February 23, 2004______________________________________
First Quarter Results
Bard Ventures Ltd. ("Bard" or the "Company") (TSX:CBS) has released its first Quarter Report containing financial statements in Canadian Funds, prepared without audit, for the three months ended December 31, 2003 (the "Quarterly Report"). Pursuant to the requirements of National Instrument 54-102, this news release provides a summary of the information contained in the Quarterly Report filed with the regulatory authorities through SEDAR (www.sedar.com) and has mailed it to shareholders whose names appear on Bard's Supplemental List.
The Princess Project, Alberta
The Company has earned a 50% interest before pay-out and 25% interest after pay-out in the 1,216 hectares that form the Princess Project. The remaining 50% interest is held by Cashel Resources Inc.
Larne License, Northern Ireland
The Company currently holds a 25% interest in oil and gas concessions comprising 350 square kilometres known as the Larne License located in the Larne Basin in Northern Ireland.
On March 25, 2003 the Company signed a farm out agreement, with Avery Resources Inc., ("Avery") an exploration company based in Calgary, Canada to earn up to a 50% interest in the Larne License. To earn its interest, Avery will fund the next $250,000 in exploration expenditures.
North James River, Nunavut - Joint Venture
The Company entered into an agreement with Hunter Exploration Group, as announced on May 10, 2002, to acquire a 50% interest in the North James River property. The Company made a cash payment of $50,000, and will issue 200,000 common shares of the Company over two years, as well as conduct $500,000 of exploration of the property over the next four years. The claims are subject to a 2% net smelter royalty and a 2% gross overriding royalty.
In preparation for the commencement of the winter exploration program, the Company is continuing the select exploration targets from the airborne electromagnetic (EM) and magnetic survey flown in the fall of 2003.
Of particular interest is the well-defined Dorothy Lake anomaly located at the south end of the Property in the area immediately west of the High Lake deposits. This EM anomaly has a coincident magnetic anomaly and is located within geology favourable for massive sulphide mineralization. The EM anomaly is present at the lower channel frequencies indicating continuity at depth. In addition to this anomaly, two other anomalies have been selected in this immediate area for follow-up during the upcoming program. The planned winter program will include UTEM and magnetic ground geophysical surveys and, subject to final results, diamond drilling.
Nechako Plateau Gold Project - British Columbia
On November 14, 2002 the Company entered into an option agreement to acquire an 80% interest in the Laidman, Holy Cross and Clisbako gold projects in the Nechako Plateau area, central British Columbia. All three properties are epithermal gold prospects that were discovered as a result of regional and property specific exploration conducted between 1987 and 1997.
The Laidman prospect contains gold mineralization associated with extensive zones of epithermal alteration and quartz stockwork. Surface samples of quartz veinlets returned values up to 19.6 g/t and 8.0 g/t gold. All known areas of mineralization remain open and several prospects previously identified have not been tested. A program of detailed soil and rock geochemistry and Induced Polarization geophysics is recommended to further delineate these zones and provide drilling targets.
The Holy Cross property contains four areas of silicified quartz veins with associated alteration within a prospective 3 km by 4 km area. Previous trenching on the property indicated broad zones of gold mineralization, including 1.0 g/t gold over 8.5 meters. Additional sampling has returned several high concentrations of gold, with a high value of 24.0 g/t gold. These higher grades coupled with the bulk tonnage potential make the Holy Cross an excellent exploration target. Detailed exploration, including geophysics, geochemistry and geology will be conducted to identify drilling targets.
The Clisbako property is a high level, low sulphidation epithermal gold system that has been defined by previous exploration. Surface exploration and shallow drilling has defined gold mineralization associated with intense epithermal style alteration over an area 3 km by 5 km. Numerous zones of mineralization have been defined with surface sampling returning values up to 9.72 g/t gold and 3.3 g/t gold over 3.29 meters. To define drill targets, a detailed geophysical and geological mapping program is recommended.
The Company issued 100,000 common shares per property and has undertaken to incur $100,000 in exploration per property over the next two years, of which $50,000 will be incurred before the first anniversary of the agreement. The Optionor is Geoffrey Goodall, a director of the Company.
