RNS Number : 5101F
Great Western Mining Corp. plc
25 September 2024
 

Great Western Mining Corporation PLC

("Great Western", "GWM" or the "Company")

 

Half Yearly Report and Unaudited Condensed Financial Statements

 

Great Western Mining Corporation PLC (AIM - GWMO, Euronext Growth - 8GW), which is exploring and developing gold, silver and copper targets in Nevada, announces its unaudited results for the six-months ended 30 June 2024 (the "Period").

 

Financial Highlights:

·       Loss for Period €441,343 (30 June 2023: loss of €527,985 and December 2023: loss of €952,654)

·       Basic and diluted loss per share 0.0001 cent (30 June 2023: 0.0001 cent and 31 December 2023: €0.0002 cent)

·       Net assets at 30 June 2024: €9,427,384 (30 June 2023: €8,845,494 and 31 December 2023: €8,831,416)

·       Cash balances at 30 June 2024: €91,003 (30 June 2023: €410,661 and 31 December 2023: €95,306 million)

·       Placing of new shares during Period raised £700,500 before expenses

 

Operational Highlights:

·        Focus on further establishing copper potential in porphyry settings

o   Strengthening case for a copper 'district'

·        Continuing discussions with possible joint venture partners to deliver full potential of the Huntoon Copper Project

·        Grab samples from the West Huntoon claims produced strong grades of copper, gold and silver

·        135 soil samples taken from West Huntoon established a copper anomaly greater than 75 ppm over 2 km2 (494 acres)

 

Post Period End:

·        Environmental permit for mill operations received and effective

o   Enabling commencement of operations - hook-up in progress with emphasis on ensuring all systems correctly installed in line with mine regulations and safety directives

o   Next steps include testing and working with joint venture partner Muletown to overcome teething issues

o   Focus on monetising Company's stockpiles of material as soon as possible

·        Pooling Agreement with Bronco Creek Exploration for developing the copper potential of the Eastside Mine claims

o   Strong indications of a porphyry copper setting over the pooled claims area

o   Aiming for an exploration and option agreement with a future partner to fund exploration and development

·        Placing of new shares raised £500,000 before expenses

 

During the period the Company continued its dual strategy of enhancing value through both its exploration activities and its upcoming production operations. Intensive ongoing field work increasingly emphasises the significant copper opportunity in the area. The newly signed Pooling Agreement for the Eastside Mine and continued discussions with potential partners for the Huntoon Copper Project highlight the Company's growing market presence, with its data room becoming increasingly attractive. 

 

The planned commencement of production will set Great Western apart from many of its peers. Development of the mill has taken longer than anticipated, not untypical for this type of project, but it is clear that the Company has a visible and tangible path to cash generation. The initial levels of production through gravity separation are expected to provide a stream of basic income, with larger production volumes and returns at a second stage through chemical leaching.

 

Brian Hall, Executive Chairman, commented: "We are fully committed to creating a portfolio of assets with short, medium and longer-term inflection points, proving up the quality of our claims and realising value from our precious metals and copper opportunities.

 

"We are focused on achieving our stated goals of generating cash flow from production, initially quite modest but which will help alleviate the usual working capital pressures associated with exploration companies, while forging a path to moving our copper prospects to the next stage.  Ongoing discussions on our copper prospects highlight the demand for quality assets, with copper fundamentals pointing to rising valuations. We do appreciate the continued support of our investors and understand that project delays cause frustration but I would like to reiterate that we continue to forge ahead on all fronts and are excited by the Company's prospects."

 

For Further Information:

 

Great Western Mining Corporation PLC


Brian Hall, Chairman

Via Walbrook PR

Max Williams, Finance Director




Davy (NOMAD, Euronext Growth Listing Sponsor & Joint Broker)

Brian Garrahy

 

+353 1 679 6363



SP Angel Corporate Finance LLP (Joint Broker)

Ewan Leggat/Adam Cowl   

 

+44 203 470 0470



Walbrook PR (PR advisers)

Nick Rome

 

+44 207 933 8783

 

Interim Report

For the six months to 30 June 2024

 

Below are Great Western Mining Corporation PLC's ('Great Western' or the 'Company') unaudited report and financial statements for the half year ended 30 June 2024.

 

Great Western Mining Corporation PLC explores for, appraises and develops mineral resources on its claims in the state of Nevada, USA.  Great Western currently has no revenues from its operations and is reporting a loss after tax of €441,343 for the half year (30 June 2023: €527,985; 31 December 2023: €952,654).  At 30 June 2024 the Company's net assets were €9,427,384 (30 June 2023: €8,845,494; 31 December 2023: €8,831,416).

