Caseware UK (AP4) 2024.0.164 2024.0.164 2024-12-312024-12-312024-12-312024-01-01false75falsefalsefalse 09411191 2024-01-01 2024-12-31 09411191 2023-01-01 2023-12-31 09411191 2024-12-31 09411191 2023-12-31 09411191 2023-01-01 09411191 c:Director1 2024-01-01 2024-12-31 09411191 c:Director2 2024-01-01 2024-12-31 09411191 c:Director3 2024-01-01 2024-12-31 09411191 c:Director4 2024-01-01 2024-12-31 09411191 c:Director5 2024-01-01 2024-12-31 09411191 c:Director6 2024-01-01 2024-12-31 09411191 c:Director7 2024-01-01 2024-12-31 09411191 c:RegisteredOffice 2024-01-01 2024-12-31 09411191 d:PlantMachinery 2024-01-01 2024-12-31 09411191 d:MotorVehicles 2024-01-01 2024-12-31 09411191 d:FurnitureFittings 2024-01-01 2024-12-31 09411191 d:ComputerEquipment 2024-01-01 2024-12-31 09411191 d:CurrentFinancialInstruments 2024-12-31 09411191 d:CurrentFinancialInstruments 2023-12-31 09411191 d:CurrentFinancialInstruments d:WithinOneYear 2024-12-31 09411191 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 09411191 d:ShareCapital 2024-01-01 2024-12-31 09411191 d:ShareCapital 2024-12-31 09411191 d:ShareCapital 2023-01-01 2023-12-31 09411191 d:ShareCapital 2023-12-31 09411191 d:ShareCapital 2023-01-01 09411191 d:ForeignCurrencyTranslationReserve 2024-01-01 2024-12-31 09411191 d:RetainedEarningsAccumulatedLosses 2024-01-01 2024-12-31 09411191 d:RetainedEarningsAccumulatedLosses 2024-12-31 09411191 d:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 09411191 d:RetainedEarningsAccumulatedLosses 2023-12-31 09411191 d:RetainedEarningsAccumulatedLosses 2023-01-01 09411191 c:OrdinaryShareClass1 2024-01-01 2024-12-31 09411191 c:OrdinaryShareClass1 2024-12-31 09411191 c:OrdinaryShareClass1 2023-12-31 09411191 c:OrdinaryShareClass2 2024-01-01 2024-12-31 09411191 c:OrdinaryShareClass2 2024-12-31 09411191 c:OrdinaryShareClass2 2023-12-31 09411191 c:FRS102 2024-01-01 2024-12-31 09411191 c:Audited 2024-01-01 2024-12-31 09411191 c:FullAccounts 2024-01-01 2024-12-31 09411191 c:PrivateLimitedCompanyLtd 2024-01-01 2024-12-31 09411191 d:Subsidiary1 2024-01-01 2024-12-31 09411191 d:Subsidiary1 1 2024-01-01 2024-12-31 09411191 d:Subsidiary2 2024-01-01 2024-12-31 09411191 d:Subsidiary2 1 2024-01-01 2024-12-31 09411191 d:Subsidiary3 2024-01-01 2024-12-31 09411191 d:Subsidiary3 1 2024-01-01 2024-12-31 09411191 d:Subsidiary4 2024-01-01 2024-12-31 09411191 d:Subsidiary4 1 2024-01-01 2024-12-31 09411191 d:Subsidiary5 2024-01-01 2024-12-31 09411191 d:Subsidiary5 1 2024-01-01 2024-12-31 09411191 d:Subsidiary6 2024-01-01 2024-12-31 09411191 d:Subsidiary6 1 2024-01-01 2024-12-31 09411191 d:Subsidiary7 2024-01-01 2024-12-31 09411191 d:Subsidiary7 1 2024-01-01 2024-12-31 09411191 d:Subsidiary8 2024-01-01 2024-12-31 09411191 d:Subsidiary8 1 2024-01-01 2024-12-31 09411191 d:Subsidiary9 2024-01-01 2024-12-31 09411191 d:Subsidiary9 1 2024-01-01 2024-12-31 09411191 d:Subsidiary10 2024-01-01 2024-12-31 09411191 d:Subsidiary10 1 2024-01-01 2024-12-31 09411191 d:Subsidiary11 2024-01-01 2024-12-31 09411191 d:Subsidiary11 1 2024-01-01 2024-12-31 09411191 d:Subsidiary12 2024-01-01 2024-12-31 09411191 d:Subsidiary12 1 2024-01-01 2024-12-31 09411191 d:Subsidiary13 2024-01-01 2024-12-31 09411191 d:Subsidiary13 1 2024-01-01 2024-12-31 09411191 d:Subsidiary18 2024-01-01 2024-12-31 09411191 d:Subsidiary18 1 2024-01-01 2024-12-31 09411191 c:Consolidated 2024-12-31 09411191 c:ConsolidatedGroupCompanyAccounts 2024-01-01 2024-12-31 09411191 2 2024-01-01 2024-12-31 09411191 6 2024-01-01 2024-12-31 09411191 7 2024-01-01 2024-12-31 09411191 d:JointVenture1 2024-01-01 2024-12-31 09411191 d:JointVenture1 1 2024-01-01 2024-12-31 09411191 e:USDollar 2024-01-01 2024-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 09411191










UNITED MINING SERVICES LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

 
UNITED MINING SERVICES LIMITED
 
 
COMPANY INFORMATION


Directors
Alexander Zachary Haller 
Robin Zachary Haller 
Digby John Glover 
Pieter Andries de Frey 
Murray Usher MacNab 
Clifford Michael Pattenden 
Nigel John Townshend 




Registered number
09411191



Registered office
3rd Floor
1 Ashley Road

Altrincham

Cheshire

WA14 2DT




Independent auditors
Sumer Auditco Limited
Chartered Accountants & Statutory Auditors

14th Floor

33 Cavendish Square

London

W1G 0PW





 
UNITED MINING SERVICES LIMITED
 

CONTENTS



Page
Group strategic report
1 - 5
Directors' report
6 - 7
Independent auditors' report
8 - 12
Consolidated statement of comprehensive income
13
Consolidated balance sheet
14
Company balance sheet
15
Consolidated statement of changes in equity
16 - 17
Company statement of changes in equity
18 - 19
Consolidated statement of cash flows
20 - 21
Consolidated analysis of net debt
21
Notes to the financial statements
22 - 48


 
UNITED MINING SERVICES LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

Review of activities and future developments
 
The principal activities continue to be that of underground mine construction through the sinking and equipping of vertical and decline shafts, professional design and engineering services as well as procurement services.
The Group has again performed satisfactorily for the year under review. Group revenue amounted to $60.0m (2023 as restated: $65.3m). Despite marginally lower revenues gross profit margins increased to 23.9% from last year's 23.2% (as restated). Enhanced policies and procedures and tight cost control culminated in a 8% reduction in administrative costs including depreciation, this is against average headline inflation of 4.5% in South Africa. The Group avails of no external funding other than shareholders loans of $1.0m (2023: $2.2m). The Group profit for the year after taxation and excluding comprehensive income and minority interest amounted to $4.9m (2023 as restated: $4.4m).
Whilst the operations of the Group continued to be concentrated in South Africa, the Group continued its strategy of expanding internationally. Flagship projects in the USA, South America, UK and the rest of Africa are progressing well and the focus is on continued business development and joint venture opportunities in identified key locations.
People are no doubt the Group's biggest asset and the Group prides itself on its 2024 safety performance which was excellent on all accounts. Attracting the best talent to provide the best service to our increasing client base locally and internationally remains a key focus. 
The continued capital investment into equipment and machinery has reaped rewards and the Group prides itself in an extensive array of shaft sinking and associated equipment available for internal use, sale or rental.
Statutory Compliance and Corporate Governance is a key focus and the group through various standards, policies and procedures and the use of qualified consultants ensures that compliance in all jurisdictions remains at the highest level.

