Half-year Results

Chesterfield Resources PLC, the LSE listed mineral exploration company is pleased to announce its interim results for the six months ended 30 June 2024.

Chairman's review of year to date

The most pleasing development since our year end report has been the conclusive disposal of our interest in the Adeline project. The expenditure obligations and the cost of exploration has been removed from Chesterfield's books whilst a proportion of any future success has been retained. In addition Chesterfield will enjoy a similar participation in an additional very exciting Copper project in Eastern Canada. Coupled with a direct cash receipt this represents an excellent outcome for Chesterfield shareholders.

In summary, post period end, Chesterfield received CAD$200,000 and an additional 8.5m shares in Sterling Metals (SAG.V). The result is that Chesterfield owns approximately 5% of Sterling Metals. In August of this year Sterling Metals provided an update on its exploration activities at the Copper Road project, the highlights of which included an extensive soil analysis, an airborne magnetic survey, LiDAR mapping and a digitisation of historical data. It is hoped that the efforts to identify priority copper exploration zones will result in attractive targets for later drilling.

In Cyprus activity remains modest as the company continues to evaluate the options with respect to the existing licences and possibly alternative exploration options in the country. This may include a review of the licence portfolio that means that existing licences are relinquished and other options are considered. Several operators are present in Cyprus and it has long made sense to consider some form of collaboration and efficient ways of exploration.

The Board continues to evaluate numerous opportunities that could complement the existing activities or possibly be in new areas and will update the market should any develop into a significant consideration.

Costs continue to be aggressively controlled and that includes a deferral of most of the Board salaries.

Financials

As is to be expected with an exploration company, for the six-month period ended 30 June 2024 the Group is reporting a pre-tax loss of £187,138 (six months ended 30 June 2023: loss of £110,963). The Group's net cash balance as at 30 June 2024 was £47,074 (30 June 2023: £348,243). Post period end, an additional £111,653 (CAD$200,000) was received in relation to the sale of Adeline.

Kashif Afzal

Executive Chairman

Earnings per share from continuing operations attributable to the equity owners of the parent

Capital and Reserves Attributable to Equity Holders of the Company

Other comprehensive income for the year

Items that may be subsequently reclassified to profit or loss

Other comprehensive income for the year

Items that may be subsequently reclassified to profit or loss

NOTES TO THE INTERIM FINANCIAL STATEMENTS

General Information

The principal activity of Chesterfield Resources plc (the 'Company') and its subsidiaries (together the 'Group') is the exploration and development of precious and base metals. The Company is a public limited Company whose shares were admitted to the Standard listing segment of the Main market of the London Stock Exchange on 29 August 2017. The Company is incorporated and domiciled in England.

The address of its registered office is 6 Heddon Street, London, W1B 4BT.

Basis of Preparation

These condensed interim financial statements are for the six months ended 30 June 2024 and have been prepared in accordance with the accounting policies adopted in the Group's most recent annual financial statements for the year ended 31 December 2023.

The Group have chosen to adopt IAS 34 "Interim Financial Reporting" in preparing this interim financial information as adopted by the United Kingdom and the Disclosure and Transparency Rules of the UK Financial Conduct Authority. They do not include all the information required in annual financial statements, and they should be read in conjunction with the consolidated financial statements for the year ended 31 December 2023 and any public announcements made by Chesterfield Resources Plc during the interim reporting period.

The interim financial information set out above does not constitute statutory accounts within the meaning of the Companies Act 2006. It has been prepared on a going concern basis in accordance with the recognition and measurement criteria of International Financial Reporting Standards (IFRS) as adopted by the United Kingdom.

Statutory financial statements for the period ended 31 December 2023 were approved by the Board of Directors on 29 April 2024 and delivered to the Registrar of Companies. The report of the auditors on those financial statements was unqualified. The condensed interim financial statements are unaudited and have not been reviewed by the Company's auditor.

Going concern

The Directors, having made appropriate enquiries, consider that adequate resources exist for the Company to continue in operational existence for the foreseeable future and that, therefore, it is appropriate to adopt the going concern basis in preparing the condensed interim financial statements for the period ended 30 June 2024.

Risks and uncertainties

The Board continuously assesses and monitors the key risks of the business. The key risks that could affect the Company's medium term performance and the factors that mitigate those risks have not substantially changed from those set out in the Company's 2023 Annual Report and Financial Statements, a copy of which is available on the Company's website: www.chesterfieldplc.com. The key financial risks are liquidity risk, credit risk, interest rate risk and fair value estimation.

Critical accounting estimates

Accounting Policies

The same accounting policies, presentation and methods of computation are followed in the interim consolidated financial information as were applied in the Group's latest annual audited financial statements except for those that relate to new standards and interpretations effective for the first time for periods beginning on (or after) 1 January 2024, and will be adopted in the 2024 annual financial statements.

A number of new standards, amendments and became effective on 1 January 2024 and have been adopted by the Group. None of these standards have materially affected the Group.

Dividends

No dividend has been declared or paid by the Company during the six months ended 30 June 2024 (six months ended 30 June 2023: £nil).

Loss per Share

The calculation of loss per share is based on a retained loss of £187,138 for the six months ended 30 June 2024 (six months ended 30 June 2023: £110,963) and the weighted average number of shares in issue in the period ended 30 June 2024 of 130,328,311 (six months ended 30 June 2023: 130,328,311).

Available for sale investment

The movement in available for sale investments during the period was as follows:

Asset held for sale

On 6th March 2023, the Company announced that they had signed an agreement with Sterling Metals, a TSX-V and OTCQB listed exploration company, with regard to Chesterfield's Adeline project in Labrador. Under the agreement Sterling Metals will purchase an option to acquire full ownership and rights over the project in exchange for a series of payments of cash and shares for a total consideration of CAD$800,000 and 9,000,000 shares in Sterling Metals. Therefore, the Directors determined that the Adeline licences be classified as an asset held for sale as at 31 December 2022.

Under the terms of the option Sterling will pay the total cash consideration in three separate tranches: CAD$100,000 upon signing of the agreement, CAD$300,000 following TSX approval of the deal, and a final CAD$400,000 to be paid on or before 30 November 2024. Further non cash consideration of 9,000,000 shares in Sterling Metals will be issued to Chesterfield in two equal lots of 4,500,000 shares. The first tranche following and subject to receipt of permission from the TSX-V authorities to complete the deal, and the second tranche to be issued on or before 30 November 2024. Chesterfield's ability to sell its shares in Sterling is restricted according to certain terms detailed in the agreement.

In the year ended 31 December 2022 the Directors undertook an impairment assessment of the disposal group's assets in accordance with IFS 5 and concluded that the asset's carrying value was in excess of their fair value less costs to sell. As such, an impairment of £241,060 was recognised which reflected the 31 December 2023 value of the remaining shares that could be received under the agreement.

At 18 June 2024, the Company announced an agreement to complete the sale of the Adeline project to Sterling Metals for the following: a cash payment of CAD$200,000 and the issue of an additional 8,500,000 Sterling Shares. As at 30 June, the cash and share consideration remained outstanding to be received by the Company and therefore, remain classified as an asset held for sale. The consideration was received post period end, refer to note 8.

The movement in capitalised exploration and evaluation costs during the period was as follows:

The balance of £410,530 is the combination of the 8,500,000 share consideration and CAD$200,000 cash consideration to be received by the Company.

Events after the balance sheet date

On 9 July 2024, the Company received consideration of CAD$200,000 and an additional 8,500,000 shares in Sterling Metals (SAG.V) to complete the sale of the Adeline asset.

• Approval of interim financial statements