Agricola Resources plc
LSE : AGRI

September 27, 2010 07:00 ET

INTERIM RESULTS FOR THE SIX MONTHS TO 30 JUNE 2010

                                                                                                27/09/2010
                                                                                 GB0003046835/GBP/PLUS-exn

                                          AGRICOLA RESOURCES PLC

                            INTERIM RESULTS FOR THE SIX MONTHS TO 30 JUNE 2010
                                                     

Statement by the Board

The  Board  of  Agricola  Resources PLC ("Agricola" or "the Company") is pleased to  report  the  unaudited
interim  results  to 30 June 2010. The results show that Agricola made a loss of £61,034  in  the  first  6
months of 2010 as compared to a loss of £62,552 in the first 6 months of 2009. Agricola is focused on  gold
exploration in North Africa.

Since  our last Report to you in July 2010 we have come through the seasonally weak summer months for  gold
prices.  This  year prices have remained gratifyingly high reflecting the continued uncertainty  in  global
financial  markets.  Under these conditions gold demand is steadily building. Despite the  normal  ups  and
downs in the market we continue to remain bullish with regards to the prospects for the gold price.

It  is  also worth noting that during this period, Russia increased its gold reserves in May by the largest
one month increase ever, whilst Saudi Arabia is now admitting to owning twice as much in gold reserves than
previously acknowledged. Central banks were net buyers of gold in 2009 collectively they bought  more  gold
than was sold and this trend is seen as likely to continue.

In  mid-August 2010, it was announced that China has become the world's second largest economy as  well  as
being  the  world's largest exporter. This was a landmark announcement as China is heading fast to  be  the
world's largest economy with the largest foreign exchange reserves.

The  Board  of Agricola believe the Chinese are quietly buying gold from both local production and  in  the
open  market.  Furthermore  the  Chinese  government are  actively  encouraging  the  rapidly  growing  and
increasingly wealthy middle classes to invest in gold. Most observers say that gold ownership growth in the
Asian region is moving so fast it is difficult to put any accurate figures on it.

Agricola  is  focused on gold and in November 2009, Agricola signed a joint venture agreement on  two  gold
exploration licences in the Tan Tan Province, Guelmin-Es Semara region of Southern Morocco at Ain-Kerma and
Toufrite.  The Ain-Kerma project potentially hosts both low-grade, bulk-tonnage and high-grade, stratabound
gold deposits. It is 50 km from a main town but accessible by all-weather tracks.

Under  the  terms of a Joint Venture Agreement with the Minerals Exploration Branch of the  Moroccan  State
Bureau  for  Mines  and Hydrocarbons (ONHYM), Agricola is entitled to earn up to 100% of  the  projects  by
funding  all  exploration  costs. Agricola will have management control of the  exploration  phase.  If  an
exploitable deposit is located, Agricola will pay ONHYM a 2% net smelter return thereafter. ONHYM will have
the  option to retain a 30% interest in the exploitation and development company, its interest being deemed
to have been pre-funded by its previous exploration costs incurred on the licence areas.

The Ain-Kerma Project

The  Ain-Kerma project is located some 30km ENE of the South Morccan town of Tan Tan and around  50km  from
the  Atlantic  seaboard.  ONHYM  has  already spent approximately USD  one  million  over  three  years  in
exploration  costs. This work has identified many gold bearing quartz veins. Of these, the 400m  long  AK-1
vein  has identifiable gold values from 0.1 - 6.5 grams per ton of gold, with an exceptional value  of  147
grams  per ton of gold. The AK-4 structure extends for 800m with a 300m section values from 4.7 to 56 grams
per  ton  of  gold over 0.3 - 1.2 m. A further 50 parallel to sub-parallel NW-SE trending quartz structures
have been identified.

The Toufrite Project

At Toufrite, gold occurs in a NW-SE trending quartz vein developed within a granitic stock that intrudes  a
sequence of sandstones and volcanic breccias. The quartz vein extends for 230m and ranges in width  from  1
to 6 metres. Gold values vary from 0.2 to 14 grams per ton of gold with two exceptional values of 21 and 31
grams per ton.

