Halo Minerals PLC

28 August 2026

HALO MINERALS PLC

("Halo Minerals", the "Company" and, together with its subsidiaries, the "Group")

Interim Results and Operational Update

For the six months ended 30 June 2026

Halo Minerals PLC (AIM: HALO), the copper development company focused on extracting critical minerals from legacy mining waste, is pleased to announce its Interim Results for the six months ended 30 June 2026.

Highlights

·     Successful AIM admission completed during the period raising gross proceeds of £4 million.

·   Continued advancement of the Company's flagship Playa Verde copper and gold tailings reprocessing project in Chile, underpinned by a JORC (2012) Mineral Resource Estimate of 53Mt at 0.24% Cu containing approximately 126,000 tonnes of copper which includes Ore Reserves of 32.2 Mt at 0.25% Cu.

·     Ongoing optimisation work on the Definitive Feasibility Study (DFS) through the engagement of specialist consultants BIOS Mining & Infrastructure.

·      Progress made on environmental and permitting workstreams.

·   Continued assessment of offshore resource growth opportunities within the Playa Verde licence area, including the bay and surf zone beyond the high-water mark, which Halo Minerals estimates could have approximately 100 million tonnes of copper-bearing tailings of the same origin as the beach resources. This would require further license applications.

·     Strong cash position following IPO and disciplined cost management, with the Company now debt free and having a clean balance sheet.

·     Evaluation of additional tailings reprocessing opportunities consistent with the Company's growth strategy as Halo Minerals looks to build a portfolio of similar surface, metal-rich legacy mine waste assets and diversify beyond a single-asset.

Outlook

The Board expects the second half of 2026 to focus on:

·      Completion of optimisation and engineering studies.

·      Advancement of environmental and permitting workstreams.

·      Progression towards securing construction financing.

·      Continued evaluation of the organic offshore resource opportunity.

·      Identification of additional strategic growth opportunities.

Andrew Dennan, Chief Executive Officer of Halo Minerals, commented:

"This has been a transformative period for the Company. We have completed our Admission to AIM, strengthened our balance sheet and significantly progressed our flagship Playa Verde project closer towards development and production.

"We have a number of strategic priorities for the remainder of the year including completing the remaining DFS optimisation and BFS-level workstreams and, following this, bringing the funding process to a final conclusion.

"Playa Verde is a low-risk project with very robust economics. We look forward to continuing to progress this project towards production whilst also building a portfolio of similar assets."

Enquiries:

Halo Minerals PLC	Via Tavistock below
Andrew Dennan, Chief Executive Officer Frank Jackson, Chief Financial Officer
Information@HaloMinerals.co.uk
www.halominerals.co.uk
Cairn Financial Advisers LLP (NOMAD)	+44 20 7213 0880
Ludovico Lazzaretti Liam Murray James Western
Global Investment Strategy (Broker)	+44 20 7048 9045
Christopher Kipling
Tavistock (Public Relations)	+44 20 7920 3150
Nick Elwes Gareth Tredway Jack Seward

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the Company's ability to execute and implement future plans, and the occurrence of unexpected events.   Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.

Chief Executive Officer's Statement

Dear Shareholders,

I am pleased to present Halo Minerals Plc's interim report for the first six months of 2026, a period in which the Company has made significant progress in establishing itself as a publicly listed copper and gold development company and in advancing its flagship Playa Verde project in Chile ("Playa Verde" or the "Project").

Admission to AIM and strengthened financial position

The defining achievement for the Company during the period under review was Halo Minerals' admission to trading on AIM, together with the successful completion of a £4 million IPO fundraise. This represented a transformational milestone for the Company. This has provided the Company with a stronger financial platform, enhanced market visibility and materially raised the profile of both Halo Minerals and the Project within the international mining, investment and project finance communities.

Admission to AIM is not simply a corporate event. For a development-stage mining company, public market status brings credibility, transparency and visibility. This also enables Halo Minerals to engage more effectively with institutional investors, specialist mining funds, strategic counterparties, lenders, offtake groups, royalty and streaming providers, equipment vendors and potential project finance partners. It also provides an important platform from which to communicate the quality and potential of Playa Verde as the Company advances the Project towards Final Investment Decision (FID).

The Board considers this achievement especially important given the broader market backdrop for junior resource companies. Successfully completing the IPO and raising £4 million demonstrates investor confidence in the Company's strategy, management team and flagship asset. It also gives the Company the financial runway to progress its technical, permitting and financing workstreams without the near-term funding pressure that often constrains companies at a similar stage of development. Following the IPO fundraise, the Company is debt free, has a clean balance sheet and is well funded through to H2 2027.

Playa Verde project progress

Playa Verde remains the cornerstone of the Company's strategy. The Project is a technically advanced copper and gold tailings reprocessing opportunity with a near-term development pathway. In February, the Company announced the results of an independent competent persons report which illustrated the Project to have an NPV10 of approximately US$154 million and an IRR of approximately 51%, based on Ore Reserves only and using copper and gold price assumptions of US$5.30/lb copper and US$4,300/oz gold - set against the backdrop of current commodity markets with copper at US$~6.60/lb and gold prices of US$ ~4,600/oz (as at the time of publication of these results). In addition to the Ore Reserves case the Project also has a further ~21Mt of JORC compliant resource which represents highly synergistic material to also process and potentially meaningful economic upside.

The Company also benefits from, what the Board believes, is an attractive and unburdened project structure. Playa Verde is royalty free, with a clean project-level capital structure. This is an important advantage as the Company seeks to secure appropriate development capital, because it allows potential financiers and strategic partners to assess the Project without the complexity of legacy royalties or encumbrances eroding project returns.

Environmental, permitting and technical milestones

During the period, the Company has continued to make meaningful progress across the key workstreams required to move Playa Verde towards development readiness. A major focus has been environmental compliance and permitting. The Company has assembled a best-in-class specialist environmental team and has advanced bio-accessibility and human health risk assessment studies. These workstreams are designed to support ongoing compliance with the Project's approved Environmental Impact Assessment and help safeguard the long-term security of the Project's operating licence.

