested the Dobie Zone. Initial assays included 1.8 metres 
grading 5.15 gpt gold (DOR- 09-05) from the Dorothy Main Zone and 2.7 metres 
grading 5.65 gpt gold (DOB-09-10) from the Dobie Zone. 
 
Rainy Mountain Royalty Corporation ('Rainy Mountain') 
 
Rainy Mountain Royalty Corporation engages in the acquisition, exploration, and 
development of mineral resource properties in Canada. It primarily explores for 
copper, gold, zinc, nickel, and precious metal properties, as well as platinum 
group metals in northwestern Ontario. The company was formerly known as East 
West Resource Corporation and changed its name to Rainy Mountain Royalty Corp. 
Rainy Mountain Royalty Corp. was founded in 1979 and is based in West Vancouver, 
Canada. 
 
In January Rainy Mountain announced that, subject to regulatory approval, it has 
entered into an option agreement dated 12 January  2010 with Michael Trembley 
and Jacques Robert of Ontario to acquire a 234 claim unit property located 
approximately 60 km north of Sault Ste. Marie and 48 km east of Batchawana Bay, 
Ontario. Under the Agreement, Rainy Mountain is required to pay up to an 
aggregate of $100,000 over a five year period and issue up to an aggregate of 
200,000 post-consolidated shares in four equal installments over an 18 month 
period. 
 
The Property covers an 8 km strike length of carbonate altered (ankeritized) 
mafic volcanics as well as a quartz feldspar porphyry, which is a typical 
geological setting for Timmins - Porcupine Camp style gold deposits. At least 
three parallel shear zones have been noted on the Property, as well as several 
gold showings. A detailed prospecting and mapping program is planned for later 
this year, followed by line cutting and a magnetic and Induced Polarization 
("IP") survey. Follow-up back hoe trenching and drilling will test the 
carbonated shears (particularly where sulphides are indicated by the IP survey). 
The Property is accessible via highway 17 and there is a power line across the 
Property. 
 
Haresh Kanabar 
Chairman 
26 March 2010 
India Star Energy Plc 
Consolidated Income Statement 
for the six months ended 31 December 2009 
 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |  Note  |      | Unaudited |           |  Audited | 
|                            |        |      |  6 months | Unaudited |     Year | 
|                            |        |      |     ended |  6 months |    ended | 
|                            |        |      |        31 |     ended |  30 June | 
|                            |        |      |  December |        31 |     2009 | 
|                            |        |      |      2009 |  December |      GBP | 
|                            |        |      |       GBP |      2008 |          | 
|                            |        |      |           |       GBP |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Administrative expenses    |        |      |  (37,251) |  (37,370) | (60,864) | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Loss from operations       |        |      |  (37,251) |  (37,370) | (60,864) | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Investment revenues        |        |      |        56 |     3,115 |    3,409 | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Finance cost               |        |      |         - |         - |    (287) | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Loss before taxation       |        |      |  (37,195) |  (34,225) | (57,742) | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
| Loss for the period        |        |      |  (37,195) |  (34,225) | (63,418) | 
+----------------------------+--------+------+-----------+-----------+----------+ 
|                            |        |      |           |           |          | 
+----------------------------+--------+------+-----------+-----------+----------+ 
 
+----------------------------+--------+--------+---------+-----------+-----------+ 
| Loss per ordinary share    |        |        |         |           |           | 
+----------------------------+--------+--------+---------+-----------+-----------+ 
|                            |        |        |         |           |           | 
+----------------------------+--------+--------+---------+-----------+-----------+ 
| Basic and diluted loss per |   2    |        | (0.02p) |   (0.02p) |   (0.03p) | 
| share                      |        |        |         |           |           | 
+----------------------------+--------+--------+---------+-----------+-----------+ 
|                            |        |        |         |           |           | 
+----------------------------+--------+--------+---------+-----------+-----------+ 
 