 

During the reporting period work continued on finalising construction of the mill by the Western Milling joint venture in which the Company has a 50% interest.  The project currently being completed is a first stage gravity separation plant and a second stage of chemical leaching is planned.  The investment to date and construction work carried out includes significant parts of what will be required for the second phase. An all-important and long overdue environmental permit for the mill was received after the period end, enabling work on commissioning the plant to begin.  At the time of writing, the mill is not ready for first production and timelines provided in good faith by the company have been affected by teething issues, as additional work has been identified which must be completed before operations can begin.  This is a significant project and it is less than two years since the Western Milling joint venture agreement was signed.  An external adviser with appropriate expertise has been appointed to assist with completion and a progress report will be provided in late October.  Any delay in commencing production is disappointing but not unusual when working towards initial production on a pioneering project. Importantly, this project is breaking new ground for the Company in a remote area, with the objective of providing revenues from gold and silver production, which is unusual for a junior explorer.

 

The identification of a porphyry setting at West Huntoon in 2023 has focused the Company's exploration team on the potential for a significant copper play in the area and for the time being this has taken priority over other exploration prospects already in the pipeline. Since the spring a geological team has been working in the field, mapping and sampling this potentially copper rich area.  In April and May an induced polarisation(IP) survey was carried out to follow leads identified at surface as they disappear under tertiary cover into the Huntoon Valley, with very encouraging results. 

 

A further IP survey was carried out on the M5 group of claims and the Company is currently interpreting the data acquired. 

 

In May, Dr. Lawrence Carter, a consulting expert on porphyry systems and specialist on the nearby Yerington copper district, made a second visit to the West Huntoon porphyry setting, also visiting the Company's Eastside Mine claims where, three years ago, Great Western conducted an IP survey identifying drill targets.  Having walked the ground, Dr. Carter advised that the Eastside Mine has indications of a porphyry system equally as strong as those at West Huntoon.  Although Eastside Mine is some distance from the Huntoon Valley and as such is not likely to be directly connected, it lies in the same geographical and geological setting.  There is therefore a building story of a possible new copper 'district' in the area and, if this proves to be the case, Great Western will be at the centre of it.  However, while surface sampling and geophysical tools continually enhance knowledge of the area, an extensive drill programme will be required to deliver the full potential and establish a formal resource, which Great Western on its own will not be able to achieve.  The Company is in contact with a number of potential joint venture partners but at the time of writing no deal has been concluded for the Huntoon Copper Project. 

 

The Company has recently reached agreement to reinstate the time-expired Huntoon Mine Area Cooperation Agreement with Crowne Point Gold & Silver Mining Co. LLC.   Crowne Point owns an area of private land adjacent to Great Western's claims at West Huntoon with high potential for gold and silver and direct access to the copper potential of the porphyry area.  The application procedure for drilling on US Forest Service land has already been initiated but this agreement over private land will enable the Company to carry out initial drilling whenever it is ready, ahead of a permit from the Forest Service which may take some time.  This should be a major aid in moving the copper project forward. In parallel with seeking a joint venture partner for the Huntoon Copper Project, since the period end the Company has signed a 'Pooling Agreement' with Bronco Creek Exploration, Inc. which has claims adjoining Eastside Mine. Bronco Creek is a division of EMX Royalty Corporation, a substantial north American company with significant interests in the USA and all over the world and its team confirms the porphyry potential of the area.  The Pooling Agreement is a means of combining the two companies' claims, based on approximately the number of claims held by each party, resulting in a split of GWM 30% and BCE 70%.  BCE is the operator of this agreement and will actively be seeking a drilling partner through its extensive network of contacts, being in a much stronger position to do this than Great Western.  This is the first time the Company has done a deal with a third party for its copper potential and is a very encouraging development. 

 

In September the Company published a short discussion video on its copper stories at both the Huntoon Copper Project and the Eastside Mine which can be viewed on the Company's website, www.greatwesternmining.com.

 

During the reporting period, the Company released two key sets of results from soil and grab samples taken in 2023 for Huntoon and the Rhyolite Dome on the Olympic Gold claims.

 

Ten grab samples were collected from the West Huntoon claims and several results showed strong grades of copper, gold and silver. Two samples contained strongly elevated molybdenum which is further evidence of a porphyry system.  The most gold-rich sample contained 7.292 g/t Au and 843 g/t Ag, taken from host rock near a small granite boss in the southeast of the area mapped in late 2023.  A sample from the main West Huntoon granite graded at 5.531 g/t Au, 2,438 g/t Ag, and 1.56% Cu. A nearby copper-oxide-bearing granite sample returned 4.514 g/t Au, 102 g/t Ag and 0.09% Cu. The most copper rich sample (5.82% Cu) came from an area of abundant copper oxide showings 500 m southwest of the granite. Another two copper rich samples (4.85% and 3.82% Cu) were obtained from an old working situated in host rocks 200 m southwest of the granite. These samples also contained significant silver (55 g/t and 108 g/t respectively).

 

The results of 135 new soil samples taken from the West Huntoon claims established a copper anomaly greater than75 ppm Cu covering 2 km2 (494 acres) and surrounding the granite outcrop, with strong outlier samples (11 samples greater than 300 ppm of which 5 samples were greater than 400 ppm, with a maximum value 528 ppm Cu) at several locations.  The results also showed areas of broad gold enrichment. Of 135 samples taken, 124 are greater than 10 ppb Au and, of these, 47 are greater than 25 ppb Au.

