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Zambezi Resources (ZRL)

Sector:

Mining

Index:

FTSE AIM All-Share

Market Cap

£2.47m

Change Today

0.000p ()

Share Price

1.25p

Quarterly Cash Flow Review

RNS Number : 2874A

Zambezi Resources Ltd

31 July 2008

Zambezi Resources Limited

Quarterly Cash flow report

for the period endED 30 JUNE 2008

Zambezi Resources Limited (AIM:ZRL; ASX:ZRL) sets out below its quarterly cash flow report.

For more information contact:

Julian Ford, Managing Director Zambezi Resources (Australia) +61 (08) 9216 9000 +61 (0) 418 949 580	Jeremy Wrathall, Non-Executive Director Zambezi Resources (London) Mob: +44 7712 776 100
Fiona Owen Grant Thornton UK LLP +44 20 7383 5100	Simon Edwards / Adam Lloyd Evolution Securities Ltd + 44 20 7071 4300
Nicholas Read / Kate Bell Read Corporate +61 (08) 9388 1474 +61 (0) 419 929 046	Laurence Read / Graham Herring Threadneedle Communications +44 20 7936 9600

Appendix 5B

Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001.

Name of entity

ZAMBEZI RESOURCES LIMITED

ARBN		Quarter ended ("current quarter")
124 462 826		30 JUNE 2008

Consolidated statement of cash flows

Cash flows related to operating activities		Current quarter GBP '000	Year to date (3 months) GBP '000
1.1	Receipts from product sales and related debtors	1	1
1.2	Payments for (a) exploration and evaluation (b) development (c) production (d) administration	(2,935) (1,053)	(2,935) (1,053)
1.3	Dividends received
1.4	Interest and other items of a similar nature received	44	44
1.5	Interest and other costs of finance paid
1.6	Income taxes paid	(16)	(16)
1.7	Other - Joint Venture Partner contributions	1,858	1,858
	Net Operating Cash Flows	(2,101)	(2,101)
	Cash flows related to investing activities
1.8	Payment for purchases of: (a)prospects (b)equity investments (c) other fixed assets	(66)	(66)
1.9	Proceeds from sale of: (a)prospects (b)equity investments (c)other fixed assets	-	-
1.10	Loans to other entities
1.11	Loans repaid by other entities
1.12	Other (provide details if material)
	Net investing cash flows	(66)	(66)
1.13	Total operating and investing cash flows (carried forward)	(2,167)	(2,167)

1.13	Total operating and investing cash flows (brought forward)	(2,167)	(2,167)
	Cash flows related to financing activities
1.14	Proceeds from issues of shares, options, etc.	-	-
1.15	Proceeds from sale of forfeited shares
1.16	Proceeds from borrowings
1.17	Repayment of borrowings	(1)	(1)
1.18	Dividends paid
1.19	Other - Costs of capital raising	-	-
	Net financing cash flows	(1)	(1)
	Net increase (decrease) in cash held	(2,168)	(2,168)
1.20	Cash at beginning of quarter/year to date	4,411	4,411
1.21	Exchange rate adjustments to item 1.20	6	6
1.22	Cash at end of quarter	2,249	2,249

Payments to directors of the entity and associates of the directors

Payments to related entities of the entity and associates of the related entities

Current quarter

GBP '000

1.23

Aggregate amount of payments to the parties included in item 1.2

98

1.24

Aggregate amount of loans to the parties included in item 1.10

1.25

Explanation necessary for an understanding of the transactions

Directors' fees & salaries for the quarter.

Non-cash financing and investing activities

2.1

Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

2.2

Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest

Financing facilities available

Add notes as necessary for an understanding of the position.

Amount available

GBP '000

Amount used

GBP '000

3.1

Loan facilities

3.2

Credit standby arrangements

Estimated cash outflows for next quarter

		GBP '000
4.1	Exploration and evaluation	500
4.2	Development
	Total	500

Reconciliation of cash

Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows.		Current quarter GBP '000	Previous quarter GBP '000
5.1	Cash on hand and at bank	888	778
5.2	Deposits at call	1,361	3,633
5.3	Bank overdraft
5.4	Other (provide details)
	Total: cash at end of quarter (item 1.22)	2,249	4,411

Changes in interests in mining tenements

Tenement reference

Nature of interest

(note (2))

Interest at beginning of quarter

Interest at end of quarter

6.1

Interests in mining tenements relinquished, reduced or lapsed

6.2

Interests in mining tenements acquired or increased

Issued and quoted securities at end of current quarter

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

		Total number	Number quoted	Issue price per security (see note 3) (GBP)	Amount paid up per security (see note 3) (GBP)
7.1	Preference +securities (description)
7.2	Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs, redemptions
7.3	+Ordinary securities	188,185,279	188,185,279
7.4	Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs
7.5	+Convertible debt securities (description)
7.6	Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted
7.7	Options (description and conversion factor)	2,190,000 4,390,000 1,000,000 100,000 140,000 500,000 2,080,000 1,850,000		Exercise price (GBP) 0.12 0.14 0.16 0.165 0.175 0.20 0.20 0.13	Expiry date 26 July 2009 9 June 2009 22 June 2010 22 August 2008 10 June 2010 23 December 2009 31 August 2011 31 March 2011
7.8	Issued during quarter
7.9	Exercised during quarter
7.10	Expired during quarter
7.11	Debentures (totals only)
7.12	Unsecured notes (totals only)

Compliance statement

1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).

2 This statement does /does not* (delete one) give a true and fair view of the matters disclosed.

Sign here: Chief Financial Officer Date: 31 July 2008

Print name: Lloyd Flint

Notes

1 The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.

2 The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in a mining tenement, it should disclose the change of percentage interest and conditions precedent in the list required for items 6.1 and 6.2.

3 Issued and quoted securities: The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities.

4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.

5 Accounting Standards: ASX will accept, for example, the use of International Accounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with.

== == == == ==

This information is provided by RNS

The company news service from the London Stock Exchange

END

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