Karelian Diamond Res. Half-year Report

 
TIDMKDR 
 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulations 
(EU) No. 596/2014 ("MAR"). 
 
                        Karelian Diamond Resources plc 
 
                    ("Karelian Diamonds" or "the Company") 
 
                                                               28 February 2018 
 
         Half-yearly results for the six months ended 30 November 2017 
 
Karelian Diamond Resources plc (AIM: KDR), the diamond exploration company 
focused on Finland, announces its results for the six months ended 30 November 
2017. 
 
Highlights of the Half-year: 
 
  * Very close proximity to the source of the diamond discovery by the Company 
    in the Kuhmo region of Finland suggested by indicator mineral sampling 
    results. 
 
  * Lahtojoki diamond deposit - PEA completed - 5m tonnes, microdiamond data 
    suggest grade of 40 carats per hundred tonnes (cpht) and high percentage of 
    gem quality stones 
  * Riihivaarä - kimberlite body follow up work shows geotherm  prospective for 
    diamonds 
 
Commenting, Chairman, Professor Richard Conroy said: 
 
"I am delighted that over the period the search for the source for the green 
diamond has been so encouraging with the recent sampling results suggesting 
close proximity to source.  I am also very pleased that the PEA on the 
Lahtojoki diamond deposit has been so positive." 
 
Further Information: 
 
Professor Richard Conroy, Chairman, Karelian Diamond           Tel: [phone] 
Resources plc 
 
Virginia Bull / Nick Harriss, Allenby Capital                 Tel: [phone] 
Limited (Nomad) 
 
Jon Belliss / Elliot Hance, Beaufort Securities               Tel: [phone] 
Limited (Broker) 
 
Michael Padley, Lothbury Financial Services Limited           Tel: [phone] 
 
Don Hall, Hall Communications                                  Tel: [phone] 
 
www.kareliandiamondresources.com 
 
Chairman's statement 
 
Dear Shareholder, 
 
I have great pleasure in presenting your Company's Half-Yearly results for the 
six month period ended 30 November 2017. The discovery of a green diamond in a 
till sample in the Kuhmo region of eastern Finland has been followed up by an 
intensive pitting programme designed to find the kimberlite source of the 
diamond. The latest results suggest that we are now very close to the source. 
Work has also continued at Riihivaarä, where we have discovered a kimberlite 
body, and at the Lahtojoki diamond deposit, over which we hold a mining 
concession and on which a Preliminary Economic Assessment has been completed 
during the period with highly encouraging results. 
 
Principal activities and business review 
 
Diamond Discovery 
 
Following the discovery by the Company of a green diamond in January 2016, we 
have been engaged in an intensive exploration programme to discover the source 
of the diamond. The programme has included airborne geophysics and an extensive 
pitting programme up-ice from the site of the discovery. The work programme was 
designed to identify the kimberlite train arising from the kimberlite source 
and to trace it back to source. 
 
Sampling results (as announced on 14 November 2017) indicated that the source 
was within two hundred metres of some of the samples taken in the pitting 
programme. The most recent results (as announced post period on 23 January 
2018) suggest that we are now in very close proximity to the source.  This 
success in tracing back the kimberlite train to source is a great achievement 
considering that it is scarcely a year since the diamond was found. 
 
In October 2017 we were awarded an Exploration Permit covering an area of 
601.68 hectares surrounding the location where the Company discovered the 
diamond. 
 
Riihivaarä 
 
In Eastern Finland, where your Company has discovered a kimberlite body, the 
first to be discovered in Finland in over 10 years, follow up work has shown 
that the geotherm there is prospective for diamonds. The kimberlite has been 
sampled to a model depth of over 200km, well into the diamond stability field, 
and it is therefore likely to be diamondiferous. The kimberlite body remains 
open in both directions along strike and to depth and a drilling programme is 
now envisaged along the known kimberlite. 
 
