BISICHI MINING PLC
Interim Management Statement
Published 19 May 2009 07:00:00
Interim Management Statement
Bisichi Mining PLC (‘Bisichi’), the UK Mining company with direct coal mining
operations in South Africa, is pleased to provide the following update about
its operations:
– Since the commencement of the Open Cast operation in June 2008, monthly
production at Black Wattle has consistently averaged more than 120,000 metric
tonnes per month.
– Black Wattle will complete the expansion of its washing plant from capacity
of 130,000 metric tonnes per month to 170,000 metric tonnes per month by the
end of Second Quarter.
– Black Wattle has locked in prices for the majority of its export product
until the end of 2009.
– The weakening of international coal prices (which are priced in US dollars)
has put downward pressure on the prices paid for domestic coal within South
Africa.
– Trading profits and cash flow generation from mining activities for the
First Quarter are in line with management expectations.
– Income from Bisichi’s UK properties remains steady, with no significant
change from 2008.
– With our strong cash generation in the First Quarter, Bisichi Mining PLC has
currently no net borrowings.
Mr Andrew Heller, Managing Director of Bisichi said: ‘The First Quarter of
2009 was in line with management expectations. Production has been averaging
above 120,000 metric tons per month and we fixed our export prices for the
majority of our export coal earlier when the pricing environment was more
favourable. With the increased capacity of the washing plant and our cash
positive position, we are well-positioned to take advantage of opportunities
which will arise during this volatile time.’
END
For further information, please call:
Andrew Heller/Tom Kearney, Bisichi Mining PLC 020 7415 5030
END