Technical optimisation has also progressed well. The DFS optimisation programme is now nearing completion. The Company engaged with BIOS Mining & Infrastructure to undertake a comprehensive process, infrastructure and economic optimisation study for Playa Verde. The work included evaluation of arsenic abatement process alternatives, development of associated infrastructure requirements, updated CAPEX and OPEX estimates, and preparation of a revised project feasibility assessment. The objective of the engagement was to enhance environmental compliance, optimise project economics and strengthen financing readiness ahead of FID.

In parallel, the Company continues to advance Bankable Feasibility Study (BFS)-level workstreams, which remain on track for Q3 2026. These include the updating of capital and operating cost estimates to BFS standard, incorporating equipment optimisation opportunities identified through the DFS optimisation process and evaluating equipment manufacturers as part of the procurement strategy.

Permitting momentum has also continued. The Company is advancing key ancillary permits, including the Beach Mining Permit. Subject to approval, these permits are expected to position the Project to remain on track to commence site works as early as the end of 2026.

The Board is also encouraged by the organic growth potential emerging from the Project area. The Company has commenced the Maritime Concession application process in respect of the offshore extension within the existing mining licence area. This area is identified as containing potentially significant resource upside, with the 2026 CPR referencing potential 200% resource upside.

Power planning has also advanced during the period. Consultants have been engaged to optimise the Project's power requirement and secure connectivity. The Company currently expects that the Project's power solution will comprise a blend of grid power and power from gas fired generators with future scope to include solar power, with a focus on speed to market whilst also supporting both cost efficiency and operational resilience.

Post-period, on 30 July 2026, the Company announced that the First Environmental Tribunal of Chile rejected in its entirety the judicial challenge brought against the Chilean Committee of Ministers' environmental approval of Playa Verde, upholding the Project's favourable environmental qualification and confirming that the Project will improve the baseline environmental condition of the area. This is an important further de-risking milestone for the Project as we move towards FID. 

Financial Review for the six months to June 2026

For the period under review, the Group reported a total loss before tax of £2.9 million, comprising £2.4 million in admin costs, £0.4 million in finance costs and £0.1 million in foreign exchange losses. However, these amounts contain large accounting charges associated with non-cash items, such as share based payment expenses associated with the issuance of share options to staff and warrants to suppliers making up £0.5 million of admin expenses in total. Further, the Executive Directors agreed to take a substantial amount of their fees payable on admission in the form of shares, further reducing the cash cost to the Company, alongside the negotiation of a number of suppliers taking IPO success fees in shares on admission. The combined effect of these share settlements is a further £0.5m in non-cash admin costs. 

When factoring in these various non-cash factors, admin costs can be "reconciled" to approx. £1.4 million on a cash cost basis, including approx. £0.5 million associated directly with the IPO and readmission, and therefore non-recurring. It can be further noted that finance costs in the period are entirely non-cash, relating to investor warrants charges, and foreign exchange losses are entirely unrealised, relating to exchange differences on the USD denominated deferred consideration payable to the previous owners of the Project out of production revenues post development.

Financing strategy

Alongside technical and permitting progress, the Company has continued to advance its financing strategy. The Company's approach is to pursue a layered funding model, with a clear focus on maximising non-dilutive industry capital where possible. A number of parties are already engaged in the Company's virtual data room, and face-to-face meetings are taking place in response to continued ongoing interest.

The Company is evaluating a range of potential funding sources, including prepayment and offtake finance, vendor finance for plant and equipment, copper royalty and gold streaming structures, project development debt and, if required, a residual equity component. The aim is to construct a financing package capable of supporting FID while maximising retained exposure and minimising dilution for existing shareholders.

Offtake and prepayment finance may provide an important route to securing upfront funding while underpinning future revenue. Vendor finance may allow the Company to acquire critical processing plant and equipment without a large upfront capital outlay, with repayment structures aligned to operational cash generation. Royalty and streaming finance may provide non-dilutive upfront capital, while project development debt may offer a lower-cost source of core construction funding secured against future project cash flows.

The Board's objective is to use the technically de-risked foundations of Playa Verde, the strength of the Project economics, the royalty-free capital structure and the Company's enhanced AIM-quoted profile to bring this funding process to a final conclusion following publication of the optimised DFS and BFS workstreams in the H2 2026.

Board and Governance

The Board continues to strengthen the Company's governance framework as it transitions from project development towards project financing and construction readiness. The Board believes Halo Minerals remains well positioned to advance Playa Verde towards FID and ultimately establish itself as a leading developer of environmentally focused mine waste reprocessing projects.

During the period under review, the Company also appointed Mr Daniel Bloor and Mr David Minchin as independent non-executive directors. Both Mr Bloor and Mr Minchin are qualified geologists with a deep understanding of industrial projects and metals processing operations, and will provide valuable insight as the Company executes its business strategy.

Future outlook and strategic priorities

Looking ahead, the Company's immediate priority is to complete the remaining DFS optimisation and BFS-level workstreams. These studies are essential to establishing the updated technical, cost and execution basis for the Project and will form a key foundation for concluding financing discussions with potential off-takers, lenders, strategic investors, equipment vendors and industry capital providers.

The second priority is to maintain permitting momentum. The Board remains focused on securing the ancillary approvals required to position Playa Verde for site works, including the Beach Mining Permit, and continuing to advance the Maritime Concession application. These workstreams are important not only to the near-term development pathway, but also to the long-term growth potential of the Project.

The third priority is to progress the structured financing process. The Company's objective is to secure a balanced capital stack that reduces equity dilution where possible, aligns funding with project cash flows and preserves shareholder exposure to Playa Verde's upside. The Company's layered funding approach is expected to consider prepayment and offtake finance, vendor finance, royalty and streaming capital, project development debt and a residual equity component if required.

