Results
Sirius Minerals Plc (LON:SXX) announced today the results for Sirius and its subsidiaries for the year ended 31 December 2016.
Key highlights
· Completion of Stage 1 Financing by securing funding of ~US$1.2 billion required to begin the construction of the Company’s polyhalite project in North Yorkshire.
· Progressing Stage 2 Financing through mandating a group of six financial institutions (“MLAs”).
· The receipt of the final major planning approval for the Company’s North Yorkshire polyhalite project – a development consent order for the harbour facilities.
· Increase of the Company’s polyhalite probable reserve to 280 million tonnes of polyhalite at an average grade of 88.4%.
· Completion of the definitive feasibility study and the publication of its material findings.
· Selection of preferred contractors for the Woodsmith Mine and mineral transport system works.
· Ongoing progress with customer engagement regarding product sales and further positive crop study results for the Company’s POLY4 product.
Post-balance sheet events
· Commencement of construction enabling works in the vicinity of the Woodsmith Mine.
· Appointment of Thomas Staley to the role of Finance Director and Executive Board Director in February 2017.
Financials
Cash resources at the end of December 2016 were £665.3 million (liquid funds including investments and restricted cash) compared to £29.1 million as at 31 December 2015.
During the financial year ended 31 December 2016 the Group made a consolidated loss of £23.0 million compared to a loss of £7.0 million for the nine-month period to 31 December 2015.
The Group’s net assets at 31 December 2016 were £496.3 million compared to £165.2 million at 31 December 2015.
Annual report and accounts
The annual report and accounts for the year ended 31 December 2016 have now been published on the Company’s website: www.siriusminerals.com. The hard copy of the annual report and accounts will also be posted to shareholders shortly.
The Company’s annual general meeting will be held at 1.00pm on Thursday 29 June 2017 at the Royal York Hotel, Station Road, York, YO24 1AA. The Notice of Meeting will be issued to shareholders in due course.
Move to Main Market
In conjunction with the audited full year results for the year ended 31 December 2016, Sirius Minerals Plc (“Sirius” or the “Company”) today announces its intention to apply for admission to listing of its ordinary shares (the “Ordinary Shares”) on the premium listing segment of the Official List of the UK Listing Authority (the “Official List”) and admission to trading on the London Stock Exchange plc’s (the “London Stock Exchange”) main market (the “Main Market”) for listed securities (together, “Admission”). Pursuant to Rule 41 of the AIM Rules for Companies, the Company hereby gives notice of the intended cancellation of trading of its Ordinary Shares on the AIM market of the London Stock Exchange (“AIM”).
The Company directors believe that a premium listing will support the long-term strategy of the Company by providing the Company with a more appropriate platform for its growth and is in keeping with the nationally significant nature of the Company’s North Yorkshire polyhalite project and its market capitalisation, which as of the date of this announcement is in excess of £700 million. In addition, the Company directors believe that Admission will raise the Company’s global profile, increase its trading liquidity and provide the Company with a greater range of potential investors for its ordinary shares.
Chris Fraser, Sirius Minerals Plc Managing Director and Chief Executive Officer, said: “It has been a long-stated intention of the Company to move to the Main Market and we are delighted to be continuing to deliver on our goals as we move forward with the timely delivery of our Woodsmith Mine.”
Admission will be through an introduction of the existing Ordinary Shares. The Company will not be issuing new shares in conjunction with the proposed Admission or the publication of the related prospectus, and has no current intention to raise capital through the issue of new shares in the UK or elsewhere.
It is expected that the Company will publish its prospectus in connection with Admission on or around 25 April 2017 and that the Ordinary Shares will be admitted to the Official List, commence trading on the Main Market and simultaneously trading will be cancelled on AIM at 8:00am on 28 April 2017 (being at least 20 business days after this announcement), subject to the receipt of the necessary approvals from the UK Listing Authority and the London Stock Exchange. The Company’s shares will continue to be registered with their existing ISIN number GB00BD8GDH86 and SEDOL number B0DG3H2. The Company’s ticker symbol will continue to be SXX. The prospectus will, when issued, be made available on the Company’s website at www.siriusminerals.com.
J.P. Morgan Securities plc, which conducts its UK investment banking business as J.P. Morgan Cazenove, is acting as sponsor to the Company in connection with Admission.
The Company’s existing shareholders should consult their own tax advisers as to the tax implications of the Company’s proposed move to the Main Market.