Financial risk management objectives and policies
 
The risk of inadequate funding or inappropriately managing the funding of the business is one of the primary risks that could affect the Group’s ability to trade. Other significant financial risks include the safeguarding of assets, inappropriate tendering prices that could cause the Group to lose potential contracts or undertake contracts which are unprofitable.
For each of these risks the Group has implemented appropriate policies and procedures and executive management regularly reviews performance against set targets. Daily reviews of funding and liquidity positions with rolling forecasts and strong controls have been implemented and enables executive management to effectively manage risk. Insurance is taken to protect the Group against the risk of fraud or theft of funds.

Safety
The number of hours worked for the Group during 2024 were 25,421 less than those worked during 2023. Due to the mix of group activities, shifts and hours are not always linear with the movement in revenue.
The Lost Time Injury Frequency Rate ("LTIFR") went from 0.14 during 2023 to nil during 2024 as zero Lost Time Injuries ("LTI") were recorded during 2024 (calculated per 200,000 hours, calendar year). This is a remarkable reduction. 
A total of 22 injury-related incidents were experienced, i.e., 19 First Aid Cases, and 3 Medical Treatment Cases.
The safety performance indicators for 2024 were as follows:
Shifts worked: 176,363 (2023: 179,158)
 
Page 1

 
UNITED MINING SERVICES LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Hours worked: 1,414,514 (2023: 1,439,935)
Near Hits: 9 (2023: 9)
Damage: 22 (2023: 33)
First Aid Cases: 19 (2023: 16)
Non Lost Time Injuries (MTC): 3 (2023: 5) 
Lost Time Injuries: Nil (2023: 1)
Reportable Injuries: Nil (2023: 1)
Zero fatalities were experienced for 2024 (last fatal incident was experienced in the Group during 2014). Once again, a remarkable achievement. Current efforts both to be maintained and improved to ensure the ongoing prevention of fatalities.    
The following achievements are noted for 2024:

Zero Lost Time Injuries were recorded for 2024.
The first 3 of the planned 9 Critical Risk Management Protocols were rolled out. This includes drafting, training, implementation, and auditing.
Detailed review of the Project Execution Process was conducted and implemented. In support of the mentioned process, a detailed Project Initiation & Planning Process was drafted and implemented.
External certification of the Integrated Business Management system was again maintained. This includes ISO 9001, ISO 14001 & ISO 45001 (DEKRA, German Certification Body).
Several business improvements have been made, resulting in continuous improvement.

Business risk
Our ability to identify and manage the risks to our business is critical to our success. The Directors have identified the following key operational risks:
• Project Performance 
Ineffective and inefficient project management could lead to additional costs being incurred which will affect the overall project performance and therefore the financial performance of the Group. Managing contract risk is essential as the Group may commit to contractual terms and conditions that expose it to excessive financial risks and potential cost overruns. Since the formation of the Group, policies and procedures have been instituted for contract approval including bid approval models, peer review and Board approval. Experienced management teams have been recruited for all service offerings with the relevant technical and industry knowledge. All contracts are reviewed by internal legal staff and regular project performance reviews are undertaken involving finance, commercial and operational personnel.
• Safety Risk 
Due to the nature of the Group’s operations, safety is a significant issue for the Company. Failure to maintain high levels of safety can result in harm and serious injury to our employees and significantly impact our ability to carry out our business. A comprehensive set of safety procedures are in place and these are regularly reviewed and updated for any new risks which have been identified. In addition, the Group regularly introduces new safety campaigns to improve performance. A dedicated Safety, Health, Environment, Quality and Training department (SHEQT) monitors safety performance and events on a daily basis. Each site has a dedicated safety officer responsible for managing safety matters, including monitoring the progress of action plans, reporting on safety incidents and ensuring the Group’s policies are being adhered to.
• Political Risk 
There are political, social and labour relations risks in some of the geographies where the Group operates. The political, social or economic environment in any jurisdiction may change leading to the inability to realise the expected results from our projects. The Group seeks to mitigate these risks where possible by diversifying both geographically and in terms of end users. Political risks are mitigated through contractual terms agreed.

 
Page 2

 
UNITED MINING SERVICES LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


• Legal and Regulatory 
Changes in standards, laws and regulations in the countries where we operate affect our business. Some of the jurisdictions in which the Group operates pose particular and often heightened reputational issues that need to be managed appropriately. We are conscious of the risk of failure to comply with anti-bribery, anti-corruption, anti-money laundering and/or sanctions laws and regulations which could lead to financial penalties and criminal prosecutions. We adhere to the principle of self-regulation backed by appropriate policies and management review. The Group actively monitors regulatory and political developments on a continuous basis to ensure we are in compliance with all relevant regulations. We have developed a Group-wide anti-bribery and corruption policy which has been implemented throughout the Group.
• Commodity Cycle 
The Group’s customers operate in markets which are closely linked to the global economic environment and the commodities cycle. As a result, demand for the Group’s services are impacted by changes in global economic performance. The Group seeks to mitigate this risk by pursuing a strategy to increase geographic, commodity and end market diversity.
• South African Operations, Black Economic Empowerment 
The ability to generate work in South Africa, the traditional home base of the Group, requires compliance with the South African Government’s black economic empowerment policies and depends on the South African Companies BBBEE ratings. The various elements of the BBBEE scorecard are tracked monthly and management continuously explores how to improve the rating.

Key performance indicators
 
The Group utilises the following key performance indicators:
 
Order Book and Pipeline: value of contracts on hand, high probability awards, tenders submitted, prospects and leads.
Contribution and Contribution Margin: Project-level Revenues less Cost of Sales.
Overheads and Under-recovered Overheads.
Cash Flow.

In the opinion of the directors, disclosure of information on the key performance indicators would be prejudicial to the interests of the Group.

Section 172(1) Statement
 
This Section 172(1) Statement sets out how United Mining Services Ltd ("the Company") has considered the interests of its stakeholders and fulfilled its duties under Section 172 of the Companies Act 2006. The Group recognises the importance of sustainable and responsible business practices, and the need to balance the interests of various stakeholders, including shareholders, employees, customers, suppliers, the environment, and the communities in which we operate.
Promoting the Success of the Group
The Group believes that long-term success is achieved by considering the interests of all stakeholders and adopting a sustainable and responsible approach to mining services. This approach includes:
 
providing exceptional services to our mining industry clients, ensuring their operational efficiency, safety, and sustainability;
maintaining strong corporate governance practices to safeguard the interests of our shareholders and employees and ensure transparency and accountability;
fostering a culture of innovation, continuous improvement, and adaptability to meet the evolving needs of the mining sector; and
Page 3

 
UNITED MINING SERVICES LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

making informed investment decisions that balance short-term profitability with long-term value creation and sustainable growth.

