| Fri 27 Nov 2009, 7:05 | | SNU - Sentula Mining Limited - Reviewed interim results for the six month period |
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SNU
SNU
SNU - Sentula Mining Limited - Reviewed interim results for the six month period
ending 30 September 2009
Sentula Mining Limited
Incorporated in the Republic of South Africa
(Registration number 1992/001973/06)
Share code: SNU
ISIN code: ZAE000107223
("Sentula" or "the Company" or "the Group")
Reviewed interim results for the six month period ending 30 September 2009
Turnover R1,188m
EBITDA R293m
EBITA R113m
Profit attributable to owners R37m
Cash generated by operations R238m
Condensed consolidated statement of financial position
Reviewed Reviewed Audited
six months six months year
ended ended ended
30 September 30 September 31 March
R`000 2009 2008 2009
ASSETS
Property, plant and 2 718 517 2 618 167 2 829 525
equipment
Intangible assets 15 153 7 453 12 174
Investment in jointly - 61 455 -
controlled entity
Investment in equity- 334 046 296 652 333 225
accounted associate
Goodwill 423 275 372 691 423 275
Mineral rights 418 410 413 198 418 410
Deferred tax assets 12 375 26 701 13 907
Total non-current assets 3 921 776 3 796 317 4 030 516
Inventories 335 839 267 052 322 570
Trade and other 451 971 677 982 471 571
receivables
Cash and cash equivalents 131 040 163 364 125 774
Total current assets 918 850 1 108 398 919 915
TOTAL ASSETS 4 840 626 4 904 715 4 950 431
EQUITY AND LIABILITIES
Equity
Share capital and premium 1 534 370 1 533 861 1 534 370
Reserves 641 810 562 588 642 200
Total equity attributable 2 176 180 2 096 449 2 176 570
to equity holders of the
company
Non-controlling interest 75 228 95 098 87 451
Total equity 2 251 408 2 191 547 2 264 021
Liabilities
Loans and borrowings 1 380 564 1 390 945 1 153 383
Deferred tax liabilities 243 579 264 926 251 221
Total non-current 1 624 143 1 655 871 1 404 604
liabilities
Trade and other payables 417 134 415 023 466 345
Loans and borrowings 373 034 534 780 660 493
Bank overdraft 115 540 54 152 88 326
Taxation 59 367 53 342 66 642
Total current liabilities 965 075 1 057 297 1 281 806
TOTAL EQUITY AND 4 840 626 4 904 715 4 950 431
LIABILITIES
Net asset value per share 979 953 984
(cents)
Tangible net asset value 788 788 795
per share (excluding
goodwill) (cents)
Condensed consolidated income statement
Reviewed Reviewed Audited
six months six months year
ended ended ended
30 September 30 September 31 March
R`000 2009 2008 2009
Revenue 1 188 416 1 740 602 2 989 835
Results from operating 125 607 296 324 479 669
activities
Net finance charges (109 804) (114 609) (252 305)
Excess of fair value of - 22 011 21 075
assets and liabilities
acquired over purchase
price
Income from investment in 23 944 59 665 90 307
associate (net of tax)
Profit before income tax 39 747 263 390 338 746
Income tax expense (14 704) (72 113) (60 099)
Profit for the period 25 043 191 277 278 647
Attributable to:
- Owners of the company 37 266 183 514 278 531
- Non-controlling (12 223) 7 763 116
interest
Profit for the period 25 043 191 277 278 647
Basic earnings per share 16,2 79,8 121,1
Headline earnings per 15,2 69,6 109,1
share
Shares in issue at the 235 566 235 566 235 566
end of the period (`000)
Weighted average number 230 012 230 012 230 012
of shares at the end of
the period (`000)
Condensed consolidated statement of comprehensive (loss)/income
Reviewed Reviewed Audited
six months six months year
ended ended ended
30 September 30 September 31 March
R`000 2009 2008 2009
Profit for the period 25 043 191 277 278 647
Other comprehensive
(loss)/income
Foreign currency (42 489) 7 268 25 044
translation differences
from foreign operations
Other comprehensive (42 489) 7 268 25 044
(loss)/income for the
period net of tax
Total comprehensive (17 446) 198 545 303 691
(loss)/income for the
period
Attributable to:
- Owners of the company (5 223) 190 782 303 575
- Non-controlling interest (12 223) 7 763 116
Total comprehensive (17 446) 198 545 303 691
(loss)/income for the
period
Condensed consolidated statement of cash flows
Reviewed Reviewed Audited
six months six months year