The fourth priority is to preserve financial discipline. The Company has adopted a capital-light operating model and intends to maintain tight control of corporate overheads ahead of FID. The Company remains disciplined to maintain G&A below £1.2 million per annum pre-FID. This disciplined approach is designed to ensure that capital is directed towards activities that increase project value, reduce risk and enhance financing readiness.

The fifth priority is to use the AIM platform to build Halo Minerals' profile as a specialist copper and gold tailings development company. The Board believes that admission to AIM provides the Company with a stronger platform to engage with international investors, project finance providers and strategic industry participants. It also increases the visibility of Playa Verde at a time when global demand for copper remains structurally supported by electrification, grid investment and the energy transition.

The Board also intends to continue evaluating opportunities for organic and strategic growth. The Company's core skills are directly relevant to low risk surface deposits, tailings reprocessing and capital-efficient resource development. The Company will seek to leverage this expertise to expand its resource inventory, pursue attractive project-level opportunities and build a portfolio of projects capable of generating long-term shareholder value.

Conclusion

The Company has made substantial progress during and immediately following the period, including achieving admission to AIM, raising £4 million, strengthening its balance sheet, advancing key technical and permitting workstreams, commencing a potentially valuable Maritime Concession application, progressing power planning and is advancing discussions with potential financing partners.

The Board believes the Company is now strongly positioned for the next stage of its development. The Company has a debt-free balance sheet, a funded pathway into H2 2027, a flagship copper and gold project with robust economics and considerable upside potential, and a public market platform that enhances credibility and visibility. Halo Minerals is increasingly well placed to move Playa Verde towards FID and future production.

On behalf of the Board, I would like to thank our shareholders for their continued support, our advisers and technical consultants for their contribution, and our partners and stakeholders in Chile for their ongoing engagement. We look forward to reporting further progress as Halo continues to advance Playa Verde and build its position as a focused, technically disciplined and well-funded copper development company.

Andy Dennan

CEO

Statements of Financial Position

The unaudited consolidated Statement of Financial Position of the Group as at 30 June 2026, together with the consolidated Statement of Financial Position as at 31 December 2025, are set out below:

£ '000	Note	As at 30 June 26 (unaudited)	As at 31 December 25 (audited)
Non-current assets
Property, plant & equipment		2	-
Mining properties		103	95
Exploration & evaluation assets	8	3,916	3,691
Total non-current assets		4,021	3,786
Current assets
Cash and cash equivalents		2,549	356
Trade and other receivables		79	130
Total current assets		2,628	486
Total assets		6,649	4,272
Current liabilities
Trade and other payables	9	778	817
Total current liabilities		778	817
Non-current liabilities
Deferred consideration payable	10	3,484	3,751
Total non-current		3,484	3,751
Total liabilities		4,262	4,568
Shareholders' equity
Ordinary share capital	12	300	275
Share premium account	12	41,835	37,589
Deferred share reserve		3,016	3,016
Share based payment reserve		1,617	400
Foreign exchange reserve		(143)	(252)
Accumulated losses		(44,238)	(41,324)
Total equity		2,387	(296)
Total equity & liabilities		6,649	4,272

Statements of Comprehensive Income

The unaudited consolidated Statements of Comprehensive Income of the Group for the six-month interim period ended 30 June 2026, together with the six-month comparative interim period ended 30 June 2025, are set out below:

£ '000	Note	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Project costs		(33)	(3)
Administrative expenses	4	(2,354)	(235)
Operating (loss)/profit		(2,387)	(238)
Foreign exchange		(156)	310
Finance costs	6	(371)	(514)
(Loss) / profit before tax		(2,914)	(442)
Taxation	7	-	-
(Loss) / profit after tax		(2,914)	(442)
Foreign exchange on translation of overseas subsidiaries		109	(201)
Total comprehensive (loss) / income for the period		(2,805)	(643)
Earnings per share (£)	3	(0.03)	(0.02)

Statements of Changes in Equity

The unaudited consolidated Statements of Changes in Equity of the Group for the six-month interim period ended 30 June 2026, together with the six-month comparative interim period ended 30 June 2025, are set out below:

£'000	Ordinary Share Capital	Share Premium Account	Deferred shares Reserve	Share based payment reserve	Foreign exchange reserve	Accumulated Losses	Total Equity
Balance, 1 January 2025 (audited)	214	35,276	3,016	-	-	(39,674)	(1,168)
Loss for the period	-	-	-	-	-	(442)	(442)
Foreign exchange on translation of overseas subsidiaries	-	-	-	-	(201)	-	(201)
Comprehensive loss	-	-	-	-	(201)	(442)	(643)
Issue of Ordinary Shares	-	5	-	-	-	-	5
Transactions with owners	-	5	-	-	-	-	5
Balance, 30 June 2025 (unaudited)	214	35,281	3,016	-	(201)	(40,116)	(1,806)
Balance, 1 January 2026	275	37,589	3,016	400	(252)	(41,324)	(296)
Loss / profit for the period	-	-	-	-	-	(2,914)	(2,914)
Foreign exchange on translation of overseas subsidiaries	-	-	-	-	109	-	109
Comprehensive loss / income	-	-	-	-	109	(2,914)	(2,805)
Issue of Ordinary Shares	25	4,246	-	-	-	-	4,271
Issue of options	-	-	-	382	-	-	382
Issue of warrants	-	-	-	835	-	-	835
Transactions with owners	25	4,246	-	1,217	-	-	5,488
Balance, 30 June 2026 (unaudited)	300	41,835	3,016	1,617	(143)	(44,238)	2,387

As at 30 June 2026, the balance for deferred shares reserves comprises £3,016,000 (30 June 2025: £3,016,000), which arose following the share sub-division in November 2019.

