| May 29, 2008 |
| Monroe Minerals First Quarter 2008 Results and Highlights |
CALGARY, ALBERTA--(Marketwire - May 29, 2008) - Monroe Minerals Inc. (TSX VENTURE:MMX) today reported its 2008 first quarter financial results and operational highlights.
The Company is in the exploration and development stage of its operations and recorded a net loss for the period of $26,249 (Q1 2007: net loss $269,260). During the period, the Company recorded the benefits conferred upon the subscribers of the flow-through shares issued in 2007 and this gave rise to the recognition of a future income tax recovery of $410,000. No general and administration expenses were capitalized in Q1 2008, as compared to 21% capitalized during Q1 2007.
General and administration expenses (prior to capitalization in 2007) increased to $379,335 from $310,935. While salaries and benefits decreased by $41,072 (28%), finance and administration, audit and legal, investor relations, and stock compensation expense rose by $16,380 (56%), $23,965 (161%), $32,721 (190%), and $27,888 (79%) respectively. The principal factors behind these movements were the cessation of operations in Angola, higher corporate activity in the uranium division, timing differences in the recognition of specific expenses, and option expenses related to options granted to directors, employees and consultants during the latter part of 2007.
Cash outflows used by operating activities in the first quarter of 2008 amounted to $309,346, against cash outflows in the first quarter of 2007 of $261,304. Cash resources at the end of the period amounted to $1,814,571 and mineral interests to $154,775.
Highlights:
The Company made good progress on its major objectives for 2008, announcing the acquisition of further uranium projects in Canada (News release January 15, 2008), the receipt of a full mining right for the London Mine in South Africa (News release March 25, 2008) and, subsequent to the quarter end, the agreement to dispose of its Diamond interests (News release May 13, 2008).
In addition to the acquisition of the Boxey Point and Berry Hill properties in Newfoundland, the Company surveyed a large selection of suitable uranium companies and assets in Canada and Africa for acquisition, merger, strategic partnership or joint venture. Discussions have been initiated on several of these and announcements will be made as developments occur.
Additional information relating to Monroe, including Monroe's quarterly report, management's discussion and analysis and unaudited financial statements for the quarter ended March 31, 2008 is available on Monroe's web site at www.monroeminerals.com and on SEDAR at www.sedar.com.
Monroe is engaged in the assembly of an international portfolio of uranium exploration projects. Its strategy is well defined: enhancing shareholder value by combining technical expertise, corporate development skills and professional management. Monroe's shares trade on the TSX Venture Exchange under the symbol MMX. For more information please visit www.monroeminerals.com.
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Forward-looking statements: Except for statements of historical fact, all statements in this news release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this News Release. | |