All losses for the period are attributable to equity shareholders of the parent. 
India Star Energy Plc 
Consolidated Balance Sheet 
at 31 December 2009 
 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                | Note  | Unaudited |            |           | 
|                                |       |        31 |  Unaudited |   Audited | 
|                                |       |  December |         31 |   30 June | 
|                                |       |      2009 |   December |      2009 | 
|                                |       |       GBP |       2008 |       GBP | 
|                                |       |           |        GBP |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Assets                         |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Non-current assets             |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Investments                    |  3    |   250,000 |    250,000 |   250,000 | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Available-for-sale securities  |  4    |   218,368 |    120,029 |   149,239 | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |   488,368 |    379,029 |   399,239 | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Current assets                 |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Cash and cash equivalents      |  5    |    77,005 |    152,991 |   112,454 | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Trade and other receivables    |       |     1,416 |      1,395 |     4,247 | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Total current assets           |       |    78,421 |    154,386 |   116,701 | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Total assets                   |       |   546,789 |    524,415 |   515,940 | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Liabilities                    |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Current liabilities            |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Trade and other payables       |       |  (18,923) |   (34,206) |  (20,008) | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Total liabilities              |       |  (18,923) |   (34,206) |  (20,008) | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |   527,866 |    490,209 |   495,932 | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Net assets                     |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Equity                         |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Share capital                  |       |   330,000 |    330,000 |   330,000 | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Share premium account          |       |   854,350 |    854,350 |  854,350  | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Available-for-sale reserve     |       | (230,117) |  (328,456) | (299,246) | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Retained losses                |       | (426,367) |  (365,685) | (389,172) | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
| Equity attributable to equity  |       |   527,866 |    490,209 |   495,932 | 
| holders of the parent          |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
|                                |       |           |            |           | 
+--------------------------------+-------+-----------+------------+-----------+ 
 
India Star Energy Plc 
Consolidated Statement of Changes in Equity 
for the six months ended 31 December 2009 
 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |Available-  |           |           | 
|                            |   Share |         |for - sale  |           |           | 
|                            | capital |   Share |  reserve   |  Retained |     Total | 
|                            |       - | premium |            |  earnings |           | 
|                            |  equity |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |     GBP |     GBP |        GBP |       GBP |       GBP | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Year ended 30 June 2008    |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 1 July 2007             | 330,000 | 854,350 |    112,095 | (268,012) | 1,028,433 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Available-for-sale         |       - |       - |  (146,723) |         - | (146,723) | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Loss for the year          |       - |       - |          - |  (63,418) |  (63,418) | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 30 June 2008            | 330,000 | 854,350 |   (34,628) | (331,430) |   818,292 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Year ended 30 June 2009    |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 1 July 2008             | 330,000 | 854,350 |   (34,628) | (331,430) |   818,292 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Available-for-sale         |       - |       - |  (264,618) |         - | (264,618) | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Loss for the year          |       - |       - |          - |  (57,742) |  (57,742) | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 30 June 2009            | 330,000 | 854,350 |  (299,246) | (389,172) |   495,932 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Six months ended 31        |         |         |            |           |           | 
| December 2009              |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 30 June 2009            | 330,000 | 854,350 |  (299,246) | (389,172) |   495,932 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Available-for-sale         |       - |       - |     69,129 |         - |    69,129 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| Loss for the period        |       - |       - |          - |  (37,195) |  (37,195) | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
| At 31 December 2009        | 330,000 | 854,350 |  (230,117) | (426,367) |   527,866 | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
|                            |         |         |            |           |           | 
+----------------------------+---------+---------+------------+-----------+-----------+ 
 
India Star Energy Plc 
Consolidated Cash Flow Statement 
for the six months ended 31 December 2009 
 
