Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
(Incorporated in the Cayman Islands with limited liability)
(Stock Code: 1231)
PROFIT WARNING
This announcement is made by Newton Resources Ltd (the "Company", and together with its subsidiaries, collectively the "Group") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571, Laws of Hong Kong).
Based on the preliminary review of unaudited consolidated management accounts of the Group for the six months ended 30 June 2018 (the "Current Period"), the board (the "Board") of directors (the "Directors") of the Company wishes to inform the shareholders of the Company (the "Shareholders") and potential investors that the Group is expected to record an increase by approximately 350% in its net loss for the Current Period as compared to that for the six months ended 30 June 2017 (the "Corresponding Prior Period"). The major reasons for such increase include the possible impairment loss arising on the assets relating to the Group's Yanjiazhuang Mine, the increase in estimated possible payments accrued for the outstanding gabbro-diabase resources fee payable, the overall decrease in the Group's revenue, and the absence of write-back of over-accrual of interest and other costs in relation to a litigation that has been recognised in the Corresponding Prior Period.
The information contained in this announcement is only based on the preliminary assessment by the Board in accordance with the unaudited consolidated management accounts of the Group up to the date of this announcement, and is not based on any information or figures which have been audited or reviewed by the Company's auditors and may be subject to possible adjustments. Shareholders and potential investors are advised to read carefully the interim results announcement of the Company for the six months ended 30 June 2018 which is expected to be announced in August 2018.
Shareholders and potential investors are advised to exercise caution when dealing in the shares in the Company.
By Order of the Board
Newton Resources Ltd
Chong Tin Lung, Benny
Chairman and Executive Director
Hong Kong, 20 August 2018
As at the date of this announcement, the executive Directors are Mr. Chong Tin Lung, Benny, Mr. Li Changfa and Mr. Luk Yue Kan; the non-executive Director is Mr. Wu Wai Leung, Danny; and the independent non-executive Directors are Mr. Tsui King Fai, Mr. Lee Kwan Hung and Mr. Shin Yick, Fabian.