Creston Moly widens its full-year loss to $5.5 million from $3.2 million

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Creston Moly widens its full-year loss to $5.5 million from $3.2 million

Creston Moly Corp. (TSXV:CMS) reported a widening of its full-year loss on Tuesday, citing higher expenses due largely to a multimillion-dollar arbitration award against it.

For the year end July 31, the molybdenum miner posted a loss of $5.5 million or four cents a share versus a loss of $3.2 million or three cents a share last year.

The exploration-stage company did not generated any revenue.

Creston owns the molybdenum deposit in Sonora, Mexico. Molybdenum is one of the base metals used in steel production.

Last year, an arbitrator ruled the Vancouver company owed $4.14 million in finder’s fees related to the company’s acquisition of Creston Mining Corp. in May 2007.

The balance of $2.6 million and interest charges of $87,193 were booked during the current fiscal year, contributing to the higher loss. Creston is appealing the decision to a higher court.

Excluding the fee, Creston’s full-year loss would have been $3 million.

Shares of the company were unchanged at 22 cents on the TSX Venture market.

Source: PDDNET

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