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CALGARY,
ALBERTA--(Marketwire - May 10, 2010) - Kirrin Resources Inc. (TSX
VENTURE:KYM) reported today its financial results and operational
highlights for the first quarter of 2010. The period was marked by
Kirrin's continued rare earth element (REE) and uranium portfolio
expansion. Summary financial data is set out in tabular form below.
Kirrin recorded a net profit for the period of $41,424 (2009: loss
$225,028) of which a credit of $199,000 (2009: $nil) represented a
future income tax reduction and an expense of $14,105 (2009: $54,716)
the write-off of exploration and project development costs. Working
capital at the period end was $280,409 against a comparative of
$303,164 in 2009. General and administrative costs remained tightly
controlled, cash costs reducing by 22% to $122,552 from $156,501 in
2009.
----------------------------------------------------------------------- 2010 $ 2009 $ ----------------------------------------------------------------------- Working capital (deficit) 280,409 303,164 ----------------------------------------------------------------------- Mineral interests 1,509,701 1,428,943 ----------------------------------------------------------------------- Total assets 2,066,044 2,312,870 ----------------------------------------------------------------------- Total long-term financial liabilities 110,000 110,000 ----------------------------------------------------------------------- Shareholders' equity 1,680,110 1,622,107 ----------------------------------------------------------------------- Net income (loss) for the quarter 41,424 (225,028) ----------------------------------------------------------------------- Earnings per share 0.00 0.00 ----------------------------------------------------------------------- Shares outstanding (1) (2) 22,393,263 12,387,002 ----------------------------------------------------------------------- (1) All figures in Canadian dollars except for shares outstanding. (2) 2009 has been revised to reflect the 1 for 10 share consolidation approved May 1, 2009.
Operational Highlights
Prospecting results from the Bottom Brook REE property, located near
Stephenville, Newfoundland & Labrador, were announced in February. These
exceeded expectations and there are now nine REE targets at Bottom
Brook. Assay results at Bottom Brook Zone B of 1.69% and 6.80% TREO
were obtained from two grab samples collected from angular boulders
containing abundant magnetite and hematite mineralization. Assay
results at Bottom Brook Zone C ranged from 1.50% TREO to 10.04% TREO
obtained from five grab samples taken from magnetite-hematite bearing
granite float. Both sets of samples have similar radioactivity and
mineralogy to the Bottom Brook A Zone.
Kirrin added two further projects during the first quarter, the Grevet
REE project in Quebec and the Key Lake SW uranium project in
Saskatchewan. The identification of suitable uranium companies and
assets for acquisition, merger, strategic partnership or joint venture
remains an integral part of the Company's strategy. The Company also
announced during the first quarter that it would not be proceeding with
the Boxey Point or Otish Basin projects.
Reg A. Olson, Ph.D., P. Geol. is the designated Qualified Person for
Kirrin on the Bottom Brook project.
Additional information relating to Kirrin is available on Kirrin's web
site at www.kirrinresources.com and on SEDAR at www.sedar.com.
Kirrin is engaged in rare earth element and uranium exploration in
Newfoundland & Labrador, Quebec and Saskatchewan and in the
expansion of its portfolio through acquisition, merger, strategic
partnership or joint venture. Its strategy is well defined: enhancing
shareholder value by combining technical expertise, corporate
development skills and professional management. Kirrin's shares trade
on the TSX Venture Exchange under the symbol KYM.
To receive company news releases via e-mail, please advise chelsea@chfir.com
and specify "Kirrin News" in the subject line.
Forward-looking information: Except for statements of historical fact,
all statements in this news release, without limitation, regarding new
projects, acquisitions, future plans and objectives are forward-looking
statements which involve risks and uncertainties. There can be no
assurance that such statements will prove to be accurate; actual
results and future events could differ materially from those expressed
or implied by such forward-looking information. Risks include delays in
obtaining or failure to obtain regulatory approval. Except as required
by applicable securities legislation, the Company undertakes no
obligation to publically update or revise forward-looking information,
whether as a result of new information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
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