ended ended ended
30 September 30 September 31 March
R`000 2009 2008 2009
Cash flows from 98 053 301 170 688 585
operating activities
Cash generated by 237 559 439 764 967 385
operations
Interest paid (111 417) (90 397) (237 470)
Income taxes paid (28 089) (48 197) (41 330)
Cash flows from (57 889) (592 334) (914 198)
investing activities
Purchase of property, (171 156) (571 855) (1 044 399)
plant and equipment
Proceeds from disposal 93 182 49 861 151 797
of property, plant and
equipment
Net movement in (4 651) - -
intangibles
Investments - (78 393) -
Purchase of investment - - (61 482)
in joint venture
Interest received 1 613 8 053 15 694
Cash received from 23 123 - 24 192
investment in associate
Cash flows from (62 112) 115 201 (22 114)
financing activities
(Repayment of)/Proceeds (62 112) 115 201 889
from borrowings
Dividends paid - - (23 003)
Net (decrease) in cash (21 948) (175 963) (247 727)
and cash equivalents
Cash and cash 37 448 285 175 285 175
equivalents at
beginning of the period
Cash and cash 15 500 109 212 37 448
equivalents at end of
the period
Reconciliation of headline earnings
Reviewed Reviewed Audited
six months six months year
ended ended ended
30 September 30 September 31 March
R`000 2009 2008 2009
Net profit for the year 37 266 183 514 278 531
attributable to owners of
the company
Adjust for:
(Profit)/Loss on sale of (3 336) (2 041) 1 364
plant and equipment
Impairment of plant and - 200 506
equipment
Scrapping of assets 170 - 8 517
Profit on disposal of - - (16 346)
subsidiary
Excess of fair value of - (22 011) (21 075)
assets and liabilities
acquired over purchase
price
Tax effect of above 934 515 (538)
adjustment
Headline earnings 35 034 160 177 250 959
attributed to ordinary
shareholders
Operational segment reporting
The Group is organised into five major operating segments, namely opencast
mining and earthmoving, exploration drilling, drilling and blasting, crane hire,
and coal mining. Equipment trading, spares and engineering is included in
corporate services. Inter-segment revenue is priced on an arms length basis.
These segments are the basis on which the Group reports its primary segment
information. Financial information about business segments is presented as
follows:
Business segments
Opencast
mining Explo- Drilling
and ration and Crane
2009 (R`000) earthmoving drilling blasting hire
External revenues 790 782 301 453 47 320 27 411
Inter-segment 21 277 1 244 57 882 -
revenue
Total segment 812 059 302 697 105 202 27 411
revenue
Segment result 84 442 51 390 15 041 17 524
Segment assets 2 597 723 748 681 206 914 125 735
Investment in
equity-accounted
associate
Unallocated assets
Total assets
2008 (R`000)
Total segment 869 927 535 834 156 283 23 081
revenue
Segment result 141 741 129 569 14 986 13 351
Segment assets 2 510 806 790 754 233 752 84 903
Investment in
equity-accounted
associate
Investment in
jointly controlled
entity
Unallocated assets
Total assets
Operational segment reporting (continued)
Business segments
Cor-
Coal porate Consoli-
2009 (R`000) mining services dated
External revenues 16 548 4 902 1 188 416
Inter-segment revenue 657 (81 060) -
Total segment revenue 17 205 (76 158) 1 188 416
Segment result (20 203) (22 587) 125 607
Segment assets 213 686 601 466 4 494 205
Investment in equity-accounted 334 046 334 046
associate
Unallocated assets 12 375
Total assets 4 840 626
2008 (R`000)
Total segment revenue 27 200 128 277 1 740 602
Segment result 15 114 (18 437) 296 324
Segment assets 523 659 376 033 4 519 907
Investment in equity-accounted 296 652 296 652
associate
Investment in jointly 61 455 61 455
controlled entity
Unallocated assets 26 701
Total assets 4 904 715
Reconciliation of reportable segment profit or loss
Reviewed Reviewed
six months six months
ended ended
30 September 30 September
R`000 2009 2008
Total profit for reportable segments 129 260 325 554
Net finance expense (109 804) (114 609)
Recovery of misappropriated funds 18 934 -
Elimination of inter-segment profits 2 533 -
Unallocated amounts:
Other corporate expenses (25 120) (29 230)
Share of profit of equity accounted 23 944 59 665
investees