 

At Rhyolite Dome on the Olympic Gold Project, gold results from sampling were highly positive.  Of the 145 samples taken, 54 were greater than 10 ppb gold, nine were greater than 20 ppb gold, while three outliers contain 51 ppb, 58 ppb and 61 ppb gold. The best gold results were clustered near the location of the peak legacy data sample (at 207 ppb gold). Based on these results and other indicators, the northwest side of Rhyolite Dome appears to be highly prospective.

 

In April, following the strong results obtained from Rhyolite Dome, Great Western exercised its option to acquire ownership of the Olympic Gold Project, which now formally becomes part of the Company's inventory of claims.  As well as its potential for discovery of gold and silver, Olympic Gold is a significant source of mining waste which will become feedstock for the Company's Western Milling joint venture.

 

In March the Company completed a placing of £700,000 worth of new shares for cash before expenses and after the period end conducted a further placing of £500,000 worth of new shares for cash before expenses.

 

Looking ahead, the Company has a lot to do on its wide spread of claims in the Walker Lane Belt of Nevada, which offer the potential not only for large scale copper deposits but also for gold and silver in the vicinity of numerous historic mining areas.  Constructive field work during and since the reporting period is consolidating work already done and continuously building a clearer picture of this potential.  Initiatives will continue to develop a partnership for a major drilling campaign to delineate a copper porphyry.  At the Western Milling joint venture, with the all-important environmental permit now secured, first production of gold and silver concentrates is in sight, despite some technical delays which are not uncharacteristic for this type of project and are currently being dealt with.  The identification of a second porphyry setting at Eastside Mine and the recent Pooling Agreement with Bronco Creek Exploration add a significant new leg to the copper story and help build the picture of a potential new copper district which, if proved up, will have Great Western at its heart.  Few new major copper mines have been discovered in recent times and a decarbonising world will become highly dependent on copper, as electrification progressively replaces hydrocarbons for the world's energy needs.  All Great Western's business activities are interesting, but the confirmation of a major copper discovery would be of the highest significance for the Company. 

 

Finally, it is with great sadness that the Board reports the passing of Mr. Emmett O'Connell, the Company's founder and former chairman and Chief Executive.  The Board of Great Western offers its sincere condolences to the O'Connell family.

Unaudited Condensed Consolidated Income Statement

For the six months to 30 June 2024

 

 





Notes

 

Unaudited six months ended

30 Jun 2024

 

Unaudited six months ended

30 Jun 2023


Audited
year ended
31 Dec 2023







 


Continuing operations

 








Administrative expenses




    (443,005)

 

    (529,857)


    (994,246)

Finance income


4

 

  1,662

 


          4,434

Loss for the period before tax

 



    (441,343)

 

    (527,985)


    (989,812)












Income tax expense


5

 

                 -

 


 37,158

Loss for the financial period

 



    (441,343)

 

    (527,985)


    (952,654)












Loss attributable to:

 








Equity holders of the Company


3

 

    (441,343)

 

    (527,985)


    (952,654)























Loss per share from continuing operations

 







Basic and diluted loss per share (cent)


6

 

(0.0001)

 

(0.0001)


(0.0002)

 

All activities derived from continuing operations. All losses are attributable to the owners of the Company.

 

Unaudited Condensed Consolidated Statement of Other Comprehensive Income

For the six months to 30 June 2024

 

 





Notes

 

Unaudited six months ended

30 Jun 2024

 

Unaudited six months ended

30 Jun 2023


Audited
year ended
31 Dec 2023







 













Loss for the financial period

 



(441,343)

 

(527,985)


(952,654)












Other comprehensive income

 








Items that are or may be reclassified to profit or loss:







Currency translation differences




271,457

 

       (147,608)


      (284,325)







271,457

 

 (147,608)


      (284,325)

Total comprehensive expense for the financial

 





period attributable to equity holders of the Company

 

(169,886)

 

(675,593)


(1,236,979)

 

 

Unaudited Condensed Consolidated Statement of Financial Position

For the six months to 30 June 2024

 

 

 




Notes

 

Unaudited six months ended

30 Jun 2024

 

Unaudited six months ended

30 Jun 2023


Audited
year ended
31 Dec 2023

Assets

 



 



Non-current assets

 










Property, plant and equipment


7

 

76,356

 

75,225


  73,972



Intangible assets

 

8

 

9,047,352

 

8,424,372


8,603,289



Investment in joint venture

 

9

 

541,262

 

-


-


Total non-current assets




9,664,970

 

8,499,597


    8,677,261













Current assets

 










Trade and other receivables


10

 

285,795

 

      199,264


      691,870



Cash and cash equivalents


11

 

91,003

 

  410,661


95,306


Total current assets

 



376,798

 

  609,925


  787,176












Total assets

 



 10,041,768

 

  9,109,522


  9,464,437























Equity

 









Capital and reserves

 










Share capital


14

 

     709,695

 

457,751


        548,660



Share premium


14

 

15,534,289

 

