ALL STAR MINERALS PLC UNAUDITED FINANCIAL STATEMENTS FOR THE 12 MONTHS ENDED
31 DECEMBER 2013CHAIRMAN'S STATEMENT The past year has continued to be a challenging one for junior resource companies as liquidity and investor appetite has remained quite weak. This is as we have seen concerns about the continued growth prospects for the commodities consumption machine that is China. Chinacontinues to be the growth engine of the world and is the benchmark for demand of industrial metals such as copper. Chinaconsumes around 40% of world copper with its GDP growth figure closely monitored by the markets. However, we have recently seen copper prices recover from four year lows in March to close at two month highs during May 2014on a number of occasions. There is a real belief that the fears about the economic slowdown in Chinacould be overestimated. For the Company, with a listing on the ISDX Growth Market, access to capital has been largely dependent upon UKinvestors, whether through private client brokers or sophisticated and high net worth individuals. However, the board is keen to explore new avenues of funding so that the Company can focus its attention on realising value through our projects for shareholders. The performance of the Company over the past 12 months has been encouraging. In the year to 31 December 2013, All Star secured funding in difficult markets and also entered into two purchase option agreements over tenements located within the Queenslandregion of Australia. This is in keeping with the board's strategy to remain focused on the region. However, the board would consider expanding the Company's geographical presence should suitable opportunities and funding be available. The board believe that the prospects for the Company's growth and future are looking positive. The board is optimistic that, subject to further funding, the Company will be able to acquire and operate copper and gold projects in the short term. To enable this successful outcome, the Company still needs to continue with the hard work and build upon the foundations that have been laid to ensure that we maximise the potential at hand. I would like to take this opportunity to thank my fellow board members for the hard work and dedication shown over the past 12 months. I very much hope that the encouraging performance of the Company seen is bettered still in the year ahead. FINANCIALS The consolidated financial results for the period from 1 January 2013to 31 December 2013showed a loss after taxation of GBP 643,773(2012: GBP 920,862). The basic loss per share from continuing operations was 0.16p (2012:0.24p). The loss is attributable to ongoing administrative costs associated with the running of the Group, and exploration expenses. The Directors do not recommend the payment of a dividend. If it becomes known to the Directors of the Company that the audit report is to be qualified or modified in relation to going concern or otherwise, the terms of such qualification or modification will be announced immediately. OUTLOOK With having reduced our losses for the financial year to GBP 643,773from last year, we have concentrated on strengthening the Company's Balance Sheet. However, as a resources business our future is dependent on having the funding at hand to meet our exploration commitments and to pay creditors as they fall due. This has proved extremely challenging for our sector peers and we ourselves have encountered problems in previous years. The board has been working to ensure that there is a clear strategy to advance the group forward. To this end, All Star Minerals Plchas successfully raised £ 334,000 in the past 12 months and secured purchase options over two copper projects that have the potential to be transformational. This is going to need the support and patience of shareholders to enable the board to build upon the foundations that have been laid over the past 12 months. Tomas Nugent Executive Chairman, 30 May 2014CHIEF EXECUTIVE'S STATEMENT Since my last report to shareholders at the end of September 2013, there have been significant developments with the Group, both at a corporate and operational level. In January 2013, we announced the appointment of Cairn Financial Advisers LLPas the new ISDX Corporate Adviser to the Company, and latterly that month the Company announced the launch of its new corporate website, http:// www.allstarminerals.co.uk. In March we announced the signing of a purchase option agreement over the Peter Craigie project, a copper-gold tenement located 15km north of Dajarra in North- Western Queensland, Australia. This was on the back of having announced in November 2013the acquisition - subject to conditions precedent being met and a balance payment being made by the Group - of the Big One, a copper project in the same vicinity as Peter Craigie. It remains early days in All Star's relationship with these projects, but we anticipate strong newsflow being generated from the Peter Craigie project in the months ahead, and subject to further funding being raised we expect a drilling program to commence to enable the resource to be quantified, and a decision to be taken as to whether to proceed with its acquisition. Based on the historic data provided to us, we are cautiously