Borneo Resource Investments Ltd. (OTCQB: BRNE), (the "Company" or "Borneo") a mining company that mines gold and develops producing gold mines in Indonesia, today announced financial results for the three months ended March 31, 2014.
-Q1 2014 marks first quarter in which Company operated two producing gold mines, Talawaan and Ratatotok South
-Revenues in Q1 of 2014 were over $380,000 compared to no revenue in Q1 of 2013
-Gross profit from mining operations in Q1 of 2014 was over $130,000 compared no gross profit in Q1 of 2013
-Total stockholders' equity was approximately $1,564,000 on March 31, 2014
-Acquired Ratatotok Southeast, a producing gold mine in January 2014
"We have moved into 2014 with four gold properties, two of which are now in production and the other two slated to begin production in the third quarter of 2014. In January we acquired Ratatotok Southeast, a 15 hectare producing gold mine. This was a very strategic acquisition because Ratatotok Southeast is one of three contiguous properties we now own in one of the richest gold reserve areas in Indonesia, creating economies of scale in production in our mining operations," stated Borneo CEO Nils Ollquist.
"Revenues and gross profit in the first quarter of 2014 came in lower than we expected due primarily to adverse weather conditions. Sequential revenues from the fourth quarter of 2013 to the first quarter of 2014 declined due to a significant amount of rain and flooding in the region which slowed our rate of production. Gross profits also declined on a quarter-over-quarter basis due to lower production and startup costs associated with the commencement of operations at Ratatotok South."
"We expect quarterly revenues and operating income to increase in the subsequent quarters of 2014 as better weather conditions and improved operations at Ratatotok South are expected to lead to an increase in revenues and productivity," Ollquist concluded.
About Borneo Resource Investments Ltd.
Borneo Resource Investments Ltd. (OTCQB: BRNE) is a mining company that mines gold and develops producing gold mines as well as coal mining properties in the Republic of Indonesia. Borneo's current assets include three gold properties, two of which are producing gold. Cash flow-producing investments in gold properties help fund Borneo's operations and investments in gold, while the Company develops high value, longer-term investments in thermal "coal concessions," which are properties that can be mined for coal. Borneo currently has one coal concession in the Borneo region of Indonesia. Indonesia was the 8th largest gold producing nation in 2012 and the world's largest exporter of coal, with $25 billion exported in 2012.
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and federal securities laws. Words such as "believe", "estimate", "will be", "will", "would", "expect", "anticipate", "plan", "project", "intend", "could", "should" or other similar words or expressions often identify forward-looking statements. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding our outlook, projections, forecasts or trend descriptions. These statements do not guarantee future performance, and we do not undertake to update our forward-looking statements.
For example, we are using forward looking statements when we discuss the indications that estimate the potential revenue that may be generated from this property. These forward-looking statements are based on the current expectations of the management of Borneo Resource Investments Ltd. only, and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: changes in the price of natural resources, a change in the estimate of natural resources on our concessions, a change in the ability to extract the natural resources, changes in Indonesian law, risks associated with counterparty default in any of our agreements and the ability to acquire funding. Except as otherwise required by law, Borneo Resource Investments Ltd. undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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Related Links: http://www.borneore.com
Investor Relations Contacts:
Borneo Resource Investments Ltd.
R. Scott Chaykin
Corporate Profile, LLC
SOURCE: Borneo Resource Investments Ltd.