14,385,269


   14,875,499



Share based payment reserve


15


      340,684

 

      386,005


      386,005



Foreign currency translation reserve




 907,236

 

   772,496


      635,779



Retained earnings




(8,064,520)

 

(7,156,027)


(7,614,527)


Attributable to owners of the Company




9,427,384

 

8,845,494


8,831,416







 

 




Total equity

 



9,427,384

 

8,845,494


8,831,416












Liabilities

 









Current liabilities

 










Trade and other payables


12

 

      481,360

 

      132,974


      504,150



Decommissioning provision


13

 

133,024

 

131,054


128,871


Total current liabilities




      614,384

 

      264,028


      633,021







 

 




Total liabilities

 



      614,384

 

      264,028


      633,021












Total equity and liabilities

 



 10,041,768

 

   9,109,522


   9,464,437

 

 


Unaudited Condensed Consolidated Statement of Changes in Equity

For the six months to 30 June 2024

 

 





Notes

 

Share
capital

 

Share
premium

 

Share based payment reserve

 

Foreign
currency
translation
reserve

 

Retained
earnings

 

Total

 






 

 

 

 

 

 

















Balance at 1 January 2023




357,751     


13,572,027


      368,709


      920,104


(6,600,567)


    8,618,024


















Comprehensive income for the period

 
















Loss for the period




                 -


                 -


                 -


                 -


(527,985)


(527,985)

 


Currency translation differences




                 -


                 -


                 -


(147,608)


                 -


(147,608)

 

Total comprehensive income for the period

 

                 -

 

                 -

 

                 -

 

(147,608)

 

(527,985)

 

(675,593)

 

















Transactions with owners, recorded directly in equity

 













Shares issued




100,000


813,242


-


-


(48,184)


865,058



Share warrant terminated




-


-


(20,709)


-


20,709


-



Share options charge




                 -


                 -


        38,005


                 -


                 -


        38,005

 

Total transactions with owners, recorded

 












 

 

directly in equity

 



   100,000

 

813,242

 

 17,296

 

                 -

 

     (27,475)

 

 903,063

 

















Balance at 30 June 2023

 



      457,751

 

 14,385,269

 

      386,005

 

  772,496

 

(7,156,027)

 

    8,845,494

 

 

Unaudited Condensed Consolidated Statement of Changes in Equity

For the six months to 30 June 2024

 

 





Notes

 

Share
capital

 

Share
premium

 

Share based payment reserve

 

Foreign
currency
translation
reserve

 

Retained
earnings

 

Total

 






 

 

 

 

 

 

















Balance at 1 July 2023




        457,751


    14,385,269


      386,005


      772,496


(7,156,027)


    8,845,494


















Comprehensive income for the period

 
















Loss for the period




                 -


                 -


                 -


                 -


(424,669)


(424,669)

 


Currency translation differences




                 -


                 -



        (136,717)


                 -


        (136,717)

 

Total comprehensive income for the period

 

                 -

 

                 -

 

                 -

 

    (136,717)

 

(424,669)

 

(561,386)

 

















Transactions with owners, recorded directly in equity

 











 


Shares issued




90,909


490,230


-


-


(33,831)


547,308

 

Total transactions with owners, recorded

 











 

 

directly in equity

 



90,909

 

490,230

 

     -

 

                 -

 

 (33,831)

 

547,308

 

















Balance at 31 December 2023

 



       548,660

 

14,875,499

 

      386,005

 

      635,779

 

(7,614,527)

 

8,831,416

 

Unaudited Condensed Consolidated Statement of Changes in Equity

For the six months to 30 June 2024

 

 





Notes

 

Share
capital

 

Share
premium

 

Share based payment reserve

 

Foreign
currency
translation
reserve

 

Retained
earnings

 

Total

 






 

 

 

 

 

 

















Balance at 1 January 2024




548,660     


14,875,499


      386,005


      635,779


(7,614,527)


    8,831,416


















Comprehensive income for the period

 
















Loss for the period




                 -


                 -


                 -


                 -


(441,343)


(441,343)

 


Currency translation differences




                 -


                 -


                 -


271,457


                 -


271,457

 

Total comprehensive income for the period

 

                 -

 

                 -

 

                 -

 

271,457

 

(441,353)

 

(169,886)

 

















Transactions with owners, recorded directly in equity

 













Shares issued




161,035


658,790


-


-


(53,971)


765,854



Share options reserve transfer




        -


                 -


  (45,321)


                 -


  45,321


        -

 

Total transactions with owners, recorded

 












 

 

directly in equity

 



       161,035

 

658,790

 

 (45,321)

 

                 -

 

     (8,650)

 

 765,854

 

















Balance at 30 June 2024

 



      709,695

 

 15,534,289

 

      340,684

 

      907,236

 

(8,064,520)

 

    9,427,384

 

 


Unaudited Condensed Consolidated Statement of Cash Flows

For the six months to 30 June 2024

 

 





Notes

 

Unaudited six months ended

30 Jun 2024

 

Unaudited six months ended

30 Jun 2023


Audited
period ended
31 Dec 2023







 


