RNS Number:4852U
Ocean Resources Capital HoldingsPLC
21 January 2004
Year end net asset value and portfolio information
The Board of Ocean Resources Capital Holdings plc ("Ocean") is pleased to
announce that the company's unaudited net asset value at 31 December 2003 was
#34.7 million equivalent to a net asset value per share of #0.407p.
Ocean's portfolio as at 31 December 2003 comprised:
Nominal Security Sector Value (#)
GBP Sterling denominated
18,200,000 Archipelago Resources Plc Gold 5,915,000
ordinary shares
#845,000 Cambrian Forestry Products Plc Other (timber) 845,000
10% CULN 2006
#3,600,000 Orevest Plc 12% CULN 2005 Industrial Minerals 3,600,000
#5,000,000 Alliance Mining Limited 10% CULN Diamonds 2,000,000
2005
#960,000 Gold City Industries Ltd 12% Gold 960,000
Secured Gold Loan
30,000,000 Rheochem Limited ordinary shares Oil Services 6,150,000
#400,000 Scorpio Mining Corp 12% CULN2005 Base Metals 400,000
#12,870 Ocean Equities Other (financial) 48,918
19,918,918
USA $ denominated
$5,538,461 BPK Resources 10% Preferred Gold 711,606
Stock 2006
$2,500,000 BM Diamondcorp project loan PT Gold 1,050,000
Galuk Cempaka
1,761,606
Canadian $ denominated
1,875,000 Strata Gold Corporation ordinary Gold 405,265
shares
937,500 Strata Gold Warrants Gold 0
4,279,488 Gold City Industries common Gold 573,484
shares
10,825,966 Terra Nova Gold Corp common Gold 1,123,171
shares
2,000,000 Terra Nova Gold Warrants (Cnv Gold 0
45c C$)
8,000,000 BM Diamond Corp common Diamonds 1,210,392
shares
800,000 Scorpio Mining Corp Warrants Base Metals 0
(Cnv 60c C$)
15,018,694 Bralorne-Pioneer Common Shares Gold 5,453,553
7,509,347 Bralorne-Pioneers Warrants (Cnv Gold 0
50c C$ Year 1)
8,765,865
Australian $ denominated
A$700,000 Burdekin Pacific Limited 10% Gold 294,613
CULN 2005
A$2,800,000 Burdekin Pacific Limited 10% Gold 1,178,451
CUPN 2005
A$4,400,000 St Barbara Mines Limited 12% Gold 1,851,852
Convertible Notes
A$35,000,000 St. Barbara Mines Limited Common Gold 1,075,336
shares
2,350,000 Intierra Limited ordinary shares Other (services) 294,613
4,694,865
Euro denominated
30% Equity Stake Picobello Andalucita SL Industrial Minerals 1,655,000
1,655,000
Total 36,796,254
MANAGEMENT POLICY
Ocean regards itself as a mining finance house in the resource sector taking
significant interests in companies with proven reserves and is also looking to
take direct interests in early stage development exploration ventures which
could have a dramatic impact on shareholder value.
The Board expects to gradually focus its interests by selling certain holdings
and reinvesting the proceeds into:
a) maintaining and, where appropriate, increasing its stake in companies
where such an increased stake will be sufficiently large to allow it to account
for its share of the earnings of that company.
b) investing directly in exploration and development companies.
c) funding selected early stage exploration projects.
d) or, where appropriate, buying back its own shares.
When appropriate Ocean will look to change from a pure investment company to
taking into its own profit and loss account its share of associate company
earnings in order to be rated as an operating company.
The Board is committed to an increase in shareholder value and to that extent
has undertaken to limit any new issue of shares to 10% of the present capital
for the next two years and, where appropriate, in the event of a discount
arising to the perceived net assets, then to use surplus funds to buy in its own
stock, to ensure a stock price appreciation and to increase the net asset value
per share of the company.
GOLD
Approximately 54% of Ocean's portfolio is made up of investments in gold
companies that have proven reserves from which the Directors' estimate that
Ocean has a share of ounces attributable to it, approaching 1,500,000 ounces.
Using an average global valuation of $40 per ounce in the ground gives a value
of Ocean's portfolio of $60 million (#32 million at $1.85 = #1). This puts a
value of approximately 38 pence per share on Ocean's gold interests excluding
its other interests.
Attributable Gold Resources
Resource Ocean Stake Ocean Attrib. oz
Oz
St Barbara Mines Limited 1,900,000 15.6% 296,400
Archipelago Resources plc 1,742,500 38.4% 669,120
Gold City Industries Limited 979,247 14.4% 141,011
Burdekin Pacific Limited 485,800 18.1% 87,930
Bralorne-Pioneer Gold Mines Limited 416,425 30.6% 127,426
Terra Nova Gold Corporation 157,410 54.0% 85,001
StrataGold Corporation 113,183 6.9% 7,809
1,414,697
Source: Prospectus and public announcements
by quoted companies
INTEREST IN INVESTEE COMPANIES
Ocean is a significant shareholder in all of the companies in its portfolio upon
conversion of the loan notes. This effectively gives Ocean a significant stake
in a series of projects and developments.
AS AT 31st DECEMBER 2003 Ocean Interest* Ocean Interest post-warrants
exercise*
Alliance Mining** 12.0% 12.0%
Archipelago Resources plc 38.4% 38.4%
BM Diamond Corporation 19.5% 19.5%
BPK Resources Inc. 27.3% 27.3%
Bralorne-Pioneer Gold Mines Limited 30.6% 39.8%
Burdekin Pacific Limited 18.1% 18.1%
Cambrian Forestry Products plc** 19.5% 19.5%
Gold City Industries Limited 14.4% 14.4%
Intierra Limited** 16.6% 16.6%
Orevest plc 22.1% 22.1%
Picobello Analucita SL 30.0% 30.0%
Rheochem Limited 49.4% 49.4%
Scorpio Mining Corporation 6.3% 9.3%
St. Barbara Mines Limited 15.6% 15.6%
StrataGold Corporation 6.9% 9.6%
Terra Nova Gold Corporation 54.0% 58.2%
*assuming no further issue of equity
** unquoted companies
BALANCE SHEET
Consolidated balance sheet as at 31st December 2003
#'000
(Unaudited)
Fixed asset investments
Group undertakings 36,796
______
36,796
______
Current Assets
Debtors 4,183
Cash at bank and in hand 209
______
4,392
Creditors: amounts falling due within one year (5,515)
______
Net current liabilities (1,123)
______
Total assets less current liabilities 35,673
Creditors: amounts falling due after more than one year
8% Convertible Unsecured Loan Stock 2006 (991)
______
Net assets 34,682
______
This information is provided by RNS
The company news service from the London Stock Exchange
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