Cloudbreak Discovery PLC (LSE:CDL, OTC:CDBDF)’s financial year ending 30 June 2023 was marked by portfolio diversification in the energy sector and in new jurisdictions in what has been an undeniably tricky time for junior natural resources companies.
The AIM-quoted group halved its net assets in the period while generating income from property option payments as part of a corporate restructuring process.
During the period, Kyler Hardy stepped down as chief executive and chairman, with Andrew Male assuming the role of interim CEO to align with Cloudbreak’s more “London-centric” approach.
Towards the end of 2022, a new broker, Oberon Capital, was appointed for the advancement of financing opportunities and project generation.
However, as the group said in its statement, “Cloudbreak has been quiet during a challenging financial climate”.
Cloudbreak’s board is continuing to evaluate and realise continued value across its assets while also continuing to explore further advancement of all projects.
The company intends to look at both mining and oil and gas projects with a view to maintaining the same thesis for project generation and asset aggregation.
Cloudbreak had £244,000 in cash and cash equivalents at the end of the period, though post period, the group raised £340,000 in convertible loan notes from existing shareholders and investors.
“As with most junior resource companies, it has been a challenging year, and ours has been no different,” said Male. “During the past year we have however continued to maintain and advance our projects, complete project advancement with our partners and begun to realise the value of some of the exploration and corporate assets we have."
Cloudbreak noted its requirement to raise additional funds within the next 12 months.