Cash flows from operating activities

 










Loss for the period




(441,343)

 

(527,985)


(952,654)













Adjustments for:











Depreciation

 


 

 

-

 

 

-


-

 



Interest receivable and similar income




(1,662)

 

(1,872)


(4,434)



Movement in trade and other receivables




 (187,509)

 

12,874


    (474,195)



Movement in trade and other payables




33,221

 

   (67,864)


      279,750



Tax refunded




52,321

 

60,749


55,212



Equity settled share-based payment




        -

 

        38,005


      38,005


Net cash flows from operating activities




(544,972)

 

(486,093)


(1,058,316)












Cash flow from investing activities

 










Expenditure on intangible assets


 

 

(236,673)

 

(114,595)


(401,269)



Interest received


 

 

          1,662

 

          1,872


          4,434


Net cash from investing activities




(235,011)

 

(112,723)


(396,835)












Cash flow from financing activities

 










Proceeds from the issue of new shares




819,825

 

913,242


    1,494,381



Commission paid from the issue of new shares




     (53,971)

 

                 (48,184)


(82,015)


Net cash from financing activities




765,854

 

865,058


    1,412,366

 

 



 

 




(Decrease)/Increase in cash and cash equivalents

 



(14,129)

 

266,242


(42,785)












Exchange rate adjustment on cash and

 








cash equivalents

 



9,826

 

(778)


(7,106)












Cash and cash equivalents at beginning

 








of the period

 

11

 

95,306

 

  145,197


    145,197












Cash and cash equivalents at end of

 








the period

 

11

 

91,003

 

  410,661


      95,306












 

 

Unaudited Notes to the Condensed Financial Statements

For the six months to 30 June 2024

 

1.         General information

 

Great Western Mining Corporation PLC ("the Company") is a company domiciled in the Republic of Ireland. The Half Yearly Report and Unaudited Condensed Consolidated Financial Statements ('the half yearly financial statements') of the Company for the six months ended 30 June 2024 comprise the results and financial position of company and its subsidiaries ("the Group").

 

The Group half yearly financial statements were authorised for issue by the Board of Directors on 24 September 2024.

 

Basis of preparation

The half yearly financial statements for the six months ended 30 June 2024 are unaudited. The financial information presented herein does not amount to statutory financial statements that are required by Chapter 4 part 6 of the Companies Act 2014 to be annexed to the annual return of the company. The statutory financial statements for the financial year ended 31 December 2023 were annexed to the annual return and filed with the Registrar of Companies. The audit report on those financial statements was unqualified.

 

The Group half yearly financial statements have been prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union ("EU").

 

The financial information contained in the half yearly financial statements have been prepared on the historical cost basis, except for the decommissioning provision, share-based payments and warrants, which are based on fair values determined at the grant date. The accounting policies have been applied consistently in accordance with the accounting policies set out in the annual report and financial statements for the year ended 31 December 2023 except as outlined below.

 

Accounting policies

The accounting policies adopted are consistent with those of the annual Financial Statements for the year ended 31 December 2023 with the addition of an accounting policy for joint arrangements:

 

Joint arrangements

A joint arrangement is an arrangement by which two or more parties have joint control. Joint control is the contractually agreed sharing of control such that decisions about the relevant activities of the arrangement (those that significantly affect the companies' returns) require the unanimous consent of the parties sharing control. The Group has one joint arrangement, which is its 50% equity interest in Western Milling LLC. Because the parties have joint control of this entity, they have rights to its net assets. The arrangement constitutes a joint venture and is accounted for using the equity accounting method. Under the equity method of accounting, the investment in Western Milling has been initially recognised at cost and will be adjusted thereafter for the post-acquisition change in the net assets once processing operations have commenced. The Group's share of profit or loss is included in the Consolidated Income Statement.

 

New and amended standards that became applicable for the Group in the current reporting period have not resulted in changes to accounting policies or retrospective adjustments.

 

Use of estimates and judgements

The preparation of half yearly financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making judgements about carrying values of assets and liabilities that are not readily apparent from other sources.

 

In particular, significant areas of estimation uncertainty in applying accounting policies that have the most significant effect on the amount recognised in the financial statements are in the following area:

 

•          Note 16 - Share based payments, including share option and share warrant valuations

 

In particular, significant areas of critical judgements in applying accounting policies that have the most significant effect on the amount recognised in the financial statements are in the following areas:

 

•          Note 8 - Intangible asset; consideration of impairment of carrying value of claim groups

•          Note 8 - Intangible asset, consideration of impairment relating to net assets being lower than market capitalisation

•          Note 13 - Decommissioning provision

 

2.         Going concern

 

The financial statements of the Group are prepared on a going concern basis.

 

In order to assess the appropriateness of the going concern basis in preparing the financial statements for the six months ended 30 June 2024, the Directors have considered a time period of at least twelve months from the date of approval of these financial statements. 

