Skye Resources Inc.

Skye Resources Inc.

August 11, 2005 19:27 ET

Skye Announces 2nd Quarter Results

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 11, 2005) - Skye Resources Inc. (TSX VENTURE:SKR) ("Skye") released its unaudited consolidated interim financial statements for the second quarter ending June 30, 2005, reporting a loss of $7,201,000 (basic and diluted loss per share of $0.31) compared to a loss of $718,000 (basic and diluted loss per share of $0.06) for the three months ended May 31, 2004. The loss for the period is principally related to exploration and development costs for Skye's Fenix nickel laterite project in Guatemala, development costs of our proprietary atmospheric leaching process to treat nickel laterite material, and to general and administrative costs and non-cash stock-based compensation expense.

As at June 30, 2005, Skye had working capital of $25,981,000 derived mainly from the proceeds of a private placement that raised aggregate proceeds of over $32 million before payment of commissions, fees and expenses that closed on March 24, 2005.

Skye's unaudited consolidated interim financial statements and Management's Discussion and Analysis (MD&A) for period ended June 30, 2005 will be filed on SEDAR and available for download at

On August 11, 2005 the Company granted a total of 20,000 incentive stock options to an employee pursuant to the Company's stock option plan. The options are exercisable for a period of five years at the exercise price of $3.20 each.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Skye Resources Inc.
    Ian G. Austin
    Chief Executive Officer
    (604) 602-9500
    (604) 602-9510 (FAX)