Seitaperä 
 
At Seitaperä, also in the Kuhmo region of Eastern Finland, where your Company 
has outlined the largest known kimberlite body in Finland and has reported the 
presence of both macro and micro diamonds, consideration is being given as to 
whether or not some, or all, of these micro and macro diamonds may have 
originated from a larger stone. Should this be considered to be the case, it 
would have significant implications for any follow up mini bulk sampling 
programme and for the diamond potential of the kimberlite. 
 
Lahtojoki Mining Development Programme 
 
A Preliminary Economic Assessment ("PEA") has been carried out during the 
period on the Lahtojoki diamond deposit in the Kuopio-Kaavi region of Finland 
over which your Company holds a Mining Concession. 
 
I am delighted that the PEA was positive and a mining operation recommended (as 
announced on 1 August 2017). 
 
The PEA suggests a +1mm recoverable grade of 39.7 carats per hundred tonnes 
(cpht) and also indicates the presence of a high percentage of gem quality 
stones within the diamonds that have been recovered to date. Previous drilling 
indicates 5,603,584 tonnes are present to a depth of 160 metres below surface. 
For the purposes of the PEA US$100/carat was used in the economic evaluation 
and mine design. A total resource (non JORC) estimate of 2,225,000 carats was 
indicated in the study with plant recovery of diamonds estimated at 95 per 
cent. The location of Lahtojoki is highly favourable for development and we 
believe the Lahtojoki diamond deposit has the potential to become a profitable 
open pit diamond mine. 
 
Clearly much work remains to be done but the PEA Report is a major and highly 
encouraging step forward in our assessment of the Lahtojoki diamond deposit. 
Should the deposit be developed it would be the first diamond mine in Europe 
(outside Russia). 
 
Exploration by your Company suggests that in addition to the Lahtojoki deposit 
there may also be further diamond resource potential in the immediate area. 
Having considered a series of geophysical and kimberlite indicator mineral 
anomalies in the area, your Company has applied for a Claim Reservation in the 
area adjacent to the Lahtojoki mining concession.  The Claim Reservation covers 
the up-ice area of the kimberlite boulder discovery (as previously announced on 
9 November 2016 and 12 January 2017) and totals an area of 8.67km². Post period 
a Claim covering 28.84 hectares was granted within the Claim Reservation on 22 
January 2018. The Claim surrounds the location where the kimberlite boulder 
discovery was made. 
 
Should a further significant diamond deposit be discovered close to the 
Lahtojoki deposit, this would of course add greatly to the economic potential 
and attractiveness of the Lahtojoki diamond deposit. 
 
Finance 
 
The loss after taxation for the six month period ended 30 November 2017 was EUR 
211,590 (30 November 2016: EUR117,067) and the net assets as at 30 November 2017 
were EUR9,281,407 (30 November 2016: EUR8,370,091). 
 
Post period, at the Annual General Meeting on 21 December 2017, shareholders 
approved the consolidation of the Company's ordinary shares into new ordinary 
shares of EUR0.00025 each. Immediately following which, each existing shareholder 
held 1 new ordinary share in place of each 25 existing ordinary shares. The 
consolidation was considered to be in the shareholders' interests as the 
existing number of shares was unwieldy and the bid-offer range was too large as 
a proportion of the share price. Following the consolidation of the ordinary 
shares on 21 December 2017, the warrants in issue were consolidated into one 
consolidated warrant for every 25 existing warrants. The exercise price in 
relation to the warrants was also adjusted at this time. 
 
Directors and Staff 
 
I would like to thank my fellow directors, staff and consultants for their 
support and dedication. 
 
Outlook 
 
The Company has made outstanding progress in the period under review and I look 
forward with confidence to further success during the coming period. 
 