 

The Group incurred an operating loss during the six months ended 30 June 2024.  At the balance sheet date, the Group had cash and cash equivalents amounting to €0.09 million and the Company raised an additional amount of €0.59 million (before transactions expenses) through a placing completed in July 2024.  The future of the Company is dependent on the successful outcome of its exploration activities and implementation of revenue-generating operations. The Directors believe that the Group's ability to make additional capital expenditure on its lode claims in Nevada will be assisted by the generation of first revenues from the reprocessing of historical spoil heaps and tailings.  The Company has entered into a Pooling Agreement which incorporates the Eastside Mine with a company holding neighbouring claims to enable both companies to attract a larger funding partner to accelerate further exploration activity.  In addition the Directors are seeking a joint venture partner to provide funding to enable the acceleration of the Group's Huntoon Copper Project.   The Directors also believe that the Group's cash flow can be further assisted, if necessary, by raising additional capital, the deferral of planned expenditure and other cost saving actions, loan facilities for revenue-generating operations or from future revenues. The Directors have taken into consideration the Company's successful completion of placings in recent years, including placings completed in March and July 2024, to provide additional cash resources. 

 

The Directors concluded that the Group will have sufficient resources to continue as a going concern for the future, that is for a period of not less than 12 months from the date of approval of the consolidated financial statements.

 

However, there exists a material uncertainty that may cast significant doubt over the ability of the Group to continue as a going concern.  The Group may be unable to realise its assets and discharge its liabilities in the normal course of business if it is unable either to enter into joint venture arrangements or to raise funds for further exploration on and development of its exploration assets. The condensed consolidated statements have been prepared on a going concern basis and do not include any adjustments that would be necessary if this basis were inappropriate.

 

3.         Segment information

 

The Group has one principal reportable segment, Nevada, USA, which represents the exploration for and development of copper, silver, gold and other minerals in Nevada, USA.

 

Other operations "Corporate Activities" includes cash resources held by the Group and other operational expenditure incurred by the Group. These assets and activities are not within the definition of an operating segment.

 

In the opinion of the Directors the operations of the Group comprise one class of business, being the exploration and related activities including development, processing and production of copper, silver, gold and other minerals. The Group's main operations are located within Nevada, USA. The information reported to the Group's chief executive officer (the Executive Chairman), who is the chief operating decision maker, for the purposes of resource allocation and assessment of segmental performance is particularly focussed on the exploration activity in Nevada.

 

Information regarding the Group's results, assets and liabilities is presented below.

 

Segment results



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Exploration and related activities - Nevada


(4,786)


(30,902)


(30,061)

Corporate activities


(436,557)


(497,083)


(959,751)

Consolidated loss before tax


(441,343)


(527,985)


(989,812)








Segment assets



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Exploration and related activities - Nevada


9,948,079


8,669,010


9,274,402

Corporate activities


93,689


440,512


190,035

Consolidated total assets


10,041,768


9,109,522


9,464,437

 

Segment liabilities



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Exploration and related activities - Nevada


472,522


169,800


519,150

Corporate activities


141,862


94,228


113,871

Consolidated total liabilities


614,384


264,028


633,021

 

Geographical information

The Group operates in three principal geographical areas - Ireland (country of residence of Great Western Mining Corporation PLC), Nevada, USA (country of residence of Great Western Mining Corporation, a wholly owned subsidiary of Great Western Mining Corporation PLC and Western Milling LLC in which the Group has a 50% interest) and the United Kingdom (country of residence of GWM Operations Limited, a wholly owned subsidiary of Great Western Mining Corporation PLC).

 

The Group has no revenue. Information about the Group's non-current assets by geographical location are detailed below:

 

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Exploration and related activities - Nevada


9,664,970


8,499,597


8,677,261

Republic of Ireland


-


-


-

United Kingdom


-


-


-



9,664,970


8,499,597


8,677,261

 

4.         Finance income

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Bank interest receivable


1,662


1,827


4,434



1,662


1,827


4,434

 

5.         Income tax

 

The Group has not provided any tax charge for the six months periods ended 30 June 2024.  There was no tax charge for the six months ended 30 June 2024. For the year ended 31 December 2023, the Group benefited from research and development corporation tax credits claimed by a subsidiary company amounting to €43,782 offset by adjustment for previous periods of €6,624. The Group has accumulated losses which are expected to exceed profits earned for the foreseeable future.

 

6.         Loss per share

 

Basic earnings per share

The basic and weighted average number of ordinary shares used in the calculation of basic earnings per share are as follows:

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

 


 





Loss for the period


(441,343)


(527,985)


(952,654)



 





Number of ordinary shares at start of period


5,486,600,919


3,577,510,005


3,577,510,005

Number of ordinary shares issued during the period


 

1,610,344,827


 

1,000,000,000


 

1,909,090,914

Number of ordinary shares at end of period


7,096,945,746


4,577,510,005


5,486,600,919



 





Weighted average number of ordinary shares for the purposes of basic earnings per share


 

 

6,560,164,137


 

 

4,475,359,467


 

 

4,905,222,617



 





Basic loss per ordinary share (cent)


(0.0001)


(0.0001)


(0.0002)

 

 

Diluted earnings per share

There were no potentially dilutive ordinary shares that would increase the basic loss per share.