Stakeholder considerations
The Group recognises the importance of understanding and considering the interests of its stakeholders in decision-making processes. We strive to:
 
foster a safe and inclusive working environment that respects the rights and dignity of our employees and promote their professional development, well-being, and engagement;
build and maintain strong relationships with our customers by providing high-quality services, addressing their needs, and ensuring transparency in our operations;
collaborate with suppliers to promote responsible sourcing practices, ethical standards, and fair business conduct;
minimise the environmental impact of our operations by implementing sustainable practices, promoting energy efficiency, and reducing our carbon footprint; and
engage with local communities to understand their concerns, contribute positively to their development, and ensure responsible land and resource management.

Decision-making and consultation
The Group is committed to robust decision-making processes that consider the diverse perspectives of stakeholders. We:
 
encourage open communication and regular consultation with all stakeholders, seeking their input and providing transparent information about the Company's performance and strategy;
consult with employees, recognising their expertise and insights, and considering their interests in matters that affect them;
engage with customers, suppliers, and other external stakeholders to understand their expectations and requirements and incorporate them into our decision-making processes; and
encourage directors and management to engage with the broader community, industry bodies, and regulators to stay informed and shape responsible business practices.

Monitoring, Reporting, and Improvement
The Group continuously monitors its performance, reports on its activities, and strives for continuous improvement. We:
 
maintain effective mechanisms to monitor and assess the impact of our actions on stakeholders and make necessary adjustments;
produce regular reports that transparently communicate our financial performance and social responsibility efforts; and
conduct regular reviews of our policies, practices, and governance structures to identify areas for improvement and ensure compliance with relevant laws, regulations, and industry standards.

The Group remains committed to upholding its Section 172 duties by promoting the long-term success of the business, considering the interests of stakeholders, and conducting its operations in a sustainable and responsible manner. By maintaining strong relationships, fostering a positive impact, and striving for continuous improvement, we aim to create value for our shareholders while contributing to the broader well-being of our stakeholders and the communities in which we operate.

Page 4

 
UNITED MINING SERVICES LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


This report was approved by the board on 4 July 2025 and signed on its behalf.








Robin Zachary Haller
Director

Page 5

 
UNITED MINING SERVICES LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024

The directors present their report and the financial statements for the year ended 31 December 2024.

Directors' responsibilities statement

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Group's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Principal activity

United Mining Services Limited is a holding entity of a trading group incorporated in United Kingdom with interests in the mining industry. The principal activities of the Group continue to be that of underground mine construction through the sinking and equipping of vertical and decline shafts, professional design and engineering services as well as procurement services.

Results and dividends

The profit for the year, after taxation and excluding minority interests, amounted to $4,919,719 (2023 as restated - $4,412,462).

The Company did not pay a dividend during the year (2023: $Nil).

Directors

The directors who served during the year were:

Alexander Zachary Haller 
Robin Zachary Haller 
Digby John Glover 
Pieter Andries de Frey 
Murray Usher MacNab 
Clifford Michael Pattenden 
Nigel John Townshend 
Page 6

 
UNITED MINING SERVICES LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024


Engagement with suppliers, customers and others

Details of the Group's engagement with various stakeholders are described in the Section 172(1) Statement on page 3 - 4.

Greenhouse gas emissions, energy consumption and energy efficiency action

The Group has not disclosed information in respect of greenhouse gas emissions, energy consumption and energy efficiency action as its energy consumption in the United Kingdom for the year is 40,000kWh or lower.

Matters covered in the Group strategic report

Management's review of developments and future prospects and principal risks and uncertainties are included in the Strategic Report.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Auditors

The auditors, Sumer Auditco Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 4 July 2025 and signed on its behalf.
 





Robin Zachary Haller
Director

Page 7

 
UNITED MINING SERVICES LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNITED MINING SERVICES LIMITED
 

Opinion


We have audited the financial statements of United Mining Services Limited (the 'Parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated statement of comprehensive income, the Consolidated balance sheet, the Company balance sheet, the Consolidated statement of cash flows, the Consolidated statement of changes in equity, the Company statement of changes in equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Group's and of the Parent Company's affairs as at 31 December 2024 and of the Group's profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the Parent Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Page 8

 
UNITED MINING SERVICES LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNITED MINING SERVICES LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' report thereon. The directors are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

In our opinion, based on the work undertaken in the course of the audit:


the information given in the Group strategic report and the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Group and the Parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group strategic report or the Directors' report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept by the Parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the Parent Company financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Page 9

 
UNITED MINING SERVICES LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNITED MINING SERVICES LIMITED (CONTINUED)


Responsibilities of directors
 

As explained more fully in the Directors' responsibilities statement set out on page 6, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the Group's and the Parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the Parent Company or to cease operations, or have no realistic alternative but to do so.


Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Group financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

In order to identify and assess the risks of material misstatements, including fraud and non-compliance with laws and regulations that could be expected to have a material impact on the financial statements, we have considered:
•  the results of our enquiries of management and those charged with governance of their assessment
           of the risks of fraud and irregularities;
•  the nature of the Group, including its management structure and control systems (including the
           opportunity for management to override such controls);
•  management’s incentives and opportunities for fraudulent manipulation of the financial statements
           including the Group’s remuneration and bonus policies and performance targets; and
•  the industry and environment in which it operates.
Based on this understanding we identified the following matters as being of significance to the entity:
•  laws and regulations considered to have a direct effect on the financial statements including UK financial
           reporting standards, Company Law, tax and pension legislation and distributable profits legislation;
•  the timing of the recognition of commercial income;
•  compliance with legislation relating to health and safety; and local employment law;
•  management bias in selecting accounting policies and determining estimates;
•  inappropriate journal entries;
•  manipulation of specific performance measures to meet remuneration targets;
•  recoverability of trade and other receivables;
•  the requirement to impair its inventories and investments and the amount of any such impairment; and
•  understatement of liabilities.
We communicated the outcomes of these discussions and enquiries, as well as consideration as to where and how fraud may occur in the entity, to all engagement team members including the auditors of significant
Page 10

 
UNITED MINING SERVICES LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNITED MINING SERVICES LIMITED (CONTINUED)


components.
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised:
•          enquiries of management and those charged with governance as to whether the entity complies with     
           such laws and regulations;
•  enquiries with the same concerning any actual or potential litigation or claims;
•  discussion with the same regarding any known or suspected instances of non-compliance with
           laws and regulation and fraud;
•  inspection of relevant legal correspondence;
•  assessment of matters reported to management and the result of the subsequent investigation;
•  obtaining an understanding of the relevant controls during the year;
•  obtaining an understanding of the policies and controls over the recognition of income and testing
           their implementation during the year;
•  review documentation relating to compliance with the regulations relating to health and safety
           including health and safety certificates; and fire assessment reports;
•  challenging assumptions made by management in their specific accounting policies and estimates,
           in particular in relation to depreciation of tangible fixed assets; impairment of investments; carrying
           value of inventories;
•  identifying and testing journal entries, in particular any journal entries posted with unusual account
           combinations or crediting revenue;
•  assessing the recovery of debtors in the year since the balance sheet date and challenging
           assumptions made by management regarding the recovery of balances which remain outstanding;
•  assess the completeness of material trade and other payables;
•  reviewing the financial statements for compliance with the relevant disclosure requirements;
•  performing analytical procedures to identify any unusual or unexpected relationships or unexpected
           movements in account balances which may be indicative of fraud;
•  reviewing correspondence with HMRC;
•  evaluating the underlying business reasons for any unusual transactions; and
•  considered the implementation of controls during the year.
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Page 11

