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(Sharecast News) - The market value of Atlas Metals dropped by around a fifth on Wednesday after the mining and energy investment firm reported that operating losses quadrupled in the first half.
The company, which is pre-revenue as it continues work on its planned acquisition of Universal Pozzolanic Silica Alumina, reported an operating loss of £2.96m for the six months to 30 June, compared with a loss of £728,291 a year earlier, while loss per share widened to 10.18p from 4.93p.
Administrative expenses rose sharply to £2.86m from £784,365, while cash and cash equivalents stood at just over £83,000 at the period end. Net liabilities increased to £7.8m, from £5.4m at the end of December.
Atlas said it was continuing to progress its proposed acquisition of Universal Pozzolanic Silica Alumina, with a draft prospectus already filed with the Financial Conduct Authority and initial comments received from the regulator.
The company has also commissioned further material testing and drilling to refine the project's previously reported inferred resource.
Atlas said it expected to publish the findings of that work shortly, which would help shape future development and commercialisation plans and allow it to make a further submission to the FCA as the prospectus review progresses.
The shares were down 18.8% at 6.5p by 1519 BST. The stock had surged over recent days ahead of the results, hitting a three-month high of 8.29p on Tuesday.
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