 

7.         Property, plant and equipment

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

Cost







Opening cost


95,982


99,439


99,439

Exchange rate adjustment


3,093


(1,832)


(3,457)



99,075


97,607


95,982

Depreciation







Opening depreciation


22,010


22,804


22,804

Charge for period


-


-


-

Exchange rate adjustment


709


(422)


(794)



22,719


22,382


22,010

Net book value







Closing net book value


76,356


75,225


73,972








Opening net book value


73,972


76,635


76,635

 

8.         Intangible assets

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

Cost







Opening cost


8,603,289


8,462,329


8,462,329

Additions


180,663


107,830


373,815

Own employment costs capitalised


-


-


44,251

Increase in decommissioning cost


-


2,051


2,017

Exchange rate adjustment


263,400


(147,838)


(279,123)



9,047,352


8,424,372


8,603,289

Amortisation







Opening amortisation


-


-


-

Charge for period


-


-


-

Exchange rate adjustment


-


-


-



-


-


-

Net book value







Closing net book value


9,047,352

 

8,424,372

 

8,603,289








Opening net book value


8,603,289


8,462,329


8,462,329

 

The Directors have reviewed the carrying value of the exploration and evaluation assets. These assets are carried at historical cost and have been assessed for impairment in particular with regards to specific requirements as set out in IFRS 6 'Exploration for and Evaluation of Mineral Resources' relating to remaining licence or claim terms, likelihood of renewal, likelihood of further expenditures, possible discontinuation of activities over specific claims and available data which may suggest that the recoverable value of an exploration and evaluation asset is less than carrying amount. The Directors considered other factors in assessing potential impairment including cash available to the Group, commodity prices and markets, taxation and regulatory regime, and access to equipment and services.  The Directors are satisfied that no impairment is required as at 30 June 2024. The realisation of the intangible assets is dependent on the successful identification and exploitation of copper, silver, gold and other mineral in the Group's licence area, including the potential to reprocess historical spoil heaps and tailings. This is dependent on several variables including the existence of commercial mineral deposits, availability of finance and mineral prices.

 

9.         Investment in joint venture

 

During the period the Group assumed a 50% equity interest in Western Milling LLC ("Western Milling"), a processing mill business incorporated in Nevada, USA, over which it exercises joint control. The costs incurred to date were transferred from Prepayments to Investment in Joint Venture as at 29 February 2024. Western Milling owns all the assets it uses to provide its services and is legally responsible for settling its liabilities. Western Milling has not commenced operations but will provide services to its shareholders and is expected to provide services to third parties. The Group has concluded that Western Milling is a joint venture under IFRS 11 - "Joint Arrangements" and the Group has therefore applied equity accounting for its interest.  The investment was reviewed for indicators of impairment at the period end. No impairment indicator was identified for the period ended 30 June 2024. 

 

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

 







Reclassification of cost from Prepayments


534,958


-


-

Additions


258


-


-

Foreign exchange movement


6,046


-


-



541,262


-


-








10.       Trade and other receivables

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

Amounts falling due within one year:







Other debtors


98,278


84,211


83,204

Tax refunded


44,865


60,749


97,186

Prepayments


142,652


54,304


511,480



285,795


199,264


691,870








All amounts above are current and there have been no impairment losses during the period (30 June 2023: €Nil, 31 December 2023: €Nil).

 

 

11.       Cash and cash equivalents

 

For the purposes of the consolidated statement of cash flows, cash and cash equivalents include cash in hand, in bank and bank deposits with maturity of less than three months.

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

 







Cash in bank and in hand


45,823


216,132


37,125

Short term bank deposits


45,180


194,529


58,181



91,003


410,661


95,306








 

12.       Trade and other payables



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023

Amounts falling die within one year:







Trade payables


318,879


9,581


262,368

Other payables


384


-


-

Accruals


82,647


106,739


227,259

Other taxation and social security


16,450


16,654


14,523



481,360


132,974


504,150








The Group has financial risk management policies in place to ensure that payables are paid within the pre-agreed credit terms.

 

13.       Decommissioning provision

 



Unaudited

6 months ended

30 Jun 2024


Unaudited

6 months ended

30 Jun 2023


 

Audited

year ended

31 Dec 2023








Decommissioning provision


133,024


131,054


128,871



133,024


131,054


128,871

 

The decommissioning provisions relate to undertakings by the Group to carry our reclamation work after the completion of planned work permitted by the regulator.  The cost of the reclamation work is estimated by the regulator in advance and the notice permitting operations to be conducted, together with the associated reclamation work, is effective for two years, subject to certain variations.  As the Group applies for approval of operations to be conducted within the current year where possible, the cost of decommissioning provision is treated as a current liability.