 
UNITED MINING SERVICES LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF UNITED MINING SERVICES LIMITED (CONTINUED)


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Shilen Manek FCA FCCA (Senior statutory auditor)
  
for and on behalf of
Sumer Auditco Limited
 
Chartered Accountants
Statutory Auditors
  
14th Floor
33 Cavendish Square
London
W1G 0PW

4 July 2025
Page 12

 
UNITED MINING SERVICES LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024


As restated
2024
2023
Note
$
$

  

Turnover
 4 
60,007,840
65,315,485

Cost of sales
  
(45,693,650)
(50,178,120)

Gross profit
  
14,314,190
15,137,365

Administrative expenses
  
(9,122,146)
(9,926,973)

Other operating income
 5 
323,185
290,778

Operating profit
 6 
5,515,229
5,501,170

Income from participating interests
  
453,489
1,003,876

Interest receivable and similar income
 10 
87,081
304,317

Interest payable and similar expenses
 11 
(210,720)
(271,888)

Profit before taxation
  
5,845,079
6,537,475

Tax on profit
 12 
(1,072,022)
(2,118,035)

Profit for the financial year
  
4,773,057
4,419,440

  

Currency translation differences
  
(319,633)
402,002

Other comprehensive (loss)/income for the year
  
(319,633)
402,002

Total comprehensive income for the year
  
4,453,424
4,821,442

Profit for the year attributable to:
  

Non-controlling interests
  
(146,662)
6,978

Owners of the Parent Company
  
4,919,719
4,412,462

  
4,773,057
4,419,440

Total comprehensive income for the year attributable to:
  

Non-controlling interest
  
(108,213)
138,263

Owners of the Parent Company
  
4,561,637
4,683,179

  
4,453,424
4,821,442

The notes on pages 22 to 48 form part of these financial statements.

Page 13

 
UNITED MINING SERVICES LIMITED
REGISTERED NUMBER: 09411191

CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2024

As restated
2024
2023
Note
$
$

Fixed assets
  

Intangible assets
 13 
838,363
549,157

Tangible assets
 14 
9,282,447
10,836,122

Investments
 15 
2,345,525
2,192,037

  
12,466,335
13,577,316

Current assets
  

Stocks
 16 
212,117
217,535

Debtors: amounts falling due within one year
 17 
13,676,151
16,002,134

Cash at bank and in hand
 18 
4,840,339
4,428,992

  
18,728,607
20,648,661

Creditors: amounts falling due within one year
 19 
(12,426,614)
(19,911,073)

Net current assets
  
 
 
6,301,993
 
 
737,588

Total assets less current liabilities
  
18,768,328
14,314,904

  

Net assets
  
18,768,328
14,314,904


Capital and reserves
  

Called up share capital 
 21 
11,135,896
11,135,896

Foreign exchange reserve
 22 
2,849,167
3,178,767

Profit and loss account
 22 
6,345,837
1,696,017

Equity attributable to owners of the Parent Company
  
20,330,900
16,010,680

Non-controlling interests
  
(1,562,572)
(1,695,776)

  
18,768,328
14,314,904


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 4 July 2025.




Robin Zachary Haller
Director

The notes on pages 22 to 48 form part of these financial statements.

Page 14

 
UNITED MINING SERVICES LIMITED
REGISTERED NUMBER: 09411191

COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
$
$

Fixed assets
  

Investments
 15 
21,297
20,102

  
21,297
20,102

Current assets
  

Debtors: amounts falling due within one year
 17 
3,517,125
3,242,212

Cash at bank and in hand
 18 
58,546
122,995

  
3,575,671
3,365,207

Creditors: amounts falling due within one year
 19 
(4,265,624)
(5,311,130)

Net current liabilities
  
 
 
(689,953)
 
 
(1,945,923)

Total assets less current liabilities
  
(668,656)
(1,925,821)

  

  

Net liabilities
  
(668,656)
(1,925,821)


Capital and reserves
  

Called up share capital 
 21 
11,135,896
11,135,896

Profit and loss account
 22 
(11,804,552)
(13,061,717)

  
(668,656)
(1,925,821)


The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own profit and loss account in these financial statements. The profit after tax of the Parent Company for the period was $1,257,165 (2023: $1,314,625).
The financial statements were approved and authorised for issue by the board and were signed on its behalf on 4 July 2025.




Robin Zachary Haller
Director

The notes on pages 22 to 48 form part of these financial statements.



Page 15
 

 
UNITED MINING SERVICES LIMITED


 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024



Called up share capital
Foreign exchange reserve
Profit and loss account
Equity attributable to owners of Parent Company
Non-controlling interests
Total equity


$
$
$
$
$
$


At 1 January 2024 (as previously stated)
11,135,896
3,178,767
1,594,102
15,908,765
(1,695,776)
14,212,989


Prior year adjustment
-
-
101,915
101,915
-
101,915


At 1 January 2024 (as restated)
11,135,896
3,178,767
1,696,017
16,010,680
(1,695,776)
14,314,904



Comprehensive income for the year


Profit for the year
-
-
4,919,719
4,919,719
(146,662)
4,773,057


Currency translation differences
-
(358,082)
-
(358,082)
38,449
(319,633)

Total comprehensive income for the year
-
(358,082)
4,919,719
4,561,637
(108,213)
4,453,424



Contributions by and distributions to owners


Movement of investment
-
28,482
(269,899)
(241,417)
241,417
-



Total transactions with owners
-
28,482
(269,899)
(241,417)
241,417
-



At 31 December 2024
11,135,896
2,849,167
6,345,837
20,330,900
(1,562,572)
18,768,328



The notes on pages 22 to 48 form part of these financial statements.

Page 16

 

 
UNITED MINING SERVICES LIMITED


 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023



Called up share capital
Foreign exchange reserve
Profit and loss account
Equity attributable to owners of Parent Company
Non-controlling interests
Total equity


$
$
$
$
$
$


At 1 January 2023 (as previously stated)
11,135,896
2,908,050
(2,738,000)
11,305,946
(1,834,039)
9,471,907


Prior year adjustment
-
-
21,555
21,555
-
21,555


At 1 January 2023 (as restated)
11,135,896
2,908,050
(2,716,445)
11,327,501
(1,834,039)
9,493,462



Comprehensive income for the year


Profit for the year (as restated)
-
-
4,412,462
4,412,462
6,978
4,419,440


Currency translation differences (as restated)
-
270,717
-
270,717
131,285
402,002

Total comprehensive income for the year (as restated)
-
270,717
4,412,462
4,683,179
138,263
4,821,442



At 31 December 2023 (as restated)
11,135,896
3,178,767
1,696,017
16,010,680
(1,695,776)
14,314,904



The notes on pages 22 to 48 form part of these financial statements.

Page 17
 
UNITED MINING SERVICES LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024


Called up share capital
Profit and loss account
Total equity

$
$
$

At 1 January 2024
11,135,896
(13,061,717)
(1,925,821)


Comprehensive income for the year

Profit for the year
-
1,257,165
1,257,165
Total comprehensive income for the year
-
1,257,165
1,257,165


At 31 December 2024
11,135,896
(11,804,552)
(668,656)


The notes on pages 22 to 48 form part of these financial statements.

