15 February 2022

Starvest Plc ("Starvest" or "the Company")

Audited results for the year ended 30 September 2021

Chairman's Statement

I am pleased to present my annual statement to Shareholders for the year ended 30 September 2021 and the twenty-first since the Company was formed in 2000.

Results for the year

The continuing impact of the global pandemic and governmental stimulus in response thereto dominated the financial news this year for Starvest and its portfolio companies. Starvest's strategy to steer its portfolio toward precious metal investments over recent years has enabled the Company to position itself attractively for the current environment. Although improved investor sentiment boosted certain precious metal stocks and those of certain other natural resource companies, gold prices declined 7% for the year ended 30 September 2021. The post-pandemic global economic recovery has remained elusive, but we continue to believe that expected quantitative easing, which remains the favoured tool of major economies, is likely to result in a solid foundation for precious metals going forward.

Our investment portfolio decreased approximately 21% in the year to 30 September 2021 to £14 million. However, our market capitalisation declined by only 10% over this same period, and the discount to net asset value narrowed by 8 percentage points, from 42% to 35% as at 31 December 2021, which is a significant improvement for shareholders.

Greatland Gold plc (AIM:GGP), which is by far our largest investment, remained one of our best-performing investments for a fourth consecutive year due to its outstanding Havieron gold-copper discovery in Australia. Havieron's initial inferred resource of 4.2Moz gold equivalent* was announced in December 2020 and the project has continued to develop rapidly with its major partner Newcrest Mining Ltd. The Havieron project benefited from the grant of a mining licence over the 12 blocks, a loan facility that is expected to fund Havieron operations through to the feasibility stage and a pre-feasibility study that was released post-year end**. While Greatland's share price has declined since last year, we have significant unrealized gains and expect that continued expansion will drive further growth at the Havieron project.

Ariana Resources completed a significant deal with Ozaltin Holdings during the year for part of its Kizilpete project and made the first of three dividend distributions to shareholders. Its Cyprus assets, a joint venture with Venus Minerals, have made good progress as well.

Cora Gold continued to de-risk its Sanankoro project as it completed over 40,000m of drilling to convert existing inferred resources to indicated category as well as to target resource growth.

We believe that the long-term outlook for gold prices remains favourable and we remain committed to our strategy.

* GGP RNS dated 10 December 2020    ** GGP RNS dated 12 October 2021

Investing policy

The Company's investing policy is set forth below and made available on our website, www.starvest.co.uk.

Trading portfolio valuation

A brief review of the major portfolio companies follows below. Other investee companies are listed on the websites from which further information may be obtained.

Shareholder information

The Company's shares are traded on AIM.

Announcements made to the London Stock Exchange are available from the Company's website, www.starvest.co.uk, where historical reports and announcements are also available.

Callum N Baxter

Chairman and Chief Executive

15 February 2022

Investing policy statement

About us

The previous Board commenced to manage the Company as an investment company in January 2002. Following the appointment of Callum Baxter as Chairman in 2015, the Board has focused the Company's investment strategy on the natural resources sector.

Collectively, the current Board has significant experience investing in small-capitalisation new issues and pre-IPO opportunities in the natural resources and mineral exploration sectors.

Company objective

The Company was established as a source of early-stage finance to fledgling businesses to maximise the capital value of the Company and to generate benefits for Shareholders in the form of capital growth and modest dividends.

Investing strategy 

Natural resources:  Whilst the Company's investment mandate is not exclusively limited to natural resources, the Board sees this sector as having considerable growth potential in the medium term. Historically, investments were generally made immediately prior to an initial public offering on AIM or Aquis (formerly NEX) as well as in the aftermarket.  As the nature of the public equity markets has changed since 2008, it is more likely that the future investment portfolio will include companies that have completed an IPO but remain in the early stages of identifying or, with the appropriate financial backing, developing a commercial resource.

Direct Projects: The Company's strategy is to invest predominantly through ownership of equity stakes in target companies. However, the Company believes there may be opportunities to take direct interests in mining projects and subsequently to acquire equity positions in target companies on favourable terms in exchange for these direct project interests. Those companies would therefore become Starvest investee companies. The projects will be operated by the investee company; Starvest does not intend to manage any projects. The addition of the Direct Project strategy to the Company's Investing Policy was approved by shareholders at the Company's annual general meeting held 1 December 2017.

Investment size:  Initial investments are usually not greater than £100,000. Target companies invariably have an ongoing need for additional funding to continue exploration and development. Therefore, after appropriate due diligence, the Company may provide further funding support and make later market purchases, so that the total investment may exceed £100,000.

