Amur Minerals (LON:AMC) said that it would turn its focus to corporate development after a successful 2018 field season and that the time was right to find a long-term strategic partner.
The company said that the 2018 field season represented the completion of mineral resource drilling and that it has sufficient minable resource at a grade and level of profitability - over a 15 year plus life - to confidently present to potential long-term strategic partners and funding institutions.
“Once the 2018 field season has been completed, the company's focus will turn predominantly to corporate development. Work on setting the foundations for this change in focus has been on-going throughout the period to date. An important consequence of this is that it will greatly lessen, but not eliminate, the company's requirement for further funding while we develop and work through the corporate development programme in 2018/19,” the company said in a statement on Friday.
Amur Minerals added that it had completed the data set for the reporting of Russian reserves, which it needs to obtain a Russian certified reserve. These are used in the development of mine designs requiring Russian regulatory approvals.
Amur said that it had cash reserves of US$3.4mln at the end of June 2018, up from US$2.6mln at the start of 2018.
The miner added that it had been successful in conserving its cash reserves, allowing it to continue to work closely with its financial advisors developing other near and long-term financing opportunities. It said it was confident that the company would be able to raise funds in the near future.
Amur said it had spent US$1.3mln on exploration costs during the period, down from US$1.7mln last year. Shares in the company were 3.8% down at 4.21p in mid-morning trade.