MHM Metals Limited T: +613 9692 7222
Level 1, 100 Albert Road F: +613 9077 9233 South Melbourne E: [email protected]
VIC 3205 AUSTRALIA www.mhmmetals.com
ASX Announcement
Monday, 31 October 16
MHM QUARTERLY ACTIVITIES REPORT
MHM Metals (ASX: MHM) ('the Company') is pleased to provide the following Quarterly Activities Report for the period ended 30 September 2016.
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Ordinary shares on issue:
Cash & investments (as at 30 Sept 2016):
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136,228,616
$7,683,552
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Corporate
During the quarter, the company advised that further to the announcement dated 15 December 2015, the Conditions Precedent to the Sale of the Company's Moolap Property had not been met and the Agreement terminated.
Subsequent to the quarter's end, the Company's wholly owned subsidiary Alreco Pty Ltd entered into a Deed of Settlement and Release with Alcoa in connection with the lease of the Hays Road property and the associated remediation obligation. The Deed of Settlement and Release was effected through payment by Alreco to Alcoa of $1m AUD and Alcoa's discharge of its security over a
$350,000 AUD bank guarantee and the property at 80 Buckley Grove, Moolap held by Alreco.
A provision for this liability had already been accounted for in the company's 2016 Annual Report, in the amount of $1m AUD.
Separately, MHM advised the market that it had entered into a confidential Deed of Settlement with Stone Resources Limited (ASX: SHK) in connection with a matter last disclosed to the market on 11 April 2016.
The Company will keep the market informed as it continues to pursue the orderly wind up of its legacy operations.
Business Development
On 12 July 2016 the Company announced to the market that it had become a significant shareholder in KIN Mining NL (ASX: KIN). In this capacity it sought to discuss an indicative, non-binding merger proposal with KIN. On 14 July 2016 KIN advised the market that it was unwillingly to discuss the proposal with the Company and MHM ceased to be a substantial shareholder on 19 July 2016.
Company Snapshot Capital Structure
Directors
Paul Kopejtka (Non- Executive Chairman) Joseph van den Elsen (Managing Director) Chris Goodman (Non-Executive Director)
Company Secretary
Justin Mouchacca
MHM Metals Limited ABN 41 124 212 175
Registered Office: Level 1, 100 Albert Road, South Melbourne, VIC 3205 | Tel: 03 9692 7222| Fax: 03 9077 9233 | E: [email protected] | www.mhmmetals.com
With its significant cash reserves, the Company continues to advance a number of potential opportunities it has identified where its balance sheet and management experience can be applied to add value to the benefit of MHM shareholders.
Trading in MHM shares will remain suspended on ASX until such time as the Company has identified a suitable new opportunity and has met the necessary requirements under ASX Listing Rule 11.1 that may apply in relation to that opportunity (including re-complying with Chapters 1 and 2 of the ASX Listing Rules, to the extent required).
END
For more information: MHM Metals Limited
Joseph van den Elsen, Managing Director: +61 (3) 9692 7222
MHM Metals Limited ABN 41 124 212 175
Registered Office: Level 1, 100 Albert Road, South Melbourne, VIC 3205 | Tel: 03 9692 7222| Fax: 03 9077 9233 | E: [email protected] | www.mhmmetals.com
Appendix 5B
+Rule 5.5
Mining exploration entity and oil and gas exploration entity quarterly report
Introduced 01/07/96 Origin Appendix 8 Amended 01/07/97, 01/07/98, 30/09/01, 01/06/10, 17/12/10, 01/05/13, 01/09/16
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Name of entity
|
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MHM METALS LIMITED
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|
ABN
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Quarter ended ("current quarter")
|
|
41 124 212 175
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30 September 2016
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|
Consolidated statement of cash flows
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Current quarter
$A'000
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Year to date (3 months)
$A'000
|
|
1.
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Cash flows from operating activities
|
-
|
-
|
|
1.1
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Receipts from customers
|
|
1.2
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Payments for
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-
|
-
|
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(a) exploration & evaluation
|
|
(b) development
|
-
|
-
|
|
(c) production
|
-
|
-
|
|
(d) staff costs
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(69)
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(69)
|
|
(e) administration and corporate costs
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(360)
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(360)
|
|
1.3
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Dividends received (see note 3)
|
-
|
-
|
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1.4
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Interest received
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77
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77
|
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1.5
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Interest and other costs of finance paid
|
-
|
-
|
|
1.6
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Income taxes paid
|
-
|
-
|
|
1.7
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Research and development refunds
|
-
|
-
|
|
1.8
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Other (provide details if material)
-
GST refund
-
legal settlement
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34
75
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34
75
|
|
1.9
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Net cash from / (used in) operating activities
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(243)
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(243)
|
-
Cash flows from investing activities
-
Payments to acquire:
-
property, plant and equipment - -
-
tenements (see item 10) - -
-
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Consolidated statement of cash flows
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Current quarter
$A'000
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Year to date (3 months)
$A'000
|
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(c) equity investments
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(1,071)
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(1,071)
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(d) other non-current assets
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-
|
-
|
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2.2 Proceeds from the disposal of:
|
|
(a) property, plant and equipment
|
-
|
-
|
|
(b) tenements (see item 10)
|
-
|
-
|
|
(c) equity investments
|
232
|
232
|
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(d) other non-current assets
|
-
|
-
|
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2.3 Cash flows from loans to other entities
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-
|
-
|
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2.4 Dividends received (see note 3)
|
-
|
-
|
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2.5 Other (provide details if material)
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-
|
-
|
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2.6 Net cash from / (used in) investing
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(839)
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(839)
|
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activities
|
-
Cash flows from financing activities
-
Proceeds from issues of shares
-
Proceeds from issue of convertible notes
-
Proceeds from exercise of share options
-
Transaction costs related to issues of shares, convertible notes or options
-
Proceeds from borrowings
-
Repayment of borrowings
-
Transaction costs related to loans and borrowings
-
Dividends paid
-
Other (provide details if material)
-
3.10 Net cash from / (used in) financing activities
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
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4.
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Net increase / (decrease) in cash and cash equivalents for the period
|
|
4.1
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Cash and cash equivalents at beginning of period
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7,484
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7,484
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4.2
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Net cash from / (used in) operating activities (item 1.9 above)
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(243)
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(243)
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|
4.3
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Net cash from / (used in) investing activities (item 2.6 above)
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(839)
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(839)
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|
4.4
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Net cash from / (used in) financing activities (item 3.10 above)
|
-
|
-
|