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2018-03-02

Beowulf: Replacement: Unaudited Preliminary Financial Results for the year ended 31 December 2017

The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations ("MAR") (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in the
public domain.

For the purposes of MAR and Article 2 of Commission Implementing
Regulation (EU) 2016/1055, this announcement is being made on behalf
of Kurt Budge, Chief Executive Officer.

The following amendments have been made to the 'Unaudited Preliminary
Financial Results for the year ended 31 December 2017' announcement
released on 28.02.18.

Additions:

Competent Person Review paragraph, Enquiries - Contact information,
Cautionary Statement.

All other details remain unchanged.

The full amended text is shown below.

2 March 2018

Beowulf (AIM: BEM; AktieTorget: BEO), the mineral exploration and
development company, focused on the Kallak magnetite iron ore project
and the Åtvidaberg polymetallic exploration licence in Sweden, and
its graphite portfolio in Finland, announces its unaudited
preliminary financial results for the year ended 31 December 2017
(see Appendix 1).

Overview

· During 2017, the Company remained focused on the Kallak North
Exploitation Concession process. The Company maintains that its
application has fully satisfied the requirements of the Swedish
Mining Act and Environmental Code.

· On 29 June 2017, the Mining Inspectorate returned the Company's
application to the Government and confirmed that the Kallak North
Environmental Impact Assessment ("EIA") is consistent, in the detail
provided, in meeting the requirements of the Supreme Administrative
Court's ("SAC") Norra Kärr judgement.

· On 30 November 2017, the County Administrative Board ("CAB") for
the County of Norrbotten responded to questions from the Government
and recommended that an Exploitation Concession for Kallak North is
not granted.

The CAB's latest statement contradicts its July 2015 position, when it
supported the economic case for Kallak. In the Company's opinion, the
CAB has failed to use the socio-economic assessment criteria set out
in the Environmental Code, which put emphasis on safeguarding
investment and job creation, and giving consideration for the
municipalities' financial health. It has presented a scenario of
State investment in infrastructure being necessary to support the
mine, which has never been proposed or suggested by the Company. It
is the Company's opinion that the analysis by the CAB is flawed, and
its conclusions are biased and cannot be supported.

· Despite the continuing delays and lack of any final decision, the
Company initiated several studies during the year, including:

· Heritage Impact Analysis ("HIA") of the indirect effects of a
mining operation at Kallak on Laponia with respect to reindeer
herding, and the effects of transport on Laponia.

· A project study with Copenhagen Economics, titled 'Kallak - A
real asset, and a real opportunity to transform Jokkmokk', which
demonstrated the 'Bigger Picture' positive impact of the Kallak
project, both in Jokkmokk and the region of Norrbotten, and how it
can be successfully realised.

· A Scoping Study with SRK Consulting (UK) Ltd ("SRK"). SRK has
undertaken a significant number of technical studies for companies
operating in the Nordic Region, and it has the relevant expertise to
work with the Company on designing and engineering a modern and
sustainable mining project at Kallak North, as well as assessing the
broader potential of the Kallak South deposit. Work on the Scoping
Study has been slowed down, while the Company waits for clarity from
the Government on what happens next in the process.

· During the year, the CEO attended Almedalen for the second
time, and met with representatives of the Swedish mining industry,
politicians, and government agencies. During these meetings, the CEO
detailed the chronology of the application process for an
Exploitation Concession for Kallak North, and presented the case that
the Company's application, and recent supplementary documentation,
including a Heritage Impact Assessment, have more than satisfied the
requirements of the prescribed permitting process. The CEO shared the
Company's 'big picture' vision of Jokkmokk's economic transformation,
that could be delivered by a mining operation at Kallak, and
explained the Company's development philosophy towards designing,
engineering, and building a modern and sustainable mining operation.

· In Southern Sweden, the Company explored its Åtvidaberg
licence. At the end of April 2017, the Company held a three-day field
workshop, which brought together the Company's exploration team, and
a handful of external experts with major mining company exploration
experience, relevant to Bergslagen. The output of the workshop was an
exciting exploration programme, with work planned on brownfield and
greenfield targets at Bersbo (prospective for zinc and copper),
Mormor (prospective for copper), and Könserum (prospective for
molybdenum, tungsten, bismuth, and rhenium).

· In Finland, the Company focused its graphite exploration
efforts on the Aitolampi project, completing a 1,197 metre ("m")
drill programme, and then two rounds of testwork, first with SGS
Mineral Services in Canada to prove attainable concentrate grades,
and second with ProGraphite Gmbh in Germany to determine possible
market applications and end-uses of Aitolampi concentrate products.

