Asiamet Resources Limited Asiamet Resources Half-Year Results 2016

 
TIDMARS 
 
 
   VANCOUVER, British Columbia, Aug. 25, 2016 (GLOBE NEWSWIRE) -- The 
Asiamet Resources Limited (the "Company" or "ARS") Financial Statements 
and Management Discussion & Analysis - Quarterly Highlights ("MD&A - 
QH") for the six months ended June 30, 2016 are available for viewing 
onwww.sedar.com or www.asiametresources.com. 
 
   The highlight of the half year to June 30, 2016 was the announcement on 
April 5, 2016, of the results of the independently prepared Preliminary 
Economic Assessment ("PEA") study of the Beruang Kanan Main ("BKM") 
Copper Deposit.  Following completion of this highly positive PEA study, 
and a successful capital raise completed on April 27, 2016, Asiamet 
initiated feasibility studies on the BKM copper project. 
 
   As at June 30, 2016, the Company had working capital of $1,801,904.  On 
April 27, 2016, the Company closed a brokered private placement and 
issued and settled through CREST 48,387,097 common shares at a price of 
GBP 3.1 pence per share for total gross proceeds of GBP1.5 million 
(equivalent to $2.2 million) all of which has been received by the 
Company. 
 
   Exploration and evaluation expenditures on Asiamet projects for the six 
months ended June 30, 2016 totaled $1,333,349, before deducting the net 
VAT recovery of $993,641 and before adding non-cash depreciation of 
$37,427 for a total of $375,524 compared to $945,880 in the six months 
ended June 30, 2015.  In the three months ended June 30, 2016, the 
subsidiary that holds the KSK CoW was refunded VAT (value added tax) of 
IDR 13.2 billion the approximate equivalent of $1 million.  The Company 
expensed this VAT as it was incurred and has now recorded the refund as 
a taxation recovery against exploration expenses.  Beginning with fiscal 
year 2016 the Company is treating VAT as a current asset which at June 
30, 2016 was $86,430 relating to VAT in calendar 2015 and year to date 
2016.  Administration expenses for the six months ended June 30, 2016 
totaled $468,047 compared to $585,614 in the six months ended June 30, 
2015.  The Company has increased its marketing awareness program focused 
on the AIM marketplace where the great majority of the Company's shares 
trade. 
 
   The Company announced the results of the independently prepared PEA 
study of the Beruang Kanan Main Copper Deposit on April 5, 2016.  The 
PEA is the first study undertaken to evaluate the economics of 
developing an open pit mine and heap leach solvent extraction 
electro-winning facility ("SX-EW") to directly produce copper cathode 
based on the near surface copper deposit reported in the 2015 BKM 
Resource estimate (refer ARS NR October 21, 2015). 
 
   Results of the PEA study demonstrate excellent potential for developing 
a robust, low strip ratio, low capital intensity copper project with low 
operating costs, strong cash flow generation capacity and significant 
upside potential through further Resource growth.  The PEA is available 
for viewing onwww.sedar.com or www.asiametresources.com. 
 
   Following on from the strong results demonstrated in the BKM PEA, a 
feasibility study fully assessing the proposed mine development has been 
initiated. The feasibility study represents a major de-risking phase for 
the project, the outcomes of which will be used by a wide range of 
stakeholders, including potential financiers, to assess the project's 
viability. 
 
   The Company engaged a Study Manager to lead the owner's team for the 
feasibility study and also contracted a number of the key consultants 
and service providers required to oversee the long lead time items in 
each of the key study disciplines. Local Indonesian consultants, service 
providers and manpower are being utilized wherever possible. 
 
   At the BKM site a comprehensive Resource infill and extension drilling 
program began at the end of May and continues at the time of this 
report.  The drill program is planned to upgrade a majority of the 
Inferred Mineral Resource i.e. 49.7million tonnes grading 0.6% Cu 
containing 657 million pounds of copper at (0.2% Cu reporting cut), to 
the Measured and Indicated Mineral Resource categories. Two drills are 
currently operational. Two large diameter (PQ size) core holes have also 
been completed to collect fresh bulk samples for detailed metallurgical 
testwork. Approximately 100 holes/9000 meters of Resource drilling and 
15 holes/2000 meters of metallurgy drilling is planned. Drill results of 
the first 12 holes were announced on July 21, 2016, August 4, 2016, and 
August 17, 2016. 
 
   The excellent thickness and continuity of near surface high grade 1-3% 
copper mineralization intersected in feasibility study drilling to date 
further strengthens the key fundamentals of the BKM project. The 
delineation of these discrete zones of continuous, shallow, higher grade 
mineralization that is easily accessible for early mining has the 
potential to lower operating costs and further enhance project 
economics. 
 
