Sunward Announces Six Month-End Results

TSX-V: SWD

VANCOUVER, Nov. 30, 2011 /CNW/ - Sunward Resources Ltd. ("Sunward" or "the Company") announces its financial results for the quarter ended September 30, 2011.  All figures are expressed in US dollars, unless otherwise stated.

Financial Results

For the six months ended September 30, 2011, the Company expended approximately $7,279,788 in exploration and related expenditures advancing its mineral property at Titiribi in Colombia. The Company made $893,469 in exploration expenditures for the comparative period for the six months ended September 30 the previous year. This expenditure created an overall loss per share for the period of $0.08 cents compared to a loss of $0.06 cent per share for the previous period. At the end of the period, the Company's cash and cash equivalent position amounted to $61,509,183 compared with $68,641,767 at the end of the March 31, 2011 reporting period.

Currently, Sunward has ten drill rigs operating at its Titiribi Project in Colombia and has completed an updated resources statement to NI43-101 standards. The Company is adequately funded for its planned exploration and corporate development programs.

This release presents a comparative summary of the three and six months operating and financial highlights. These highlights should be read in conjunction with our Condensed Interim Consolidated Financial Statements and Management Discussion and Analysis ("MD&A").

The following tables show selected comparative consolidated financial information for the three months ended September 30, 2011 and September 30, 2010 respectively.

CONSOLIDATED BALANCE SHEETS AS AT          
  September 30   March 31   April 1
  2011   2011   2010

ASSETS

         
           
Current          
      Cash and cash equivalents $ 61,509,183   $ 68,641,767   $ 5,231,257
      Accounts receivable       49,533         54,113         9,757
      Advances and deposits       1,597,384         436,873         1,360
              
        63,156,100         69,132,753        5,242,374
           
Advances to Goldplata Resources Limited       -            -           1,630,661
Plant and equipment       1,197,155         415,778         -   
Exploration and evaluation properties       24,494,816         24,494,816         -   
           
  $ 88,848,071   $ 94,043,347   $ 6,873,035
           
           

LIABILITIES AND SHAREHOLDERS' EQUITY

         
           
Current          
      Accounts payable and accrued liabilities $ 1,260,263         555,048   $ 187,513
           
Deferred income tax liability       2,754,676         4,629,068         -   
           
           

Shareholders' equity

         
      Capital stock       81,395,973         77,111,523        5,740,157
      Reserves       26,608,001         24,208,704        1,304,703
      Accumulated other comprehensive income       -            1,201,222         204,723
      Deficit       (23,170,842)        (13,662,218)          (564,061)
           
        84,833,132        88,859,231        6,685,522
           
  $ 88,848,071   $ 94,043,347 $  6,873,035
           

CONSOLIDATED STATEMENTS OF OPEPERATIONS AND COMPREHENSIVE LOSS      
  For the three months ended   For the six months ended
  September 30,
2011
  September 30,
2010
  September 30,
2011
  September 30,
2010

EXPENSES

             
      Administrative $    530,411   $   83,084   $       852,004   $   103,209
      Corporate consulting      90,247          118,667   89,531
      Depreciation        47,670     80,179    
      Exploration expenses     4,400,015         893,469         7,279,788   893,469
      Investor communications        140,506          31,429           270,731   55,220
      Professional fees    137,848      62,863      165,282   91,923
      Stock-based compensation     3,142,432   1,710,412        3,428,436   1,831,098
      Transfer agent and filing fees        5,528          12,212          28,565   30,775
      Travel 88,083         59,994    220,574   66,623
               
Loss for the period before other items (8,582,740)   (2,853,463)   (12,444,226)   (3,161,848)
               
               
OTHER ITEMS              
      Interest income 6,000   1,406    34,704    4,447
      Foreign exchange gain (loss)    (546,770)           2,635          (174,716)   49,453
               
Loss for the period before income taxes (9,123,510)   (2,849,422)   (12,584,238)   (3,107,948)
               
Deferred income tax recovery     1,155,426   -       1,874,392   
               
Loss for the period (7,968,084)   (2,849,422)   (10,709,846)      (3,107,948)
               
Cumulative translation adjustment                 -   728,454                     -   507,813
               
Comprehensive loss for the period $ (7,968,084)   $ (2,120,968)   $(10,709,846)   $  (2,600,135)
               
               
Basic and diluted loss per common share $    (0.06)   $     (0.05)   $          (0.08)   $        (0.06)
               
               
Basic and diluted weighted average number of common shares outstanding 133,013,220   59,262,418   132,085,199   54,685,751

Sunward Resources results for the three months ended September 30, 2011, are contained in the unaudited Condensed Interim Consolidated Financial Statements and Management Discussion and Analysis, available on the SEDAR website at www.sedar.com and Sunward Resources' website at www.sunwardresources.com.

About The Company

Sunward Resources is a well-capitalized, Canadian-based company focused on the exploration of gold/copper porphyry projects in Colombia. The Company has strong operational expertise in Colombia and is currently drilling its Titiribi Project southwest of Medellin.

Sunward Resources shares are listed on the TSX Venture Exchange under the symbol SWD.

This news release contains "forward-looking information", which may include, but is not limited to, statements with respect to the future financial or operating performance of Sunward Resources Ltd. and its projects. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Sunward Resources Ltd. to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release and Sunward Resources Ltd. disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

 

 

SOURCE Sunward Resources Ltd.

For further information:

SUNWARD RESOURCES LTD.

Corporate Contact:
Brenda Dayton
604.568.7617
brenda@sunwardresources.com

Profil de l'entreprise

Sunward Resources Ltd.

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