Tiger Resource : Annual Report and Financial Statements for the year ended 31 December 2018

TIGER RESOURCE PLC

ANNUAL REPORT and FINANCIAL STATEMENTS

for the year ended 31 December 2018

Contents

BUSINESS OVERVIEW

	Officers and Professional Advisers	2
	Chairman's Statement	3
	Portfolio Review	4
	Strategic Report	8
FINANCIAL STATEMENTS
	Report of the Directors	11
	Corporate Governance Statement	15
	Statement of Directors' Responsibilities	17
	Independent Auditors' Report	18
	Consolidated and Parent Company Statements of Comprehensive Income	21
	Consolidated Statement of Changes in Equity	22
	Parent Company Statements of Changes in Equity	23
	Consolidated and Parent Company Statements of Financial Position	24
	Consolidated and Parent Company Cash Flow Statements	25
	Notes to the Financial Statements	26
AGM NOTICE
	Notice of Annual General Meeting	45

FINANCIAL STATEMENTS BUSINESS OVERVIEW

AGM NOTICE

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Officers And Professional Advisers

DIRECTORS

C Bird (Chairman)

M H Nolan

R Samtani

SECRETARY

R Samtani

REGISTERED OFFICE

7-8 Kendrick Mews

London

SW7 3HG

NOMINATED ADVISER

Beaumont Cornish Limited

10th Floor

30 Crown Place

London

EC2A 4EB

BROKER

Novum Securities Ltd

8-10 Grosvenor Gardens

London

SW1W 0DH

REGISTERED NUMBER

02882601

AUDITORS

Rees Pollock

35 New Bridge Street

London

EC4V 6BW

BANKERS

Allied Irish Bank Plc

10 Berkeley Square

London

W1J 6AA

SOLICITORS

Fladgate LLP

16 Great Queen Street

London

WC2B 5DG

REGISTRARS

Computershare Investor Services (Ireland) Limited

3100 Lake Drive

Citywest Business Campus

Dublin 24

D24 AK82

Ireland

WEBSITE

www.tiger-rf.com

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TIGER RESOURCE plc  Annual Report 2018

Chairman's Statement

OVERVIEW

Dear Shareholder,

The year under review has seen Tiger's net asset value fall to 0.4p per share from 0.62p per share as at 31 December 2017, representing a 35% fall in NAV during the year ended 31 December 2018. The decrease in NAV has resulted mainly due to the investment portfolio reacting in a similar downward trend in line with junior resource markets.

The Company, however, benefited from individual stocks which performed well during the year and has realised profits where possible. Tiger sold 95,000 Rockrose Energy Plc ("Rockrose") shares in February 2018 realising a net gain of £293,854 on the disposal and also cashed in an additional amount of £142,500 as a result of a capital distribution made by Rockrose shortly after the sale of this investment.

During the period under review, Tiger made investments in Bezant Resources Plc, Corallian Energy Limited, Block Energy Plc ("Block") and Royal Dutch Shell Plc. Block has performed well in recent months and Tiger took the opportunity to crystallise a profit by selling half of its holding in this investment in April this year. The portfolio has suffered due to poor market conditions affecting the smaller cap resource sector disproportionally. Constant geopolitical negativity has impacted confidence throughout the business and investing communities. This being so, we are at the time of writing, experiencing market highs in major indices worldwide which seems to contradict the aforementioned point. I personally believe that major stock markets resemble a "rollercoaster" with investors keen to join in but uncertain and frightened once invested. As we have experienced in previous cycles, the trigger for investors pushing the "sell" button will inevitably be when global economies start showing signs of stress, which will probably lead to a recession. The stress will most likely affect the banking system which again will be looking inwards resulting

in reduced funds being available to businesses and therefore further restraining economic growth.

Against the above scenario, emerging markets are showing relative strength and direction; a phenomenon which inevitably will lead to greater consumer demand as disposable incomes improve and overall fortunes improve. This setting should be beneficial for commodities as the demand arising will put further pressure on limited supply.

The long anticipated price appreciation for Copper has not yet materialised, predominantly due to the threat of trade wars and ongoing geopolitical uncertainties. The slow-down in the increase of the price of Copper has resulted in several projects being shelved and exploration activities reduced either from a lack of confidence or from difficulty in accessing funding. This scenario is building the perfect storm for Copper and certain other key base metals and the Board of Tiger is very bullish for Copper exploration companies which have one or more assets that can breach the "one million tonnes of contained copper" threshold.