Page 18

 
UNITED MINING SERVICES LIMITED
 

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Profit and loss account
Total equity

$
$
$

At 1 January 2023
11,135,896
(14,376,342)
(3,240,446)


Comprehensive income for the year

Profit for the year
-
1,314,625
1,314,625
Total comprehensive income for the year
-
1,314,625
1,314,625


At 31 December 2023
11,135,896
(13,061,717)
(1,925,821)


The notes on pages 22 to 48 form part of these financial statements.

Page 19

 
UNITED MINING SERVICES LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024

As restated
2024
2023
$
$

Cash flows from operating activities

Profit for the financial year
4,773,057
4,419,440

Adjustments for:

Depreciation of tangible assets
1,656,641
830,165

Losses / (gains) on disposal of tangible assets
1,454
(1,176)

Interest payable
210,720
271,888

Interest received
(87,081)
(304,317)

Taxation charge
1,072,022
2,118,035

Decrease in stocks
5,418
5,935,757

Decrease/(increase) in debtors
2,969,341
(7,936,845)

Decrease in creditors
(5,868,643)
(4,191,525)

Share of operating gains in joint ventures
(453,489)
(1,003,876)

Corporation tax paid
(2,135,082)
(1,661,913)

Foreign exchange losses
65,451
1,372,788

Net cash generated from operating activities

2,209,809
(151,579)


Cash flows from investing activities

Purchase of intangible fixed assets
(289,206)
(588,818)

Purchase of tangible fixed assets
(446,889)
(6,875,780)

Sale of tangible fixed assets
17,282
716,488

Interest received
87,081
304,317

Distributions from joint venture
300,001
500,000

Net cash used in investing activities

(331,731)
(5,943,793)

Cash flows from financing activities

Other new loans
23,951
-

New loans from group company
-
255,771

Loans from group company repaid
(1,198,939)
(1,233,387)

Interest paid
(210,720)
(271,888)

Net cash used in financing activities

(1,385,708)
(1,249,504)
Page 20

 
UNITED MINING SERVICES LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

As restated

2024
2023

$
$


  Net increase/(decrease) in cash and cash equivalents

492,370
(7,344,876)

Cash and cash equivalents at beginning of year
4,356,245
12,281,625

Foreign exchange gains and losses
(59,897)
(580,504)

Cash and cash equivalents at the end of year
4,788,718
4,356,245


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
4,840,339
4,428,992

Bank overdrafts
(51,621)
(72,747)

4,788,718
4,356,245



CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024





At 1 January 2024
Cash flows
Other non-cash changes
At 31 December 2024
$

$

$

$

Cash at bank and in hand

4,428,992

471,244

(59,897)

4,840,339

Bank overdrafts

(72,747)

21,126

-

(51,621)

Debt due within 1 year

(2,466,157)

1,174,988

-

(1,291,169)

Debt due after 1 year

-

-

-

-


1,890,088
1,667,358
(59,897)
3,497,549

The notes on pages 22 to 48 form part of these financial statements.

Page 21

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

United Mining Services Limited is a private company limited by shares, and is incorporated in England and Wales. The address of its registered office is 3rd Floor, 1 Ashley Road, Altrincham, Cheshire, WA14 2DT.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements is in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires Group management to exercise judgement in applying the Group's accounting policies (see note 3).
The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Cmprehensive Income in these financial statements.
The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated statement of comprehensive income from the date on which control is obtained. They are deconsolidated from the date control ceases.
In accordance with the transitional exemption available in FRS 102, the Group has chosen not to retrospectively apply the standard to business combinations that occurred before the date of transition to FRS 102, being 01 January 2018.

The results of the dormant subsidiary undertakings are not included in the consolidated financial statements. The aggregated results of these dormant subsidiaries are immaterial on a group basis.
In preparing the separate financial statements of the Parent Company, advantage has been taken of the disclosure exemptions available in FRS 102 whereby no Statement of Cash Flows has been presented for the Parent Company.

 
2.3

Going concern

The main activities of the Group comprise professional design and engineering Services, equipment supplies, procurement services and shaft and infrastructure construction activities for primarily the mining industry. The Group also continuously explore civil-tunneling, hydro-tunneling and related projects. Projects related to group activities are typically significant contractual arrangements spanning multiple reporting periods. The confirmed group order book for major projects continues into 2025, 2026 and 2027.
 
 
Page 22

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.3
Going concern (continued)

The Group believes in setting realistic achievable targets and for the 2024 financial year again performed well. A significant portion of annual revenues are earned from jurisdictions outside of South Africa and the group continues to expand globally. The Group commits significant resources to tendering and business development initiatives to secure new contracts and to support the growing order book.
 
The Group Financial model includes an annual profit and cashflow forecast underpinned by historical conversion ratios and the forward order book. Group cashflow is conservatively managed and other than guarantee facilities the Group avails of no third-party funding. In addition, the Group continues to enjoy financial support from its main shareholders.
 
The Directors and executive management team review revenue targets, profitability and cashflow forecasts on a monthly basis to ensure that group objectives are met and based on the results and key performance indicators the Directors believe that it remains appropriate to prepare the financial statements on a going concern basis.

 
2.4

Foreign currency translation

Functional and presentation currency

The financial statements are presented in USD, which is the Parent Company's and the UK registered group entity's functional currency. 
The subsidiaries in the group have functional currencies in South African Rand, Botswanan Pula, Brazilian Real, and Chilean Peso.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Consolidated statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

On consolidation, the results of overseas operations are translated into Dollars at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.
Page 23

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.4
Foreign currency translation (continued)


Page 24

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.5

Revenue

Revenue generated from mining consultancy services and technical drawings is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
•      the amount of revenue can be measured reliably;
•      it is probable that the Group will receive the consideration due under the contract;
•      the stage of completion of the contract at the end of the reporting period can be measured
        reliably; and
•      the costs incurred and the costs to complete the contract can be measured reliably.
Long-term contracts
The Group constructs and sinks shafts under long-term contracts with customers. Such contracts are entered into before construction of the mining shafts begins. Under the terms of the contracts, the Group is contractually restricted from redirecting the properties to another customer and has an enforceable right to payment for work done. Revenue from construction of mining shafts is therefore recognised over time on a cost–to–cost method, i.e.: based on the proportion of contract costs incurred for work performed to date relative to the estimated total contract costs. The Directors consider that this input method is an appropriate measure of the progress towards complete satisfaction of these performance obligations.
The Group becomes entitled to invoice customers for construction of mining shafts based on achieving a series of performance-related milestones. When a particular milestone is reached the customer is sent a relevant statement of work signed by a third party assessor and an invoice for the related milestone payment. The Group would also invoice its customers on proven cost. The Group will previously have recognised an amount receivable on long-term contract for any work performed. Any amount previously recognised as an amount receivable on long-term contract is reclassified to trade debtors at the point at which it is invoiced to the customer. If the milestone payment exceeds the revenue recognised to date under the cost–to–cost method then the Group recognises a payment received in advance for the difference. There is not considered to be a significant financing component in construction contracts with customers as the period between the recognition of revenue under the cost–to–cost method and the milestone payment is always less than one year.
When there is performance related terms in the group companies' contracts with their customers which would give rise to penalties or bonuses. Such penalties or bonuses are considered as a variation to revenue for services rendered which would also give rise to movements in the trade debtor balances.
Revenue is attributable to sales globally. In the opinion of the directors, disclosure of the geographical and sales type analysis of turnover would be prejudicial to the company.

