Evrima Plc - Interim Financial Statement to 30th June 2021 PR Newswire

THE DIRECTORS OF EVRIMA PLC CONSIDER THIS ANNOUNCEMENT TO CONTAIN INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION (EU) NO. 594/2014 OF THE EUROPEAN PARLIAMENT AND THE COUNCIL OF 16 APRIL 2014 ON MARKET ABUSE AS IT FORMS PART OF RETAINED EU LAW AS DEFINED IN THE EUROPEAN UNION (WITHDRAWAL) ACT 2018. BY PUBLICATION OF THIS ANNOUNCEMENT, THE INFORMATION SET OUT WITHIN IT IS DEEMED NOW TO BE IN THE PUBLIC DOMAIN.

Evrima PLC
(“Evrima” or the “Company”)

AQSE: EVA

Interim Results for the Six Months Ended 30th June 2021

Chairman’s Statement

I am pleased to present the unaudited interim results for Evrima plc (AQSE: EVA) for the period ended 30th June 2021. The financial statements below have not been reviewed by the Company’s auditors.

The Company has committed to creating an investment entity focused primarily on opportunities in the natural resource industry with a focused and coherent investment strategy that the Board believes provides shareholders with unique optionality.

Evrima seeks to evaluate investment opportunities offering attractive entries and which, if successful, result in valuation uplifts sufficient to reduce the onus of maintaining its investment position through successive capital rounds and therefore of the Company itself needing to access ever-further capital through equity and debt financings. The Company has  focused its efforts on the identification of base and industrial mineral opportunities in Botswana and has successfully executed several investments during the first half of 2021.

Premium Nickel Resources Corporation (“PNRC”)

In the period ended 30th June 2021, the Company increased its holding in PNRC. Under the Company’s investment commitment and the terms of the subscription agreement entered into with PNRC, Evrima has accumulated through private placement participation 1,000,000 shares of PNRC representing, 1.37% of the latter’s issued share capital.

In February 2021, PNRC announced that it had been selected as the preferred bidder for the Botswana nickel-copper-cobalt ("Ni-Cu-Co") assets formerly operated by BCL Limited ("BCL"), and currently in liquidation. In June 2020, PNR had submitted an indicative offer to the BCL Liquidator, to acquire the formerly- producing Selebi-Phikwe, Tati Phoenix and Selkirk Mines as well as regional exploration joint ventures on highly prospective Ni-Cu-Co projects located in Botswana. On February 10th 2021 the Honourable Moagi Lefoko, the Minister of Mineral Resources, Green Technology and Energy Security of Botswana, affirmed in Parliament the press release by the Liquidator for the BCL Group of Companies, stating that PNRC had been selected as the preferred bidder to acquire the assets formerly owned by BCL.

Eastport Ventures Inc (“Eastport Ventures’’)

During the period under review the Company also entered into a non-binding investment memorandum with Eastport Ventures in which the Company conditionally agreed that, following the commissioning of an independent valuation opinion on Eastport Ventures, it would proceed with a cornerstone investment in Eastport Ventures prior to the latter company embarking on the process of a public listing.

Following the balance sheet date, Evrima has acquired a 1.62% interest in Eastport Ventures through a subscription for new ordinary shares of Eastport Ventures. Evrima has subscribed for 523,667 units in this pre-IPO financing with each unit having a subscription price of $0.30¢ and consisting of one new share and one subscription warrant (“Warrant”). The Warrants have a strike price of $0.60¢ and a life of five years.

The Company has also secured an exclusive subscription agreement that entitles Evrima to subscribe for up to a further 2,000,000 new shares on like terms for a period of 45 business days from the date of its original subscription.

Eastport Ventures is now entering an extremely active period of exploration as it commenced its maiden drill campaign at Jwaneng North, a diamond project adjacent to the Jwaneng Mine owned by Debswana where, earlier this year, the third-largest diamond discovery in Botswana was made. On completion of its drilling programme at Jwaneng, Eastport is also scheduled to undertake a 2,500m – 5,000m diamond drilling programme at the Matsitama Copper Project, where historic drill intercepts report over mineable widths and depths copper grades of greater than 4%.