High risk:  The business is inherently high risk and cyclical, dependent upon fluctuations in world economic activity which affects the demand for minerals. However, the Company affords investors the opportunity to participate in diverse early-stage ventures, which the Board believes will offer the potential for significant returns for the foreseeable future.

Lack of liquidity:  Shares of investee companies typically trade in small volumes, even if they are quoted on AIM, Aquis (formerly NEX), ASX, or TSX-V. Therefore, during the early phase following an investment, it is rarely possible to liquidate a position at the quoted market price so investors must remain patient until the investee company develops and ultimately attracts greater market interest. If and when an exploration company finds a large exploitable resource, it typically presents greater liquidity to patient investors as an acquisition target by a third party or as a much larger and more actively traded independent entity.

Success rate:  Of the multiple investments held at any one time, it is expected that no more than five will prove to be 'winners'; from half of the remainder we may expect to see modest share price improvements. Overall, we expect that over time portfolio returns will be acceptable if not substantial. Accordingly, the Board is unable to give any estimate of the magnitude or timing of returns.

Profit distribution:  When profits have been realised and adequate cash is available, the Board intends to distribute up to half the profits realised.

Other matters:  The Company currently has an investment in Equity Resources Limited, which itself is an investment company.

The Company takes no part in the active management of investee companies, although directors of the Company have been directors on the boards of such companies.

Review of trading portfolio

Introduction

During the year to 30 September 2021, the portfolio comprised interests in the companies discussed below, as well as other active companies that are not discussed herein. 

The economic shock of the global pandemic continued in late 2020 and early 2021 and investors' desire for traditional safe-haven assets boosted precious metals stocks and certain other natural resources companies. At the same time, new alternatives such as cryptocurrencies attracted investors seeking protection from concerns over global instability, fiat currencies and expansive monetary policies.  In this environment, we believe our strategy to focus on investments in gold producers will prove to be rewarding on a risk-adjusted basis for our shareholders. However, during the year to 30 September 2021, the value of our trading portfolio decreased ~21% due to lower market prices for major positions. Including our cash position, our net asset value ("NAV") and NAV per share decreased 21.4% and 21.7%, respectively, over the 12-month period to 30 September 2021. Given that Starvest's market capitalisation decreased approximately 10%, the discount to NAV narrowed to 34% compared to 42% a year ago.

Transactions

During the year the Company did not raise capital through placing or subscription. 

The Company disposed of its full holdings in Kincora Copper during the year, along with a small portion of its position in Greatland Gold.

Trading portfolio valuation

Although gold prices declined slightly (~7%) year on year, this change masked greater volatility during the 12-month period. The Company's Net Asset Value decreased approximately 21% during the year to 30 September 2021 to £14.1m and the Company made a loss before tax of £3,861,014 compared with a profit of £15,749,105 in 2020.

However, we are pleased that the Company traded at a smaller discount to its NAV, as the Company's market capitalisation declined by only 10% over the year.

As part of routine operations, the Board regularly reviews its portfolio positions and may make adjustments to its holdings to take advantage of what it believes to be temporary weakness in prices for precious metals. Alternatively, the Board may consider strategic opportunities to better align the Company's stock price with what it regards as the intrinsic value of the Company's portfolio.

Given the availability of actual trading prices for many of our portfolio assets, we value our holdings using closing market quotes for the periods shown.

In addition, the Company believes it has a strong financial position as it has no outstanding debt and is well-positioned to benefit from further strength in the natural resources sector through its exposure to early-stage precious metal producers. We believe that worldwide economic growth and increasingly affluent consumers will fuel demand for motor cars, air conditioning, consumer goods, computers, together with materials required in switching to 'greener' technologies and other items that require the development and exploitation of natural resources in order both to produce and power.

Company statistics

The Company considers the following statistics to be its Key Performance Indicators (KPIs) and is satisfied with the results achieved in the year given the uncertain market conditions.

Since the fiscal year end, values have improved significantly. As at the close of business on 31 December 2021 the Company's Net Asset Value was £13.9m.

If a full provision for liabilities and deferred taxation at a corporate rate of 25% effective from 6^th April 2023 is taken into consideration then the following is applicable;

Review of the current market

Global markets and gold prices fluctuated throughout late 2020 and 2021; with economies and governments rebalancing and adjusting to continuing pandemic related uncertainties and changes.

