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EPS - Eastern Platinum Limited - Eastern Platinum reports results for the three
months ended June 30, 2010
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR ISIN: CA 2768551038
Share Code AIM: ELR ISIN: CA 2768551038
Share Code JSE: EPS ISIN: CA 2768551038
August 11, 2010
Trading Symbol: ELR (TSX & AIM) EPS (JSE)
S&P TSX Composite Index
NEWS RELEASE
EASTERN PLATINUM REPORTS RESULTS FOR THE THREE MONTHS ENDED JUNE 30, 2010
Mr. Ian Rozier, President and CEO of Eastern Platinum Limited ("Eastplats") is
pleased to report financial results for the three and six months ended June
30, 2010.
Summary of results for the quarter ended June 30, 2010 ("Q2 2010")
* Eastplats recorded a net profit attributable to equity shareholders of
the Company of $3,448,000 ($0.01 basic earnings per share) compared to
$317,000 ($0.00 per share) in the second quarter of 2009 ("Q2 2009").
* EBITDA was $9,757,000, an increase of 49% compared to $6,529,000 in Q2
2009.
* Production was 30,820 PGM ounces, a decrease of 8% compared to 33,383
PGM ounces in Q2 2009.
* The U.S. average delivered basket price per PGM ounce was $1,015, an
increase of 49% compared to $679 in Q2 2009.
* The Rand average delivered basket price per PGM ounce was R7,643, an
increase of 33% compared to R5,730 in Q2 2009.
* Rand operating cash costs net of by-product credits were R4,866 per
ounce, an increase of 17% compared to R4,169 per ounce in Q2 2009. Rand
operating cash costs were R6,639 per ounce, an increase of 42% compared
to R4,673 per ounce in Q2 2009.
* U.S. dollar operating cash costs net of by-product credits were $646 per
ounce, a 31% increase from $494 per ounce achieved in Q2 2009. Operating
cash costs were $882 per ounce, an increase of 59% compared to the $554
per ounce in Q2 2009.
* Head grade decreased to 4.1 grams per tonne in Q2 2010 from 4.2 grams
per tonne in Q2 2009.
* Average concentrator recovery remained consistent at 80% when compared
to Q2 2009.
* Development meters decreased by 26% to 3,202 meters and on-reef
development decreased by 45% to 1,573 meters compared to Q2 2009.
* Stoping units remained consistent at 50,573 square meters compared to
51,342 square metres in Q2 2009.
* Run-of-mine ore hoisted decreased by 13% to 297,186 tonnes in Q2 2010
compared to 342,368 tonnes in Q2 2009.
* Run-of-mine ore processed decreased by 5% to 290,028 tonnes in Q2 2010
compared to 304,354 tonnes in Q2 2009.
* The Company`s Lost Time Injury Frequency Rate (LTIFR) was 2.78 in Q2
2010 compared to 1.94 in Q2 2009.
* At June 30, 2010, the Company had a cash position (including cash, cash
equivalents and short term investments) of $19,565,000 (December 31,
2009 - $21,658,000).
"Production was lower than expected due to the dismissal of 15 contract stoping
crews (out of a total of 58 crews) in May, and the resulting build-up and
training of new crews. We remain fully committed to the safety of our
operations and expect to maintain a high standard. We have replaced these crews
and anticipate that on-reef development and production will increase once the
new crews have been properly inducted and trained, and this should put us on
track for a more profitable third quarter," said Ian Rozier.
The qualified person having reviewed the operating disclosures presented in
this press release is Mr. Brian Montpellier, P. Eng, V.P. Project Development.
Financial Information
For complete details of financial results, please refer to the SENS
announcements released simultaneously herewith regarding the unaudited condensed
consolidated financial statements and accompanying Management`s Discussion and
Analysis ("MD&A") for the three and six months ended June 30, 2010. These
financial statements and MD&A, and the comparative financial statements for the
three and six months ended June 30, 2009 are all available on SEDAR at
www.sedar.com and on the Company`s website
www.eastplats.com.
Teleconference call details
Eastplats will host a telephone conference call on Wednesday, August 11, 2010
at 10:00 am Pacific (1:00 pm Eastern) to discuss these results. The conference
call may be accessed by dialing 1-800-319-4610 in Canada and the United States,
or 1-604-638-5340 internationally.
The conference call will be archived for later playback until Wednesday, August
18, 2010 and can be accessed by dialing 1-604-638-9010 or 1-800-319-6413 and
using the pass code 4219 followed by the number sign (#).
Total shares issued and outstanding - 683,030,719
For further information, please contact:
EASTERN PLATINUM LIMITED
Ian Rozier, President & C.E.O.
+1-604-685-6851 (tel)
+1-604-685-6493 (fax)
info@eastplats.com
www.eastplats.com
NOMAD:
Ryan Gaffney / Ryan Cohen
Canaccord Genuity Limited, London
Email: rgaffney@canaccordgenuity.com / rcohen@canaccordgenuity.com
Tel: +44 20 7050 6500
JSE SPONSOR:
Johan Fourie
PSG Capital (Pty) Limited
Email: johanf@psgcapital.com
Tel: +27 21 887 9602
No stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.
Cautionary Statement on Forward-Looking Information
This press release, which contains certain forward-looking statements, is
intended to provide readers with a reasonable basis for assessing the financial
performance of the Company. All statements, other than statements of historical
fact, are forward- looking statements. The words "believe", "expect",
"anticipate", "contemplate", "target", "plan", "intends", "continue", "budget",
"estimate", "may", "will", "schedule" and similar expressions identify forward
looking statements. Forward- looking statements are necessarily based upon a
number of estimates and assumptions that, while considered reasonable by the
Company, are inherently subject to significant business, economic and
competitive uncertainties and contingencies.
Known and unknown factors could cause actual results to differ materially from
those projected in the forward-looking statements. Such factors include, but
are not limited to, fluctuations in the currency markets such as Canadian
dollar, South African Rand and U.S. dollar, fluctuations in the prices of PGM
and other commodities, changes in government legislation, taxation, controls,
regulations and political or economic developments in Canada, the United
States, South Africa, or Barbados or other countries in which the Company
carries or may carry on business in the future, risks associated with mining or
development activities, the speculative nature of exploration and development,
including the risk of obtaining necessary licenses and permits, and quantities
or grades of reserves. Many of these uncertainties and contingencies can affect
the Company`s actual results and could cause actual results to differ
materially from those expressed or implied in any forward-looking statements
made by, or on behalf of, the Company. Readers are cautioned that
forward-looking statements are not guarantees of future performance. There can
be no assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those acknowledged in
such statements. Specific reference is made to the Company`s most recent Annual
Information Form on file with Canadian provincial securities regulatory
authorities for a discussion of some of the factors underlying forward-looking
statements.
The Company disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future
events or otherwise, except to the extent required by applicable laws.
Date: 11/08/2010 15:10:03 Supplied by www.sharenet.co.za
Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
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