Operational update

19 August 2016

(“Fox Marble” or the “Company”)


Fox Marble, the AIM listed company focused on marble quarrying and finishing in Kosovo and the Balkans region, is pleased to provide the following operational update ahead of the publication of its InterimResults for the six months ended 30 June 2016, expected to be announced on or before 30 September 2016.

  • The 2016 order book currently stands at €4.1 million, €0.5 million lower than previously announced on 29 June 2016 due to the impact of currency fluctuations on Pound Sterling orders post the EU Referendum and a revised order from a customer included in the order book. The Board however confirms it is beginning to see progress not only in an increasing the order book but conversion of the order book into sales and anticipates fulfilling the Company’s order book for the 2016 financial year.
  • Revenues for the half year are €0.26 million, with advances received totalling €415,000. The Company’s cash balance at 30 June 2016 was €2.69 million and follows a successful £2 million placing during June 2016.
  • Factory nearing completion with two of the three eighty-blade block processing gangsaws installed, the block yard prepared and the two gantry cranes operational. The resin line is on route from Italy to Kosovo for installation. As previously announced, the power and water to supply the processing plant are already in place. Commencement of installation of the polishing line is anticipated during September 2016, and once installed, the factory will be complete.
  • The factory will allow Fox Marble to make in-house processed material available for direct sale around the world and, importantly, give the Company access to the local Balkan market for processed stone products.
  • Delivery has commenced under the long-term distribution agreement entered into with Eboracum Marble Limited, a company based in the north of England, through which a €2 million order for a range of marble slabs has been received. An advance payment on this purchase order of €390,000 was received in March 2016.
  • In addition to previously announced progress on distribution arrangements, further partnership agreements are under negotiation in the Middle East, India, the Balkans and North America, as sales channels in these areas are being developed.
  • Blocks of commercial size and quality being extracted at the Malesheva quarry, which contains both the Bianco Illirico white marble and the Illirico Selene grey marble, examples of both of which have been sold. As at July 2016, the Company has 750 tonnes of Illirico marble in stock.
  • New bench opened at the Prilep quarry in Macedonia from which higher grades of the white Sivec marble are being extracted and as at July 2016, the Company has in excess of 1,000 tonnes of good quality Sivec in stock.

Commenting on the Company’s progress, CEO Chris Gilbert, said:

“We are beginning to see progress not only in an increasing order book, but conversion of the order book into sales and the Board anticipates fulfilling the Company’s order book for the 2016 financial year."

“In addition to positive progress on the Company’s quarry operations, the Company has made significant progress on its factory with all the equipment on site or on route to Kosovo. The final assembly of the polishing and resin line will remove our reliance on processing in Carrara and enable the Company to benefit from the improved margins.”

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 of the European Parliament.

For more information on Fox Marble please visit www.foxmarble.net or contact:

Fox Marble Holdings plc
Chris Gilbert, Chief Executive Officer Tel: +44 (0) 20 7380 0999

Cairn Financial Advisers LLP (Nomad)
Liam Murray Tel: +44 (0) 20 7148 7900

Brandon Hill Capital (Broker)
Oliver Stansfield Tel: +44 (0) 20 3463 5000

Yellow Jersey PR
Dominic Barretto Tel: +44 (0) 7768 537 739

Notes to Editors:

Fox Marble Holdings Plc is an AIM quoted natural stone extraction Company operating in Kosovo and the Balkans region, with headquarters in the United Kingdom.

The Company has been granted mining licences in relation to six separate marble quarries and completed a maiden JORC resource indicating an in-situ valuation of approximately Euro 16.5 billion. Established in 2011, Fox Marble has access to over 300 million cubic metres of premium quality marble.

Fox Marble also has rights to extract marble from the Drini and Malesheva quarries, both in Kosovo and from the Prilep Quarry in Macedonia.