The aforementioned scenario, whilst not for all commodities, is also true for most base metals. The prospect for metals required for mass producing electric powered vehicles ("EV") is very positive with Cobalt in particular having excellent fundamentals. Whilst the industry recognises the efficiency of Cobalt, there are real worries about future supplies and thus other metals such as Nickel may benefit as evolving technology looks for substitutes. Nonetheless, we feel that there is a very favourable investment case for Cobalt in the coming years. The advent of this new asset class in EV provides an impetus to our strategy and we intend to apply our investment and operational experience of the "old world" model to good effect in this new EV environment.

The junior natural resource sector has generally shown a "disconnect" between metal prices and forecast demand for commodities with much lethargy and fear prevailing. A resolution to the China/US issues together with easing tension in the Middle-East may well be a catalyst for improved investment conditions. Conversely, should there be no resolution to the negotiations or indeed an escalation to the trade war, we could well see an adverse effect on markets across the board.

The Directors remain convinced that the best way forward is through proactive investment with involvement in underlying investee companies. This policy has resulted in relatively larger sized and more focused investments with fewer companies in Tiger's portfolio. In essence, we are gradually moving away from passive investing to more involved investment policy with a view to lessening risk in tougher times. A corollary to this is the fact that retail investors are now sophisticated in their approach and tend to make their own investment decisions. When Tiger was formed, the Company's mission was to provide an umbrella portfolio vehicle for an emerging investment population which had little or no knowledge of natural resource opportunities. This model is now largely redundant, and the Board feels that the proactive model will produce enhanced shareholder value in the medium term.

I would like to thank my fellow Directors and the Company's shareholders for their support in what has been a difficult year for our Company. We look forward to improved operating conditions and some of our investment producing above average returns, similar to our recent achievements in RockRose and Block.

Colin Bird - Executive Chairman 16 May 2019

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FINANCIAL STATEMENTS BUSINESS

AGM NOTICE

TIGER RESOURCE plc  Annual Report 2018

Portfolio Review

The table below includes available-for-sale investments only. Other investments held by the Group are disclosed in notes 7 and 8 to the financial statements.

		Number	Cost	Valuation	Valuation	Valuation
		31/12/18	31/12/18	31/12/18	31/12/17	31/03/19
INVESTMENTS:		£	£	£	£
	Anglo American Plc	11,500	250,117	200,997	178,193	236,152
	Ascent Resources Plc	-	-	-	6,750	-
	BMR Group Plc	2,500,000	50,217	-	40,750	-
	Bezant Resources Plc	55,555,556	250,434	66,667	-	55,556
	Barkby Group Plc
	(previously - Sovereign Mines of Africa Plc)	60,606	100,000	2,500	5,400	2,697
	Block Energy Plc	1,250,000	50,200	34,375	-	48,750
	Cabot Energy Plc	-	-	-	15,088	-
	Corallian Energy Limited	20,000	30,000	30,000	-	30,000
	Duke Royalty Limited	-	-	-	7,800	-
	ETFS Physical Platinum	-	-	-	146,767	-
	ETFS Copper	1,760	29,864	34,147	40,372	36,637
	Galileo Resources Plc	6,516,667	78,335	46,920	86,672	43,662
	Goldquest Mining Corporation	173,500	30,259	10,722	37,112	9,716
	Jersey Oil and Gas	-	-	-	6,319	-
	Jubilee Metals Group Plc	1,169,600	100,219	28,070	44,445	27,252
	MX Oil Plc	-	-	-	2,120	-
	PanContinental Oil and Gas NL	-	-	-	1,591	-
	Pantheon Resources	31,500	30,340	5,040	21,262	9,009
	Papua Mining Plc	-	-	-	2,714	-
	Revelo Resources Corp	216,667	62,965	1,278	2,882	1,560
	Rex Bionics Plc	-	37,500	-	-	-
	Rockrose Energy Plc	-	-	-	120,650	-
	Royal Dutch Shell Plc B Shares	5,400	146,468	126,357	-	65,556
	Sunrise Resources Plc	-	-	-	1,197	-
	Tertiary Minerals Plc	-	-	-	27,265	-
	TOTAL FOR THE PARENT COMPANY		1,246,918	587,073	795,349	566,547

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TIGER RESOURCE plc  Annual Report 2018