News blog

Berkeley Mineral Resources

• BY: Andrew Hore |
• POSTED: 04/11/2014 |

Trading in the shares of mining tailings processor Berkeley Mineral Resources (BMR) has been suspended because of doubts about £4.3m of prepayments included in non-current assets. 

Last month, Alex Borelli replaced Masoud Alikhani as chairman. Mark Wainwright became acting chief executive. Independent accountants and lawyers have been asked to investigate the concerns.

In 2012-13, £2.14m of these prepayments were transferred to exploration and evaluation assets and £1.18m added during the period. Some of the payments under this label relate to the payments for the rights to a small scale mining licence held by Phoenix Minerals, which still has not been transferred to BMR. This accounts for part of the £4.3m but not all of it. 

Gaining government approval for processing at Kabwe triggered a £500,000 funding tranche at 1.4p a share during the summer. BMR still has £600,000 in the bank so it has enough working capital for the time being. Net assets were £17.8m at the end of 2013 and the full year figures to June 2014 have not been published as yet. They were promised in early December.

Download the latest AIM Journal from http://www.hubinvest.com/AIMPDFOctober2014_61.pdf