Page 25

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.6

Operating leases: the Group as lessor

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight-line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

 
2.7

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.8

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.9

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.10

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

Page 26

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.11

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Group can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


 
2.12

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Since the assets are still being developed and not in use, no amortisation was chargeable on them during the year.

 
2.13

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Page 27

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.13
Tangible fixed assets (continued)

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
Between 2 and 20 years
Motor vehicles
-
3 years
Furniture and fixtures
-
6 years
IT equipment and computer software
-
Between 3 and 6 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.14

Impairment of fixed assets and goodwill

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

 
2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 28

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.16

Associates and joint ventures

An entity is treated as a joint venture where the Group is a party to a contractual agreement with one or more parties from outside the Group to undertake an economic activity that is subject to joint control.
An entity is treated as an associated undertaking where the Group exercises significant influence in that it has the power to participate in the operating and financial policy decisions.
In the consolidated accounts, interests in associated undertakings are accounted for using the equity method of accounting. Under this method an equity investment is initially recognised at the transaction price (including transaction costs) and is subsequently adjusted to reflect the investors share of the profit or loss, other comprehensive income and equity of the associate. The Consolidated statement of comprehensive income includes the Group's share of the operating results, interest, pre-tax results and attributable taxation of such undertakings applying accounting policies consistent with those of the Group. In the Consolidated balance sheet, the interests in associated undertakings are shown as the Group's share of the identifiable net assets, including any unamortised premium paid on acquisition.

 
2.17

Stocks

Stocks include both raw materials and work in progress. Raw materials are measured at the lower of cost and net realisable value. Cost is determined using the weighted average cost method.
Work in progress refers to the raw materials, labour, and overhead costs incurred for products at various stages of the production process. Work in progress is a component of the inventory asset account on the balance sheet. These costs are subsequently transferred to the cost of sales once the work is completed and billable. It is measured at the lower of cost and net realisable value. 

 
2.18

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.19

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. 
In the Consolidated statement of cash flows, cash are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.20

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 29

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.21

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

 
2.22

Financial instruments

Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Discounting is omitted where the effect of discounting is immaterial. The Group's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. 
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans, other loans and loans due to fellow group companies are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year.
 
Page 30

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.22
Financial instruments (continued)


Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Group transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Group will continue to recognise the value of the portion of the risks and rewards retained.
Financial liabilities are derecognised when the Group's contractual obligations expire or are discharged or cancelled.

Page 31

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The preparation of financial statements in conformity with generally accepted financial accounting principles requires management, from time to time, to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets, liabilities, income and expenses. These estimates and associated assumptions are based on experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected.
The application of the going concern basis of preparation of these financial statements is a critical judgement by the Directors (refer to note 2.3).
The carrying amount of fixed assets requires management to exercise judgement with regard to the continued value in use versus fair value less costs to sell, particularly because of the Group's trading position and outlook. Given the nature of activities, the Group's contracts span multiple financial reporting periods and revenue recognised can be subject to retention until completion of projects in the ordinary course of business. As such, trade receivables require management to consider the overall contract position, performance and outlook.
Key sources of estimation uncertainty
Impairment of financial assets
The impairment provisions for financial assets are based on assumptions about risk of default and expected loss rates. The Group uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Group’s past history, existing market conditions as well as forward looking estimates at the end of each reporting period.
Impairment testing
The Group reviews and tests the carrying value of assets when events or changes in circumstances suggest that the carrying amount may not be recoverable. When such indicators exist, management determine the recoverable amount by performing value in use and fair value calculations. These calculations require the use of estimates and assumptions. When it is not possible to determine the recoverable amount for an individual asset, management assesses the recoverable amount for the cash generating unit to which the asset belongs.
Useful lives of property, plant and equipment
Management assess the appropriateness of the useful lives of property, plant and equipment at the end of each reporting period. The useful lives of motor vehicles, furniture and computer equipment are determined based on group replacement policies for the various assets. Individual assets within these classes, which have a significant carrying amount are assessed separately to consider whether replacement will be necessary outside of normal replacement parameters. The useful life of manufacturing equipment is assessed annually based on factors including wear and tear, technological obsolescence and usage requirements.
When the estimated useful life of an asset differs from previous estimates, the change is applied prospectively in the determination of the depreciation charge.
Bonus and penalty adjustment to project revenue
Management assess the bonuses and penalties adjustment to revenue and their related movements on trade debtor balances by reviewing the timing of the Group companies' project performance against the milestones agreed with their customers.

Page 32

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

4.


Turnover

The geographical and sales type analysis of turnover are not disclosed in these financial statements as such information would be prejudicial to the Group and Parent Company in the opinion of the directors.


5.


Other operating income

2024
2023
$
$

Other non-project related income
323,185
290,778

323,185
290,778



6.


Operating profit

The operating profit is stated after charging:

As restated
2024
2023
$
$

Exchange differences
583,518
1,103,990

Operating lease rentals
386,995
371,397

Depreciation charge on fixed assets
1,656,641
830,165


7.


Auditors' remuneration

During the year, the Group obtained the following services from the Company's auditors and their associates:


2024
2023
$
$

Fees payable to the Company's auditors and their associates for the audit of the consolidated and Parent Company's financial statements
49,400
49,000

Fees payable to the Company's auditors and their associates in respect of:

The auditing of accounts of associates of the Company
7,500
8,000

Taxation compliance services
4,000
4,000

All non-audit services not included above
19,600
10,000

Page 33

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

8.


Employees

Staff costs, including directors' remuneration, were as follows:


Group
Group
Company
Company
2024
2023
2024
2023
$
$
$
$


Wages and salaries (include social security costs)
38,374,845
34,372,590
-
-

38,374,845
34,372,590
-
-


During the year, the Group paid $628,217 (2023: $988,578) to its key management personnel who were not directors. 

The average monthly number of employees, including the directors, during the year was as follows:



Group
Group
Company
Company
        2024
        2023
        2024
        2023
            No.
            No.
            No.
            No.









Directors
7
5
7
5



Senior management and executives
11
11
-
-



Administration
38
35
-
-



Production
463
492
-
-



Engineering
60
62
-
-



Commercial and sales
25
24
-
-

604
629
7
5


9.


Directors' remuneration

2024
2023
$
$

Directors' emoluments
808,912
333,016

808,912
333,016


The highest paid director received remuneration of $341,916 (2023 - $116,155).

The value of the Group's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to $NIL (2023 - $NIL).

Page 34

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

10.


Interest receivable and similar income

2024
2023
$
$


Bank and other interest receivable
87,081
304,317

87,081
304,317


11.


Interest payable and similar expenses

2024
2023
$
$


Bank interest payable
70,758
30,309

Other loan interest payable
30,822
16,062

Interest on loans from parent undertaking
109,140
225,517

210,720
271,888

Page 35

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

12.