optimistic as to the projects' potential. As always, I would like to take this opportunity to thank my co-directors for the continued hard work and effort shown towards building All Star Minerals. I would also like to thank those professional advisors who have remained supportive of the Company through thick and thin, along with both old and new shareholders. All Star is poised for tangible progress to be made over the coming months, and we view the future with quiet confidence and excitement. Conrad WindhamCEO, 30 May 2014 REPORT ON GROUP PROJECTS AND CORPORATE DEVELOPMENTS THE PETER CRAIGIE PROJECT On 31 March 2014All Star announced that it had entered into a purchase option agreement over a copper-gold project in North-West Queenslandcalled Peter Craigie Mine. The cost of the purchase agreement was As$15,000 with the remaining balance of As$145,000 payable should the Company wish to proceed with the acquisition. The decision on whether to proceed with the acquisition is dependent on the results of a planned drilling program and conditions precedent being met by the vendor. Peter Craigie Mineis located15km north of a small town called Dajarra and covers 119 acres. The tenement hosts a copper mineralised lode system that trends northwest-southeast at 140-320 degrees magnetic that dips steeply southwest. The host rocks are primarily metasediments and metabasalts that trend north-south. The lode system is a silicified fracture of 2-6 metre width, carrying several percent sulphides. At exposure the copper bearing sulphides have weathered to copper carbonates and copper oxides, whilst gold has also been detected in the lode rock. The lode system is exposed over 250 metres, with the northern 150 metres being the better exposed and more actively prospected zone. The mine was last in operation some 70 years ago when the ore body was last worked. However, in June 2013there was sampling work undertaken, which returned assays showing up to 5.18% copper and forms part of the rationale behind securing a purchase option over the asset. RESOURCE Peter Craigie Minehas been estimated to host between 76,000 and 89,000 tonnes of copper bearing ore at an average grade of between 3.70% and 5.18% copper to a depth of 40 metres. The board are looking to get a planned drilling program executed that will quantify both the quality and quantity of resource at the project. THE BIG ONE PROJECT On 12th November 2013the Company announced that it had entered into a purchase option agreement on The Big One. The cost of the purchase option agreement was As$10,000 with a remaining balance of As$140,000 being payable upon satisfaction of conditions precedent being met by the vendor. The Big One is a historic copper mine located in North-Western Queensland covering 320 acres and is some 100km North-West of Glencore Xstrata's Mount Isa Mines. The scope of the copper mineralisation is malachite with chalcochite and azurite also being present. The project has a history of mining activity with operations having last taken place in 1997. This is when 4,000 tonnes of copper was mined at an average grade of 4% through rough selection of ore, and sold at US$2,000per tonne. At that time copper prices were substantially lower than present levels and the decision was taken to mothball the mine. However, since then we have seen global commodity prices rise to previously unseen levels, which has meant that the economic viability of the mine has materially changed and is now a suitable acquisition for the Company. Historic drilling of 29 holes to an average depth of around 18 metres below surface has determined that 59,000 tonnes of copper bearing ore is in-situ. Based on a conservative copper grade of 2.2%, being the average grade from the drilling programme, suggests that at least 1,298 tonnes of ore are in place (non-JORC), which at a price of US$7,000per tonne equates to an in-situ value of US$9 millionfor the known copper content of the ore body. Post analysis of the 29 holes, determined that the higher grade sections of the lode were located to the Eastern end of the deposit, where no drilling had taken place. As a result we are confident that the known ore body should average at least 4% copper, in line with what rough selection of ore was achieved from production in 1997. Should this be confirmed then the in-situ value of the known copper content of the ore body would, at a copper price of US$7,000per tonne, be worth US$16.52 million. Of further significance, copper mineralisation was present at the greatest depth drilled and it is believed a potential leached zone exists below the known supergene. In addition, a large gossanous outcrop is located a couple of hundred metres from the outcropping mineralisation. Gossans can be the upper and exposed part of an ore deposit, and this is an additional target to potentially expand the resource, along with drilling to depth to target the potential leached zone. From the analysis to date, we are confident that the deposit is considerably larger than what is indicated from past exploration. BLUE DOE GOLD PLC All Star Mineralscontinues to hold 53.26% of the equity in Blue Doe Gold plc("Blue Doe"), an unlisted company that owns a portfolio of projects in the Charters Towersregion