The price of gold fluctuated throughout the year with a peak of US$1,943 in January 2021 and a low of US$1,684 per troy ounce in March 2021 but has remained at elevated prices relative to the last decade; year on year the price is relatively flat. Copper, nickel, lead and zinc all made gains over the year.

Overall, investors are demonstrating greater interest in the natural resources sector, as the market looks forward to economic growth, 'green' technology investments, and further government stimulus via major infrastructure projects.

The current market conditions allow for measured, strategic investment in undervalued, early-stage natural resource projects. 

Portfolio review

Our primary investments in companies include the following:

Greatland Gold plc (www.greatlandgold.com)

Greatland Gold plc ("Greatland"), an AIM-listed exploration company, which represents substantially the largest part of the Company's portfolio,  holds six exploration projects, four in Western Australia and two in Tasmania. Greatland also has farm-in and joint venture agreements in place with its major partner, Newcrest Mining Ltd.

The company, in conjunction with Newcrest, has continued to report excellent drilling results from the Havieron project and an Initial Inferred Mineral Resource estimate of 52Mt @ 2.0g/t Au, 0.31% Cu or 2.5g/t AuEq for 3.4Moz Au, 160Kt Cu or 4.2Moz AuEq. Mineralisation remains open outside of the resource shell with potential to significantly grow the resource over time.

Greatland has also signed new agreements with Newcrest covering a mining lease and a US$50M loan agreement to cover capital costs of establishing early-stage development of the Havieron deposit through to completion of the Feasibility Study. A new joint venture agreement was also signed covering exploration of the Black Hills and Paterson Range East licence, and the Juri JV further cemented a strong working relationship between the two companies and provided Greatland with funds to carry out extensive exploration campaigns over the coming year.

Greatland also continued exploration work on its wholly owned projects areas and added over 1,000km² of highly prospective ground in the Paterson by acquiring tenements from Province Resources.

While the company has a large market capitalisation, it does not yet generate any cash. However, Greatland is well-funded from the proceeds of exercised warrants and options and the availability of the loan agreement with Newcrest.

Significant activities since year end: Greatland Gold has released a Pre-Feasibility Study in conjunction with Newcrest Mining on the Havieron deposit. The study forecasts low total capex, estimated at US$397m, with Greatland's portion running to US$73m, net of Greatland's $50m loan facility, and opex costs of US$643/oz.  The study also projects an IRR of 27%, or 16% after tax and NPV of US$228m, with a 3-year pay back and an initial 9-year life of mine; with only a small portion of the known mineralised area used in the study, allowing for significant additional information now available to be incorporated into future studies and probable expansion of the resource and reserves. The company has also advanced its Juri JV with Newcrest from stage 1 to stage 2 allowing up to AUD$20m to be invested in the exploration programme across the ground. In mid-November 2021 Greatland raised £11.9m in an oversubscribed placing. Greatland continues to update the market with drill results from Havieron, showing extensive and expanding gold- copper mineralisation and JV partner Newcrest Mining have issued their intention to acquire an additional 5% stake in the Havieron project.

Ariana Resources plc (www.arianaresources.com)

Ariana Resources PLC ("Ariana") is a United Kingdom-based company engaged in the exploration, development and mining of epithermal gold-silver and porphyry copper-gold deposits in Turkey and exploration in Cyprus.

During the year Ariana sold part of its interests in Zenit and other assets in Turkey to Ozaltin Holding A.S. and Proccea Construction Co. for US$70.75 million.  While this deal reduced Ariana's share to 23.5% it has allowed for dividend payments to shareholders, the first of which was made on 24 September 2021, following a lengthy capital reorganisation. A second dividend is due in March 2022, followed by a third and final dividend currently expected in late 2022.

Ariana's share of profits from the Kiziltepe Mine, part of Zenit Madencilik San. ve Tic. A.S. ("Zenit"), in the six months to June 2021 amounted to £1.3m, compared to £3.0m in the first half of calendar year 2020, due in part to the reduction in its holding from 50% to 23.5%. Kiziltepe Mine production for the first half of 2021

totalled 7,941 ounces of gold (H1 2020: 9,808 oz Au). Ariana expects to meet guidance for 2021 by year end following increased mill throughput after completing an expansion of the processing plant.

An exploration and resource drilling campaign has completed approximately 14,000m of diamond drilling across the Kiziltepe Sector, with excellent results received across various vein systems.

The company expanded exploration into Eastern Europe via a 75% holding in Western Tethyan Resources Ltd. and also began drilling in Cyprus through the Company's interest in Venus Minerals Ltd. Ariana's earn-in on Venus Minerals is currently 37.5%, with 50% expected to be achieved in early Q4 2021.

