The Directors of European Metals Holdings Limited (ASX & AIM: EMH), the specialty lithium exploration and development company with assets in the Czech Republic, have released its interim financial report for the half year ended 31 December 2015 which has been reviewed by the Company’s auditors in accordance with ASRE 2410 Review of a Financial Report Performed by the Independent Auditor of the Entity (equivalent ISRE 2410Review of Interim Financial Information Performed by the Independent Auditor of the Entity).
A copy of the European Metals Half Year Report is also available on the Company’s website at www.europeanmet.com.
DIRECTORS’ REPORT
Results of Operations
The consolidated loss for the half year ended 31 December 2015 amounted to $1,310,889 (2014: $267,830 loss).
Review of Operations
During the period the Company focused on advancing the Cinovec project in Czech Republic.
Highlights in the period include:
Corporate
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· The Company’s securities were admitted to trading on the London Stock Exchange AiM Market (“AIM”) on 10 December 2015. |
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· Mr Kiran Morzaria joined the Board of the Company as a Non-Executive Director. Mr Morzaria is the CEO of AIM listed Rare Earth Minerals and a Non-Executive Director of AIM and TSX listed Bacanora Minerals. |
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· Mr Pavel Reichl stepped away from an Executive Director role with the Company and remains as a Non-Executive Director. |
Project Development
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· A bulk sample of 1.5 tonnes was collected and processed in Germany resulting in approximately 420kg of high grade lithium concentrate being produced and shipped to Australia. The concentrate has been used for testing various available technologies for the production of lithium carbonate. The bulk of the concentrate will be used for a bench scale continuous feed mini plant test. |
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· The Company embarked on a 5,000 m drill program in September which ran through into the New Year. The drill program was planned to target the area outlined in the Company’s positive Scoping Study concluded earlier in the year. The aims of the drill program were to convert a significant portion of the lithium and tin inferred resource used in the Scoping Study to the indicated category, and to provide additional material for further test work. |
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· The Company is very pleased with the results of the drill program as they reinforce the extent and consistency of the lithium and tin mineralisation at Cinovec. The results of the drilling included intercepts of up to 194m width with higher grade intervals. |
Significant Events after the Reporting Date
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· The Company completed a detailed geological model which has identified shallow, higher grade lithium zones. This geological model will be used, along with recent drill results to update the current mineral resource model and allow the company to investigate targeting these areas in the early years of development. This is likely to allow for the conversion of a greater part of the Cinovec resource from Inferred to Indicated category under JORC guidelines, and for initial mine planning and scheduling as the Company progresses the project along the development curve. |
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· The Company announced on 4 March 2016, firm commitments for the placement of 13 million CDI’s at an issue price of $0.135 per CDI to raise AU$1,755,000. The placement has been made to sophisticated investors and will be used to further develop Company’s 100% owned Cinovec Lithium and Tin Project in the Czech Republic. |
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· There have been no other significant events after the reporting date. |
