StockMarketWire.com - Battery metals focused Strategic Minerals posted a full-year loss after it wrote down the value of an Australian rare earths asset.

Pre-tax losses for the year through December amounted to $0.85m, compared to a profit of $1.93m on-year. Revenue was broadly flat at $3.39m.

Strategic Mineral's assets include the Cobre magnetite stockpile in Nevada and Leigh Creek copper mine in Australia.

'2019 has proven to be a challenging year for the company due to deteriorating capital market conditions and the extraordinary challenges to world markets in 2020, due to Covid-19,' chairman Alan Broome said.

'Despite these challenges the demand for product from our Cobre operations remains steady and the company is in a position to move forward with operations at Leigh Creek and the exploration and development of Redmoor.'

'The uncertainty in the global capital and commodity markets will continue to cause difficulties in raising funds to progress the projects but the underlying economics and value remain strong.'

'The continued cashflow from our Cobre asset along with the developed nature of our projects, puts the company in a good position to benefit from an improvement in world markets'

'A concluded fund raise in early June now reassures the company of its ability to repay the balance of the Redmoor acquisition by its due date of 26 June 2020.'


At 9:17am: [LON:SML] Strategic Minerals PLC share price was -0.03p at 0.43p



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