Shefa Yamim (ATM) Ltd (LON:SEFA) is targeting further exploration at its Kishon Mid-Reach project in Northern Israel after making “excellent progress” in its first full year as a listed firm.
In its results for the year ended 31 December 2018, the gem miners’ chief executive Avi Taub said following an exploration campaign at Zone 1 of the Kishon Mid-Reach, the firm had planned another campaign for Zone 2 in the second and third quarters of 2019.
Shefa would also seek to have its suite of precious stones, which include sapphires and rubies alongside its unique discovery the Carmel Sapphire, evaluated by a gemmologist.
Taub said exploration results from the first campaign at Kishon in 2018 had seen a “significant increase” in estimated mineralised tonnage at the project to 5mln tonnes (Mt) from 1.1Mt previously, tripling the potential quantity of precious stones.
Kishon Mid-Reach is located in the “Kishon Gap”, a river valley that serves as a natural trap for gemstones.
Post-period end, the company had completed a Technical Economic Evaluation (TEE) report for Zone 1 of Kishon, which had placed the first mine at the site at the “lower end” of the cost curve.
Shefa’s gems had also been used in the launch of a new jewellery collection designed by Israeli designer Yossi Harari, whose customers have included Oprah Winfrey and Rihanna.
“Following our first full year as a listed company, Shefa Yamim is more advanced and in a stronger position to pursue its twin-track strategy of advancing exploration in the Kishon Mid-Reach towards trial mining, whilst continuing to pursue our "Mine to Market" strategy", Taub said.
In its figures for the year, the company reported a profit of around 6mln Israeli new shekels (NIS) (£1.25mln), swinging from a loss in 2018 of 16.2mln NIS (£3.4mln), which the company attributed to income from an adjustment in the value of a financial liability. It did not generate any revenues in the year.
The company ended the year with a cash balance of 209,000 NIS (£43,681).
In mid-morning trading Thursday, Shefa's shares were down 8.7% at 52.5p.
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