On October 10, 2003, the Company entered into an option agreement to acquire the remaining 20% interest in the Laidman, Holy Cross and Clisbako gold projects in the Nechako Plateau area, central British Columbia. The Company issued 65,000 common shares per property to the Optionor. The Company now owns 100% interest in all three properties subject to a 2% NSR.
Discussion of Operations and Financial Condition
The Company's working capital as at December 31, 2003 was ($739,434) compared with ($148,250) at September 30, 2003.
The Company's historical capital needs have been met by equity financing and the exercise of stock options. The Company will require additional financing to fund any additional work programs or development work. In light of ever changing financial markets, there is no assurance that funding by equity financing will be possible when required by the Company.
The foregoing discussion and analysis of the results of operations of the Company for the 2003 and 2002 year ends should be read in conjunction with the audited financial statements of the Company and notes thereto as at September 30, 2003. There have been no major changes in accounting policies during the two-year period.
The Company had a net loss of $478,231 for the period compared with $29,451 in 2002. The loss was increased in 2003 due to the expensing of stock-based compensation.
Transactions with Related Parties
Please see Schedule B.
There are no subsequent events.
Financings, Principal Purposes and Milestone
On October 31, 2003 the Company completed a private placement of 4,500,000 flow-through units and 2,500,000 non-through units through Haywood Securities Inc. (the "Agent") at a price of $0.10 per unit which raised proceeds of $700,000. Each flow-through unit consists of one flow-through common share and one-half of one flow-through share purchase warrant. Each non-flow-through unit consists of one common share and one share purchase warrant to purchase one additional common share at a price of $0.12 per share until October 31, 2004. Each whole flow through warrant entitles the holder to purchase one flow-through common share at a price of $0.12 per share until October 31, 2004. The shares and the warrant shares are subject to a hold period expiring on February 29, 2004.
The Company paid the Agent a cash commission of $56,000, being 8% of the gross proceeds raised, and a work fee of $10,000 plus GST. The Company also granted the Agent a compensation option to purchase 700,000 units at a price of $0.10 per unit. Each unit will consist of one common share and one share purchase warrant entitling the Agent to purchase one additional common share on the same terms as the non-flow-through warrants. The Company also paid the Agent a corporate finance fee of 150,000 units plus GST, with each unit consisting of one common share and one common share purchase warrant entitling the Agent to purchase one additional common share on the same terms as the non-flow-through warrants.
The net proceeds of the private placement will be used to fund exploration on the Company's North James River Project and for general working capital.
On December 19, 2003, the Company completed a non-brokered private placement announced on December 12, 2003 and amended December 18, 2003. The Company sold 1,666,667 flow-through units, at a price of $0.18 per unit for gross proceeds of approximately $300,000.
Each flow-through unit consists of one flow-through common share and one share purchase warrant to purchase one additional non-flow-through common share at a price of $0.25 per share until December 19, 2004. The shares and the warrant shares are subject to a hold period expiring on April 20, 2004.
The net proceeds of the private placement will be used to fund exploration on the Company's North James River Project.
Liquidity and Capital Resources
During the period, cash resources increased by $734,129 compared to a decrease of $30,327 in the 2002 period. Expenditures for operating activities were $76,273 (2002 - $28,003) and mineral properties were $43,280 (2002 - $38,270). The Company issued 195,000 shares to acquire properties. Working capital as at December 31, 2003 was $739,434 (2002 surplus - $71,337).
Mineral property expenditures were $25,350 in acquisition costs and $17,930 in deferred exploration expenditures. Exploration was conducted on the Company's the Nechako properties in British Columbia and on the North James River property in Nunavut.
As at December 31, 2003, the Company had paid up capital of $10,921,303 (2002 - $9,876,566), representing 18,596,946 common shares without par value, contributed surplus of $490,996, and a deficit of $10,391,910 resulting in a shareholders' equity of $1,020,389.
A copy of the full Quarterly Report will be provided to any shareholder who requests it.
On behalf of:
Bard Ventures Ltd.