Excess of fair value of assets and - 22 011
liabilities acquired over purchase
price
Consolidated profit before income 39 747 263 390
tax
Condensed consolidated statement of changes in equity
Employee
share
incentive
reserve/
Share Share Capital Treasury
R`000 capital premium reserve shares
Balance at 1 April 2 356 1 557 680 33 878 (25 666)
2009
Profit for the
period
Other comprehensive
(loss): Foreign
currency translation
movement
Total comprehensive - - - -
(loss)/income for
the period
Transactions with 4 833
owners, recorded
directly in equity:
Share base payments
Balance at 30 2 356 1 557 680 38 711 (25 666)
September 2009
Condensed consolidated statement of changes in equity (continued)
Foreign
exchange Non-
translation Retained controlling
R`000 reserve earnings interest Total
Balance at 1 22 545 585 777 87 451 2 264 021
April 2009
Profit for the 37 266 (12 223) 25 043
period
Other (42 489) (42 489)
comprehensive
(loss):
Foreign
currency
translation
movement
Total (42 489) 37,266 (12,223) (17,446)
comprehensive
(loss)/income
for the period
Transactions 4 833
with owners,
recorded
directly in
equity: Share
base payments
Balance at 30 (19 944) 623 043 75 228 2 251 408
September 2009
"Sentula, adversely impacted by the global economic environment, has endured
extremely difficult trading conditions during the first half of the 2010
financial year and the results, while disappointing were substantially in line
with the second half of the 2009 financial year. The period under review has
been characterised by the capping of work volumes in the opencast operations, a
decline in the ferrochrome market, and lower coal export proceeds. Despite the
extraordinary external challenges, and the ongoing resolution of internal issues
that the Group has been faced with over the last period, a firm foundation for
the future has been established and the Group expects an improved second half.
The diverse nature of the businesses has ensured that the underlying
fundamentals of the Group remain intact, despite experiencing limited
operational visibility, resulting from ongoing volatility in the global resource
markets. We will continue to execute our overall strategy of growth and
unlocking the value in the Group`s coal investments, through the leverage from
our mining services businesses." - Robin Berry, CEO - Sentula Mining Limited
FINANCIAL REVIEW
- Revenue decreased by 32% to R1188,4 million
(2008: R1740,6 million)
- Operating profit down 58% to R125,6 million
(2008: R296,3 million)
- Basic EPS reduced by 80% to 16,2 cents
(2008: 79,8 cents)
- Net asset value per share 979 cents
(2008: 953 cents)
- Tangible net asset value per share 788 cents
(2008: 788 cents)
- Debt to equity gearing decreased to 74% from 75%
(reported March 2009)
Results for the first half of the 2010 financial year were also adversely
impacted by the following:
- Legal and forensic fees associated with the recovery of funds misappropriated
in the 2008 financial year of R8,5 million;
- Retrenchment costs, and operating losses incurred at the group`s Megacube
Mining (Proprietary) Limited ("Megacube") operations as this business continued
with its restructure and right-sizing exercise - of R23,7 million;
- Unrealised currency losses relating to the translation of the Group`s foreign
operations as a consequence of the strong Rand/Dollar exchange rate relative to
March 2009 exchange rates of R16,1 million; and
- Losses incurred at the Nkomati Anthracite (Proprietary) Limited ("Nkomati")
mine as the ferrochrome industry drastically curtailed production in the first
half of the financial year of R18,4 million;
The implementation of industry best practice maintenance programmes at Megacube
has materially improved equipment availability contributing to approximately 10%
of this subsidiary`s equipment being idle at present. This equipment is being
preserved and refurbished for future organic growth in the opencast mining
subsidiaries. Improved equipment management policies and procedures have also
led to a more refined unit of production basis of depreciation being applied
during the period under review.
