HomeInternationalPlatmin posts US$6.6 million quarterly profit

Platmin posts US$6.6 million quarterly profit

Aerial view of the
Pilanesberg platinum
mine site
Toronto, Canada — MININGREVIEW.COM — 15 October 2009 – Platmin Limited – a Canadian-based mineral exploration and development company with listings on both the TSX and AIM – has announced a second quarter profit of US$6.6 million (R52 million) for the half-year ended August 31, 2009.

Releasing its interim results here, it confirmed that the performance for the second quarter of the 2010 financial year compared favourably with the previous quarter loss of US$13.5 million (R108 million), resulting in a net loss of US$6.9 million (R55 million) for the half year.

The Platmin statement revealed that the principal area of focus for the company remained the development of the Pilanesberg Platinum Mine (PPM) “’ quarterly concentrate deliveries from PPM earned revenues of US$10.9 million (ZAR85.3 million) from 1.4 million run-of-mine tonnes of reef mining.

Other significant developments and highlights for the quarter and half-year included:

  • The July secondary listing of the company on the JSE in South Africa in the “Platinum and Precious Metals” sector with the JSE share code “PLN”;
  • The successful connection of the second phase of the power allocation at PPM by Eskom, allowing the Merensky reef circuit commissioning to begin;
  • Continuation of milling operations between 12 August and 9 September 2009 despite an illegal strike which interrupted mining activities;
  • Entry into a credit-approved term sheet with Investec Bank Limited (South Africa) on 3 August 2009 to provide a 12-month renewable revolving commodity finance facility of up to US$51.4 million (R400 million) at an exchange rate of R7.78/US$1.00) for loan repayment and working capital purposes; and
  • Repayment in full on 31 August 2009 of the outstanding balance of the bridge loan facility with The Standard Bank of South Africa Limited of US$51.987 million (R404.354 million).