Cadence Minerals Plc (LON:CAD) told investors that its future prospects are growing and are very exciting.
“We will continue to support our investee companies and identify new areas for expansion that offer the potential for superior returns on capital,” the company said in its full year statement.
It added: “We continue to view the medium and long term prospects for the company with confidence.
The natural resources investor, which has stakes in lithium and speciality minerals projects, highlighted that the rise in electric vehicle usage is fast approaching and with that the demand for batteries is increasing.
Cadence said cobalt lithium, nickel and rare earth elements are increasingly seen as key strategic minerals as the major automakers phase in hybrid and full electric vehicles.
“We have witnessed continued consolidation in the Lithium space, along with institutional and strategic involvement in a number of assets and projects Cadence was early to identify. Lithium's importance has been highlighted at the political and legislative level globally.
“Our principal investments now include stakes in Bacanora Minerals, European Metals Holdings, Macarthur Minerals, Yangibana North Project , Clancy , San Luis stakes in Argentina and Auroch Minerals.”
In terms of financial results, the investor said its assets had a mark to market equity value of £24.8mln, representing absolute return on equity of 119%.
The company reported a £2.51mln operating profit, with the comprehensive profit attributable to equity holders amounting to £1.88mln. It added that admin costs had reduced 30% from the preceding year, to £1.8mln.
At the end of the twelve months, March 31, the company had £2.16mln of cash and equivalents.