IMIC on track to achieve milestone objectives

Cameroon-focused International Mining & Infrastructure Corporation (LON:IMIC) remains fully committed to developing its iron ore assets, despite softening ore prices.

The pre-revenue company made solid progress in the second half of 2014 in developing its world-class iron ore deposits in Cameroon, it said in its half-year results.

In the current year, the focus will be on completion of the pre-feasibility study and commencement of the definitive feasibility study for the group's monster 2.7bn tonne deposit at Nkout, as well as on kicking off the feasibility study for its smaller asset at Ntem.

"We are on track and look forward to continuing to achieve milestone objectives as we advance these major projects towards production, while at the same time assessing further acquisitions, effectively moving towards our strategic objective of unlocking the value potential of the new world-class iron ore region in this part of Africa," said chairman, Ethelbert Cooper.

The half-year loss before tax widened to US$16.94mln from US$6.59mln in the second half of 2013, largely as a result of foreign exchange markets moving against the company; in the latest set of results, the group recognised a net loss of US$4.66mln on currency movements, whereas the year before it recorded a US$3.06mln gain.

Cash and cash equivalents at the end of 2014 stood at US$2.5mln, down from US$8.5mln at the end of 2013, since when the company successfully raised US$5mln via a convertible bond to a committed Cameroonian investor, Caisse Capital.

"Whilst the funding environment for iron ore development companies is challenging against the softening of iron ore prices, we remain fully committed to moving forward with our strategy," Cooper said.

"We are hopeful that we will be able to raise additional funds to support further development of our projects, and ultimately achieve our strategic objective of unlocking the value potential of this new world-class African iron ore region."