Johannesburg, South Africa — MININGREVIEW.COM — 03 March 2010 – South African-based and JSE-listed Metorex Limited “’ a well-known base metal operator in Zambia and the Democratic Republic of Congo (DRC) “’ has announced a 141% increase in group revenue to R1.4 billion.
The company’s consolidated unaudited interim results for the six months ended 31 December 2009 released here showed adjusted headline earnings of 12 cents per share for the period. Group copper and cobalt sales increased to 24 723 tonnes and 1 505 tonnes respectively.
The results statement added that non-core asset disposals had substantially restored the balance sheet with group debt having been reduced by 29% to R1.5 billion. The recently announced capital raising would restore the balance sheet and set the scene for new project development and value creation.
Metorex CEO Terence Goodlace commented: “Metorex has entered a new phase in its life and the group has rapidly advanced various recapitalisation, repositioning and refocusing initiatives over the last six months.
“The recently announced capital raising, along with the disposals of Pan African in July 2009 and Vergenoeg in December 2009, fundamentally changes and strengthens the Metorex balance sheet and places the company in a position to undertake project development,” he added. “The focus has switched from one of survival to one of growth, and we are now actively advancing the completion of bankable feasibility studies for the Musonoi (Dilala East), Kinsenda and Lubembe deposits in the DRC.”
Goodlace said that operationally Ruashi had continued its positive trend, with quarterly copper production having increased by 32.1% to 7 518 tonnes, and cobalt by 21.9% to 812 tonnes.