Yours faithfully, 
 
Professor Richard Conroy 
 
Chairman 
 
27 February 2018 
 
Condensed income statements and condensed statement of comprehensive income for 
the six month period ended 30 November 2017 
 
Condensed income statement 
 
                                Note       Six month            Six month   Year ended 31 
                                        period ended      period ended 30        May 2017 
                                         30 November        November 2016 
                                                2017        (Unaudited) EUR     (Audited) EUR 
                                       (Unaudited) EUR 
 
Continuing operations 
 
Operating expenses                         (211,590)            (117,067)       (410,814) 
 
Loss before taxation                       (211,590)            (117,067)       (410,814) 
 
Income tax expense                                 -                    -               - 
 
Loss for the financial period/             (211,590)            (117,067)       (410,814) 
year 
 
Loss per share 
 
Basic and diluted loss per        2        (EUR0.0091)            (EUR0.0050)       (EUR0.0176) 
share 
 
 
Condensed statement of comprehensive income 
 
                                          Six month          Six month    Year ended 31 
                                       period ended       period ended         May 2017 
                                        30 November        30 November 
                                               2017               2016      (Audited) EUR 
                                      (Unaudited) EUR      (Unaudited) EUR 
 

Loss for the financial period/            (211,590)          (117,067)        (410,814) 
year 
 
Income/expense recognised in 
other comprehensive income                        -                  -                - 
 
Total comprehensive expense for 
the financial period/year                 (211,590)          (117,067)        (410,814) 
 
Condensed statement of financial position as at 30 November 2017 
 
                                      Note    30 November    30 November     Year ended 
                                                     2017           2016    31 May 2017 
                                              (Unaudited)    (Unaudited)      (Audited) 
 
                                                        EUR              EUR              EUR 
 
Assets 
 
  Non-current assets 
 
   Intangible assets                   3        9,607,634      9,014,182      9,276,955 
 
   Financial assets                                     4              4              4 
 
  Total non-current assets                      9,607,638      9,014,186      9,276,959 
 
  Current assets 
 
   Cash and cash equivalents                       44,347         49,224        523,324 
 
   Other receivables                              386,848        161,503        292,562 
 
  Total current assets                            431,195        210,727        815,886 
 
Total assets                                   10,038,833      9,224,913     10,092,845 
 
Equity 
 
  Capital and reserves 
 
   Called up share capital                          5,844      3,177,850          5,844 
 
   Called up deferred share                     3,174,672              -      3,174,672 
capital 
 
   Share premium                                8,201,664      6,791,581      8,201,664 
 
   Share based payments reserve                   802,939        681,312        765,977 
 
   Retained losses                            (2,903,712)    (2,280,652)    (2,692,122) 
 
Total equity                                    9,281,407      8,370,091      9,456,035 
 
Liabilities 
 
  Non-current liabilities 
 
Trade and other payables: amounts 
falling due after more than one        5          158,088        309,589        158,008 
year 
 
  Total non-current liabilities                   158,088        309,589        158,008 
 
  Current liabilities 
 
   Trade and other payables: 
amounts falling due within one                    599,338        545,233        478,802 
year 
 
  Total current liabilities                       599,338        545,233        478,802 
 
Total liabilities                                 757,426        854,822        636,810 
 
Total equity and liabilities                   10,038,833      9,224,913     10,092,845 
 
Condensed statement of cash flows for the six month period ended 30 November 
2017 
 
                                             Six month      Six month           Year ended 31 May 2017 
                                               period          period                        (Audited) 
                                              ended 30       ended 30 
                                              November       November                                EUR 
                                                  2017           2016 
                                           (Unaudited)    (Unaudited) 
                                                     EUR              EUR 
 
Cash flows from operating activities 
 
Loss for the financial period/year           (211,590)      (117,067)                        (410,814) 
 
Adjustments for: 
 
Expense recognised in income statement in        6,810          2,900                           74,280 
respect of equity settled share based 
payments 
 
Increase/(decrease) in trade and other         120,536         59,733                          (6,698) 
payables 
 