Taxation


As restated
2024
2023
$
$

Corporation tax


Current tax on profits for the year
22,182
-

Adjustments in respect of previous periods
-
(137,614)


22,182
(137,614)

Foreign tax


Foreign tax on income for the year
1,347,588
2,273,304

Foreign tax in respect of prior periods
(290,938)
-

1,056,650
2,273,304

Total current tax
1,078,832
2,135,690

Deferred tax


Origination and reversal of timing differences
(6,810)
(17,655)

Total deferred tax
(6,810)
(17,655)


Taxation on profit on ordinary activities
1,072,022
2,118,035
Page 36

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
12.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - higher than) the Group's standard rate of corporation tax in South Africa of 27% (2023 Group average rate of corporation tax - 32.8%). The differences are explained below:

As restated
2024
2023
$
$


Profit on ordinary activities before tax
5,845,079
6,537,475


Profit on ordinary activities multiplied by standard rate of corporation tax in South Africa of 27% (2023 Group average rate of corporation tax - 32.8%)
1,578,171
2,144,292

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
155,256
271,335

Utilisation of tax losses
-
(89,548)

Tax rate differential
(24,079)
(160,830)

Adjustments to tax charge in respect of prior periods
(290,938)
(137,614)

Non-taxable income less expenses not deductible for tax purposes, other than goodwill and impairment
(65,042)
-

Overseas tax
(430,478)
-

Changes in provisions leading to an (decrease)/increase in the tax charge
4,950
(5,888)

Unrelieved tax losses carried forward
144,182
93,831

Other tax adjustments
-
2,457

Total tax charge for the year
1,072,022
2,118,035

The Group has adopted the South Africa standard corporation tax rate in the above reconciliation as its main operations are in South Africa. 
The Group has tax losses of $5,036,189 carried forward (2023: $7,269,492) which may be offset against the group companies' future taxable profits subject to the local tax laws of their respective jurisdictions.  
The Parent Company has no tax losses carried forward (2023: $83,023) which may be offset against the Parent Company's own future taxable profits. Any excess tax losses after setting off the Parent Company's own profits can be offset against the group companies with corporation tax registration in the United Kingdom.


Factors that may affect future tax charges

There are no factors affecting future tax charges.

Page 37

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

13.


Intangible assets

Group





Computer software development

$



Cost


At 1 January 2024
549,157


Additions
289,206



At 31 December 2024

838,363






Net book value



At 31 December 2024
838,363



At 31 December 2023
549,157


Intangible assets consist wholly of capitalised computer software development costs incurred by a group entity. The assets are not usable since they are still in their development stage, and are therefore not amortised until their completion. An estimated useful life on these assets will be determined by Management upon completion. 


Page 38

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

14.


Tangible fixed assets

Group






Plant and machinery
Motor vehicles
Furniture and fixtures
IT equipment and computer software
Total

$
$
$
$
$



Cost


At 1 January 2024 (as previously stated)
11,099,778
197,375
120,349
393,792
11,811,294


Prior Year Adjustment
611,257
-
-
-
611,257


At 1 January 2024 (as restated)
11,711,035
197,375
120,349
393,792
12,422,551


Additions
342,195
59,328
3,207
42,159
446,889


Disposals
(15,469)
-
(56)
(39,783)
(55,308)


Exchange adjustments
(379,469)
(6,119)
(2,596)
(9,608)
(397,792)



At 31 December 2024

11,658,292
250,584
120,904
386,560
12,416,340



Depreciation


At 1 January 2024 (as previously stated)
1,044,066
65,579
97,150
230,641
1,437,436


Prior Year Adjustment
148,993
-
-
-
148,993


At 1 January 2024 (as restated)
1,193,059
65,579
97,150
230,641
1,586,429


Charge for the year on owned assets
1,497,104
41,645
17,890
100,002
1,656,641


Disposals
(1,722)
-
(56)
(34,794)
(36,572)


Exchange adjustments
(60,653)
(2,523)
(2,432)
(6,997)
(72,605)



At 31 December 2024

2,627,788
104,701
112,552
288,852
3,133,893



Net book value



At 31 December 2024
9,030,504
145,883
8,352
97,708
9,282,447



At 31 December 2023 (as restated)
10,517,976
131,796
23,199
163,151
10,836,122

Page 39

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

           14.Tangible fixed assets (continued)

Operating leases as lessor

During the year, the Group received an income of $3,070,728 (2023: $723,958) for the rental of equipment under non-cancellable operating leases.
At 31 December 2024 the Group was entitled to receive future minimum lease payments under non-cancellable operating leases for each of the following periods:

Group 2024
Group 2023
        $
        $

Not later than 1 year

2,747,548

2,812,805

Later than 1 year and not later than 5 years

614,422

3,093,055


3,361,970

5,905,860



15.


Fixed asset investments

Group





Investment in joint ventures

$



Cost


At 1 January 2024
2,192,037


Share of profit/(loss)
453,489


Distribution
(300,001)



At 31 December 2024
2,345,525




Company





Investments in subsidiary companies

$



Cost


At 1 January 2024
20,102


Additions 
1,195




Page 40

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Registered office

Principal activity

Class of shares

Holding

United Mining Services Projects Limited
England & Wales
Mining consultancy services
Ordinary
100%
United Mining Services SA (Pty) Ltd
South Africa
Management and administration services for the group companies
Ordinary
100%
United Mining Services Projects SA (PTY) Ltd (formerly UMS METS SA (Pty) Ltd) **
South Africa
Mining infrastructure engineering design
Ordinary
75%
UMS Shaft Sinkers (Pty) Ltd *
South Africa
Mining services
Ordinary
75%
UMS Construction (Pty) Ltd *
South Africa
Supplies to the group companies
Ordinary
100%
METS SA Operations (Pty) Ltd ^
South Africa
Dormant
Ordinary
100%
Shaft Sinkers Mining (Pty) Ltd *; ^
South Africa
Dormant
Ordinary
100%
UMS 1Worx (Pty) Ltd *
South Africa
Software development
Ordinary
  51%
UMS Zambia Ltd
Zambia
Dormant
Ordinary
70%
UMS Botswana Proprietary Limited
Botswana
Mining infrastructure engineering design
Ordinary
100%
Underground Mining Services NA
United States
Holding of joint venture investment
Ordinary
100%
United Mining Services Chile SpA
Chile
Mining services
Ordinary
100%
UMS Desenvolvimento Mineral LTDA
Brazil
Mining services
Ordinary
100%
United Mining Services Construction Limited
England & Wales
Dormant
Ordinary
100%

* = Indirect subsidiary undertakings via United Mining Services SA (Pty) Ltd
** = Indirect subsidiary undertakings via United Mining Services Projects Limited
^ = The results of these subsidiary undertakings are not included in the consolidated financial statements
     due to their dormancy. The aggregated results; and capital reserves of these dormant subsidiaries are
     immaterial on a group basis.
The Group acquired 33% shareholding in UMS Shaft Sinkers (Pty) Ltd and also disposed of 10% shareholding in the subsidiary to a BBBEE vehicle entity and 15% shareholding to BBBEE ownership in the form of individuals in January 2024.
The Group incorporated a 100% owned subsidiary in United Mining Services Construction Limited on 30 April 2024.

Page 41

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

Joint venture


The following was a joint venture of the Company:


Name

Registered office

Principal activity

Holding

Harrison Western Shaft Sinkers JV, LLC
United States
Shaft sinking services
50%

The Group has a 50% holding in the above named joint venture via its wholly owned subsidiary Underground Mining Services NA.


16.


Stocks

Group
Group
2024
2023
$
$

Raw materials
1,610
1,793

Work in progress (goods to be sold)
210,507
215,742

212,117
217,535


Page 42

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

17.