As was reported in note 29 to the March 2009 annual financial statements,
Megacube has instituted legal proceedings against Umcebo Mining (Proprietary)
Limited for the recovery of R29,8 million owing for services performed on the
Middelkraal operation. Subsequent to the institution of this claim, a demand for
payment of R45,4 million was brought against Megacube in respect of an alleged
breach of contract and sub-optimal mining practices. To date no formal claim has
been instituted. The company and its attorney`s believe that there is a strong
defence against the alleged counter claim and accordingly, no provision has been
made for this contingent liability.
Megacube has also instituted proceedings against previous directors for the
payment of excessive bonuses of approximately R8 million. In addition to this
action, Megacube has instituted civil actions against individuals and entities
implicated in the misappropriation of R242 million from the company in the 2008
financial year in excess of R130 million.
The forensic and legal process into the recovery of the monies misappropriated
from Megacube in the 2008 financial year is progressing and assets of
approximately R40 million have been identified in entities already in
liquidation. The realisation of these assets has commenced and R18,9 million has
been recognised in the interim results as a recovery of a portion of the
misappropriated funds. The forensic process has also identified a contingent
liability of approximately R30 million to a third party.
Sentula provided a loan of US$10 million to a wholly owned Mauritian subsidiary
in the 2008 financial year for the strategic development of the group`s foreign
operations ("the Sentula loan"). The proceeds of this loan were used to invest
in the Botswana Asenjo project, Zambian Indongo project as well as the
establishment of a mining services subsidiary in Mozambique. The Sentula loan is
classified as being a part of Sentula`s net investment in its Mauritian
subsidiary for purposes of IAS 21 and any currency translation differences
arising on the loan are accounted for in Sentula`s foreign currency translation
reserve ("FCTR"). At the date of the interim results a currency loss on the
translation of the Sentula loan of R24 million was debited to the FCTR. IAS 21,
however, compels a lender to recognise any currency difference on translation of
the loan in the statement of comprehensive income if the repayment of the loan
is probable and planned. At 30 March 2009, a foreign currency gain which arose
on the translation of this loan in the amount of R16 million was recognised in
the profit and loss account in expectation of a disposal of one of the group`s
strategic foreign investments. Had the disposal proceeded, as anticipated, the
proceeds of the sale would probably have been used to repay the Sentula loan.
SUBSEQUENT EVENTS
The rescheduling of the Group`s senior debt became effective on 15 October 2009.
The rescheduled repayment profile and other terms and conditions, alluded to in
the SENS announcement of 6 October 2009 are subject to repayment of a principal
amount of R400 million prior to 16 December 2009. This repayment will be made
from the proceeds of the Investec underwritten rights issue, the terms and
conditions of which were announced on 30 October 2009.
OPERATIONAL REVIEW
Safety track record
Sentula`s Classified Injury Frequency Rate of 1,89 per million man hours worked
remains ahead of its target of 2,50 for the year, with no serious injuries to
employees being reported for the period under review. Classic Challenge Trading
(Proprietary) Limited ("CCT"), JEF Drill and Blast (Proprietary) Limited ("JEF
Drill and Blast"), Ritchie Crane Hire (Proprietary) Limited ("Ritchie Crane
Hire") and Nkomati remained injury free during the six month period, with
Megacube recording a significant improvement on the prior period. Sentula
continues to align its efforts, with those of its clients to identify hazards
and reduce risks on their operations. Sentula has identified the health and
safety of its employees as one of its core values.
Mining services
The provision of mining services remains the core of Sentula`s business, with
the five operating areas, and the eight underlying subsidiaries, continuing to
trade satisfactorily, with a single exception, despite the tough and volatile
market conditions being experienced at the current time.
Opencast mining services
During the six month period from 1 April to 30 September 2009 Megacube`s
contribution to the Group`s turnover was below expectation, due to the capping
of certain contracted work, as a result of reduced Eskom off-take and client
cash flow constraints impacting negatively on the award of discretionary work.
