GobiMin Announces Third Quarter 2020 Results - Seite 4

For the period ended September 30, 2020, there was addition of $0.1 million in the exploration and evaluation assets and the Group had a contractual commitment of $1.6 million for the future development of the Gold Project.

Financial Assets

(i) Listed Securities

As at September 30, 2020, the fair value of listed securities held by the Group amounted to $0.2 million (December 31, 2019: $0.1 million) which mainly included $0.1 million (December 31, 2019: $11,000) investment in listed stock, futures and options trading through registered brokerage firms in Hong Kong and $0.1 million (December 31, 2019: $0.1 million) for a stock listed in Canada. For the nine months ended September 30, 2020, the gain on disposal of listed securities amounted to $0.2 million (Q3 2019: $0.5 million) and fair value loss was $0.1 million (Q3 2019: gain of $0.9 million).

(ii) Unlisted Investments

The Group holds 670,000 shares of Dragon Silver Holdings Limited (“Dragon Silver”) representing 9.90% of its total issued capital at an investment cost of $1.1 million (HK$8,710,000). Dragon Silver is a Hong Kong based company mainly engaged in trading, production, processing and investment in precious metals and non-ferrous metals and related products.

Pursuant to the subscription agreement dated December 29, 2017, the guarantor of the agreement irrevocably guaranteed to the Group that the amount of dividends declared and paid by Dragon Silver during each of the financial years ending from June 30, 2018 to 2022 shall not be less than $0.16 (HK$1.25) per share (“Dividend Guarantee”). If the dividend per share declared and paid by Dragon Silver is less than the Dividend Guarantee, the guarantor shall compensate the Group the sum being calculated as the shortfall (“Dividend Compensation Amount”). As at September 30, 2020, Dragon Silver has not declared and paid any dividend to the Group. In October 2020, the guarantor paid to the Group the Dividend Compensation Amount for the financial year ended 30 June 2020 of $0.1 million. The carrying value of the investment together with the Dividend Guarantee, the related profit guarantee and put option as at September 30, 2020 was $1.4 million (December 31, 2019: $1.4 million).