The company's last available (unaudited) interim accounts show profit before tax of £7.1m for the year ended 30 June 2021 (H1 2020 : £2.2m) and profit for the period of £5.0m (H1 2020 : £1.9m) reflecting the profit realised on restructuring of group activities.

Significant activities since year end include Ariana's announcement of the final Zenit working capital loan repayment of US$0.8m to Turkiye Finans Katilim Bankasi A.S due to be completed in October 2021. The Tavsan gold-silver project received Environmental Impact Assessment approval for development of the mine and Ariana's JV partner, Zenit, can now progress with its development programme with construction scheduled to begin following receipt of final permits.

Ariana released drill results from its Kokkinoyia project in Cyprus reporting gold mineralisation in all holes and identifying a copper-gold-zinc mineral system. A JORC 2021 Maiden Resource Estimate reports circa 12.3 Mt at 0.31 to 2.25% Cu and 0.27 to 0.57g/t Au.

Ariana completed its earn-in to 50% of Venus Minerals, announced in November 2021. Venus have completed a binding Heads of Terms agreement to develop the Apliki Copper Mine in Cyprus with a leading mining company on a 50:50 basis. Venus also released a Mineral Resource Estimate for the project with total indicated and inferred resources of c. 11Mt Cu at a grade of 0.25 to 0.69%; with a processing plant currently undergoing due diligence and pre-installation checks. 

Panther Metals listed on ASX in December 2021, with a market capitalisation of A$10.9m. Ariana hold 3.2% through their Asgard Metals Fund.

Alba Mineral Resources plc (www.albamineralresources.com)

Alba Mineral Resource is a diversified mineral exploration company focused on oil and gas, gold and base metals with holdings in UK (oil and gas, gold) and Ireland (base metals).

The Company focused activities at the UK gold projects during the year, completing drilling programmes at Clogau which have potentially extended the length of the Main Lode target and the depth of a vein system in the Llechfraith mine area.  At Clogau St-David's, the company sampled rock waste dumps and purchased and installed a pilot gold processing plant. They have also extended the mineral rights over the Dolgellau Gold Belt for a further four-years.

The Company's UK oil and gas investments at Horse Hill remains ongoing with works completed during the year to prepare the operations for 24-hour production.

Base metal mineral exploration rights in Ireland were renewed for another year with another three main target areas set for follow-up drilling.

The Company decided during the year to spin-out its Greenland assets, the Thule Black Sands Ilmenite Project, the Amitsoq Graphite Project, the Melville Bay Iron Project and the Inglefield Multi-Element Project to a separate vehicle and list it for trading on AIM. GreenRoc Mining Plc was admitted for trading on 28 September and raised £5.12m at 9.9p, with a market cap on listing of £11.1m. Alba is a majority shareholder with 54% of GreenRoc.

Significant activities since year end: Alba have advised that they were refused permits for water discharge from the Llechfraith shaft into watercourses in the area, citing potential adverse effects. The company are working with external consultants on potential grounds for appeal. 

Cora Gold Limited (www.coragold.com)

The Company's exploration activities have continued in 2021 with a +40,000m drill programme at its flagship Sanankoro project. These activities focused on infill drilling to convert existing inferred resources to indicated category as well as targeting resource growth. Results to date have been consistent with generally high-grade, good width and shallow oxide ore.

The company have also engaged consultants to update the Mineral Resource Estimate during H2 2021 and undertake a Definitive Feasibility Study with completion targeted for H1 2022.

Cora have continued to de-risk this project showing shallow oxide material with potential for lower cost open pit mining, together with positive metallurgical test work results.

In September the company also announced that it has signed a US$25m term sheet with Lionhead Capital to finance the development of Sanankoro on completion of a positive DFS with US$12.5m Equity Financing and US$12.5m Convertible Financing. The term sheet requires Cora to deliver a DFS before the end of H1 2022 with minimum key objectives (together the 'Project Milestone') including; 35% Internal rate of Return ('IRR') based on a US$1,500/ oz gold price; and 8 years mine life and production of 40,000 ozs/year, or equivalent production over a different time period and delivering the minimum IRR threshold, in a US$1,700/oz gold price pit shell. Lionhead are prepared to syndicate +30% of the Term Sheet on the same terms with other investors.

The company raised £3.13m in June 2021 and reported US$5.7m in cash in its unaudited interim report at the end of June.