Once-off expenses, associated with the rightsizing of the company`s cost
structure have also been incurred during the period. Improved operational
efficiencies and asset utilisation has resulted in the freeing up of capacity
and a reduction in head count. In conjunction with improved contract pricing and
cost controls, these steps should lead to improved margins in the medium term.
Benicon Opencast Mining (Proprietary) Limited ("Benicon") has continued to
maintain turnover from its medium term steady state sites and resultant margins.
With all sites operating at capacity, the prospects for the subsidiary looks
solid for the remainder of the financial year.
Limited revenue contribution from ferrochrome related operations, negatively
impacted CCT opencast mining, during the period under review. On the back of an
extended "Smokey Hills" open pit contract, and rejuvenated ferrochrome demand,
CCT is expected to operate at capacity through the second half of the financial
year.
Overburden drilling and blasting
Trading as JEF Drill and Blast, this segment of the Group, supported by the
necessary expertise required to operate and manage a business of this nature
has, notwithstanding the operating environment, delivered a solid set of
earnings for the six month period. Operating margins have continued to improve,
as the turn-around in this business segment continues to deliver results.
Exploration drilling
The currency and geographical diversification in earnings that Geosearch
Holdings (Proprietary) Limited ("Geosearch") contributes to the Group is
evidenced by its results during the six months under review. While the current
financial crisis has resulted in a significant reduction in exploration funding,
the relatively low level of gearing and fixed costs, coupled with specific
drilling expertise and a flexible business model, has resulted in this business
being in a position to weather the current slowdown in demand for drilling
services and to remain a significant contributor to the Group`s bottom line
earnings for the 2010 financial year.
Crane hire
Ritchie Crane Hire, on the back of robust demand in the coal mining,
infrastructure provision and construction sectors, has continued to be a solid,
high margin contributor to the Group`s earnings for the period under review. The
fleet of medium to large capacity mobile cranes have enjoyed a high level of
utilisation during the first half of the year and this segment is expected to
maintain its level of contribution to the Group, through to the end of the 2010
financial year.
Equipment trading, spares and engineering
Benicon Sales (Proprietary) Limited and NWN Automotive (Proprietary) Limited,
continue to play a strategic role in fulfilling the Group`s requirements for
spares and strategic equipment warehousing perspective as well as the in-house
retention of key maintenance and refurbishment facilities and skills. This
segment`s limited contribution will continue to be off set by its strategic
offering to the group.
Coal mining investments
In line with the undertaking given in June 2008, the Group completed the process
of packaging and independently valuing its investments in various coal projects.
Sentula is currently invested in six projects (4 in South Africa, 1 in Botswana
and 1 in Zambia). The projects can be broadly described as mining properties,
comprising of operating mines, near development properties - those projects
which are planned to be operational within 18 months, and exploration
properties.
Mining properties
Siyanda Coal (Proprietary) Limited, owner of the Koornfontein mine, and in which
Sentula holds a 49,9% stake, has continued to produce strong export sales
volumes for the period ending 30 September 2009. Accounted for on an equity
basis, the earnings from this investment reflects the net adverse impact of the
increase in contracted export sales pricing, the weaker spot export sales
pricing and the overall strengthening of the Rand/US Dollar exchange rate, when
compared to the prior comparative period.
Domestically, coal demand from the operation remains buoyant and the forward
price curve for export quality thermal coal remains positive in the medium term.
Overall demand for coal, from the colliery, remains in line with the operation`s
production capacity.
The Nkomati Mine, in which Sentula holds a 60% equity interest, experienced
significantly reduced anthracite off-take by the ferrochrome furnaces during the
first half of the financial year. The development of the Madadeni open-cast pit
was delayed, and the underground mine reduced to a single shift operation to
reduce costs to a minimum. The recent resurgence in the demand for ferrochrome
has resulted in the mine increasing underground production back to capacity, in
order to meet demand.
Near development properties
Sentula holds a number of prospecting rights in joint venture investments, which
it plans to bring into production in the next 18 months. In conjunction with
Merafe Resources Limited, new order prospecting rights have been granted over
the Bankfontein, Schoongezicht, Kaallaagte and Rietfontein properties and mining
right applications have been accepted for the Bankfontein and Schoongezicht
properties.
