Andover Ventures Inc.
TSX VENTURE : AOX
FRANKFURT : R2X

Andover Ventures Inc.

August 30, 2007 19:46 ET

Andover Announces Results for the Year Ended March 31, 2007

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 30, 2007) - ANDOVER VENTURES INC. (the "Company") (TSX VENTURE:AOX)(FRANKFURT:R2X) today announced results for the period ended June 30, 2007. Andover had a successful quarter with assets increasing to over $19 million as the Company continued work on its portfolio of mineral properties.

During the period ended June 30, 2007 Andover completed the purchase of the Sun Property in Alaska and continued exploration work on its Alaskan properties; the Sun Property, the Kamishak Property, the Bulk Gold Property and the Bristol Bay Properties.

See attached balance sheet, income statement and statement of cash flows for more information. Full financial statements are available on SEDAR at http://www.sedar.com and on Andover's website at www.andoverventures.com.

Wayne Moorhouse, CFO



ANDOVER VENTURES INC.
Consolidated Balance Sheets
(In Canadian Dollars)
As at June 30, 2007

------------------------------------------------------------------------
------------------------------------------------------------------------
June 30, March 31,
2007 2007
------------------------------------------------------------------------
ASSETS

Current Assets
Cash and cash equivalents $ 2,148,634 $ 83,422
Deferred share issuance costs - 19,128
GST recoverable 41,714 27,300
Deposits 55,900 55,900
Prepaid exenses 4,000 -
Advance on exploration work program 684,311 174,147
------------ -------------
2,934,559 359,897

Long-term deposit 1,007,000 7,000

Fixed Assets 62,994 -
Mineral Properties 15,185,842 14,322,043
------------ -------------
15,248,836 14,322,043
------------ -------------

$ 19,190,395 $ 14,688,940
------------------------------------------------------------------------
------------------------------------------------------------------------

LIABILITIES

Current Liabilities
Accounts payable and accrued liabilities $ 262,116 $ 2,000,610
Due to related party - 14,284
------------ -------------
262,116 2,014,894

SHAREHOLDERS' EQUITY

Liability to issue shares - 8,337,498
Capital Stock
Authorized: 200,000,000 common shares
without par value;
50,000 Class A preferred shares without par
value; and
50,000 Class B preferred shares without par
value
Issued and fully paid: 17,300,000 common
shares 11,935,668 3,270,210
Contributed surplus 9,623,297 2,947,914
Deficit, accumulated during the development
stage (2,630,686) ( 1,881,576)
------------ -------------
18,928,279 4,336,548
------------ -------------

$ 19,190,395 $ 14,688,940
------------------------------------------------------------------------
------------------------------------------------------------------------



ANDOVER VENTURES INC.
Consolidated Statement of Loss and Deficit
(In Canadian Dollars)
Three Months Ended June 30, 2007

------------------------------------------------------------------------
------------------------------------------------------------------------
June 30, June 30,
2007 2006
------------------------------------------------------------------------

GENERAL AND ADMINISTRATIVE EXPENSES
Accounting and legal 24,773 -
Consulting fees 103,673 24,300
Depreciation and amortization 2,447 -
Foreign exchange 6,957 -
Interest and bank charges 555 363
Management fees 33,000 -
Office expense 28,474 4,634
Professional fees 9,000 10,200
Stock-based compensation 417,944 94,009
Telephone and utilities 2,714 570
Transfer agent and filing fees 12,149 4,036
Travel and promotion 115,064 22,346
------------ -----------
(757,020) (160,458)
------------ -----------

LOSS BEFORE OTHER ITEMS

OTHER ITEMS
Interest income 7,910 -
------------ -----------
7,910 -
------------ -----------
NET INCOME FOR THE PERIOD (749,110) (160,458)

DEFICIT, BEGINNING OF YEAR (1,881,576) (586,164)
------------ -----------

DEFICIT, END OF YEAR (2,630,686) $ (746,622)
------------------------------------------------------------------------
------------------------------------------------------------------------

BASIC LOSS PER SHARE $ (0.02) $ (0.02)
------------------------------------------------------------------------
------------------------------------------------------------------------
DILUTED LOSS PER SHARE $ (0.02) $ (0.02)
------------------------------------------------------------------------
------------------------------------------------------------------------

WEIGHTED AVERAGE NUMBER OF COMMON
SHARES OUTSTANDING
Basic 36,547,168 7,198,858
------------------------------------------------------------------------
------------------------------------------------------------------------
Diluted 42,299,857 7,198,858
------------------------------------------------------------------------
------------------------------------------------------------------------



ANDOVER VENTURES INC.
Consolidated Statement of Cash Flows
(In Canadian Dollars)
Three Months Ended June 30, 2007

------------------------------------------------------------------------
------------------------------------------------------------------------
June 30, June 30,
2007 2006
------------------------------------------------------------------------

CASH PROVIDED BY (USED FOR):

OPERATING ACTIVITIES
Income for the period $ (749,110) $ (160,458)
Items not affecting cash:
Depreciation and amortization 2,447 -
Stock-based compensation 417,944 95,898

Changes in non-cash working capital items:
(Increase) decrease in accounts receivable (14,414) (1,124)
(Increase) decrease in deposits and deferred
share issuance costs (4,000) -
(Increase) decrease in long term deposit (1,000,000) (13,104)
Increase (decrease) in accounts payable and
accrued liabilities (1,738,494) (49,818)
------------ ----------
Cash used for operating activities (3,085,626) (128,606)
------------ ----------

FINANCING ACTIVITIES
Shares issued for cash, net of issue costs 6,582,951 -
Shares subscribed but not issued - 177,500
Due to related party (14,284) -
Deferred share issuance costs 19,128 -
------------ ----------
Cash provided by financing activities 6,587,795 177,500
------------ ----------

INVESTING ACTIVITIES
Purchase of fixed assets (62,994) -
Mineral property expenditures (863,799) -
Advance on exploration work program (510,164) 1,075
------------ ----------
Cash provided by (used for) investing
activities (1,436,957) 1,075
------------ ----------

INCREASE (DECREASE) IN CASH AND CASH
EQUIVALENTS 2,065,212 49,969

CASH AND CASH EQUIVALENTS, BEGINNING OF THE
YEAR 83,422 258,912
------------ ----------
CASH AND CASH EQUIVALENTS, END OF YEAR $ 2,148,634 $ 308,881
------------------------------------------------------------------------
------------------------------------------------------------------------


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Contact Information

  • Andover Ventures Inc.
    Richard Martens
    Investor Relations
    (604) 682-2168 or Int'l Toll Free: 1-800-266-4484
    (604) 682-2169 (FAX)
    Website: www.andoverventures.com