Significant activities since year end: Cora released final results from it +40,000m drill programme which confirmed a 3.4km long mineralised ore zone in mostly shallow oxides and which remains open in all directions. An updated mineral resource estimate (MRE) resulted in a 200% increase in total ounces from the 2019 calculations with a pit constrained MRE of 21.9 million tonnes at 1.15g/t Au for 809.3k oz Au and the deposit remaining open in all directions. Cora completed a fund raise for £4.25m in December 2021, with use of the funds going towards the ongoing definitive feasibility study at Sanakoro which saw field work for the study completed in February 2022 and full completion scheduled for H1 2022.

Oracle Power plc (http://www.oraclepower.co.uk)

Oracle are progressing slowly on the Thar coal mining and power projects. The Pakistan Government stated in late 2020 that it would not approve new coal power plants and the Chinese Government followed suit in early September 2021 by stating it will not fund new overseas coal projects.

Given the change in policy by both states for coal projects it is encouraging to see that the project is still in development and the Pakistan authorities are continuing to work with the Chinese Government through the China-Pakistan Economic Corridor to provide support for the project.  An encouraging development is the approval granted to expand electricity generation capacity at the site from 34,776MW to 61,112MW by 2030.

In the meantime, Oracle has changed its focus to early stage exploration gold projects in Western Australia. The gold exploration projects in Western Australia have been the company's primary focus during the year, with geophysics and geochemistry surveys carried out prior to a drilling programme beginning in September 2021.

Significant activities since year end:In October 2021 the company singed a non-exclusive co-operation agreement with PowerChina International Group to jointly develop a green hydrogen production facility in Pakistan, targeting a 400MW capacity plant. An update in December stated that a preliminary technical study

was completed by PowerChina, establishing key technical and commercial aspects, targeting a 400MW capacity hydrogen plant with planned hydrogen production of 150,000kg per day. Technology suppliers are being sought and negotiations are underway with provincial governments regarding infrastructure.

Kefi Gold and Copper plc (www.kefi-minerals.com)

Kefi Minerals is an exploration and development company focused on gold and copper deposits in the Arabian-Nubian Shield. Its main projects are Tulu Kapi in Ethiopia and the Jibal Qutmanand Hawiah projects in Saudi Arabia.

The company completed an equity placing for £3m in November 2020 with proceeds slated to be used for drilling and exploration on the Hawiah copper-gold project and general working capital.

Operation on the Tula Kapi Mine in Ethiopia were delayed in September 2021 due to security concerns, just ahead of the company's planned launch of the development phase of the project. The company still remain optimistic that the security issue will be resolved, and the project will be back on track before the end of 2021 with production beginning in 2023.

The company have made progress on the Hawiah copper-gold and Jibal Qutman gold projects in Saudi Arabia, and have fast-tracked to produce an upgraded and expanded Mineral Resource Estimate and Preliminary Feasibilty Study for development at Hawiah; Maiden Mineral Resources currently JORC 2012 1.9M oz gold equivalent; Jibal Qutman 733koz gold.

Significant activities since year end: A security issue arose where several employees were taken hostage for a brief time but thankfully safely released. While the security of the project was re-assessed and re-organised the schedule of the project has been pushed back by approximately three months.

Kefi announced the issuance of two additional exploration licences in Saudi Arabia in December 2021. The licences are 12km south-west of the Company's Hawiah project and issued to the Kefi-operated joint venture Gold and Minerals Limited. In January 2022 Kefi completed a placing for £6.2m, its first in two years, with funds being used for the development of the Tulap Kapi mine and to clear accrued debts and directors fees.

Sunrise Resources plc (www.sunriseresourcesplc.com)

Sunrise Resources hold ground in Nevada (USA) and Australia with commodities ranging from precious and base metals as well as industrial minerals. Its main focus is developing pozzolan-perlite deposits while looking to JV or sell its other tenements.

The company has maintained its focus on the development of the 100% owned CS Pozzolan-Perlite project in Nevada USA. During the year Sunrise completed assembly of a commercial-scale plant for trial processing. A 500-ton pozzolan sample was extracted and in collaboration with a large cement and ready-mix company (CRMC) underwent test grinding. A further 200-ton perlite sample has been mined and awaits processing. The company is still focused on commercial production in 2021 with mine permitting approvals completed for mine plans, reclamation, air quality control and water use.