I look forward to updating the market on the developments with this new investee company as it seeks to augment the value of its underlying assets through strategic exploration and development and it works to consummate a successful going-public transaction, the current preference being for a reverse takeover or initial public offering on a recognised investment exchange.

Kalahari Key Mineral Exploration (“Kalahari Key”)

In September 2020, the Company entered into an option agreement with two of the four founders of Kalahari Key to acquire these founders’ equity interests in Kalahari Key. The terms of the option allowed Evrima to acquire a further 17.2% equity interest. In addition to increasing Evrima's exposure to a pre-existing investment it enabled the Company to develop a strong working relationship with the two Kalahari Key founders mentioned and to welcome them as notifiable shareholders of Evrima.  Evrima owns 19.6% of Kalahari Key and is now the second-largest shareholder of that company.

Simon Grant-Rennick,

Chairman,

30th September 2021

Income Statement for the 6 months ended 30 June 2021

30 June 2021
Unaudited

31 December 2020
Audited

30 June 2020
Unaudited
£ £ £
Revenue
 
20,141 10,090
Administrative expenses (85,541) (257,860) (16,194)
Fair value movement  47,811 69,769 -
Loss on sale of fixed asset investment (4,436) (4,436)
Interest payable and similar expense (5,959) (5,000)
Profit/(loss) before taxation (133,352) (178,345) (15,540)
Taxation - (35,621) -
Profit/(Loss) for the period (133,562) (213,966) (15,540)
Basic earnings per share (0.001) 0.003 (0.002)
Diluted earnings per share (0.001) 0.002 (0.002)

Balance Sheet as at 30 June and 31 December

30 June 31 December     30 June
2021 2020 2020
Unaudited Audited Unaudited
£ £ £
Fixed Assets
Tangible assets - - 200,000
Investments 391,094 344,976 65,250
391,094 344,976 265,250
Current assets
Trade and other receivables          72,325 68,895 42,604
Cash and cash equivalents 14,130 163,607 2,038
81,576 232,502 44,642
Creditors: amounts falling due within one year (152,161) (118,750) (74,307)

Net current assets
 
(65,706) 113,752 (29,665)

Total Assets less current liabilities
325,387 458,738 190,943
Capital and reserves
Called up share capital 229,667 229,668 119,234
Share premium account 673,448 673,448 336,482
Other reserves 27,821 27,821 -
Profit and loss reserve (605,549) (472,199) (264,773)
Total equity 325,387 458,738 190,943

Statement of Changes in Equity as at 30 June and 31 December

Share Share Other Profit and loss
capital premium Reserves Reserves Total
£ £ £ £ £
For the 6 months ended 30 June 2020
Balance at 1 January 20 119,234 336,482 - (249,233) 206,483
Loss for the period - - - (15,540) (15,540)
Balance at 30 June 2020 119,234 336,482 - (264,773) 190,943
Reclassification (15,000) 24,000 (9,000) -
Issue of share capital 110,434 351,966 3,821 466,221
Profit for the period - - - (213,966) (213,966)
Balance at 31 December 2020 229,668 673,448 27,821 (472,199) 458,738
Loss for the period - - - (133,352) (135,562)
Balance at 30 June 2021 229,668 673,448 27,821 (605,550) (325,387)

The Directors of the Company, who have issued this RIS announcement after due and careful enquiry, accept responsibility for its content.

REGULATORY ANNOUNCEMENT ENDS

Enquiries:

Company:
Burns Singh Tennent-Bhohi (CEO & Director)
burns@evrimaplc.com;
Simon Grant-Rennick (Executive Chairman)
simon@evrimaplc.com

Keith, Bayley, Rogers & Co. Limited (AQSE Corporate Adviser):
Graham Atthill-Beck: +44 (0) 7506 43 41 07; Graham.Atthill-Beck@kbrl.co.uk; blackpearladvisers@gmail.com

Peterhouse Capital Limited (Corporate Stockbroker):
Lucy Williams: +44 (0) 20 7469 0930
Duncan Vasey: +44 (0) 20 7220 9797 (Direct)