Agricola is developing a work programme to commence exploratory field work at Ain Kerma and at Toufrite  to
identify  drill  targets  during  the course of 2010 whilst searching for further  opportunities  in  North
Africa.  The  formation of a local company in Morocco is planned together with local offices to  facilitate
exploration from the later part of 2010 through 2011.

Other Projects/Prospects

We  are  in  the  process of seeking out and evaluating further high value mineral deposits in  both  North
Africa and elsewhere which in turn will attract new inward investment into Agricola.

The Board of Agricola looks forward to reporting to shareholders again later this year on progress with our
exploration projects and new projects currently being sought and evaluated.

The  Directors are aware of Agricola's financial position and the Company is currently being  supported  by
interest  free  loans.  Plans  are being put in place for longer term funding  and  will  be  announced  to
shareholders at an appropriate time.









AGRICOLA RESOURCES PLC

UNAUDITED RESULTS FOR THE 6 MONTHS TO 30 JUNE 2010


PROFIT AND LOSS ACCOUNT
                                                      6 MONTHS TO                    6 MONTHS TO
                                                       30/06/2010                     30/06/2009
                                                            £                               £
TURNOVER                                                     -                               -
Administrative expenses                                (60,801)                        (62,594)
                                                       _________                       _________
OPERATING LOSS                                         (60,801)                        (62,594)
Interest receivable and similar income                      -                               42
Interest payable and similar charges                      (233)                              -
                                                       _________                       _________
LOSS ON ORDINARY ACTIVITES BEFORE TAXATION             (61,034)                        (62,552)
Tax on loss of ordinary activities                           -                               -
                                                       _________                       _________
LOSS FOR THE PERIOD AFTER TAXATION                     (61,034)                        (62,552)
                                                       _________                       _________
                                                                                                         
Basic loss per share                                   (0.0381p)                       (0.0400p)
Diluted loss per share                                 (0.0381p)                       (0.0384p)
                                                                                                         
                                                                        



BALANCE SHEET
                                                  At 30/06/2010                    AT 30/06/2009
                                                          £                               £
FIXED ASSETS                                                                           
Intangible assets                                       21,051                          211,250
Tangible assets                                             94                                -
Investments                                                100                                -
                                                       _________                       _________
                                                        21,245                          211,250
                                                       _________                       _________
CURRENT ASSETS                                                                         
Debtors                                                  7,627                           20,073
Investments                                                447                              447
Cash at bank                                             5,605                           21,466
                                                       _________                       _________
                                                        13,679                          41,986
CREDITORS                                                                              
Amounts falling due within one year                     76,839                          93,994
                                                       _________                       _________
NET CURRENT LIABILITIES                                (63,160)                        (52,008)
                                                       _________                       _________
TOTAL ASSETS LESS CURRENT                                                              
LIABILITIES                                            (41,915)                        159,242
                                                                                       
CREDITORS                                                                              
Amounts falling due after more than one                                                
year                                                   (20,000)                              -
                                                       _________                       _________
NET (LIABILITIES)/ASSETS                               (61,915)                        159,242
                                                       _________                       _________
                                                                                       
CAPITAL AND RESERVES                                                                   
Called up share capital                              1,604,555                       1,564,555
Share premium                                          200,252                         200,252
Profit and loss account                             (1,866,722)                     (1,605,565)
                                                       _________                       _________
SHAREHOLDERS' FUNDS                                    (61,915)                        159,242
                                                       _________                       _________
                                                                                       
                                                                                       
Notes

1.  The  financial  information for the period ended 30 June 2010 has not been audited  and  does  not
    constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006.

2.  Basic loss per share has been calculated using the weighted average number of shares of 160,129,533
    (2009 - 156,455,500).   Diluted loss per share has been calculated using the weighted average number 
    of shares of 160,129,533 (2009 - 162,916,826).
        
The information contained in this announcement has not been reviewed by the Company's auditor.

The Directors of Agricola Resources Plc are responsible for the contents of this announcement.
For further information contact:-

Company:
Agricola Resources plc
Mr James Negaard                          Tel: 020 8780 0933

Corporate Adviser
St Helens Capital Partners LLP
Duncan Vasey or Mark Anwyl                Tel: 020 7368 6959

Contact Information

  • Agricola Resources plc