Statements of Cash Flows

The unaudited consolidated Statements of Cash Flows of the Group for the six-month interim period ended 30 June 2026, together with the six-month comparative interim period ended 30 June 2025, are set out below:

£ '000	Note	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Cash flows from operating activities
Cash used in operations	11	(1,384)	(80)
Net cash used in operating activities		(1,384)	(80)
Cashflows from investing activities
Payments made for exploration & evaluation assets		(212)	(235)
Cash acquired on acquisition of subsidiaries		-	26
Payments made for property, plant & equipment		(2)	-
Payments made for mining property		(8)	-
Net cashflows used in investing activities		(222)	(209)
Cash flows from financing activities
Issue of Ordinary Shares		3,799	5
Proceeds from drawdown of loans		-	375
Net cashflows from financing activities		3,799	380
Net increase in cash and cash equivalents		2,193	91
Cash and cash equivalents at the start of the period		356	14
Cash and cash equivalents at the end of the period		2,549	105

Major non-cash transactions in the period of report include the allotment of 3,425,659 new ordinary shares to directors in settlement of certain accrued salaries and to various advisors in settlement of accrued fees (2025: nil). 

Notes to the Group Interim Financial Information

1.   General

Corporate Information

The Company is a company incorporated in England and Wales on 13 September 2007 and has registered address of 25 Eccleston Place, London, United Kingdom, SW1W 9NF and registration number 06370792. The Company is domiciled in the UK for tax purposes.

At the reporting date, the Company held a 100% interest in the following UK incorporated subsidiary companies;

·      Guardian Africa Limited - 13227659 - 25 Eccleston Place, London, United Kingdom, SW1W 9NF

·      Guardian West Africa Limited - 15960363 - 25 Eccleston Place, London, United Kingdom, SW1W 9NF

·      Guardian Mining Limited - 13236945 - 25 Eccleston Place, London, United Kingdom, SW1W 9NF

·      Copper Bay Limited - 07391255 - 25 Eccleston Place, London, United Kingdom, SW1W 9NF

Basis of Preparation

The Group Interim Financial Information has been prepared in accordance with UK adopted International Accounting Standards. They are presented in thousand Pounds Sterling (£'000), unless stated otherwise. The Group Interim Financial Information has been prepared on the historical cost basis, except for certain financial instruments, which are carried as described in the respective sections in the policies below.

The principal accounting policies adopted are set out below.

Basis of Consolidation

The Group Interim Financial Information incorporates the financial information of the Company and entities controlled by the Company, its subsidiaries, made up to 30 June each year.

Subsidiaries

Subsidiaries are entities over which the Group has the power to govern the financial and operating policies so as to obtain economic benefits from their activities. Subsidiaries are consolidated from the date on which control is obtained, the acquisition date, until the date that control ceases. They are deconsolidated from the date on which control ceases.

The acquisition method of accounting is used to account for the acquisition of subsidiaries by the Group. The cost of an acquisition is measured as the fair value of the assets given, equity instruments issued, contingent consideration and liabilities incurred or assumed at the date of exchange. Costs, directly attributable to the acquisition, are expensed as incurred. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are initially measured at fair value at the acquisition date.

Provisional fair values are adjusted against goodwill if additional information is obtained within one year of the acquisition date about facts or circumstances, existing at the acquisition date. Other changes in provisional fair values are recognised through profit or loss.

Intra-Group transactions, balances and unrealised gains and losses on transactions between Group companies are eliminated on consolidation, except to the extent that intra-group losses indicate an impairment.

Goodwill is capitalised as an intangible asset with any impairment in carrying value being charged to the Statement of Comprehensive Income. Any impairment, recognised for goodwill, is not reversed.

A change in the ownership interest of a subsidiary, without a loss of control, is accounted for as an equity transaction. If the Group loses control over a subsidiary, it:

·      derecognises the assets (including goodwill) and liabilities of the subsidiary;

·      derecognises the carrying amount of any non-controlling interest;

·      derecognises the cumulative translation differences recorded in equity;

·      recognises the fair value of the consideration received;

·      recognises the fair value of any investment retained;

·      recognises any surplus or deficit in profit or loss; and

·    reclassifies the Company's share of components previously recognised in other comprehensive income to profit or loss or retained earnings, as appropriate.

Non-Controlling Interests

Profit or loss and each component of other comprehensive income are allocated between the Company and non-controlling interests, even if this results in the non-controlling interest having a deficit balance.

Transactions with non-controlling interests, that do not result in loss of control, are accounted for as equity transactions. Any differences, between the adjustment for the non-controlling interest and the fair value of consideration paid or received, are recognised in equity.

2.   Material Accounting Policies

The principal accounting policies have been applied consistently throughout the period.

Going Concern

It is the responsibility of the Directors to prepare the Group Interim Financial Information on a going concern basis, unless it is inappropriate to assume that the Group will continue in business.

The Directors have prepared financial projections for the development of the Project and the Group's working capital needs for a period of 12 months from the date of this document. As the Group secured investment subscriptions at the time of its readmission to trading on AIM on 30 March 2026 totalling £4m, the Directors have determined that the Group has sufficient funding to be assured of meeting its financial obligations over this period, such that the preparation of the Group Financial Statements on the going concern basis is considered appropriate. 

The Group Interim Financial Information does not include any adjustments that may arise in the event that the Group is not a going concern.

Foreign Currencies

Both the functional and presentational currency of the Group is £. Each Group entity determines its own functional currency and items included in the Group Interim Financial Information of each entity are measured using that functional currency. The majority of the Group's funding and capital raising activities are denominated in £, and the Directors consider this to be the currency that primarily influences the Group's financing activities and cash flows.

The functional currency of the foreign subsidiaries is CLP. The Company's operations in Chile are primarily conducted in CLP and $. 