· On 31 October 2017, Mr. Göran Färm was appointed to the Board
as Non-Executive Chairman, replacing Bevan Metcalf who retired.

· Loss before and after taxation attributable to the owners of
the parent was £1.04 million (2016: £0.63 million).

· Basic loss per share was 0.20 pence (2016: 0.13 pence).
· The Company had £1.59 million in cash at the year end.
Post Period Overview

· Further to a request from the Government of Sweden, both the
Mining Inspectorate and the Company submitted comments, separately,
regarding the CAB's statement dated 30 November 2017. Other
interested parties submitting comments included Jokkmokks Kommun,
Region Norrbotten, and the Sami reindeer herding communities of
Jåhkågasska Tjiellde and Sirges sameby.

The Mining Inspectorate commented that it is not possible to estimate
the exact production life of Kallak, but the potential for the
discovery of additional resources, that support an extended
production life, as evidenced by other mines in Sweden, should be
taken into consideration, when assessing which national interest
should take precedence. The Mining Inspectorate maintains that it is
the Government that should decide on the Company's application for an
Exploitation Concession.

Subsequently, the Government circulated all comments, and the Company
has another opportunity to make a further submission by the 5 March
2018.

· Findings were shared from the Company's 2017 work programme at
Åtvidaberg, and the Company announced its plan to complete a ground
Fixed Loop Electromagnetic ("FLEM") survey, intended to provide
additional information to support drill target selection in the
Bersbo area, focused on copper and zinc mineralisation

· For the Aitolampi graphite project, the Company announced
metallurgical testwork results, indicating the market potential of
the graphite concentrate products that could be produced from
Aitolampi, and that a new drilling campaign had started in the middle
of February 2017.

· At 31 January 2018, there were 312,543,135 Swedish Depository
Receipts issued representing 58.51 per cent of the issued share
capital of the Company. The remaining issued share capital of the
Company is held in the UK as AIM securities.

· On 19 February 2018, the CEO participated in a meeting in
Stockholm, to discuss land use, and the engagement processes between
Sami reindeer herding communities and mining companies, as part of
the OECD's project 'Linking Indigenous Communities with Regional
Development', supported by the Government.

· On 22 February 2018, the Company announced that it had issued 2.1
million ordinary shares of one pence each to Rasmus Blomqvist, the
Company's Exploration Manager, as the first tranche of deferred
consideration pursuant to the acquisition of Oy Fennoscandian
Resources AB ("Fennoscandian") as announced via RNS on 11 January
2016 (the "Further Consideration Shares").

Application was made for the Further Consideration Shares to be
admitted to trading on AIM and it is expected that admission will
take place on 28 February 2018 ("Admission"). The Further
Consideration Shares will rank pari passu with the existing ordinary
shares of the Company. Following Admission of the Further
Consideration Shares, the Company's enlarged issued share capital
will comprise 536,307,254 ordinary shares with voting rights.

Kurt Budge, Chief Executive Officer of Beowulf, commented:

"With so much attention on the Kallak process, it's easy to overlook
how much the Company's exploration team has achieved at both our
Aitolampi graphite project and our Åtvidaberg licence during the
year. We are currently in a good position for a busy and productive
2018.

"We are already back drilling at Aitolampi. The driller is making
rapid progress, and we have therefore decided to drill the full
2,000m programme in a single campaign, giving ourselves a head-start
with resource development and study work.

"With Åtvidaberg, a short geophysics programme will get underway in
March 2018, and we hope to use the findings to define drill targets
for copper and zinc mineralisation at Bersbo. Our 3-D modelling last
year and the analysis of historic mining records, showed us that
miners previously stopped at around 350m in high-grade zinc ore which
they could not process. The orebody is seemingly open at depth and
has reported zinc grades of over 30 per cent in places.

"Returning to Kallak, we have been given another opportunity by the
Government to provide final comments in support of our application,
with a deadline of 5 March 2018. After this date, the Company will be
seeking clarification on timing and next steps in the process.

"It is difficult to attach any credibility to the CAB's statement from
last November, which not only contradicts its July 2015 position on
the economic case for a mine at Kallak, but also seems to ignore the
Swedish Environmental Code socio-economic assessment criteria for
evaluating whether to conserve or utilise natural resources, such as
the Kallak deposit, which references the need to safeguard investment
and employment, and give consideration for a municipality's financial
situation. The CAB gives the impression t...

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