Exploration drilling has been completed at the Mulungwa project in Southern
Zambia. Sentula (50%) and partners Jonah Capital (50%) have earned a 50,0001%
share in Indongo Mining, which holds the prospecting license for the Mulungwa
project. The remaining shareholding is held by a group of local Zambian
shareholders. Approval has been granted to proceed with the third and final
phase of the feasibility programme, which includes resource modelling,
completion of the environmental impact assessment and technical mining and
financial assessment. A total of 45 boreholes have been drilled to date,
delineating a target open-castable indicated/measured resource of some 6,5
million tonnes. Mining license applications are well advanced with production
planned for 2010.
Exploration properties
The African Energy (Mauritius) (Proprietary) Limited ("Asenjo") joint venture
with Jonah Coal Botswana (Proprietary) Limited and Aquilla Resources in Botswana
became effective on 30 September 2008. Sentula has invested $7,5 million in the
project, earning an effective equity interest of 25%. Exploration on the
tenements began in January 2008, and to date, some 45 000 meters have been
drilled. An independent evaluation of the resource base has indicated an in situ
tonnage, across the project areas, of some 11 billion tonnes of coal.
Exploration of the remaining Merafe prospects, namely Kaallaagte and Rietfontein
is in progress, with initial resource statements and high level modelling in the
process of being completed.
Exploration on the Mabapa coking coal project was suspended earlier in the year,
given the state of steel industry and metallurgical markets. Following a recent
surge in coke prices and potential extensions to the project area, the economic
viability of the project is currently being re-assessed.
Broad based black economic empowerment
During the period under review, Sentula has been independently verified as a
"level 6" contributor, in terms of the Department of Trade and Industry codes,
measuring Broad Based Black Economic Empowerment. The Group has plans in place
to elevate its status to that of a "level 5" contributor during the next
financial year.
Strategic review
The Group`s strategic vision remains that of being the mining services company
of choice across the African continent. The Group is committed to achieving this
through identifying growth opportunities in the medium to longer term. The
insights and experience, gleaned from Geosearch`s extensive Southern and Central
Africa geographic footprint, positions the Group to capitalise on the mining
services offerings stemming from the development of new mineral resources.
Under its Benicon subsidiary, the Group has already established and continued to
grow an earthmoving business in Moatise, situated in northern Mozambique`s Tete
Province. This in preparation for the large scale coal mining operations,
planned to come on stream from 2010 onwards.
Through its access to resources, expertise and the experience base of the
collective Group, Sentula is well positioned to nurture the development of a
growing portfolio of coal investments. Initiatives to unlock the value that has
already crystallised in certain of these investments will continue to be
explored.
Sentula`s foothold in the coal sector, as a service provider and investor,
coupled with its diversified service offering, client base, mineral exposure and
geographical spread have combined to create a solid platform for developing the
business of the future.
Basis of preparation
The condensed consolidated financial report for the six months ended 30
September 2009 has been prepared in compliance with the South African Companies
Act No 61 of 1973, as amended, the Listing Requirements of the JSE Limited and
International Accounting Standard 34, Interim Financial Reporting.
The directors are of the opinion that the Group has adequate resources to
continue in operation for the foreseeable future and accordingly the condensed
consolidated financial statements have been prepared on a going concern basis.
The interim report has been prepared using accounting policies that comply with
International Financial Reporting Standards. The accounting policies are
consistent with those applied in the financial statements for the year ended 31
March 2009, except for the changes which are described below.
New accounting standards
During the period under review the Group has adopted the following accounting
standards and interpretations:
- IAS 1 (Revised) Presentation of financial statements (effective for accounting
periods beginning on or after 1 January 2009);
- IAS 1 Presentation of financial statements: Puttable financial instruments and
obligations arising on liquidation (effective for accounting periods on or after
1 January 2009);
- IAS 23 (Revised) Borrowing Costs (effective for accounting periods on or after
1 January 2009);
- IFRS 2 - Share based payments: Vesting Conditions and Cancellations
(amendments effective on or after 1 January 2009);
- IFRS 8 Operating segments (effective for accounting periods beginning on or
after 1 January 2009)
The adoption of these accounting standards and interpretations had no material
impact on the financial results of the Group for the period ended 30 September
2009 and resulted in no changes to the Group`s accounting policies.