+---------------------------------+-+---+--+----+----+-----------+------------+-----------+----------+ 
|                                 |    Note     |      Unaudited |            |              Audited | 
|                                 |             |       6 months |  Unaudited |                Year  | 
|                                 |             |          ended |   6 months |                ended | 
|                                 |             |    31 December |      ended |             30 June  | 
|                                 |             |           2009 |         31 |                 2009 | 
|                                 |             |            GBP |   December |                  GBP | 
|                                 |             |                |       2008 |                      | 
|                                 |             |                |        GBP |                      | 
+---------------------------------+-------------+----------------+------------+----------------------+ 
|                                 |     |       |                |            |                      | 
+---------------------------------+-----+-------+----------------+------------+----------------------+ 
| Net cash flow from operating      |  5   |         | (35,504)  |   (38,464) |  (79,008) |          | 
| activities                        |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Return on investments and         |      |         |           |            |           |          | 
| services of finance               |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Interest received                 |      |         |        56 |      3,115 |     3,409 |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Interest paid                     |      |         |         - |          - |     (287) |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Net cash inflow from returns on   |      |         |           |            |           |          | 
| investments and                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |        56 |      3,115 |     3,122 |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Financing activities              |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Investments                       |      |         |         - |  (250,000) | (250,000) |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Net cash (used in)/from financing |      |         |        56 |  (246,885) | (246,878) |          | 
| activities                        |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|  (decrease) in net cash           |      |         |  (35,448) |  (285,349) | (325,886) |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Cash and cash equivalents at      |      |         |   112,454 |    438,340 |   438,340 |          | 
| beginning of period               |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
| Cash and cash equivalents at end  |    5 |         |    77,005 |    152,991 |   112,454 |          | 
| of period                         |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                   |      |         |           |            |           |          | 
+-----------------------------------+------+---------+-----------+------------+-----------+----------+ 
|                                 | |   |  |    |    |           |            |           |          | 
+---------------------------------+-+---+--+----+----+-----------+------------+-----------+----------+ 
 
India Star Energy Plc 
Notes to the consolidated interim statement 
for the six months ended 31 December 2009 
 
1.         Basis of preparation 
 
India Star Energy Plc is a public company domiciled in England and Wales and 
incorporated in the United Kingdom under the Companies Act 1985.  Its registered 
office is Leicester Business Centre, 111 Ross Walk, Leicester, LE4 5HH. 
 
These interim financial statements for the period ended 31 December 2009 have 
been prepared on the basis of accounting policies consistent with International 
Financial Reporting Standards ("IFRS"). The financial information has been 
prepared in accordance with the accounting policies as set out in the statutory 
accounts for the year ended 30 June 2009 as amended for the requirements of IAS 
1(revised) Presentation of Financial Statements. 
 
The preparation of the interim statement requires management to make judgements, 
estimates and assumptions that affect the application of policies and reported 
amounts of assets and liabilities, income and expenses. Actual results may 
differ from these estimates. 
 
This interim statement has been prepared under the historical cost convention. 
 
This interim statement is unaudited. The comparatives for the full year ended 30 
June 2009 are extracted from the group's statutory accounts for that year. The 
auditor's report on those accounts was unqualified, did not include references 
to any matters to which the auditors drew attention by way of emphasis without 
qualifying their report and did not contain a statement under Section 489(2)-(3) 
of the Companies Act 2006. 
 
2.         Loss per ordinary share 
 
The calculation of a basic loss per share of 0.02 pence (31 December 2008: loss 
of 0.02 pence, June 2009: loss of 0.03 pence) is based on the loss for the 
period attributable to equity holders of the India Star Energy plc of GBP37,195 
(31 December 2008: loss of GBP34,255; 30 June 2009: loss of GBP57,742) and on 
the weighted average number of shares in issue during the period of 165,000,000 
(31 December 2008: 165,000,000; 30 June 2009: 165,000,000). 
 
Due to the loss incurred during the year, a diluted loss per share has not been 
disclosed as this would serve to reduce the basic loss per share. 
 
