Keaton Energy Holdings Limited - Keaton Energy Announces Another Record Production YearRelease Date: 09/04/2014 07:05:00 Code(s): KEH
Keaton Energy Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 2006/011090/06)
JSE code: KEH ISIN code: ZAE000117420
("Keaton Energy" or the ?company?)
Keaton Energy announces another record production year
Keaton Energy has released the following production update for the financial year ended 31 March
2014 ahead of the release in mid-June 2014 of the company?s year-end results.
Continued good safety performance
Vanggatfontein Colliery Lost Time Injury Frequency Rate (LTIFR) of 0.09 (FY13: zero)
Vaalkrantz Colliery LTIFR of 0.23 (FY13: 0.36)
Thermal coal production up 45% to 2.2Mt
Metallurgical coal production up 2% to 0.4Mt
Discard and other coal product sales up 70% to 1.0Mt
Keaton Energy?s Vanggatfontein Colliery delivered 2 192 519t of washed 2- and 4-Seam thermal coal
to Eskom during the year, an increase of 45% from the previous year?s 1 509 681t. Sales of 5-Seam
metallurgical coal increased 49%, to 97 635t from 65 661t, in line with the mine plan. The increased
utilisation of the 5-Seam plant allowed limited washing of other coals: 145 785t were toll washed and
10 328t of B-grade market development product was produced. The colliery ended the year with a
LTIFR of 0.09, a commendable effort by all those on the site.
Mandi Glad, Chief Executive Officer said, ?FY14 saw Vanggatfontein reach operational steady state
and, importantly, deliver on results. This long life colliery now forms the backbone of the soon to be
enlarged Vanggatfontein-Moabsvelden operation which will form the core of the growing Keaton
group of companies.?
Vaalkrantz Colliery dispatched 303 837t of anthracite to domestic and international metallurgical
markets, a 7% decrease over the previous year?s 326 597t. The operation continued to suffer from
extremely difficult mining conditions in the West Alfred section of the mine which limited production.
However, it is pleasing to note that despite these difficulties, the colliery?s safety performance
improved, a testament to the dedication and application of all those involved.
Mandi Glad added ?With its short remaining life, operating conditions at Vaalkrantz continue to be
extremely challenging. Our management and staff however have risen to these challenges as we
look to the opening of our new mines in the area.?
?With Vanggatfontein having reached steady state and generating the anticipated results, the Xceed
acquisition having been completed allowing for Vanggatfontein to be expanded significantly,
Vaalkrantz?s difficult mining conditions being managed and our internal project pipeline reaching
development readiness, we are poised for the next phase of value growth for our shareholders.?
The above information has not been reported on or reviewed by the company?s auditors.
9 April 2014
Date: 09/04/2014 07:05:00 Supplied by www.sharenet.co.za
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