Independent review opinion
The condensed consolidated statement of financial position at 30 September 2009
and related condensed consolidated statements of comprehensive income, condensed
consolidated statement of changes in equity and condensed consolidated statement
of cash flows for the period have been reviewed by KPMG Inc. Their unmodified
review report is available for inspection at the Company`s registered office.
Forward-looking information
Certain statements in this press release may constitute forward-looking
information within the meaning of securities laws. In some cases, forward
looking information can be identified by the use of such terms such as "may",
"will", "should", "expect", "believe", "plan", "scheduled", `intend",
"estimate", "forecast", "predict", "potential", "continue", "anticipate" or
other similar expressions concerning matters that are not historical facts.
Forward looking information may relate to managements future outlook and
anticipated events or results, and may include statements or information
regarding the future plans or prospects of the company. Forward looking
information involves known and unknown risks, uncertainties and other important
factors that could cause the actual results, performance or achievements of the
company to be materially different from the future results, performance or
achievements expressed or implied by such forward looking information. Such
risks and uncertainties include among others: economic, business and political
conditions in South Africa; decreases in the market price of coal; hazards
associated with surface and underground mining; the ability to attract and
retain qualified personnel; labour disruptions; changes in laws and government
regulations, particularly environmental regulations and mineral rights
legislation including risk related to the acquisition of the necessary licences
and permits; changes in exchange rates; currency devaluations and inflation and
other macro-economic factors; risk of changes in capital and operating costs,
financing, capitalisation and liquidity risks, including the risk that the
financing required to fund planned exploration and related activities may not be
available on satisfactory terms, or at all; and the ability to maximise the
value of any economic resources. These forward looking statements speak only as
of the date of this document.
You should not place undue importance on forward looking information and should
not rely upon this information as of any other date. The company undertakes no
obligation to update publicly or release any revisions of these forward looking
statements to reflect events or circumstances after the date of this document or
to reflect the occurrence of unanticipated events except where required by
applicable laws.
DIVIDEND
No dividend has been declared or paid during the interim period.
DIRECTORATE
During the six months ended 30 September 2009 the following changes took place
to the board of directors.
Appointments
Messrs Jeff Van Rooyen and Jonathan Best took up the positions of Chairman and
Deputy Chairman respectively, following the announcement of Sir Sam Jonah`s
intention to step down as Chairman of the Board in May 2009.
On behalf of the board
Jeff Van Rooyen Robin Berry Johannesburg
Non-executive Chairman Chief Executive Officer 25 November 2009
Directors: J Van Rooyen* (Chairman), J Best* (Deputy Chairman),
R C Berry, (Chief Executive Officer), G P Louw (Financial Director), Sir S E
Jonah KBE*, P Kingston*, D Marole*, A Kawa*,
P Modisane, E H J Stoyell* *Non-executive
Registered address: Block 14 - Ground floor, Woodlands Office Park, Woodmead,
2080. PO Box 76, Woodmead, 2080
Telephone (011) 656-1303
Transfer Secretaries: Link Market Services South Africa (Proprietary) Limited.
5th Floor, 11 Diagonal Street, Johannesburg, 2001. PO Box 4844, Johannesburg
2000
Telephone (011) 834-2266
Investor Relations Advisers: College Hill
Sponsor: Merchantec Capital
Auditor: KPMG Inc.
Shareholders are reminded of a live webcast of the Sentula Mining interim
results presentation at 10:30am today, being held at the Southern Sun Grayston
Hotel in the Rivonia A Room. To view the live webcast click on or paste the
following link into your browser http://www.corpcam.com/Sentula27112009
or listen via teleconference on the
following numbers: JHB: (011) 535-3600; CTN: (021) 819-0900; DBN: (031) 812-
7600
www.sentula.co.za
Date: 27/11/2009 07:05:04 Produced by the JSE SENS Department.
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