(Increase)/decrease in other receivables      (94,633)         49,865                         (81,194) 
 
Net cash used in operating activities        (178,877)        (4,569)                        (424,426) 
 
Cash flows from investing activities 
 
Investment in exploration and evaluation     (300,527)      (287,944)                        (537,432) 
 
Net cash used in investing activities        (300,527)      (287,944)                        (537,432) 
 
Cash flows from financing activities 
 
Issue of share capital                               -              -                        1,412,749 
 
Share issue costs                                    -              -                        (117,723) 
 
Shareholders loan repayment                          -              -                        (151,581) 
 
Shareholders loan reclassified                      80              -                                - 
 
Advances made to related parties             (143,339)              -                                - 
 
Repayments from related parties                143,686              -                                - 
 
Net cash provided by financing activities          427              -                        1,143,445 
 
(Decrease)/increase in cash and cash         (478,977)      (292,513)                          181,587 
equivalents 
 
Cash and cash equivalents at beginning of 
financial period/year                          523,324        341,737                          341,737 
 
Cash and cash equivalents at end of             44,347         49,224                          523,324 
financial period/year 
 
Condensed statement of changes in equity for the six month period ended 30 
November 2017 
 
                          Share        Share  Share-based     Retained Total equity 
                        capital      premium      payment       losses 
                                                  reserve 
 
                              EUR            EUR            EUR            EUR            EUR 
 
Balance at 1 June     3,180,516    8,201,664      765,977  (2,692,122)    9,456,035 
2017 
 
Share-based                   -            -       36,962            -       36,962 
payments 
 
Loss for the                  -            -            -    (211,590)    (211,590) 
financial period 
 
Balance at 30         3,180,516    8,201,664      802,939  (2,903,712)    9,281,407 
November 2017 
 
Balance at 1 June     3,177,850    6,791,581      665,127  (2,163,585)    8,470,973 
2016 
 
Share-based                   -            -       16,185            -       16,185 
payments 
 
Loss for the                  -            -            -    (117,067)    (117,067) 
financial period 
 
Balance at 30         3,177,850    6,791,581      681,312  (2,280,652)    8,370,091 
November 2016 
 
Share capital 
 
The share capital comprises the nominal value share capital issued for cash and 
non-cash consideration. The share capital also comprises deferred share 
capital. The deferred share capital* arose through the restructuring of share 
capital which was approved at the Annual General Meeting held on 9 December 
2016. 
 
Authorised share capital: 
 
The authorised share capital at 30 November 2017 compromised 182,532,751,034 
ordinary shares of EUR0.00001 each, and 317,785,034 deferred shares of EUR0.00999 
each* (EUR5,000,000), (30 November 2016: 500,000,000 ordinary shares of EUR0.01 
each (EUR5,000,000)). 
 
*Capital reorganisation: 
 
Following approval at the Annual General Meeting held on 9 December 2016, the 
Company reorganised its share capital by subdividing and reclassifying each 
issued ordinary share of EUR0.01 as one ordinary share of EUR0.00001 each and one 
deferred share of EUR0.00999 each.  The Deferred Shares have no right to vote, 
attend or speak at general meetings of the Company and have no right to receive 
any dividend or other distribution, and have only limited rights to participate 
in any return of capital on a winding-up or liquidation of the Company, which 
will be of no material value. No application was made to the London Stock 
Exchange for admission of the Deferred Shares to trading on the AIM. 
 
Post period end: 
 
After the period end, on 21 December 2017, the Company passed a Special 
Resolution at the Company's AGM, that all of the ordinary shares of EUR0.00001 
each in the capital of the Company, whether issued or unissued were 
consolidated into New Ordinary Shares of EUR0.00025 each in the capital of the 
Company ("consolidated shares") on the basis of one consolidated share for 
every 25 existing ordinary shares. Following the consolidation of the ordinary 
shares on 21 December 2017, the warrants in issue were consolidated into one 
consolidated warrant for every 25 existing warrants. The exercise price in 
relation to the warrants was also adjusted at this time (see Note 2). 
 