   Other activities undertaken in the six months ended June 30, 2016 have 
been focused on corporate initiatives aimed at further strengthening the 
company's project delivery capability and financial position and on the 
conversion of the Beutong and Jelai exploration IUP's (Izin Usaha 
Pertambangan) to production IUP's. Approval of the IUP Production 
secures long term mining title valid for 20 years, extendable for two 
subsequent periods each of 10 years duration. 
 
   Conversion of both the Beutong IUP and Jelai IUP has been significantly 
delayed due to changes to the regulatory process and the responsible 
regulatory bodies and personnel within the Government of Indonesia, 
however the process is now nearing completion and a decision on the 
grant of an IUP production for both projects is expected shortly. 
 
   Under Indonesian Mining law the holder of an IUP exploration is 
guaranteed an IUP production provided all requirements have been met, 
and an IUP exploration cannot be terminated if there has been an 
application made to convert to an IUP production. 
 
   Qualified Person 
 
   Data disclosed in this press release have been reviewed and verified by 
ARS's qualified person, Stephen Hughes, P. Geo, Vice President 
Exploration of the Company and a Qualified Person within the meaning of 
NI 43-101 and for the purposes of the AIM Rules. 
 
   ON BEHALF OF THE BOARD OF DIRECTORS 
 
   Tony Manini, Deputy Chairman and CEO 
 
   For further information, please contact: 
 
   Tony Manini 
 
   Deputy Chairman and CEO, Asiamet Resources Limited 
 
   Telephone: [phone] 
 
   Email: [e-mail] 
 
   FlowComms Limited 
 
   Sasha Sethi 
 
   Telephone: [phone] 
 
   Email: [e-mail] / [e-mail] 
 
   Asiamet Resources Nominated Adviser 
 
   RFC Ambrian Limited 
 
   Andrew Thomson / Oliver Morse 
 
   Telephone: [phone] 
 
   Email: [e-mail] / [e-mail] 
 
   VSA Capital Limited 
 
   Andrew Raca / Justin McKeegan 
 
   Telephone: [phone] 
 
   Email: [e-mail] 
 
   Optiva Securities Limited 
 
   Christian Dennis 
 
   Telephone: [phone] 
 
   Email: [e-mail] 
 
   Neither the TSX Venture Exchange nor its Regulation Services Provider 
(as that term is defined in the policies of the TSX Venture Exchange) 
accepts responsibility for the adequacy or accuracy of this release. 
 
   This news release contains forward-looking statements that are based on 
the Company's current expectations and estimates. Forward-looking 
statements are frequently characterized by words such as "plan", 
"expect", "project", "intend", "believe", "anticipate", "estimate", 
"suggest", "indicate" and other similar words or statements that certain 
events or conditions "may" or "will" occur. Such forward-looking 
statements involve known and unknown risks, uncertainties and other 
factors that could cause actual events or results to differ materially 
from estimated or anticipated events or results implied or expressed in 
such forward-looking statements.   Such factors include, among others: 
the actual results of current exploration activities; conclusions of 
economic evaluations; changes in project parameters as plans continue to 
be refined; possible variations in ore grade or recovery rates; 
accidents, labour disputes and other risks of the mining industry; 
delays in obtaining governmental approvals or financing; and 
fluctuations in metal prices.  There may be other factors that cause 
actions, events or results not to be as anticipated, estimated or 
intended.  Any forward-looking statement speaks only as of the date on 
which it is made and, except as may be required by applicable securities 
laws, the Company disclaims any intent or obligation to update any 
forward-looking statement, whether as a result of new information, 
future events or results or otherwise. Forward-looking statements are 
not guarantees of future performance and accordingly undue reliance 
should not be put on such statements due to the inherent uncertainty 
therein. 
 
   ASIAMET RESOURCES LIMITED 
 
   CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION 
 
   (unaudited - expressed in United States dollars) 
 
 
 
 
                                          June 30,      December 31, 
                                             2016            2015 
 
ASSETS 
Current assets 
 Cash                                   $  1,961,683   $    778,634 
 Receivables and other assets                184,445         99,911 
                                           2,146,128        878,545 
 
Non-current assets 
 Equipment                                    62,424         91,799 
 Security deposit                             92,835         92,374 
TOTAL ASSETS                            $  2,301,387   $  1,062,718 
 
 
          LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIENCY) 
Current liabilities 
 Trade and other payables               $    344,224   $    349,243 
 