Transactions in currencies, other than the functional currency of the relevant entity, are initially recorded at the exchange rate, prevailing on the dates of the transaction. At each reporting date, monetary assets and liabilities, that are denominated in foreign currencies, are retranslated at the exchange rate, prevailing at the reporting date. Non-monetary assets and liabilities, carried at fair value that are denominated in foreign currencies, are translated at the rates, prevailing at the date, when the fair value was determined. Gains and losses, arising on retranslation are included in profit or loss for the period, except for exchange differences on non-monetary assets and liabilities, which are recognised directly in other comprehensive income, when the changes in fair value are recognised directly in other comprehensive income.

On consolidation, the assets and liabilities of the Group's overseas operations are translated into the Group's presentational currency at exchange rates, prevailing at the reporting date. Income and expense items are translated at the average exchange rates for the period, unless exchange rates have fluctuated significantly during the year, in which case, the exchange rate at the date of the transaction is used. All exchange differences arising, if any, are recognised as other comprehensive income and are transferred to the Group's foreign currency translation reserve.

The Company's presentation and functional currency is £.

In preparing the Group Interim Financial Information, transactions in foreign currencies other than the functional currency (foreign currencies) are recorded at the rates of exchange prevailing on the dates of the transactions. At each reporting date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting date.

Exchange rate differences arising on the settlement of monetary items and on the retranslation of monetary items are included in profit or loss for the period. Exchange rate differences arising on the retranslation of non-monetary items carried at fair value are included in profit or loss for the period except for differences arising on the retranslation of non-monetary items in respect of which gains and losses are recognised directly in equity. For such non-monetary items, any exchange component of that gain or loss is also recognised directly in equity.

Exploration Assets and Mineral Tenements

Exploration assets comprise exploration and evaluation costs, incurred on prospects at an exploratory stage. These costs include the cost of acquisition, exploration, determination of recoverable reserves, economic feasibility studies and all technical and administrative overheads, directly associated with those projects. These costs are carried forward in the Statement of Financial Position as non-current intangible assets less provision for identified impairments. Costs associated with an exploration activity will only be capitalised if, in the Directors' opinion, the results from that activity can be associated with finding a specific resource.

The Group adopts the "area of interest" method of accounting whereby all exploration and development costs, relating to an area of interest, are capitalised and carried forward until either abandoned or an indicator of impairment is determined. In the event that an area of interest is abandoned, or if, following determination of an impairment indicator being present, the Directors consider the expenditure to be of no value, accumulated exploration costs are written off in the financial year in which the decision is made. All expenditure, incurred prior to approval of an application, is expensed, with the exception of refundable rent, which is raised as a receivable.

Upon disposal, the difference between the fair value of consideration receivable for exploration assets and the relevant cost within non-current assets is recognised in the Statement of Comprehensive Income.

Impairment of Non-Financial Assets

The carrying values of assets, other than those to which IAS 36 "Impairment of Assets" does not apply, are reviewed at the end of each reporting period for impairment, when there is an indication that the assets might be impaired. Impairment is measured by comparing the carrying values of the assets with their recoverable amounts. The recoverable amount of the assets is the higher of the assets' fair value less costs to sell and their value-in-use, which is measured by reference to discounted future cash flow.

An impairment loss is recognised immediately in the Statement of Comprehensive Income.

When there is a change in the estimates, used to determine the recoverable amount, a subsequent increase in the recoverable amount of an asset is treated as a reversal of the previous impairment loss and is recognised to the extent of the carrying amount of the asset that would have been determined (net of amortisation and depreciation) had no impairment loss been recognised. The reversal is recognised in profit or loss immediately, unless the asset is carried at its revalued amount, in which case, the reversal of the impairment loss is treated as a revaluation increase.

Financial instruments

Financial assets

Financial assets are recognised when the Group becomes a party to the contractual provisions of a financial instrument. Financial assets and financial liabilities are offset if there is a legally enforceable right to set off the recognised amounts and interests and it is intended to settle on a net basis. Financial assets which are measured at amortised cost, are measured using the Effective Interest Rate Method and are subject to impairment. Gains and losses are recognised in profit or loss when the asset is derecognised, modified or impaired.

Financial liabilities and equity

Financial instruments issued by the Group are treated as equity only to the extent that they meet the following two conditions, in accordance with IAS 32:

·    they include no contractual obligations upon the Group to deliver cash or other financial assets or to exchange financial assets or financial liabilities with another party under conditions that are potentially unfavourable to the Group; and where the instrument will or may be settled in the Company's own equity instruments, it is either a non-derivative that includes no obligation to deliver a variable number of the Company's own equity instruments or is a derivative that will be settled by the Group exchanging a fixed amount of cash or other financial assets for a fixed number of the Company's own equity instruments. To the extent that this definition is not met, the financial instrument is classified as a financial liability.

As such, financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest of the assets of the Group after deducting all of its liabilities.

Borrowings

Borrowings are recognised initially at the fair value of the proceeds received which is determined using a discount rate which reflects the cost of borrowing to the Company. In subsequent periods borrowings are recognised at amortised costs, using an effective interest rate method. Any difference between the fair value of the proceeds costs and the redemption amount is recognised as a finance cost over the period of the borrowings.

The fair value of the liability portion of a convertible bond is determined using a market interest rate for an equivalent non-convertible bond. This amount is recorded as a liability on an amortised cost basis until extinguished on conversion or maturity of the bonds. The remainder of the proceeds is allocated to the conversion option. This is recognised and included in shareholder's equity, net of income tax effects.

Trade and other payables

Trade payables are non-interest bearing and are stated initially at fair value and then amortised cost.

Equity instruments

Equity instruments issued by the Company are recorded at the proceeds received, net of direct issue costs.

Income taxes

Current income tax assets and liabilities for the current and prior period are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted at the reporting date.

Equity

Share capital is determined using the nominal value of Ordinary Shares that have been issued.

The share premium account includes any premiums received on the initial issuing of the Ordinary Shares. Any transaction costs associated with the issuing of Ordinary Shares are deducted from the share premium account, net of any related income tax benefits.

