| Thu 29 Mar 2012, 7:06 | | GGM - Goliath Gold Mining Limited - 2011 Financial statements released and |
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GGM
GGM
GGM - Goliath Gold Mining Limited - 2011 Financial statements released and
Goliath Gold relisted
GOLIATH GOLD MINING LIMITED
(Formerly White Water Resources Limited)
Incorporated in the Republic of South Africa
(Registration number 1933/004523/06)
Share code: GGM ISIN: ZAE000154753
("Goliath Gold" or the "company")
2011 FINANCIAL STATEMENTS RELEASED AND GOLIATH GOLD RELISTED
Goliath Gold is pleased to announce the release of the company`s Financial
Statements for the nine months ended 31 December 2011. The company`s year-end
has been changed from 31 March to 31 December to coincide with the year-end
of Gold One International Limited ("Gold One").
During the nine month period, the net profit of the group was ZAR 1.0
million, compared to a group net loss for the year ended 31 March 2011 of ZAR
6.1 million. The net profit arose mainly as a result of the profit on sale of
financial assets held for trading, fair value adjustments on investment
properties and financial assets held for trading as well as a reduction in
operating expenses since Gold One took over the management of Goliath Gold at
the end of March 2011.
Subsequent to year-end and as was announced by Goliath Gold and Gold One on
the Securities Exchange News Service ("SENS") of the JSE Limited on Tuesday,
20 March 2012, all the conditions precedent regarding the acquisition of Gold
One`s Megamine Business by Goliath Gold have now been fulfilled or waived.
On 28 March 2012, Goliath Gold acquired the Megamine Business of Gold One,
for an acquisition consideration of ZAR 262,229,868. This consideration was
settled by way of the issue of 104,891,947 Goliath Gold ordinary shares ("the
consideration shares"). Gold One, through a wholly owned subsidiary, has now
acquired a controlling interest of at least 71% in Goliath Gold. The
increase in the issued share capital to 147,354,905 ordinary Goliath Gold
shares has increased the market capitalisation of the company to over ZAR 600
million from just under ZAR 200 million.
During 2011 Goliath Gold undertook exploration activities on its Wit Nigel
prospecting right, including surface exploration drilling, surface sampling
and the collation of historical information. This exploration focused on
confirming the contiguous extension of the shallower up-dip Megamine mineral
resources. Subsequent to the acquisition, Goliath Gold now comprises the Sub
Nigel mining right, Vlakfontein, West Vlakfontein, Spaarwater and Wit Nigel
prospecting rights and collectively has an established resource base of over
12 million resource ounces, compliant with the South African Code for
Reporting of Exploration Results, Mineral Resources and Mineral Reserves
("SAMREC Code"). The resource currently comprises 3.02 million ounces in the
indicated category (including 21.55 million tonnes at 4.36 grams per tonne)
and 9.63 million ounces in the inferred category (including 64.62 million
tonnes at 4.64 grams per tonne). During 2012 the company will update the
mineral resource to include the prospecting results from Wit Nigel.
Goliath Gold CEO Neal Froneman comments: "Goliath Gold, now incorporating
Megamine, is a giant and has very significant potential. The extensive asset
base combined with the company`s partnership with Gold One, where Goliath
Gold benefits from the Gold One`s expertise in exploration, development and
mining place the company in a prime position to execute its entrepreneurial
approach."
Johannesburg
29 March 2012
Sponsor
Merchantec Capital
For further information contact:
Neal Froneman
Chief Executive Officer
+27 11 726 1047 (office)
+27 83 628 0226 (mobile)
neal.froneman@gold1.co.za
Grant Stuart
VP: Investor Relations
+27 11 726 1047 (office)
+27 82 602 5992 (mobile)
grant.stuart@gold1.co.za
Carol Smith
Investor Relations
+27 11 726 1047 (office)
+27 82 338 2228 (mobile)
carol.smith@gold1.co.za
Competent Person`s Statement
The information in this press release that relates to exploration results,
mineral resources or ore reserves is based on information compiled by the
following Competent Persons for the purposes of the SAMREC Code, and would
not be materially different if quoted in accordance with the 2004 edition of
the Australasian Code for Reporting of Exploration Results, Mineral Resources
and Ore Reserves. The overall Competent Person for the Gold One group is Dr
Richard Stewart, who has a doctorate in geology and who is a professional
natural scientist registered with the South African Council for Natural
Scientific Professions ("SACNASP"), membership number 400051/04. Dr Stewart
is also a member of the Geological Society of South Africa and is senior vice
president: business development for Gold One, with which he is a full-time
employee and which has entered into a management agreement with Goliath Gold.
Dr Stewart has 12 years` experience relevant to the style of mineralisation
and type of deposit under consideration, and to the activity which he is
undertaking, to qualify as a Competent Person for
the purposes of the SAMREC Code.
The Competent Person for the Wit Nigel prospecting area is Mr Quartus Meyer,
who has a master`s degree in science (geology) and who is a professional
natural scientist registered with SACNASP, membership number 400063/88. Mr
Meyer is group exploration manager for Gold One, with which he is a full-time
employee and which has entered into a management agreement with Goliath Gold.
Mr Meyer has 25 years` experience relevant to the style of mineralisation and
type of deposit under consideration, and to the activity which he is
undertaking, to qualify as a Competent Person for the
purposes of the SAMREC Code. Dr Stewart and Mr Meyer consent to the
inclusion in this release of the matters based on information compiled by
Gold One and Goliath employees and their consultants in the form and context
in which they appear.
Date: 29/03/2012 07:06:01 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
