CALGARY, Dec. 7 /CNW/ - Monroe Minerals Inc. (TSX Venture: MMX) today
reported its 2007 third quarter financial results and operational highlights.
The Company is still in the exploration and development stage of its
operations and recorded a net loss for the quarter of $309,195, compared to a
loss in the comparable period of 2006 of $137,516. The increase in the net
loss is due to a decrease in the proportion of expenses capitalized in 2007
(12%), as compared to the comparative period in 2006 (72%). During the nine
months ended September 30, 2007, the proportion of expenses capitalized
amounted to 18% as compared to 62% in 2006.
General and administration expenses prior to capitalization decreased to
$296,696 from $338,835. Within this, salaries and benefits decreased by
$17,056, general office and miscellaneous costs by $38,160, travel and
marketing by $18,466, and audit and legal expenses by $3,455, while finance
and administration increased by $6,250 and investor relations and stock
options increased by $28,748. The decrease in general office and miscellaneous
costs reflects lower net costs in Angola, and the increase in investor
relations and stock options reflects higher stock-based compensation expense.
Cash flows used by operating activities in the third quarter of 2007
amounted to $214,604, against cash flows used by operating activities in the
third quarter of 2006 of $49,561. Expenditures on mineral interests amounted
to $183,188, principally on the Alexis River uranium property in Labrador.
Cash at the end of the period amounted to $183,245. Mineral interests amounted
The Company entered into an option agreement with Altius Resources Inc.
allowing it to earn up to a 60%-interest in the Alexis River uranium property,
located in southeastern Labrador, Canada. A helicopter borne radiometric and
magnetometer survey completed in late July revealed several radiometric
anomalies within the Alexis River property. These included a strongly
positive, broad (~ 0.8 km by 1.0 km) radiometric anomaly that exists
immediately to the east of Anomaly Lake, plus several other smaller
unexplained radiometric anomalies. In addition, magnetics data indicated the
Alexis River property is underlain by a diverse assemblage of lithologies. As
well, there exist numerous faults with various orientations, including a
possible north-northwesterly trending fault beneath Anomaly Lake. During
August and September, a follow-up prospecting program that evaluated the
radiometric anomalies and additional lake sediment sampling of Anomaly Lake
was completed. The results will be announced when the analysis of the data is
Work continued on the assembly of a portfolio of uranium properties.
Several properties in Canada and Africa are undergoing technical review and
announcements will be made as this process is completed and terms agreed.
In the diamond division, the program at the Cangandala Project in Angola,
planned for completion by Q2 2007, was delayed by the resignation of the
geological project manager. The program re-commenced in November 2007. Its
results will help determine whether to continue exploration activities there.
Based on recent meetings with the South Africa Department of Minerals and
Energy, the result of the application for mining rights for the London Mine is
expected within the next two months.
Additional information relating to Monroe, including Monroe's quarterly
reports, management's discussion and analysis and unaudited financial
statements for the quarter ended September 30, 2007, is available on SEDAR at
About Monroe Minerals Inc.
Monroe is engaged in the exploration and development of gem quality
diamond properties in Southern Africa and the assembly of an international
portfolio of uranium projects. Its strategy is well defined: enhancing
shareholder value by combining Monroe's recognized twin strengths of technical
expertise and professional management to advance mining projects to profitable
long term production. Monroe's shares trade on the TSX Venture Exchange under
the symbol MMX. For more information please visit www.monroeminerals.com.
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Forward-looking statements: Except for statements of historical fact, all
statements in this news release, without limitation, regarding new projects,
acquisitions, future plans and objectives are forward-looking statements which
involve risks and uncertainties. There can be no assurance that such
statements will prove to be accurate; actual results and future events could
differ materially from those anticipated in such statements.
For further information:
For further information: Derek J Moran, President, Monroe Minerals Inc.,
+ 27 82 440 3426; Robin Cook, Account Manager, CHF Investor Relations, (416)
868-1079 x 228, firstname.lastname@example.org