Equity-settled share-based payments are credited to a share based payments reserve as a component of equity until related options or warrants are exercised or lapse.

The deferred shares reserve includes the fair value of deferred shares which arose following the share sub-division in November 2019.

Retained earnings includes all current and prior period results as disclosed in the Statement of Comprehensive Income.

Share-based transactions

From time to time, the Group may pay for goods or services through the issue of new Ordinary Shares. The cost of such equity-settled transactions is recognised in the Statement of Comprehensive Income, together with a corresponding increase in equity, in the period during which the goods or services are received. The value of such share-based payments is measured by reference to the fair value of the goods or services received or the market value of the shares issued, whichever value is more readily determinable.

Warrants

From time to time, the Company may issue warrants to suppliers as partial payment for goods or services or to investors or advisers in relation to the raising of new equity finance. When warrants are issued as partial payment for goods or services related to operations, the fair value of those warrants is recognised as a cost in the Statement of Comprehensive Income. When warrants are issued in relation to the raising of new equity finance, the fair value of those warrants is set off against share premium. Warrants issued but not exercised are held in the share based payments reserve within equity. 

Critical accounting judgements and estimates in applying the Company's accounting policies

The preparation of the Group Interim Financial Information in conformity with IFRS requires the Directors to make judgements and estimates that affect the reported amounts of assets and liabilities at the reporting date and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. In the process of applying the Company's accounting policies, the Directors have made the following estimates that may have a significant effect on the amounts recognised in the Group Interim Financial Information:

Acquisition of the Copper Bay Group

During the prior period, the Company acquired a 100% interest in the shares of the Copper Bay, which comprises predominantly the Playa Verde Project in Chile. In determining the correct approach for accounting for the Acquisition, the Directors have had to assess whether the acquisition falls within the scope of IFRS 3 "Business Combinations", notably whether the Copper Bay Group qualifies as a "business" as defined within IFRS 3 "Business Combinations". In making this assessment, the Directors have had to make certain judgements around the activities within the Copper Bay Group, the extent to which the current activities represent a process generating "outputs" from "inputs" and whether the value ascribed to the Copper Bay Group can be determined to be allocated across a number of areas of the entities or whether this value is concentrated into a single asset.

Following this assessment, the Directors have determined that the Copper Bay Group does not qualify as a business under IFRS 3 "Business Combinations" as there is minimal "process" or "outputs" given the Playa Verde Project has been held on a care and maintenance basis for a number of years pending the Project's Environmental Impact Assessment approval, and given the effective complete concentration of the value ascribed to the Copper Bay Group to the single asset, being the licences to extract and exploit the Playa Verde Project. Consequently, the Acquisition has been treated as an asset acquisition and not a business combination under IFRS 3 "Business Combinations".

See note 16 for further details.

Going Concern

The Group Interim Financial Information has been prepared assuming the Group will continue as a going concern. The basis to which the Directors have formed this critical accounting judgement is further outlined in Note 2 "Material Accounting Policies" to the Group Interim Financial Information.

Determination of Discount Rates

Where settlement of the liability component of a compound financial instrument is deferred, the amounts payable in the future are discounted to their present value as at the date of initial recognition. The discount rate used is generally judged to be the Company's incremental borrowing rate, being the rate at which a similar borrowing might be obtained from an independent financier under comparable terms and conditions; in other words, a similar liability (including any embedded nonequity derivative features) that does not have an associated equity component.

Recoverability of Carrying Value of Exploration and Evaluation Assets

The carrying amount of exploration & evaluation assets is tested for impairment annually and this process is considered to be key judgement along with determining whenever events or changes in circumstances indicate that the carrying amounts for those assets may not be recoverable.

Exploration assets comprise exploration and evaluation costs, incurred on prospects at an exploratory stage. These costs include the cost of acquisition of rights to explore, determination of recoverable reserves, economic feasibility studies and all technical and administrative overheads, directly associated with those projects. These costs are carried forward in the Statement of Financial Position as non-current intangible assets less provision for identified impairments. The most significant assumption for the Group is that exploration and evaluation work undertaken to develop the Playa Verde Project will ultimately lead to successful recovery of these costs through production or sale. The Directors believe that these costs are fully recoverable, based on information available as at the date of this document.

3.   Earnings per share

The basic earnings/(loss) per share is derived by dividing the loss for the year attributable to ordinary shareholders of the Parent by the weighted average number of shares in issue. Diluted earnings/(loss) per share is derived by dividing the loss for the year attributable to ordinary shareholders of the Parent by the weighted average number of shares in issue plus the weighted average number of ordinary shares that would be issued on conversion of all dilutive potential ordinary shares into ordinary shares.

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
(Loss) / profit attributable to equity holders of the Parent company (£'000)	(2,914)	(442)
Weighted average number of ordinary shares in issue of £0.001 *	97,885,670	24,694,591
Earnings per share (£)	(0.03)	(0.02)

* The weighted average number of ordinary shares used in the calculation of earnings per share in the prior period has been retrospectively adjusted to reflect the 1-for-1,000 share consolidation completed on 7 January 2026, in accordance with IAS 33 Earnings per Share. As required by IAS 33, the number of shares used in the EPS calculation for the current and comparative periods has been presented as if the share consolidation had occurred at the beginning of the earliest period presented.

As the Group is currently loss making, the impact of any dilutive instruments in issue during the period is anti-dilute.  Consequently, no diluted earnings per share has been presented.