Share premium 
 
The share premium reserve comprises the excess consideration received in 
respect of share capital over the nominal value of the shares issued. 
 
Share based payment reserve 
 
The share based payment reserve represents the amount expensed to the condensed 
income statement in addition to the amount capitalised as part of intangible 
assets of share-based payments granted which are not yet exercised and issued 
as shares. 
 
Retained losses 
 
This reserve represents the accumulated losses absorbed by the Company to the 
condensed statement of financial position date. 
 
Notes to and forming part of the condensed financial statements for the six 
month period ended 30 November 2017 
 
1.        Accounting policies 
 
Reporting entity 
 
Karelian Diamond Resources plc (the "Company") is a company domiciled in 
Ireland. 
 
Basis of preparation and statement of compliance 
 
The condensed financial statements for the six months ended 30 November 2017 
are unaudited. 
 
The condensed financial statements have been prepared in accordance with 
International Accounting Standard ("IAS") 34: Interim Financial Reporting. 
 
The condensed financial statements do not include all the information and 
disclosures required in the annual financial statements, and should be read in 
conjunction with the Company's annual financial statements as at 31 May 2017, 

which are available on the Company's website - www.kareliandiamondresources.com 
. The accounting policies adopted in the presentation of the condensed 
financial statements are consistent with those followed in the preparation of 
the Company's annual financial statements for the year ended 31 May 2017. There 
are no new standards, amendments to published standards or interpretations 
which are effective for the first time in the current period that have a 
material effect on the condensed financial statements. 
 
The condensed financial statements have been prepared under the historical cost 
convention, except for derivative financial instruments which are measured at 
fair value at each reporting date. 
 
The condensed financial statements are presented in Euro ("EUR"). EUR is the 
functional currency of the Company. 
 
The preparation of condensed financial statements requires the Board of 
Directors and management to use judgements, estimates and assumptions that 
affect the application of policies and reported amounts of assets, liabilities, 
income and expenses. Actual results may differ from those estimates. Estimates 
and underlying assumptions are reviewed on an ongoing basis. Revisions to 
accounting estimates are recognised in the financial period in which the 
estimate is revised and in any future financial periods affected. Details of 
critical judgements are disclosed in the accounting policies detailed in the 
annual financial statements. 
 
The financial information presented herein does not amount to statutory 
financial statements that are required by Chapter 4 part 6 of the Companies Act 
2014 to be annexed to the annual return of the Company. The statutory financial 
statements for the financial year ended 31 May 2017 were annexed to the annual 
return and filed with the Registrar of Companies. The audit report on those 
financial statements was unqualified. 
 
These Condensed Financial Statements were authorised for issue by the Board of 
Directors on 27 February 2018. 
 
Going concern 
 
The Company incurred a loss of EUR211,590 (30 November 2016: EUR117,067) for the 
six month period ended 30 November 2017. The Company had net current 
liabilities of EUR168,143 (30 November 2016: EUR334,506) at that date. 
 
The Board of Directors have considered carefully the financial position of the 
Company and in that context, have prepared and reviewed cash flow forecasts for 
the period to 30 November 2018. As set out in the Chairman's statement, the 
Company expects to incur material levels of capital expenditure in 2018, 
consistent with its strategy as an exploration company. In reviewing the 
proposed work programme for exploration and evaluation assets and on the basis 
of the equity raised during the year to 31 May 2017, the results obtained from 
the exploration programme and the prospects for raising additional funds as 
required, the Board of Directors are satisfied that it is appropriate to 
prepare the condensed financial statements on a going concern basis. 
 
