Interim results for period to 30 June 2016
The Directors of Sirius Minerals Plc (AIM: SXX, OTCQX: SRUXY) ("Sirius" or the "Company") announce the condensed interim unaudited consolidated financial statements for Sirius and its subsidiaries ("the Group") for the six-month period ended 30 June 2016.
Highlights
· Completion of definitive feasibility study for the Company's North Yorkshire Polyhalite Project (the "Project").
· Selection of preferred construction contractors for the Project - Associated Mining Construction (UK) and Hochtief Murphy joint ventures.
· The announcement of a Project capital funding requirement of US$2.91 billion and a Stage 1 capital funding requirement of US$1.09 billion.
· Take-or-pay offtake agreement with Yunnan Dian Huang Peony Industrial Group Co. Ltd (Dian Huang).
· Appointment of Louise Hardy as a Non-executive director to the Board.
· Increase of the Company's polyhalite probable reserve.
· Announcement of the details of a potential de-icing salt opportunity as part of an opportunistic strategy to generate additional revenues.
Post-balance sheet events
· Government approval for the harbour facilities element of the Project which includes a new berth, ship loading facilities and conveyor linkage to the materials handling facility and all the compulsory purchase powers needed to develop them. As a result, all major approvals for the Project have been granted.
Financials
· During the six-month period ended 30 June 2016 the Group made a consolidated loss of £4.1 million compared to a loss of £4.7 million for the six-month period (April to September) last year.
· Cash resources at the end of June 2016 were £16.9 million compared to £29.1 million at 31 December 2015 and £25.1 million at 30 September 2015.
· The Group's net assets at 30 June 2016 were £161.7 million compared to £165.2 million at 30 December 2015 and £153.4 million at 30 September 2015.
Chris Fraser, Managing Director and CEO of Sirius, comments:
"It has been another period of progress for Sirius, during which time we have successfully secured the final major approval for our important Project and set the platform for the advancement of our financing strategy."