 

 

14.       Share capital

 



Number of shares

 

Value of shares





Authorised at 1 January 2023


7,000,000,000


700,000

  Increase in authorised share capital


2,000,000,000


200,000

Authorised at 30 June 2023


9,000,000,000


900,000

 





Authorised at 1 July 2023


9,000,000,000


900,000

Authorised at 1 December 2023


9,000,000,000


900,000






Authorised at 1 January 2024


9,000,000,000


900,000

  Increase in authorised share capital


2,000,000,000


200,000

Authorised at 30 June 2024


11,000,000,000


1,100,000

 



Number of ordinary shares of €0.0001 each

 

 

 

Share capital

 

 

 

Share premium

 

 

 

Total capital



 

 

 

 

Issued, called up and fully paid:









At 1 January 2023


3,577,510,005


357,751


13,572,027


13,929,778

Ordinary shares issued


1,000,000,000


100,000


813,242


913,242

At 30 June 2023


4,577,510,005


457,751


14,385,269


14,843,020

 









Issued, called up and fully paid:









At 1 July 2023


4,577,510,005


457,751


14,385,269


14,843,020

Ordinary shares issued


909,090,914


90,909


490,230


581,139

At 31 December 2023


5,486,600,919

 

548,660

 

14,875,499

 

15,424,159










Issued, called up and fully paid:









At 1 January 2024


5,486,600,919


548,660


14,875,499


15,424,159

Ordinary shares issued


1,610,344,827


161,035


658,790


819,825

At 30 June 2024


7,096,945,746

 

709,695

 

15,534,289

 

16,243,984

 

The authorised share capital of the company was increased to €200,000, consisting of 2,000,000,000 ordinary shares of €0.0001 each by an ordinary resolution at the Company's Annual General Meeting on 5 June 2024. 

 

On 19 March 2024, the Company completed a placing for 1,610,344,827 new ordinary shares of €0.0001 ("the Placing Share").  Each Placing Share was issued at a price of £0.000435 (€0.00051) raising gross proceeds of £700,500 (€819,825) and increasing share capital by €161,035. The premium arising on the issue amounted to €658,790.

 

Transaction expenses including commission arising on the issue of shares during the period ended 30 June 2024 amounted to €53,971 (30 June 2023: €48,184 and 31 December 2023: €82,015).

 

15.       Share based payments

 

Share options

Great Western Mining Corporation PLC operates a share option scheme, "Share Option Plan 2014", which entitles Directors and employees of Great Western Mining Corporation PLC and its subsidiary companies to purchase ordinary shares in the Company at the market value of a share on the award date, subject to a maximum aggregate of 10% of the issued ordinary share capital of the Company on that date.  At the Annual General Meeting held on 5 June 2024, the shareholders approved the extension of the Share Option Plan for a further five years.

 

During the period no expense was recognised in the statement of profit and loss related to share options vesting during the period (30 June 2023: €38,005 and 31 December 2023: €38,005)

 

On 26 January 2024, 6,666,667 options granted on 26 January 2017 lapsed at the end of their seven-year life.  On 18 April 2024, a further 17,500,000 options lapsed.  An amount of €45,321 relating to the lapsed options has been transferred from the Share Based Payment Reserve to Retained Earnings.

 


Number of options


Average exercise price





Outstanding at 1 January 2023

143,166,667


Stg0.29 p

Granted

52,000,000


Stg0.09 p

Outstanding at 30 June 2023

195,166,667


Stg0.24 p

Granted

-


-

Outstanding at 31 December 2023

195,166,667


Stg0.24 p

Lapsed

(24,166,667)


Stg0.21 p





Outstanding at 30 June 2024

171,000,000


Stg 0.24 p

 

On 30 June 2024, there were options outstanding over 171,000,000 (30 June 2023: 195,666,667 and 31 December 2023: 195,666,667) Ordinary Shares which are exercisable at prices ranging from Stg 0.09 pence to Stg 1.6 pence per share and which expire at various dates up to 30 January 2030.

 

At 30 June 2024, the balance on the share-based payment reserve amounted to €340,684 (30 June 2023: €386,005 and 31 December 2023: €386,005).

 

16.       Related party transactions

 

In accordance with International Accounting Standards 24 - Related Party Disclosures, transactions between group entities that have been eliminated on consolidation are not disclosed.

 

17.       Post balance sheet events

 

On 1 July 2024, the Company completed a Placing Agreement for the issue of 1,250,000,000 new Ordinary Shares of €0.0001 each at a price of 0.04 pence each, raising £500,000 (€589,692) before transaction expenses.

 

In August 2024, the Company entered into a Pooling Agreement with Bronco Creek Exploration, Inc. ("Bronco Creek"), a division of EMX Royalty Corporation, for developing the Company's Eastside Mine group of claims together with claims held by Bronco Creek.  Benefits and liabilities will be shared by the parties to the Pooling Agreement 30% Great Western/70% Bronco Creek, being approximately the ratio of the claims held by each party.    No formal joint venture is created by the Agreement and each party will continue to own its own claims.

 

There were no other significant post balance sheet events which would require amendment to or disclosure in the half yearly financial statements.

 

18.       Approval of financial statements

 

The half yearly financial statements were approved by the Board of Directors on 24 September 2024.  

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