Wrap Text
December 2001
Petra Mining Limited
(Reg No. 1972/001062/06)
(Incorporated in the Republic of South Africa)
JSE share code: PET ISIN Code: ZAE000010237
("Petmin" or "the Company")
Unaudited interim and quarterly results for the period ended 31 December
2001
The Quarter in review
* Operating profit up by nearly 150% and net profit up by over 600%.
* Gold production up by 1%.
* Revenue per kilogram improved by nearly 14%.
* Tonnage throughput 11% down.
* Overall recovered grade improved from 2.66 to 3.00 g/t - all operations
showed an improvement in grade.
Due to economical factors it was decided to concentrate all the
metallurgical operations at the Grootvlei metallurgical plant and
subsequently the Nigel metallurgical plant was closed during the quarter.
The production capacity of the Nigel plant is being transferred to the
Grootvlei plant.
* Cost per ton and per kilogram was higher than anticipated - the closure
costs (about R1.5 million) of the Nigel metallurgical plant had a negative
impact on the costs.
* The cost without the above closure costs would have been R68 648/kg and
R206/ton.
* Underground production up by 3,5%.
* Underground costs remained constant.
* Productivity maintained above 100 m2 per total employee costed.
* Skukuza under performed both in terms of production and cost containment.
* Capital expenditure lower, but will increase in the next quarter to
increase production in the fourth quarter.
Group Income Statement
Six months ended Quarter ended
31/12/00 31/12/01 31/12/01 30/09/01
R'000 R'000 R'000 R'000
139 824 167 225 Turnover 89 373 77 852
Operating profit
from gold mining
13 623 21 081 operations 15 037 6 044
Amortisation of gold
7 300 6 300 mining assets 3 150 3 150
Profit on ordinary
activities before
6 323 14 781 financing costs 11 887 2 894
2 389 2 782 Financing costs 1 363 1 419
Profit for the
3 934 11 999 period 10 524 1 475
Earnings and headline
earnings per ordinary
4,92 15,00 share (cents) 13,16 1,84
Number of ordinary
shares in issue
80 80 (millions) 80 80
Group Balance Sheet
31/12/01 30/09/01 31/12/00
R'000 R'000 R'000
Assets
Non-current assets 199 167 200 513 198 554
Property, plant and
equipment 187 976 189 379 189 389
Investments 11 191 11 134 9 165
Current assets 57 130 55 408 55 970
Inventories 20 424 23 217 27 174
Deferred stripping charges 2 788 3 288 -
Trade and other receivables 33 918 28 837 28 796
Cash resources - 66 -
Total assets 256 297 255 921 254 524
Equity and liabilities
Capital and reserves 152 771 142 245 142 493
Issued share capital 20 000 20 000 20 000
Share premium 101 287 101 287 101 287
Non-distributable reserve 6 000 6 000 6 000
Retained earnings 25 484 14 958 15 206
Non-current liabilities 24 375 24 409 26 445
Long-term liabilities 405 405 584
Long-term provisions 23 970 24 004 25 861
Current liabilities 79 151 89 267 85 586
Trade and other payables 70 315 76 509 64 793
Bank overdraft 8 440 9 862 19 266
Short-term loan - 2 500 -
Current portion of long-term
liabilities 396 396 1 527
Total equity and
liabilities 256 297 255 921 254 524
Group Cash Flow Statement
Six months ended Quarter ended
31/12/00 31/12/01 31/12/01 30/09/01
R'000 R'000 R'000 R'000
Net cash flows from
3 558 9 561 operating activities 5 660 3 901
Net cash flows from
investing
(4 006) (3 964) activities (1 802) (2 162)
Net cash flows from
financing
(206) (6 950) activities (2 502) (4 448)
(654) (1 353) Net movement in cash 1 356 (2 709)
Cash at beginning
(18 612) (7 087) of period (9 796) (7 087)
Cash at end of
(19 266) (8 440) period (8 440) (9 796)
Quarterly Operating Results
Actual Forecast
Quarter % Quarter
ended change ended
31/12/01 30/09/01 on actual 31/03/02 30/6/02
Tons milled 353 811 396 072 -10,67 345 000 400 000
Yield - g/t 3,00 2,66 +12,8 3,12 3,13
Gold produced
- kg 1 061 1 053 +0,76 1 075 1 250
Cash costs
- R/kg 70 062 68 194 +2,74 74 402 71 576
- R/ton 210 181 +16,02 232 221
Revenue per kg 84 235 73 934 +13,93
Capital
expenditure 1 744 2 103 8 400 2 700
Six month Operating Results
Six months ended
31/12/01 30/12/00 %
R'000 R'000 change
Tons milled 749 883 739 869 +1,3
Yield - g/t 2,82 2,92 -3,4
Gold produced - kg 2 114 2 163 -2,3
Cash costs - R/kg 69 179 58 345 +18,6
- R/ton 195 171 +14,0
Revenue per kg 79 151 64 644 +22,4
Capital expenditure 3 847 9 205
Comments
1. ACCOUNTING POLICIES
The results are prepared according to the historical cost accounting
convention and have been prepared in accordance with South African
Statements of Generally Accepted Accounting Practice.