Non-current liabilities 
 Provision for employee service 

  entitlements                                44,355         42,377 
                                             388,579        391,620 
 
Shareholders' equity 
 Share capital                             6,190,610      5,706,741 
 Equity reserves                          31,534,532     29,967,939 
 Deficit                                 (35,805,306)   (34,996,554) 
                                           1,919,836        678,126 
 Non-controlling interest                     (7,028)        (7,028) 
                                           1,912,808        671,098 
TOTAL LIABILITIES AND EQUITY            $  2,301,387   $  1,062,718 
 
 
 
   ASIAMET RESOURCES LIMITED 
 
   CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE LOSS 
 
   (unaudited - expressed in United States dollars) 
 
 
 
 
                          For the three months ended      For the six months ended 
                           June 30,       June 30,       June 30,        June 30, 
                   Note       2016           2015           2016            2015 
 
Expenses 
 Accounting and 
  audit                  $     27,545   $      2,345   $     26,887   $      2,345 
 Consultants and 
  shared office 
  costs                       149,375        215,373        301,088        473,101 
 Exploration and 
  evaluation 
  expenditures        8      (122,500)       512,712        375,524        945,880 
 Investor 
  relations                    25,499            421         35,888            839 
 Legal                              -          3,163          2,558          6,471 
 Office and 
  administrative 
  services                     14,493          7,426         20,269         10,374 
 Transfer agent 
  and regulatory 
  fees                         49,448         54,789         76,120         79,902 
 Travel and 
  accommodation                 4,958         12,582          5,237         12,582 
                              148,818        808,811        843,571      1,531,494 
 
Other items 
 Foreign exchange 
  (loss) gain                  31,664         (7,461)        33,080         (4,628) 
 Impairment loss 
  on asset 
  acquisition                       -              -              -     (3,866,813) 
 Interest income                1,641            (48)         1,739            (18) 
                               33,305         (7,509)        34,819     (3,871,459) 
Loss and comprehensive 
 loss for the period     $   (115,513)  $   (816,320)  $   (808,752)  $ (5,402,953) 
 
Loss attributable 
to: 
 Equity holders 
  of the parent          $   (115,513)  $   (804,897)  $   (808,752)  $ (5,361,053) 
 Non-controlling 
  interest                          -        (11,423)             -        (41,900) 
                         $   (115,513)  $   (816,320)  $   (808,752)  $ (5,402,953) 
 
Basic and diluted 
 loss per common 
 share                   $      (0.00)  $      (0.00)  $      (0.00)  $      (0.01) 
Weighted average number 
 of shares outstanding    574,597,071    426,900,370    591,706,321    396,095,858 
 
 
 
 
   ASIAMET RESOURCES LIMITED 
 
   CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS 
 
   (unaudited - expressed in United States dollars) 
 
 
 
 
                                                             For the six months ended 
                                                             June 30,       June 30, 
                                                               2016            2015 
 
Cash provided from (used for): 
 
Operating activities 
Loss for the period                                        $  (808,752)  $ (5,402,953) 
Adjustment for non-cash items: 
 Depreciation                                                   37,427         69,768 
 Exploration and evaluation expenditures acquired                    -      3,866,813 
 Unrealized foreign exchange loss (gain)                         1,517         (3,856) 
Changes in non-cash working capital: 
 Receivables and other assets                                  (84,534)       (84,244) 
 Trade and other payables                                       (5,019)         5,837 
                                                              (859,361)    (1,548,635) 
Investing activities 
 Beutong acquisition transaction costs                               -         13,618 
 Purchase of equipment                                          (8,052)        (1,102) 
                                                                (8,052)        12,516 
Financing activities 
 Share issues                                                2,154,807      3,018,184 
 Share issue costs                                            (104,345)      (154,326) 
                                                             2,050,462      2,863,858 
 
Effect of foreign exchange on cash                                   -          3,092 
 
Increase in cash                                             1,183,049      1,330,831 
 
Cash, beginning of the period                                  778,634         30,382 
                                                                                    - 
Cash, end of the period                                    $ 1,961,683   $  1,361,213 
 
 
Supplementary information: 
 
 Interest paid                                             $       708   $          - 
 Income taxes paid                                                   -              - 
 
Non-cash investing and financing activities 
 
 Fair value of shares issued exploration and evaluation 
  expenditures 
  a subsidiary                                             $         -   $  3,333,483 
 Fair value of warrants issued for the acquisition 
  of a subsidiary                                                    -        455,327 
 Fair value of warrants issued to brokers included 
  in share issue costs                                          86,808        103,712 
 
 
 
   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

August 25, 2016 02:01 ET (06:01 GMT)

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