London-based Kore Potash Plc on March 31, citing key milestones achieved in 2021, said that it was able to advance its Kola Project in the Republic of Congo despite difficult circumstances facing the global economy. The progress included a nonbinding Memorandum of Understanding on financing (GM April 9, 2021).
Kore plans to release its Kola Project Optimization Study shortly and provide an update on engineering, procurement, and construction, along with financing proposals it expects to receive in 2022.
The company said it will have sufficient liquidity to meet its capital requirements to the end of the going concern period of March 2023. However, it said it would be required to raise funds after the period to meet its ongoing contracted and committed expenditure. It said the Board of Directors has considered various mitigating actions, which include raising additional capital to enable the group to continue to fund its working capital requirements, with a number of funding options identified as available.
Kore also reported a 2021 consolidated net loss of $13.5 million, compared to a profit of $8.2 million in 2020.
The funding and financial news, however, did not sit well with some investors, as company shares were off at much as 19 percent on March 31 after the news was released, according to Dow Jones.