Standards, interpretations and amendments issued but not yet effective 
 
The following new standards, amendments to standards and interpretations have 
been issued to date and are not yet effective for the financial period ended 30 
November 2017, and have not been applied nor early adopted, where applicable, 
in preparing these condensed financial statements: 
 
  * IFRS 9: Financial Instruments; Classification and Measurement - effective 
    for periods beginning 1 January 2018 
  * IFRS 15: Revenue from Contracts with Customers - effective for periods 
    beginning 1 January 2018 
  * IFRS 2: Classification and Measurement of Share-based Payment Transactions 
    (Amendment) - effective for periods beginning 1 January 2018 
  * IFRS 1: Annual Improvements to IFRS 2014-2016 Cycle (Amendments to IFRS 1) 
    - effective for periods beginning 1 January 2018 
  * IAS 28: Annual Improvements to IFRS 2014-2016 Cycle (Amendments to IAS 28) 
    - effective for periods beginning 1 January 2018 
  * IFRS 16: Leases - effective for periods beginning 1 January 2019 
  * IFRS 17: Insurance Contracts - effective for periods beginning 1 January 
    2021 
  * IFRS10/IAS28: Sale or contribution of an asset between an investor and its 
    Associate of Joint Venture (Amendment) - Deferred indefinitely by 
    amendments made in December 2015. 
 
The Board of Directors anticipate that the adoption of new standards, 
interpretations and amendments that were in issue at the date of authorisation 
of these condensed financial statements, but not yet effective, will have no 
material impact on the condensed financial statements in the period of initial 
application. 
 
2.        Loss per share 
 
Basic earnings per share 
 
                                            Six month       Six month     Year ended 
                                               period    period ended    31 May 2017 
                                             ended 30     30 November 
                                             November            2016 
                                                 2017     (Unaudited)    (Audited) EUR 
                                          (Unaudited)               EUR 
                                                    EUR 
 
Loss for the financial period/year 
attributable to equity holders of           (211,590)       (117,067)      (410,814) 
the Company 
 
Number of ordinary shares for the 
purposes of earnings per share¥            23,378,067      23,378,067     23,378,067 
 
Loss per ordinary share                     (EUR0.0091)       (EUR0.0050)      (EUR0.0176) 
 
 
¥ On 21 December 2017, the Company passed a Special Resolution at the Company's 
AGM, that all of the ordinary shares of EUR0.00001 each in the capital of the 
Company, whether issued or unissued were consolidated into new ordinary shares 
of EUR0.00025 each in the capital of the Company ("consolidated shares") on the 
basis of one consolidated share for every 25 existing ordinary shares. (In line 
with IAS 33: Earnings per share, the calculation of basic and diluted EPS for 
all periods presented is adjusted retrospectively when the number of ordinary 
or potential ordinary shares outstanding increases as a result of a reverse 
share split). 
 
Diluted earnings per share 
 
The effect of share options and warrants is anti-dilutive. 
 
Following the consolidation of the ordinary shares on 21 December 2017, the 
warrants in issue were consolidated into one consolidated warrant for every 25 
existing warrants. The exercise price in relation to the warrants was also 
adjusted at that time, to the following: 
 
  * Expiry date : 29 December 2018 - 20p sterling; 
  * Expiry date : 28 April 2019 - 20p sterling; 
  * Expiry date : 19 November 2022 - GBP2.20 sterling. 
 
3.        Intangible assets 
 
Exploration and evaluation assets 
 
Cost                                30 November       30 November     31 May 2017 
                                           2017              2016 
                                    (Unaudited)     (Unaudited) EUR     (Audited) EUR 
                                              EUR 
 
 
At 1 June                             9,276,955         8,712,953       8,712,953 
 
Expenditure during the financial 
period/year 
 
  * Licence and appraisal costs         136,002           148,320         255,962 
 
  * Other operating expenses            164,525           139,625         281,470 
 
  * Equity settled share based           30,152            13,284          26,570 
    payments 
 
At 30 November/31 May                 9,607,634         9,014,182       9,276,955 
 
 
Exploration and evaluation assets relate to expenditure incurred in the 
development of mineral exploration opportunities. These assets are carried at 
historical cost and have been assessed for impairment in particular with regard 
to the requirements of IFRS 6: Exploration for and Evaluation of Mineral 
Resources relating to remaining licence or claim terms, likelihood of renewal, 
likelihood of further expenditure, possible discontinuation of activities as a 
result of specific claims and available data which may suggest that the 
recoverable value of an exploration and evaluation asset is less than its 
carrying amount. 
 
