Wescoal Holdings Limited - Operational And Trading UpdateRelease Date: 20/10/2014 12:15:00 Code(s): WSL
(Incorporated in the Republic of South Africa)
(Registration number: 2005/006913/06)
(JSE code: WSL ISIN: ZAE000069639)
(?Wescoal? or ?the company?)
Operational and trading update
1) Operational update
Wescoal Mining has produced 942 291 tons of coal for the six months ended 30 September 2014, a
5% increase compared to the prior period (2013: 895 185 tons). The Trading division sold 625 949 tons
for the six months ended 30 September 2014, a 187% increase compared to the prior period (2013:
217 831) which excludes the MacPhail acquisition. On 7 August 2014, Wescoal announced the
acquisition of the Intibane Phase 2, an extension of the existing Intibane operations to end of 2016.
Negotiations are continuing for extensions to the existing Khanyisa mining operations and management
is confident of a successful conclusion to these negotiations.
Group directors have been in consultation with the regulatory authorities as to the delay in the issue of
the Elandspruit water use licence and are confident the procedural delays have been addressed
allowing for the issue of the licence in due course.
2) Trading update
In terms of paragraph 3.4 (b) of the JSE Limited ("JSE") Listings Requirements, companies are required
to publish a trading statement as soon as they become reasonably certain that the financial results for
the period to be reported on will differ by more than 20% from the previous corresponding period.
Accordingly, a review of the financial results for the six months ended 30 September 2014 by
management has indicated that the headline earnings per share are expected to increase by more than
20% when compared to those reported for the previous corresponding period. Basic earnings per share
are expected to decrease by more than 50% when compared to those reported for the previous
corresponding period due to a profit of R71 million relating to the sale of the Vlaklaagte mineral asset
included in the prior period At this time, Wescoal is unable to quantify, with reasonable certainty, the
expected headline earnings per share or earnings per share for the six months ended 30 September
A further trading statement will be published once the company has more certainty with regards to its
financial results for the six months ended 30 September 2014.
The financial information on which this trading statement is based has not been reviewed or reported
on by Wescoal`s auditors. The Company`s financial results for the six months ended 30 September
2014 are expected to be released on 4 November 2014.
20 October 2014
Date: 20/10/2014 12:15:00 Supplied by www.sharenet.co.za
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