IMC Exploration Group Plc - Half-year Financial Report

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW AS AMENDED BY THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("UK MAR"). UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK MAR) IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN. HALF-YEARLY FINANCIAL REPORT IMC Exploration Group PLC ("IMC" or the "Company") IMC is pleased to announce the Company's unaudited half-yearly financial report for the six-month period ended 31 December 2025. Chairman's Statement In the six months to 31 December 2025 and post period end the Company has achieved some significant and positive milestones, including the renewal of the Karaberd mining licence to January 2035 and importantly gold production has commenced. Karaberd Mining Licence We were pleased to announce on 26 January 2026 that the Company's Karaberd gold and silver mining licence was renewed until January 2035. The licence renewal provided for underground mining and the Company has entered into contracts to enable completion of the preparatory works. These are progressing well and will enable the finalisation of the currently ongoing contract negotiations with a major underground mining company who will manage the mining project. Further developments will be announced as appropriate. Gold Production Commenced As outlined in the last annual report, a technical audit of the Masis gold refining plant (to 999 fineness) was conducted in July 2025, requiring key operational upgrades, including the complete replacement of the electrolysis section. I am pleased to report that all upgrades have now been completed successfully. The other main challenge, previously outlined, was that the Masis plant had relatively low capacity, which we have addressed in cooperation with corporate advisors Grant Thornton, Yerevan.  The solution was that the Company's mining subsidiary, Assat, entered into a contract with Meghradzor Gold whose plant is to receive at least 4,000 tonnes of ore per month, drawn from our stockpile, and which is crushed at Assat's facility. In this process the gold content is concentrated to approximately 17 grammes per tonne upwards and then the concentrate is transported to the Massis plant, which is now owned 60% by associates of the Company's major investor Mineral Ventures Invest. The concentrating cost per tonne is approximately €46. From an operational point of view the IMC team, under Assat CEO Armand Pinarbasi, now have full control of the Massis plant and an IMC team is present 24/7 during the concentration of ore at the Meghradzor plant. As I write, the first 120 tonnes of concentrate have been delivered to the Masis Plant where the concentrate is added to lower grade ore already stored at the plant and the mix then processed. The concentrate along with ore already stored at the plant will be refined in batches, generating a steady stream of cashflows for the Company.  On 26 March 2026, the first tranche of gold extraction took place with a total volume of 40 tonnes of material yielding 218.2 grammes Au. The next extraction is scheduled to take place on 31 March 2026, with continued batches of extraction thereafter, and further concentration of ore at the Meghradzor plant. Other Projects in Armenia While the Company's primary focus over the last year has revolved around obtaining the Karaberd mining licence renewal and, along with the associates of our major investor Mineral Ventures Invest, getting the Company into a position where we can control our production of gold right up to 999 fineness, the Company did maintain contact with other parties in relation to two other projects, one being a prospective copper related project. Further announcements on any developments in relation to these two projects will be made as appropriate. AMX Dual Listing A dual listing on the Armenian Stock Exchange ("AMX") continues to be an objective of the Company. While the required documentation has been prepared by our advisors Grant Thornton, the Board has strategically timed finalising the listing to occur only after renewal of the Karaberd mining licence, after gold processing had commenced, and after the underground mining contract has been completed. That way IMC will come to the Armenian financial market in a very strong position and as a contributor to the Armenian economy and further announcements will be made as appropriate milestones in the listing process are achieved. Irish Projects - Avoca and Wexford Avoca PL 3849 and PL 3850 As previously reported further assessment and upgrade of the spoils and tailings was carried out on behalf of the Company by Trove Metal. This resulted in a mid -estimate increase (+650,000 tons) in the tonnage of spoils and tailings from 1,871,000 to 2,521,000 tonnes. To align with the recent European Nature Restoration Law and the European Union's Critical Raw Minerals Act the Company decided that a project that combined remediation of the old mining area of Avoca, which is c.153 acres, and abstraction of metals from the spoils and tailings that currently leach into the water table and river would be the best approach to take and might also secure grant aid from European green-transition funds. To that end we had a recent meeting with China National Geological and Mining Company who, along with their associate company Lvyan Ecology, have already visited our Avoca site in Ireland. It was agreed that IMC would shortly travel to China to see examples of remediated sites and to put together a world-class