4.   Administration expense

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Employee benefit expense	733	199
Employee benefit expense - share based payment	382	-
Accounting	27	17
Audit	41	11
Legal & professional	111	3
Listing costs	54	-
Investor relations	79	-
Travel	21	1
Insurance	13	-
IPO costs	542	-
IPO costs - share based payment	291	-
Other	60	4
Total administrative expense / (credit)	2,354	235

Employee Benefit expense

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Directors' fees - salaries	678	185
Directors' fees - share based payments Staff costs - salaries Staff costs - share based payments	322 55 61	- - 14
Total	1,115	199

Average number	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Executives/ Directors	4	2
Administration	4	2
Total	8	4

5.   Directors' Emoluments

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Frank Jackson	160	75
Andrew Dennan	236	75
Erick Pegot-Ogier	102	35
Daniel Bloor	18	-
David Minchin	18	-
National insurance & pension	144	-
Total	678	185

Directors' fees in the current period include amounts totalling £263,815 settled through the allotment of fully paid ordinary shares in the Company at a price of 18 pence per share (2025: £nil).

The directors' remuneration charge for the six months ended 30 June 2026 includes salaries, fees and related employer costs recognised in the period. During the period, the Company processed payroll and settled amounts that included executive remuneration accrued before 31 December 2025.

For a substantial period before Admission, Andrew Dennan and Francis Jackson did not draw their contractual remuneration in cash. In 2024, as part of securing financing and establishing the foundations of the Company, significant amounts of historic accrued directors' fees were waived by the directors and written off. Thereafter, cash drawings were deferred and fees continued to accrue, with only token cash payments commencing in November 2025 pending, and dependent on completion of the IPO.

On Admission, £263,815 of accrued directors' fees was converted into ordinary shares at the Placing Price, comprising £120,000 for Andrew Dennan, £120,000 for Francis Jackson and £23,815 for Erick Pegot-Ogier Pelagatti, consistent with the arrangements described in the Admission Document. The accounting charge for share-based payments is measured in accordance with the applicable accounting requirements and therefore differs from the contractual value of the accrued fees settled in shares.

During the current period retirement benefits totalling £10,000 accrued to certain Directors (2025: nil) in respect of defined contribution pension schemes.

6.   Finance Costs

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Interest expense	-	385
Share based payments - warrants	706	-
Fair value change on deferred consideration liability	(335)	123
Other finance costs	-	6
Total finance costs	371	514

In January 2024, the Group entered into a £750,000 convertible loan facility with MDB Partners SA, with £250,000 of the loan having been drawn down in the first year. The loan attracts a 100% coupon on principal drawn down, matures 24 months following draw down of the facility and is convertible into Ordinary Shares at a price being the lower of 0.0025624 pence per Ordinary Share and the price at which the Company issues new Ordinary Shares to third parties to raise additional funding during the term of the loan, at the election of the noteholder.

In the six months ended 30 June 2025, further amounts were drawn on the convertible loan facility with a number of investors, totalling £375,000 and resulting in a further £375,000 in interest charges due to the 100% coupon on the facility. All amounts accrued under convertible loan notes were fully converted into ordinary shares in November 2025.

On 31 March 2025, the Group incurred a deferred consideration payable liability associated with its acquisition of the Copper Bay Group (see note 16 for details). The face value of the liability of $7.5m was present valued on initial recognition based on the Directors' expectations of when this liability will come due for settlement, resulting in an initial recognition fair value of £3.55m. During the three months from initial recognition to 30 June 2025, this discount was unwound by three months, resulting in a fair value charge of £123,000 in that period.

As at 30 June 2026, the Directors determined that the timing of expected settlement of the deferred consideration payable to the vendors of the Copper Bay Group had been delayed, resulting in a decrease in the present value of this liability within these interim financial statements and correspondingly a credit charge of £335,000 to finance costs in the current period.

7.   Taxation

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
Blended rate (UK/Chile)	18.7%	20.3%
(Loss)/profit for the period	(2,914)	(442)
Income tax at blended rate	(546)	(90)
Effect of disallowable expenses	198	23
Transferred to/from losses	347	66
Total tax	-	-

A deferred tax asset has not been recognised in respect of tax losses due to uncertainty that the potential asset will be recovered. The value of the gross tax losses at 30 June 2026 was £44.2m (30 June 2025: £40.1m).

8.   Exploration & evaluation assets

£ '000	As at 30 June 26 (unaudited)	As at 31 December 25 (audited)
b/f	3,691	-
Acquired in the period	-	3,620
Additions	212	97
Foreign exchange	13	(26)
c/f	3,916	3,691

9.   Trade and Other Payables

£ '000	As at 30 June 26 (unaudited)	As at 31 December 25 (audited)
Trade payables	139	56
Accruals	30	760
Other Payables	609	1
	778	817

Included in other payables is the amount of £499,000 owing to HMRC relating to payroll tax deductions and employer contributions which had not been paid at the reporting date due to delays in establishing the Company's registration as an employer under the HMRC portal system (2025: nil).

10.  Non-current Liabilities

Deferred Consideration Liabilities

£ '000	As at 30 June 26 (unaudited)	As at 31 December 25 (audited)
b/f	3,751	-
Initial recognition	-	3,522
Fair value adjustment	(335)	377
Foreign exchange revaluation adjustment	68	(148)
c/f	3,484	3,751

On 31 March 2025, the Group incurred a deferred consideration payable liability associated with its acquisition of the Copper Bay Group (see note 16 for details). The face value of the liability of $7.5m was present valued on initial recognition based on the Directors' expectations of when this liability will come due for settlement, resulting in an initial recognition fair value of £3.55m. During the three months from initial recognition to 30 June 2025, this time discount was unwound by three months, resulting in a fair value charge of £123,000 and a gain on revaluation of the $ value of the liability of £205,000 in that period.

As at 30 June 2026, the Directors determined that the timing of expected settlement of the deferred consideration payable to the vendors of the Copper Bay Group had been delayed, resulting in a decrease in the present value of this liability within these interim financial statements and correspondingly a credit charge of £335,000 to finance costs in the current period.

