Alba Mineral Resources Reports Half-Year Loss Amid Strategic Gold and Rare Earths Progress

Alba’s half-year to 31 May 2025: operational momentum, tight cash, and a strategic pivot to critical metals

Alba Mineral Resources has posted its interim numbers and a busy operational update. The headline is a loss after tax of £761,000 for the six months to 31 May 2025 (May 2024: £639,000). But under the bonnet there’s clear progress at Clogau, a new majority stake in the Motzfeldt critical-metals project, and early steps toward drilling in Sweden.

As ever with explorers, the balance between technical progress and funding runway is the crux. Let’s unpack what matters for investors.

Clogau gold: blasting completed, grades improving, and premium Welsh gold confirmed

Phase 1 of underground blasting at Clogau wrapped up in March, removing 123 tonnes of ore. Processing of about 11.6 tonnes produced 108.6 kg of concentrate, yielding 11.58 grams of refined gold.

Recovery trials on a modified gravity plant delivered an average concentrate grade of 450.6 g/t and an implied head grade of 9.2 g/t. In plain English: the trial plant is capturing gold more efficiently from the Waste Tip. “Head grade” is the estimated gold content of the raw ore; “concentrate grade” is the gold content after processing.

Alba also leaned into the unique value of Welsh gold. Three limited‑edition 1 oz, 24‑carat “Tyn‑y‑Cornel” coins were produced. One sold at auction for £20,000 and two sold privately for £21,000 each – around an 8.5x premium to the then spot price. That premium validates the brand value of Welsh gold, even if the absolute proceeds are modest at group level.

Exploration rights at Clogau were renewed with a new multi-year option agreement with The Crown Estate, which de-risks tenure.

Post period, a preparatory blast was completed in late July at the Llechfraith target. A subsequent visit from the HM Inspectorate of Mines flagged remedial safety and compliance works that must be finished before blasting resumes. That is a clear near-term schedule risk. Meanwhile, ore processing continued, with roughly 4 kg of concentrate at or en route to the refiner as of late June. The Company also plans a limited series of 18‑carat pendants using Clogau gold, with a registered maker’s mark “GMW” and a priority purchase window for shareholders.

Motzfeldt acquisition and £550,000 placing: building exposure to critical metals

On 14 July 2025, Alba announced the conditional acquisition of a 51% controlling interest in the Motzfeldt Project, described as enriched in niobium, tantalum, zirconium and rare earth elements (REEs). Location was not disclosed in the RNS. Consideration is £30,000 in cash and £945,000 in shares to be issued at 0.02414 pence – roughly a 10% premium to Alba’s 11 July closing price of 0.022 pence. Paying a premium in shares signals confidence in the asset and avoids deeper discount financing.

To support Motzfeldt, further work at Clogau and preparatory drilling at Finnsbo (Sweden), Alba completed a £550,000 placing after the period end. During the period, the company also raised £75,000 and issued shares related to the Finnsbo option exercise.

Why it matters: Motzfeldt broadens Alba beyond precious metals into critical minerals tied to electrification. The stated plan is to start with mineralogical and metallurgical test work, a Scoping Study, and to explore low‑cost funding options. It’s early stage but strategically aligned.

Financial snapshot: loss narrows on operations, but cash is tight

Operating losses improved to £254,000 (May 2024: £489,000). The bottom line widened mainly due to the accounting impact of GreenRoc: a £372,000 loss on dilution of investment and a £135,000 share of associate losses. Net assets fell to £6.85 million, down £0.68 million from year end, reflecting higher liabilities and the lower value of the GreenRoc position. Cash at period end was £21,000.

Key metric	H1 FY25	H1 FY24	FY24
Operating loss	£254,000	£489,000	£3,062,000
Loss after tax	£761,000	£639,000	£3,523,000
EPS (basic and diluted)	0.007 pence loss	0.009 pence loss	0.041 pence loss
Net assets	£6.85 million	£9.62 million	£7.53 million
Cash and cash equivalents	£21,000	£97,000	£126,000
Current liabilities	£403,000	£245,000	£230,000

Note: proceeds from the sale of the three limited-edition coins were applied to offset project spend at Clogau and are not shown in the income statement.

Going concern: what the board actually said

The company states plainly that current cash resources are insufficient to cover the next 12 months of planned outgoings and exploration without external funding. That is a material uncertainty. Management points to a strong track record of fundraising, the ability to defer discretionary spend, potential joint ventures or asset sales, and liquid assets that could be converted to cash. The £550,000 post-period placing helps, but ongoing access to equity markets remains key.

Portfolio notes: Sweden earn-ins and board changes

Alba exercised its option over the Finnsbo rare earths, copper and gold project in Sweden via part consideration in shares. Preparatory drilling at Finnsbo is planned. The company also holds Welsh gold projects at Clogau, Dolgellau Gold Exploration and Gwynfynydd (all 100%).

On people, Dr Curtis Rooks has joined as Principal Geologist. Mark Austin stepped down as COO and Senior Geologist to become a Non‑Executive Director for an initial six months, renewable by mutual consent.

Why this RNS matters for shareholders

• Proof of concept at Clogau: tangible ore mined, trial plant grades improved, and premium-priced products demonstrate unique Welsh gold economics.
• Diversification: Motzfeldt adds exposure to niobium, tantalum, zirconium and REEs, aligning Alba with the energy transition thematic.
• Funding reality check: low cash at period end and a formal going-concern warning underline the reliance on timely fundraises. The £550,000 placing is helpful but not the end of the story.
• Regulatory timing risk: remedial works required before underground blasting can resume at Llechfraith.

What to watch next

• Completion of remedial works and the restart of blasting at Llechfraith, along with refinery results from the reported ~4 kg of concentrate.
• Details and timeline for Motzfeldt’s test work and the Scoping Study, plus any permitting or tenure updates (location not disclosed in this RNS).
• Schedule and initial results for the maiden drilling campaign at Finnsbo.
• Further funding steps, including any joint ventures, asset sales or additional placings.

My take: balanced progress with clear execution risks

On the positive side, Alba is advancing on several fronts at once: ore out of the ground at Clogau, improved processing metrics, a refreshed option with The Crown Estate, and a strategic step into critical minerals at Motzfeldt. The Welsh gold coins selling at 8.5x spot reinforces the premium brand angle and offers a neat way to part‑fund Clogau activity.

On the cautionary side, cash was just £21,000 at period end and the business remains dependent on the equity markets. The HM Inspectorate‑mandated works pause blasting, which pushes timelines and can weigh on sentiment. GreenRoc’s dilution and losses also continue to drag on the P&L and net assets.

Net-net: this is a classic early‑stage explorer profile. If Alba can clear the safety works, resume blasting, and publish encouraging Motzfeldt and Finnsbo milestones, the operational narrative strengthens. Funding discipline and timely delivery are the swing factors.

Useful links

• Alba Investor Hub: https://albamineralresources.com/link/oPB4Je
• Company website: www.albamineralresources.com
• News alerts signup: https://alba-l.investorhub.com/auth/signup