HPL in strong, sound financial status: Gooding

DESPITE posting a half-year net operating loss of US$4.2 million, Highlands Pacific Ltd (HPL) maintained a strong and sound financial position with no debt and US$20.7 million of cash in the bank as of June 30 this year.
Managing director John Gooding, in the company’s interim financial report released last week, said the loss reflected an investment in exploration and development of US$1.9 million and a foreign exchange loss of US$0.4 million.
“Highlands is in a strong and sound financial position with no debt and US$20.7 million of cash in the bank as at 30 June,” Gooding said.
“The cash position was further strengthened last month by US$2.5 million as a result of an exercise of share options which had the added benefit of bringing on an ‘A Grade’ institutional investor.
“The company is fortunate to have the significant exploration and feasibility work on the Frieda copper project free carried by Xstrata Copper, which will spend US$77.5 million in calendar 2010 on this world?class project,” Gooding added.
He said during the half-year, the group’s principal activities were exploring for minerals and carrying out feasibility studies on prospective mineral deposits, either in their own right or in joint ventures.