3          Investments 
+----------------------------------+----------+----------+----------+-------------+---------+ 
|                                  |          |           Unaudited |   Unaudited | Audited | 
|                                  |          |      6 months ended |    6 months |   Year  | 
|                                  |          |         31 December |       ended |   ended | 
|                                  |          |                2009 |          31 | 30 June | 
|                                  |          |                 GBP |    December |    2009 | 
|                                  |          |                     |        2008 |     GBP | 
|                                  |          |                     |         GBP |         | 
+----------------------------------+----------+---------------------+-------------+---------+ 
|                                  |          |                     |             |         | 
+----------------------------------+----------+---------------------+-------------+---------+ 
| New Fuels International Limited  |          |             250,000 |     250,000 | 250,000 | 
| ('NFIL')                         |          |                     |             |         | 
+----------------------------------+----------+---------------------+-------------+---------+ 
|                                  |          |                     |             |         | 
+----------------------------------+----------+---------------------+-------------+---------+ 
|                                  |          |          |          |             |         | 
+----------------------------------+----------+          +----------+-------------+---------+ 
|                                  |          |          |  250,000 |     250,000 | 250,000 | 
+----------------------------------+----------+          +----------+-------------+---------+ 
|                                  |          |          |          |             |         | 
+----------------------------------+----------+----------+----------+-------------+---------+ 
 
4.         Available-for-sale securities 
 
The available-for-sale securities relate to two investments Rainy Mountain 
Royalty corporation ( formerly East West Resource Corporation) and Trillium 
North Minerals Ltd (formally Canadian Golden Dragon Resources Ltd) listed on the 
TSX-V Canadian exchange. The investments are classified as current assets due to 
their relative liquidity and are measured at their fair value at each reporting 
date. Changes in fair value are recorded in equity until they are disposed of or 
impairment is recognised. 
 
5.         Notes to the cash flow statement 
 
+-----------------------------------+--+----------------+----------------+--------------+ 
| (a) Net cash absorbed by          |  |      Unaudited |                |              | 
| operating activities              |  |             31 |      Unaudited |      Audited | 
|                                   |  |       December |             31 |      30 June | 
|                                   |  |           2009 |       December |         2009 | 
|                                   |  |            GBP |           2008 |          GBP | 
|                                   |  |                |            GBP |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
| Loss before taxation              |  |       (37,251) |       (37,370) |     (60,864) | 
+-----------------------------------+--+----------------+----------------+--------------+ 
|                                   |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
|                                   |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
| Operating cash flows before       |  |       (37,251) |       (37,370) |     (60,864) | 
| movements in working capital      |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
| (Decrease)/increase in            |  |          2,832 |          7,692 |        4,841 | 
| receivables                       |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
| Increase in payables              |  |        (1,086) |        (8,786) |     (22,985) | 
+-----------------------------------+--+----------------+----------------+--------------+ 
|                                   |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
| Net cash outflow from operations  |  |       (35,505) |       (38,464) |     (79,008) | 
+-----------------------------------+--+----------------+----------------+--------------+ 
|                                   |  |                |                |              | 
+-----------------------------------+--+----------------+----------------+--------------+ 
 
Cash and cash equivalents (which are presented as a single class of assets on 
the face of the balance sheet) comprise cash at bank and other short-term highly 
liquid investments with a maturity of three months or less. 
 
+-------------------------------------+--+------------+----------------+--------------+ 
| (b) Cash and cash equivalents       |  |  Unaudited |                |      Audited | 
|                                     |  |         31 |      Unaudited |      30 June | 
|                                     |  |   December |             31 |         2009 | 
|                                     |  |       2009 |       December |          GBP | 
|                                     |  |        GBP |           2008 |              | 
|                                     |  |            |            GBP |              | 
+-------------------------------------+--+------------+----------------+--------------+ 
| Cash at bank and in hand            |  |     77,005 |        152,991 |      112,454 | 
+-------------------------------------+--+------------+----------------+--------------+ 
|                                     |  |            |                |              | 
+-------------------------------------+--+------------+----------------+--------------+ 
| Net cash position                   |  |     77,005 |        152,991 |      112,454 | 
+-------------------------------------+--+------------+----------------+--------------+ 
|                                     |  |            |                |              | 
+-------------------------------------+--+------------+----------------+--------------+ 
 
 
6.       Copies of the interim statement will be available on the Company's 
website at www.indiastarenergy.co.uk. 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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