2. forward selling (hedging)
The foward selling program has been revised and extended as reported in the
September 2001 results.
45 kilograms per week have been forward sold as follows:
- 4 July 2001 to 7 September 2001 = R69 575 per kg
- 12 September 2001 to 24 October 2001 = R72 973 per kg
- 31 October 2001 to 28 November 2001 = R76 025 per kg
- 5 December 2001 to 2 January 2002 = R78 320 per kg
- 9 January 2002 to 6 February 2002 = R82 010 per kg
- 13 February 2002 to 5 February 2003 = R85 300 per kg
3. capital expenditure
Due to the higher gold price in rand terms the cut-off grade has reduced and
more reserves have become available to mine.
Accordingly the capital expenditure budget has been increased from the
original year budget of R12 million to a revised figure of R15 million.
Additional capital expenditure is as follows:
- Underground development and opening up of lower grade reserves will be
increased.
- Plant capacity at the Grootvlei plant will be increased from 120 000 tons
to 170 000 tons per month as from June 2002.
- Drilling program of the surface reserves to be increased.
- New target area for the Skukuza Project at Gedex to be commissioned
earlier than planned.
4. new target area - skukuza project
The new target area for the Skukuza Project at Gedex provisionally shows
additional resources of:
- 3 415 886 tons.
- 5 870 kilograms (188 725 oz) of in-situ gold.
We are currently doing the environmental impact studies and expect
production to start by the end of March 2002.
Production will reach the maximum of 15 000 tons per month by June 2002.
5. underground ore reserves
The continued evaluation of old underground mining plans, as well as the
lower cut-off grades has increased the proven and probable underground ore
reserves as reported in the June 2001 annual report as follows:
- Stope tons up by 122% to 12 532 000 tons.
- Kilograms of gold up by 58% to 29 333 kilograms (943 000 ozs).
6. taxation
No taxation has been provided for during the period under review, as no
taxation is payable for the period due to unredeemed capital expenditure and
accumulated tax losses.
7. dividends
No dividends have been declared for the six months ended 31 December 2001
(2000: Nil).
8. presentation of results
The presentation of the interim and quarterly results can be viewed on the
Internet at www.corpcam.com.
On behalf of the Board
P.J. NEL P.F. DU PREEZ
Director Director
15 February 2002
Directors: P J Nel, P F du Preez, J A Strijdom, H V W Chapman
Registered Office: 28 Visagie Street, Guarantee House, 5th Floor, Pretoria.
P O Box 9446, Pretoria, 0001
Secretary: D H W Secretarial Services (Pty) Limited, 28 Visagie Street,
Guarantee House, Pretoria, P O Box 899, Groenkloof, 0027
Transfer Secretaries: Mercantile Registrars, 11 Diagonal Street,
Johannesburg. P O Box 1053, Johannesburg, 2000
Auditors: PricewaterhouseCoopers Inc. 32 Ida Street, Menlo Park. P O Box
35296, Menlo Park, 0102
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