project plan for Avoca. Based on current prices of metals and based on the Mineral Resource Estimate prepared by CSA Global in their report No. R369.2018, plus the additional gold ounces from the Trove Metal reported tonnage increase (+650,000 tons), the following table sets out a valuation of the inferred metals in the spoils and tailings: [image] Wexford PL 2551 IMC was very pleased to have been able to announce on 24 February 2026 results showing free gold with gold-rich electrum (Au91Ag09) being in quartz veins intersected by drillhole 24-2551-01 from a laboratory study of its 2024 drilling at its Boley prospect in Prospecting Licence ("PL") 2551 in Co. Wexford Ireland. These results, stemming from a specialized laboratory study of drillhole 24-2551 -01, represent a significant milestone for our Irish exploration programme. The fact that the level of gold in pyrite analysed at Boley in PL 2551 is similar to that in pyrite phases which host gold at the 6,000,000-ounce Curraghinalt deposit in Co. Tyrone, Northern Ireland, makes this PL highly prospective. Great interest was shown in our latest published report on PL 2551 by parties at the recent PDAC Convention in Toronto. Further discussions are currently ongoing with interested parties as we evaluate the best path forward to unlock the value of this asset. In conclusion, IMC has achieved transformative progress across our entire portfolio, both during the period and post period end, and having our Karaberd licence renewed to 2035, we now have a very solid platform from which to accelerate our development and deliver sustained value to our shareholders. Eamon P. O'Brien, Executive Chairman, Dublin, 31st March 2026 Statement of Directors' Responsibilities We confirm that to the best of our knowledge: 1. this interim condensed set of financial statements has been prepared in accordance with IAS 34 'Interim Financial Reporting'; 2. the condensed set of financial statements has been prepared in accordance with ASB's 2007 Statement Half-Yearly Reports; 3. the condensed set of financial statements give a true and fair view of the asset, liabilities, financial position and loss of the group and the undertakings included in the consolidation as a whole as required by DTR 4.2.4R; and 4. the interim management report includes a fair review of the information required by: 4.1.  DTR 4.2.7R of the Disclosure Guidance and Transparency Rules, being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed set of financial statements; and a description of the principal risks and uncertainties for the remaining six months of the year; and 4.2.  DTR 4.2.8R of the Disclosure Guidance and Transparency Rules, being related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or performance of the entity during that period; and any changes in the related party transactions described in the last annual report that could do so. The directors of IMC Exploration plc are listed in the Group's 2025 Annual Report and Accounts and the current board are set out in the corporate section of IMC's website at. https://www.imcexploration.com/corporate/board-of-directors Principal Risk and Uncertainties The Group's activities are carried out principally in the Republic of Ireland and Republic of Armenia. Accordingly, the principal risks and uncertainties are considered to be the following: Exploration Risk Exploration and development activities may be delayed or adversely affected by factors outside the Group's control, in particular: climatic conditions, existence of commercial deposits of gold, zinc and other minerals, unknown geological conditions; remoteness of locations; actions of governments or other regulatory authorities (relating to, inter alia, the grant, maintenance or renewal of any required authorisations, environmental regulations or changes in law). Commodity Price Risk The demand for, and price of gold, zinc and other minerals is dependent on global and local supply and demand, actions of governments or cartels and general global economic and political developments. Financial Risk The main risks arising from the Group and Company's financial instruments are foreign currency risk, credit risk, liquidity risk, interest rate risk and capital risk. The board reviews and agrees policies for managing each of these risks on a regular basis. Economic Risk After 35 years of violent conflict, the leaders of Armenia and Azerbaijan signed a "historic peace agreement" at the White House on August 8, 2025. This long -sought agreement-supported over the years by numerous political groups, and countries including Russia, Turkey, the UK, France, Iran and the EU- represents a real opportunity to achieve lasting peace in the region. Both nations committed to ending hostilities, establishing diplomatic relations, and respecting each other's territorial integrity. Under the terms of the agreement, the United States will gain access to a strategic transit corridor on Armenian territory, located along the border with Iran and connecting Azerbaijan with its Nakhchivan exclave. This corridor will also provide a highly efficient trade route linking China and Central Asia to Europe via the so-called "Middle Corridor" (China-Kazakhstan-Azerbaijan-Turkey-EU), serving as an alternative to both the Russian route and the current main China-Suez trade path. The stability and economic benefits of the treaty are viewed by the Armenian government and business community, including IMC, as highly positive for the country's future. As covered in the 