The Board of Directors have considered the proposed work programmes for the 
underlying mineral resources. They are satisfied that there are no indications 
of impairment. 
 
The Board of Directors note that the realisation of the intangible assets is 
dependent on further successful development and ultimate production of the 
mineral resources and the availability of sufficient finance to bring the 
resources to economic maturity and profitability. 
 
4.        Commitments and Contingencies 
 
At 30 November 2017, there were no capital commitments or contingent 
liabilities (31 May 2017: No capital commitments or contingencies liabilities). 
Should the Company decide to develop the Lahtojoki project, an amount of EUR 
100,000 is payable by the Company. 
 
5.        Related party transactions 
 
(a) Shareholders loans               30 November    30 November      31 May 2017 
                                            2017           2016 
                                     (Unaudited)    (Unaudited)      (Audited) EUR 
                                               EUR              EUR 
 
 
Opening balance 1 June                   158,008        309,589          309,589 
 
Reclassification of loan balance              80              -                - 
 
Loan repayment                                 -              -        (151,581) 
 
Closing balance 30 November/31 May       158,088        309,589          158,008 
 
Prior to the various placings of shares, the immediate funding requirements of 
the Company had been financed by advances from Professor Richard Conroy 
(executive chairman and major shareholder). 
 
(b)        Apart from Directors remuneration, and loans from shareholders, (who 
are also Directors), there here have been no contracts or arrangements entered 

into during the six month period in which a Director of the Company had a 
material interest. 
 
(c)        The Company shares accommodation with Conroy Gold and Natural 
Resources plc which have certain common Directors and shareholders. For the six 
month period ended 30 November 2017, Conroy Gold and Natural Resources plc 
incurred costs totalling EUR143,686 (30 November 2016: EUR126,057) on behalf of the 
Company. These costs were recharged to the Company by Conroy Gold and Natural 
Resources plc.               At 30 November 2017, Conroy Gold and Natural 
Resources plc owed EUR273,453 to the Company. Amounts owed from Conroy Gold and 
Natural Resources plc are included within other receivables in the current and 
previous financial periods/years. 
 
6.        Post balance sheet events 
 
Mr. James P. Jones resigned as the Secretary of the Company on the 18 December 
2017, and was replaced by Maureen T.A. Jones at that time. Mr. James P. Jones 
also retired as a director by rotation at the AGM on 21 December 2017, and did 
not offer himself for re-election at that time. 
 
On 21 December 2017, the Company passed a Special Resolution at the Company's 
AGM, that all of the ordinary shares of EUR0.00001 each in the capital of the 
company, whether issued or unissued were consolidated into new ordinary shares 
of EUR0.00025 each in the capital of the Company ("consolidated shares") on the 
basis of one consolidated share for every 25 existing ordinary shares. 
Following the consolidation of the ordinary shares on 21 December 2017, the 
warrants in issue were consolidated into one consolidated warrant for every 25 
existing warrants. The exercise price in relation to the warrants was also 
adjusted as detailed in Note 2. 
 
7.        Approval of the Condensed Financial Statements 
 
These Condensed Financial Statements were approved by the Board of Directors on 
27 February 2018. A copy of the Condensed Financial Statements will be 
available on the Company's website www.kareliandiamondresources.com on 28 
February 2018. 
 
 
 
END 
 

(END) Dow Jones Newswires

February 28, 2018 02:00 ET (07:00 GMT)