of Queenslandprospective for the likes of gold, silver, copper, molybdenum, tungsten and other metals. Blue Doe continues to explore options to realise value from these opportunities, which include looking at securing a joint-venture or farm-in partner, and securing investment to achieve a listing on a stock exchange. It remains the intention of the boards of both All Star Mineralsand Blue Doe Gold to find a way to advance the assets and realise value for the shareholders of both Companies. PLAIN CREEK The Company has opted for the time being, to keep the Plain Creekproject as a wholly-owned subsidiary of All Star. Consideration had been given to a separate corporate listing to develop the project, however, we felt that longer term it would be in the best interests of the Company to maintain sole ownership of this suite of tenements prospective for phosphate and uranium. Over the past year due to funding constraints, very little work was carried out on the Plain Creekproject. It is our hope that with funding permitting, a degree of work can be undertaken at Plain Creekto further our understanding of its potential. CORPORATE Within the financial year being reported, The Company made a loan to fellow ISDX listed Company, U3O8 Holdings Plcof £46,500. The rationale behind this loan was that at the time All Star had not reviewed any near term production opportunities. Furthermore, the board of U3O8 Holdingswere interested in a number of resource Companies to either acquire all or part of the business subject to financing been secured. However, due to U3O8's status as a shell and market conditions at the time, their board was unable to complete any of the potential transactions. However, it is hoped that the Company can secure its future in the near term and look to either repay or restructure the existing Convertible Loan Note with All Star Minerals Plc. ALL STAR MINERALS PLCCONSOLIDATED STATEMENT OF INCOME YEAR ENDED 31 DECEMBER 2013Unaudited Unaudited Audited Year ended 6 month period 13 month period 31 Dec 13 ended 30 Jun 13 ended 31 Dec 12 GBP GBP GBP Revenue - - - Administrative expenses (497,232) (170,415) (920,652) Finance costs (7,123) (2,879) (154) Other non-operating income - 55 18,477 ________ ________ _______ LOSS BEFORE TAX (504,355) (173,239) (902,329) ________ ________ ________ Income tax expense - - - LOSS FOR THE YEAR FROM CONTINUING OPERATIONS (504,355) (173,239) (902,329) Discontinued operations (139,418) - (18,533) ________ ________ ________ LOSS FOR THE YEAR (643,773) (173,239) (920,862) Attributable to: Equity holders of the parent (539,033) (136,438) (718,468) Non-controlling interests (104,740) (36,801) (202,394) LOSS PER SHARE: Basic & Diluted (Pence per share) Continuing operations (0.16) (0.04) (0.24) Discontinued operations (0.04) - (0.01) ALL STAR MINERALS PLCCONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME YEAR ENDED 31 DECEMBER 2013Unaudited Unaudited Audited Year ended 6 month period 13 month period 31 Dec 13 ended 30 Jun 13 ended 31 Dec 12 GBP GBP GBP LOSS FOR THE YEAR/PERIOD (539,033) (136,438) (718,468) Other comprehensive income - Other movements 24,700 - 2,516 _______ _______ _______ TOTAL COMPREHENSIVE INCOME FOR THE YEAR (514,333) (136,438) (715,952) Attributable to: Equity holders (514,333) (136,438) (715,952) ALL STAR MINERALS PLCCONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2013Unaudited Unaudited Audited At 31 Dec 13 At 30 Jun 13 At 31 Dec 12 GBP GBP GBP NON CURRENT ASSETS Property, plant and equipment 160 275 371 Intangible assets - 489,070 453,942 Available for sale investment 1 1 1 Trade and other receivables 10,764 12,464 11,522 10,925 501,810 465,836 CURRENT ASSETS Trade and other receivables 92,612 26,558 59,267 Cash and cash equivalents 2,362 17,569 8,825 94,974 44,127 68,092 ______ ______ ______ TOTAL ASSETS 105,899 545,937 533,928 EQUITY PLUS NON-CONTROLLING INTEREST ISSUED SHARE CAPITAL AND RESERVES Share capital 350,428 340,728 315,728 Share premium 1,158,849 1,152,849 1,152,849 Reserves 720,452 696,894 695,752 Retained Profits (2,526,028) (2,126,226) (1,986,995) Foreign Exchange 28,500 - - _______ ______ ______ SUBSCRIBED CAPTIAL (267,799) 64,245 177,334 Non-controlling interest (57,460) 24,499 47,280 TOTAL EQUITY (325,259) 88,744 224,614 CURRENT LIABILTIES Trade and other payables 431,158 457,193 309,314 TOTAL EQUITY AND LIABILITIES 105,899 545,937 533,928 Notes: 1. The financial information for the year ended 31 December 2013and the six months ended 30 June 2013has not been audited and does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. 2. Basic loss per share has been calculated using the weighted average number of shares of 335,668,046 (30.6.13: 322,358,154; 31.12.12: 291,845,193). Given the loss per share, there are no dilutive instruments in issue. 3. The Directors do not intend to declare a dividend in relation to the year ending 31 December 2013. 4. The Company confirms that is has not complied with guidance note 69.1 throughout the relevant period. All directors hold more than one executive directorship position but believe this does not prohibit them from committing sufficient time to the performance of their duties. 5. The Directors of the issuer accept full responsibility for this announcement.