HOT ROCKS INVESTMENTS PLC

 

("HOT ROCKS" OR THE "COMPANY")

 

AUDITED FINAL RESULTS TO 31 MARCH 2018 

 

CHAIRMAN'S STATEMENT

 

I hereby present the financial results for the Company for the year ended 31 March 2018.  The Company is an active investor primarily in junior natural resources companies. During the year and since the year end we have seen a recovery across much of our portfolio.

 

The Company made a pre-tax loss of £219,298 for the year, compared to a pre-tax loss of £16,191 in the prior year. The Company will not be paying a dividend at this stage (2017: £Nil).

 

Cash and cash equivalents as at the year end of 31 March 2018 were £16,710 (2017: £12,216).

 

We have seen a number of our investments appreciate in value and we are generally pleased with performance.

Of note, on 27 April 2017 Minergy Limited listed on the Botswana Stock Exchange. This week Minergy has been granted a mining licence in Botswana marking a significant milestone for the company, which aims to produce coal for sale in Botswana and South Africa, as well as further overseas. Minergy is the sole owner of the 390 million tonne Masama Coal Project in the Mmambula Coalfield, in the south-west of the country where pre-construction work has already commenced on site, with the mine expected to start producing its first saleable coal in February next year.

 

Medgold, listed on the TSXV which traded as low at 4cents per share in 2014 has recovered and is presently 34cents. Diamond drilling at the Tlamino Gold Project has recommenced for a minimum Phase 2 programme of 2,400m. Also, preparation for 40 line-km of an IP-Resistivity program at the Karamanica Zone has commenced. The exploration and development of the Tlamino Gold Project is being conducted under programmes which are fully funded by Fortuna Silver Mines Inc. (NYSE: FSM) (TSX: FVI) ("Fortuna").

 

Post year end our investee company Block Energy plc was admitted to trading on AIM. We hold 3,222,501 ordinary shares.

 

We participated in the IPO of Predator Oil & Gas Holdings plc and have added to our holding since its flotation on the Standard List. We have an interest in 2,052,000 ordinary shares.

 

We hold stakes in the following entities:

 

• Block Energy plc (AIM: BLOE)
• Brazil Tungsten Holdings Limited
• Copper Bay plc
• Elephant Oil Limited
• Impact Oil & Gas Limited
• Mafula Energy Limited
• MedGold Resources Corp (TSXV:MED)
• Minergy Limited
• New Horizon Oil & Gas Limited
• N4 Pharma plc (AIM:N4P)
• Predator Oil & Gas Holdings plc (LSE:PRD)
• Rift Resources Limited
• Royal Road Minerals (previous Tigris Resources) (TSXV:RYR)

The Board of Directors will continue to introduce further equity positions to the Company to enable additional diversification of the portfolio. It is anticipated that these will continue to be primarily within the natural resources sector.

 

 

 

Brian Rowbotham

Non-Executive Chairman

31 August 2018

 

The Directors of the issuer are responsible for the content of this announcement.

For further information please contact:

Hot Rocks Investments plc

Gavin Burnell: 0207 264 4444 

Peterhouse Capital Limited

Guy Miller: 020 7220 9796

HOT ROCKS INVESTMENTS PLC STATEMENT OF COMPREHENSIVE INCOME

 YEAR ENDED 31 MARCH 2018

 

 

		2018	2017
Continuing Operations		£	£
Revenue		-	-
Foreign exchange gain/(loss) on available-for-sale financial assets		(20,656)	22,062
Operating expenses		(48,369)	(33,217)
Share based payments expense		(115,600)	-
Impairment of available-for-sale financial assets		(52,604)	(15,962)
Other gains/ - sale of available-for-sale financial assets		17,922	8,689
		_______	_______
Operating (Loss)		(219,307)	(18,428)
Finance income		9	2,237
		_______	_______
(Loss) before Income Tax		(219,298)	(16,191)
Income tax expense		-	-
		_______	_______
(Loss) for the Year attributable to equity holders		(219,298)	(16,191)
		_______	_______
Other Comprehensive Income
Items that may be Reclassified Subsequently to  Profit or Loss
Reclassification of cumulative gains on available-for-sale   financial asset due to disposal		-	(6,055)
Fair value change in value on available-for-sale financial assets		78,469	180,078
		_______	_______
Total Comprehensive (loss)/Income for the Year attributable to equity holders		(140,829)	174,023
		_______	_______
Earnings Per Share - Basic and Diluted (expressed in pence per share)		(0.1)	(0.0)
		_______	_______

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOT ROCKS INVESTMENTS PLC STATEMENT OF FINANCIAL POSITION

REGISTERED NUMBER 06163193 AT 31 MARCH 2018

 

 

		As at 31 March 2018	As at 31 March 2017
		£	£
Assets
Non-Current Assets
Available-for-sale financial assets		811,206	836,126
		_______	_______
		811,206	836,126
		_______	_______
Current Assets
Other receivables		-	721
Cash and cash equivalents		16,710	12,216
		_______	_______
		16,710	12,937
		_______	_______
Total Assets		827,916	849,063
		_______	_______
Equity and Liabilities
Equity Attributable to Shareholders
Ordinary shares		173,602	173,602
Share premium account		1,174,631	1,174,631
Share options and warrants reserve		115,600	-
Other reserves		144,678	66,209
Retained loss		(886,173)	(666,875)
		_______	________
		722,338	747,567
Current Liabilities
Trade and other payables		105,578	101,496
		_______	_______
Total Equity and Liabilities		827,916	849,063
		_______	_______

 

 

 

 

 

HOT ROCKS INVESTMENTS PLC STATEMENT OF CASH FLOWS

 YEAR ENDED 31 MARCH 2018

 

 

		2018	2017
		£	£
Cash Flows from Operating Activities
(Loss) before income tax		(219,298)	(16,191)
Finance income		(9)	(2,237)
Unrealised foreign exchange loss/(gain)		20,656	(22,062)
Share based payments		115,600	-
Bad debts		-	2,997
Gain on disposal of available-for-sale financial assets		(17,922)	(8,689)
Impairment of available-for-sale financial asset		52,604	15,962
Decrease in other receivables		720	2,130
Increase in trade and other payables		4,082	10,425
		_______	_______
Cash Used in Operations		(43,567)	(17,665)
Interest paid		-	-
Income tax paid		-	(82)
		_______	_______
Net Cash Used in Operations		(43,567)	(17,747)
		_______	_______
Cash Flows from Investing Activities
Purchases of available-for-sale financial assets		(5,869)	(33,984)
Proceeds from disposal of available-for-sale financial  assets		53,930	50,242
		_______	_______
Net Cash Generated from Investing Activities		48,061 _______	16,258 _______
Increase/(decrease) in Cash and Cash Equivalents		4,494	(1,489)
Cash and cash equivalents at the beginning of the year		12,216	13,705
		_______	_______
Cash and Cash Equivalents at the End of the Year		16,710	12,216
		_______	_______