Europa Metals Ltd (AIM:EUZ, JSE:EUZ, OTC:EOPAF) said it will continue work on establishing a clear pathway forward for its Toral project in Spain to deliver future returns for shareholders and has reviewed more than 10 other potential new projects.
Reporting results for the six months to 31 December 2021, the company revealed it had A$2.5mln of cash and short-term deposits at the half-year stage.
A reduced net loss of A$1.36mln was made for the period, compared to A$1.65mln a year ago, as Europa completed a drilling and metallurgical campaign at its wholly owned lead, zinc and silver project, which were used to commission an independent updated resource estimate and ongoing metallurgical testwork.
This attributed to Toral an indicated resource of approximately 5.9mln tonnes (Mt) at 7.1% zinc equivalent within a total resource of 20 Mt at 6.3%.
“Accordingly, the Europa Metals team has progressed Toral from being a collection of historical data points to a project with the potential for a future development with good margins at long term average revenue pricing within a first world jurisdiction with world class infrastructure,” said executive chairman Myles Campion, who also currently holds the role of interim CEO.
“Over the coming period, the board will continue with its endeavours to establish a clear pathway forward for Toral to deliver future returns for shareholders.”
Also, following the £1.5mln equity financing in October, Campion said while some of the proceeds is being used to progress Toral and for general working capital purposes, some is also being used for business development.
“To this end, the management team has reviewed over 10 projects, with two being discussed and evaluated at board level, and we intend to continue such activity and to identify, investigate and assess additional opportunities of potential interest. Further updates will be provided as and when appropriate.”