11.  Cash Used in Operations

£ '000	6 months ended 30 June 26 (unaudited)	6 months ended 30 June 25 (unaudited)
(Loss) / profit before tax	(2,914)	(442)
Increase/(decrease) in trade and other payables	433	200
Decrease in receivables	51	(42)
Foreign exchange	164	(310)
Share based payments	511	-
Finance costs	371	514
Cash flows used in operating activities	(1,384)	(80)

12.  Ordinary Share Capital and Share Premium Account

	Ord Shares 0.1p each	Deferred Shares 0.0999p each	Share Capital £ '000	Share Premium £ '000
As at 1 January 2026*	85,096,863	189,792,348	275	37,589
Allotments - subscriptions	25,647,883	-	25	4,246
As at 30 June 2026 (unaudited)	110,744,746	189,792,348	300	41,835

*  On 7 January 2026 the Company undertook a share consolidation on a 1 for 1,000 basis, resulting in a decrease in shares in issue at the start of the period from 85.1bn to 85.1m and an increase in the nominal value per share from 0.0001p to 0.1p per share. The share consolidation has had no impact on the number of deferred shares in issue or share capital and share premium reserves. Opening positions in the above table are shown on the post consolidation basis.

During the six months ended 30 June 2026, 25,647,883 new Ordinary Shares were issued at a price of £0.18, giving rise to £25,648 in additional Ordinary Share capital and £4,246,776 in additional share premium reserves. During the comparative period ended 30 June 2025, 185,171 (on a post share consolidation basis) new Ordinary Shares were issued at a price of £0.02808 per Ordinary Share, giving rise to £185 in additional Ordinary Share capital and £5,015 in additional share premium reserves.

As at 30 June 2026, there were 9,147,197 warrants relating to the Ordinary Share capital in issue (2025: nil) and 10,400,000 share options relating to the Ordinary Share capital in issue (2025: 8,000,000).

13.  Financial Instruments

The Group's principal financial instruments comprise cash, trade and other receivables, trade and other payables and accruals and loan amounts owed, which are set out in the Statement of Financial Position. The carrying values of the Group's financial instruments approximate their fair values due to the short-term maturity and normal trade credit terms of these instruments.

Financial instruments issued by the Group are treated as equity only to the extent they meet the relevant conditions in accordance with IAS 32. Credit risk and expected credit losses on receivables is considered negligible.

Credit risk on liquid funds is considered limited as the Group counterparty exposure is to a UK and international bank with an investment grade credit rating. Credit risk and expected credit losses on receivables is considered negligible. Liquidity risk implies maintaining sufficient funds to meet the Group's liabilities when they fall due. The Directors have been disciplined in managing the Group's cash and commitment positions actively engaging with creditors and advisors to ensure committed credit lines are agreed and reasonable and through their regular review of the Group's cash flow projections. The exposure of financial instruments to liquidity risk is considered negligible.

14.  Related party transactions

See note 5 for details of directors emoluments in the period. There were no other related party transactions other than Directors emoluments in the period.

15.  Events subsequent to period end

On 30 July 2026 the Company announced that the First Environmental Tribunal of Chile has rejected in its entirety the judicial challenge filed on 28 November 2025 against the Chilean Committee of Ministers' environmental approval of the Company's Playa Verde project, which was received in written resolution on 15 October 2025. The judgment dismissed all claims advanced by the claimant and upheld the October 2025 decision of the Chilean Committee of Ministers to grant a favourable environmental qualification for the Playa Verde project. The Tribunal found that the environmental assessment process had been conducted entirely within legal process, with sufficient technical evidence having been presented and considered and that the Project will improve the environmental baseline conditions of the area in question.

16.  Acquisition of the Copper Bay Group

On 31 March 2025, the Company acquired a 100% interest in the shares of Copper Bay, a company incorporated in the UK and itself owning a 100% interest in the following subsidiaries:

Entity	Registered office	Holding	Nature of business
Copper Bay (UK)	85 Great Portland Street, First Floor, London, England, W1W 7LT	100%	Intermediate holding company
Copper Bay Chile	Ebro 2740, Oficina 603, Las Condes, Santiago, Chile	100% (99% direct, 1% indirect)	Chilean holding company
Playa Verde	Ebro 2740, Oficina 603, Las Condes, Santiago, Chile	100% (1% direct, 99% indirect)	Chilean operating company

The key asset within the acquired group is the Playa Verde Project in Chile.

Consideration for the Acquisition took the form of a deferred cash payable of US$7.5m, being payable in two equal tranches of $3.75m on the following two operation milestones having been met:

1-   once an aggregate of 7,500 tonnes of copper has been produced from the Project; and

2-   once an aggregate of 15,000 tonnes of copper has been produced from the Project;

The Directors have produced operational projections for the development and operation of the Playa Verde Project and have formed the assessment that these two milestones will be met in May 2028 and May 2029, respectively.  Consequently, the recognition of this deferred consideration payable has been discounted at the point of acquisition, at a discount rate of 15%, to arrive at a present value of $4.56m (£3.52m) at the date of Acquisition. 

Following assessment of the appropriate accounting treatment of the Acquisition, the Directors have determined that the Copper Bay Group does not meet the criteria of a business under IFRS 3 "Business Combinations" as it does not operate a "process" to produce "outputs" from a series of "inputs", having been effectively dormant on a "care-and-maintenance" footprint for a number of years. As such, the Acquisition has been determined to fall outside the scope of IFRS 3 "Business Combinations" and has been accounted for as an asset acquisition for consolidation.

The Acquisition date values of the assets acquired, liabilities assumed and consideration value transferred were as follows:

£ '000		As at 31 March 2025 (unaudited)
Mining properties		64
Exploration & evaluation assets		3,620
Trade & other receivables		2
Cash		26
Trade & other payables		(13)
Net assets acquired		3,699
Consideration paid and transaction costs		3,699

17.  Nature of the Group Interim Financial Information

The Group Interim Financial Information presented above does not constitute statutory financial statements for the period under review.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.