Exploration on the company's precious metal claims has also continued with soil sampling outlining an gold-in-soil anomaly on its Sundance project in the Walker Lane Mineral Belt and diamond drilling at the Clayton Silver-Gold project showing 303g/t Ag and 0.2g/t Ag over 7.92m. Completion of an aboriginal heritage survey at the Baker's Gold Project in Western Australia, allowed an RC drill programme to be completed; best results show  2m @11.5g/t

Au from 64m on 50g fire assay; which was upgraded to 14.4g/t after bulk cyanide leaching and leach tail fire assay was carried out.

In line with its announced strategy, during the year Sunrise also entered into joint-ventures in connection with several of its gold and copper-gold Nevada claims while retaining potential future royalty rights.

Significant activities since year end: The company has announced an agreement with Kinross for its Jackson Wash mining claims in Nevada. Under the terms of the Agreement Kinross has been granted a 9-year mining lease over the claims and an option to purchase the Claims at any time during the term of the Lease for US$500,000 and the grant to Sunrise of a 2.5% Net Smelter Royalty, while Sunrise retain the rights to mine perlite on the claims so long as this does not hinder any Kinross exploration or future mining operations.

Other investments

The remaining non-core investments are available for sale when the conditions are deemed to be right.  These include Minera Irl Ltd (www.minera-irl.com) and Block Energy plc (www.blockenergy.co.uk).  In addition, there are a number of failed or almost failed ventures to which we attribute no value, although we always hope and seek to crystallise value where possible.

Strategic report extract

Principal activities and business review

While Bruce Rowan was Chief Executive beginning 31 January 2002, the Company's principal trading activity was the use of his expertise to identify and, where appropriate, support small company new issues, pre-IPO and on-going fundraising opportunities with a view to realising profit from disposals as the businesses mature in the medium term. The current directors have continued this strategy under the leadership of Callum Baxter, appointed Chief Executive in September 2015.

The Company's investing policy is stated above.

The Company's key performance indicators and developments during the year are given in the Chairman's statement and in the trading portfolio review, all of which form part of the Directors' & Strategic reports

Finance Review

Over the 12 months to 30 September 2021 the Company recorded a loss before tax of £3,861,014, equating to a loss of 6.69 pence per share with net cash outflow for the year of £42,089. This compares to a profit before tax of £15,749,105 in the previous year that equated to a profit of 24.22 pence per share. The Company's cash deposits stood at £78,276 at the period end.

Key risks and uncertainties

This business carries a high level of risk and uncertainty with commensurately high potential returns. The risk arises from the very nature of early-stage mineral exploration where there can be no certainty of outcome. In addition, often there is a lack of liquidity in the Company's trading portfolio, even for securities quoted on AIM or Aquis (formerly NEX), such that the Company may have difficulty in realising the full value in an immediate or forced sale. Accordingly, a commitment is only made after thorough research into both the management and the business of the target, both of which are closely monitored thereafter. Furthermore, the Company limits the total size of any single commitment, both as to the absolute amount and percentage ownership of the target company.

Statement of directors' responsibilities

Directors' responsibilities for the financial statements

The Directors are responsible for preparing the Directors' report, the Strategic report and the financial statements in accordance with applicable law and regulations.

Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to prepare financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs and profit or loss of the company for that period. In preparing those financial statements, the Directors are required to:

·      select suitable accounting policies and then apply them consistently;

·      make judgments and estimates that are reasonable and prudent;

·      state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

·    prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

The Company is compliant with AIM Rule 26 regarding the Company's website.

Corporate governance statement

The board of Starvest plc are committed to the principles of good corporate governance and believe in the importance and value of robust corporate governance and in our accountability to our shareholders and stakeholders.

The AIM Rules for companies require AIM companies to apply a recognised corporate governance code. Starvest has chosen to adhere to the Quoted Company Alliance's Corporate Governance Code for Small and Mid-Size Quoted Companies (the "QCA Code").

The Chairman's Statement on Corporate Governance, which is included in the Annual Report and which is also available on the website, provides more details on how the board itself operates as well as the steps taken to ensure that its staff adhere to principles such as compliance with the UK anti-bribery legislation.

STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 30 SEPTEMBER 2021

There are no other recognised gains and losses in either year other than the result for the year.

All operations are continuing.

The accompanying accounting policies and notes form an integral part of these financial statements.

STATEMENT OF FINANCIAL POSITION

30 SEPTEMBER 2021

These financial statements were approved and authorised for issue by the Board of Directors on 15 February 2022.

Signed on behalf of the Board of Directors

Callum N Baxter                                                                       Gemma M Cryan

Chairman and Chief Executive                                                  Executive Director

Company No. 03981468

The accompanying accounting policies and notes form an integral part of these financial statements.