Debtors: Amounts falling due within one year

Group
Group
Company
Company
2024
2023
2024
2023
$
$
$
$


Trade debtors
5,879,307
6,985,270
97,119
356,501

Amounts owed by group undertakings
-
-
3,419,954
2,885,656

Other debtors
260,290
316,552
52
55

Prepayments and accrued income
919,701
242,094
-
-

Amounts recoverable on long term contracts
4,722,272
7,206,995
-
-

Tax recoverable
1,727,011
1,090,463
-
-

Deferred taxation
167,570
160,760
-
-

13,676,151
16,002,134
3,517,125
3,242,212



18.


Cash and cash equivalents

Group
Group
Company
Company
2024
2023
2024
2023
$
$
$
$

Cash at bank and in hand
4,840,339
4,428,992
58,546
122,995

Less: bank overdrafts
(51,621)
(72,747)
-
(291)

4,788,718
4,356,245
58,546
122,704


Page 43

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

19.


Creditors: Amounts falling due within one year

Group

Group
As restated
Company

Company
As restated
2024
2023
2024
2023
$
$
$
$

Bank overdrafts
51,621
72,747
-
291

Other loans
279,722
255,771
-
-

Trade creditors
1,858,364
1,982,676
3,146,276
2,985,208

Amounts owed to group undertakings
1,011,447
2,210,386
1,018,114
2,217,053

Corporation tax
1,111,340
1,531,042
22,182
-

Other taxation and social security
668,295
1,177,001
-
-

Other creditors
84,051
203,759
520
-

Accruals and deferred income
7,361,774
12,477,691
78,532
108,578

12,426,614
19,911,073
4,265,624
5,311,130


A loan of $1,011,447 (2023: $1,571,250) from Zachary Asset Holdings Limited to the Parent Company is secured by the following securities pledged in favor of the lender:
- Share charge over entire share capital of United Mining Services SA (Pty) Ltd.

Page 44

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

20.


Deferred taxation


Group



2024


$






At beginning of year
160,760


Charged to profit or loss
6,810



At end of year
167,570






The deferred tax asset is made up as follows:

Group
Group
2024
2023
$
$

Unused foreign tax credits
167,570
160,760

167,570
160,760

The Group had no tax losses carried forward (2023: $382,165) in the UK at the balance sheet date. An estimated deferred tax asset of $Nil (2023: $58,840) on these losses based on the UK standard tax rate of 25% (2023: 25%) has not been recognised in these financial statements.
The Group had tax losses of $5,036,189 (2023: $6,887,327) in foreign jurisdictions carried forward at the balance sheet date. An estimated deferred tax asset of $1,317,163  (2023: $1,962,763) on these losses based on the South Africa standard tax rate of 27% (2023: 27%) has not been recognised in these financial statements. 

Page 45

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

21.


Share capital

2024
2023
$
$
Allotted, called up and fully paid



8,104,109 (2023 - 8,104,109) A shares of £1.00 each
11,135,844
11,135,844
40 (2023 - 40) B shares of £1.00 each
52
52

11,135,896

11,135,896

The entitlement to any declared dividends shall be 80% to the A Ordinary shares and 20% to the B Ordinary shares.
Only A Ordinary shareholders carry the right to vote at the Company's general meetings and constitute eligible members for the purposes of all written resolutions of the Company.



22.


Reserves

Foreign exchange reserve

Represents the effect of changes in exchange rates arising from translating the financial statements of the Parent Company and its subsidiary undertakings into the Group's reporting currency.

Profit and loss account

This represents all current and prior period retained profits and losses.


23.


Prior year adjustment

A prior year adjustment has been made by management to correct and appropriately present certain transactions of a trading subsidiary that occurred during the financial years ending 31 December 2022 and 31 December 2023. The subsidiary refurbished certain plant and machinery equipment following which the equipment was later used by a customer. The refurbishment cost was treated as an expense and the resultant rent income from the customer was recognised as revenue in both periods. Management have identified that the plant and machinery continues to be in use as an asset of the subsidiary and hence the refurbishment costs should have been capitalised and that the receipt from the customer was an amount received in advance according to the terms of the contract with the customer. The effect of the prior year adjustment is to restate the opening balance sheet as at 1 January 2023 and the prior year comparative figures for the overstatement of Revenue and Cost of Sales in the profit and loss account and the understatement of Tangible Fixed Assets and Advance Income Received in the balance sheet. The table below represents the effects of the adjustment made to these financial statements:

Page 46

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Overstatment/ (understatement)
Prior year adjustments: debit/(credit)
        $
        $
At 1 January 2023

Tangible fixed assets cost brought forward

(571,596)

571,596

Accumulated depreciation brought forward

(38,107)

(38,107)

Advanced income received

(511,934)

(511,934)

Profit and loss account

(21,555)

(21,555)

Movement in year ended 31 December 2023

-

-

Tangible fixed assets cost brought forward

(39,661)

39,661

Accumulated depreciation brought forward

(110,886)

(110,886)

Advanced income received

151,585

151,585

Other operating income

(191,246)

(191,246)

Depreciation charge

(110,886)

110,886

Cumulative changes at 1 January 2024

-

-

Tangible fixed assets cost brought forward

-

611,257

Accumulated depreciation brought forward

-

(148,993)

Advanced income received

-

(360,349)

Profit and loss account

-

(101,915)


The above prior year adjustment has the effect of increasing the profit before and after tax by $80,360, while adding $101,915 to the profit and loss reserves and increasing net assets by $101,915.


24.


Contingent liabilities

Parent company and Group
A group subsidiary has provided a retention guarantee of BWP 30m (or $2,233,805 translated at the year end BWP/$ rate) to its customer and it is secured by a parent guarantee from the Company.
A group subsidiary has provided a performance bond of ZAR 9,195,752 (or $490,702 translated at the year end ZAR/$ rate) to an insurer who acts as the guarantor over the subsidiary’s obligations to its customer.

Page 47

 
UNITED MINING SERVICES LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

25.


Commitments under operating leases

At 31 December 2024 the Group had future minimum lease payments due under non-cancellable operating leases for each of the following periods:


Group
Group
2024
2023
$
$

Not later than 1 year
330,704
328,692

Later than 1 year and not later than 5 years
219,484
545,259

550,188
873,951


26.


Related party transactions

The Company and the Group have taken advantage of the exemption available in FRS102 not to disclose transactions entered into between two or more wholly owned members of a group.
During the year, the Group made sales in the amount of $842,629 (2023: $979,310) to a joint venture in which the Group has a 50% interest. At the balance sheet date the Group had a trade debtor balance of $48,891 (2023: $195,064) owed by the joint venture.    
The Company and its wholly owned subsidiaries had the following transactions during the year and balances at the balance sheet date with the non-wholly owned members:

2024
2023
        $
        $

Management and operation fees received

1,105,203

1,649,449

Cost of sales paid

(276,092)

(491,171)

Loan interest received

69,063

12,420

Inter-company debtor

7,499,808

7,108,887


Inter-company balances due by non-wholly owned subsidiaries are interest free, unsecured and repayable upon demand.


27.


Controlling party

The Group’s parent undertaking by virtue of its shareholding is Zachary Asset Holdings Ltd, incorporated in Jersey, the ultimate controlling party of which is the Haller Family.

 
Page 48