2025 IMC annual report the changes in political and economic environment and the development of the legal, tax and legislative systems in Armenia have continuing nature. The stability and development of the Armenian economy largely depends on these changes. The government has brought a renewed commitment to good governance, including anticorruption efforts, transparency, and accountability. Like all international agreements, they are dependent on the goodwill of the parties involved and adherence to the terms of the agreement. This has been a volatile region in the past and these consolidated financial statements do not reflect the potential future impact of any adverse occurrences relating to the Armenia and Azerbaijan peace agreement on the Group's operations. IMC Exploration Group PLC Consolidated Statement of Comprehensive Income For the period 1st July 2025 to 31 December 2025 Dec'25 Jun'25 Revenue 32,000 66,000 Cost of Sales (164,771) (366,694) Gross Profit (132,771) (300,694) Administration Costs (742,344) (1,330,816) Other Income 145,000 - Operating Profit /(loss) for the period (730,115) (1,631,510) Interest Payable 29,086 44,701 Gain On disposal - 11,000 Foreign Exchange Gain/(Loss) 775,000 2,000 Expected Credit Loss - (260,250) Translation Reserve (673,000) (657,835) Profit / (Loss) for period before tax (599,029) (2,491,894) Income tax expenses (267,421) (300,935) Total comprehensive loss for the period (866,450) (2,792,829) Loss attributable to: Equity holders of the Company (866,450) (2,792,829) Total Comprehensive Loss attributable to: Equity holders of the Company (866,450) (2,792,829) Earnings per share From continuing operations Basic and Diluted profit per share (cent) (0.11) (0.40) IMC Exploration Group PLC Consolidated Statement of Financial Position As at 31st December 2025 Dec'25 Jun'25 Assets Intangible assets 3,348,611 3,492,455 Property, plant and equipment 90,000 98,000 Total Non-Current Assets 3,438,611 3,590,455 Current Assets Inventory 402,000 345,000 Trade and other receivables 3,552,786 3,447,914 Cash and cash equivalents 67,000 8,000 Total Current Assets 4,021,786 3,800,914 Total Assets 7,460,397 7,391,369 Equity Share Capital 818,771 736,990 Share premium & Capital 9,493,831 8,878,158 Retained deficit (8,015,633) (7,149,183) Attributable to owners of the Company 2,296,968 2,465,966 Total Equity 2,296,968 2,465,966 Liabilities - Current Trade and other payables 2,216,943 1,792,709 Total Liabilities-Current 2,216,943 1,792,709 Liabilities - non-current Loan & Borrowings 638,127 1,175,994 Shareholder Contribution 1,828,000 1,468,000 Provision - 28,000 Deferred tax liability 480,359 460,701 Total Liabilities-Non-Current 2,946,486 3,132,695 Total Equity and Liabilities 7,460,397 7,391,370 IMC Exploration Group PLC Consolidated Statement of Changes in Equity For the period 1st July 2025 to 31 December 2025 Share Capital € Share Retained Total € Premium € Losses € Balance at 30 723,191 8,818,818 (4,356,354) 5,185,654 June 2024 Total comprehensive income for the period Loss for the - - (2,792,829) (2,792,829) period Total - - (2,792,829) (2,792,829) comprehensive income for the period Transactions with owners, recorded directly in equity contributions and distributions to owners Shares issued 13,800 59,340 - 73,140 Balance at 30 736,991 8,878,158 (7,149,183) 2,465,966 June 2025 Total comprehensive income for the period Loss for the - - (866,450) (866,450) period Total - - (866,450) (866,450) comprehensive income for the period Transactions with owners, recorded directly in equity contributions and distributions to owners Shares issued 81,780 615,673 - 697,453 Balance at 31 818,771 9,493,831 (8,015,633) 2,296,968 December 2025 IMC Exploration Group PLC Consolidated Statement of Cash Flows As at 31st December 2025 Dec'25 Jun'25 Cash flows from operating activities (Loss) for the year (224,448) (2,491,894) Adjustments for: Amortisation & Depreciation 172,000 356,166 Bad Debts - 257,841 Gain on Disposal of Fixed - (11,000) Asset Foreign Exchange (92,000) (289,941) translation difference Taxation - 661,935 Cash from operations before (144,448) (1,516,893) changes in working capital Movement in trade and other (704,702) (84,192) receivables Movement in trade (57,000) 963,839 inventories Movement in trade and other (147,712) 39,000 payables Net cash flow from (1,053,862) (598,246) operating activities Taxation paid - (407,000) Cash flows from investing activities Capital Expenditure (7,500) (640,000) Net cash (used in) (7,500) (640,000) investing activities Cash flows from financing activities Proceeds from the issue of 81,780 73,140 new shares Proceeds from loans or 1,022,673 1,591,272 borrowings Finance income/(expense) - - Net cash generated by 1,104,453 1,664,412 financing activities Movement in cash and cash 43,091 19,166 equivalents Cash and cash equivalents (10,593) (29,759) at beginning of period Cash and cash equivalents 32,498 (10,593) at end of year REGULATORY ANNOUNCEMENT ENDS. Enquiries: IMC Exploration Group plc Eamon O'Brien +353 87 6183024 Kathryn Byrne +353 85 233 6033 Keith, Bayley, Rogers & Co. Limited Stephen Clayson stephen.clayson@kbrl.co.uk +44 (0)7771 871 847 Brinsley Holman brinsley.holman@kbrl.co.uk +44 (0)7776 302 228 IFC Advisory Limited (Financial PR and IR) Tim Metcalfe Florence Staton +44 (0)203 934 6632 This information was brought to you by Cision http://news.cision.com The following files are available for download: https://mb.cision.com/Public/22790/4329282/a81b01853d2779e7_org.png 4329282_0.png