|
|
MC Mining - FY2025 Q4 activities report
Highlights
Operations
• Health and safety performance across the group improved, with the Company having operated with no lost time injuries (LTI) for the quarter. The Makhado steelmaking hard coking coal Project (Makhado Project or Makhado) has now reached 817 days LTI-free, for 556 000 manhours worked, whilst Uitkomst steelmaking coal Colliery (Uitkomst Colliery or Uitkomst) reached 136 days LTI-free;
• Development of the Makhado Project continued on schedule, with commissioning of the coal handling and preparation plant (CHPP or Coal Plant) expected by December 2025, the principal mining contractor being appointed and commencing with site establishment, procurement activities for the Coal Plant reaching factory acceptance testing stage for critical equipment, significant progress being made towards the commissioning of the 14km overhead power transmission line and work on the permanent bridge to access the project site having commenced;
• The operational improvement plan for Uitkomst Colliery (Turnaround Plan) was completed and is set to be in full implementation during the coming quarter, with a specialist mining engineering and consultancy firm, Metalla Tutum Engineering (Pty) Ltd. (MTE), co-opted to assist with the implementation. The Turnaround Plan should see an improvement in cost, stabilise earnings and result in operating efficiencies at the mine.
• Run-of-mine (ROM) coal production from Uitkomst Colliery improved 3% on the previous quarter's production, though was 9% lower than the June 2024 quarter at 104 129 tonnes (t) (FY2024 Q4: 113 977t). The reduction in production, compared to 2024, was due to disruptions in production whilst reconfiguring underground layouts as part of the Turnaround Plan and also due to lower-than-expected coal seam mining heights in some areas of the mine;
• Uitkomst Colliery sold 68 020t of high-grade coal during the quarter (FY2024 Q4: 62 274t), a 9% increase on 2024 sales, and had no sales of the lower grade middlings coal (FY2024 Q4: 10 099). Coal plant yields remained high at 69% due to operational improvement initiatives over the period, which offset the lower ROM coal production to result in improved sales volumes;
• Limited activities were undertaken at the Company's Vele Aluwani semi-soft coking coal (SSCC) and thermal coal (TC) Colliery (Vele Colliery or Vele), whilst the numerous coal deposits within the Greater Soutpansberg Projects (GSP) were evaluated and prioritised for development; and
• Depressed TC prices continued with average prices of USD90/t for the three months, compared to USD96/t in Q3 FY2025 and USD108/t in Q4 of FY2024. Premium steelmaking HCC prices have decreased, averaging USD184/t in the quarter compared to USD243/t in FY2024 Q4.
Corporate
• Available cash and facilities was USD7.4 million at the period end (FY2025 Q3: USD9 million);
• Kinetic Development Group Limited (KDG) made payments amounting to USD10 million for the purchase of MC Mining shares, as part of the share subscription agreement, during the quarter. USD5 million of the payment relates to the third Second Closing and USD5 million of the payment relates to the fourth Second Closing as per the Share Subscription Agreement.
• The Company made a further repayment of R10 million towards the Industrial Development Corporation (IDC) loan during the quarter.
• Wang Lanlan (Lily) was appointed as a Non-Executive Director of MC Mining;
• Dr Huoxin Wang (Hevin) was appointed as a Non-Executive Director of MC Mining; and
• An Chee Sin resigned from being a Non-Executive Director of MC Mining. on disseminated through SENS.
|
|
Click here for original article
|
| |
| |
| Click here for full news archive for this company |
|
| Closing price data source: JSE Ltd. All other statistics calculated by ProfileData. |
| |
|
|
