| Mon 1 Mar 2010, 13:57 | | MVL - Mvela Resources - Trading Statement And Notification Of Release Of Interim |
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MVL
MVL
MVL - Mvela Resources - Trading Statement And Notification Of Release Of Interim
Results for the period ended 31 December 2009
MVELAPHANDA RESOURCES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1980/001395/06)
Share code: MVL
ISIN: ZAE000050266
("Mvela Resources" "the group" or the "company")
TRADING STATEMENT AND NOTIFICATION OF RELEASE OF INTERIM RESULTS
In terms of the JSE Limited Listings Requirements, companies are required to
publish a trading statement as soon as they are reasonably certain that the
financial results for the current reporting period will differ by more than 20%
from those of the previous corresponding reporting period. In light of the
aforementioned requirements, shareholders are advised that Mvela Resources
expects a basic loss of between 75 cents per share and 60 cents per share and a
headline loss of between 60 cents per share and 50 cents per share for the
period ended 31 December 2009. This compares with basic earnings of 228 cents
per share, and headline earnings of 1,110 cents per share, reported for the
period ended 31 December 2008.
Earnings have been impacted inter alia by a change in the accounting treatment
of Northam as well as the Gold Fields investment, which makes comparison with
the previous reporting period difficult. Pursuant to the completion of the
Booysendal Transaction in August 2008, Mvela Resources shareholding in Northam
increased from 22% to 63% and as a result, from September 2008, Northam has been
consolidated in Mvela Resources` accounts instead of being equity accounted,
which was the previous treatment. Also, the Gold Fields investment has now been
classified as an available for sale asset, which requires a different accounting
treatment under International Financial Reporting Standards ("IFRS") resulting
therein that the gain/loss on the revaluation of the Gold Fields shares are
reflected in the statement of comprehensive income, whereas the gain/loss on the
revaluation of the GFI-SA loan was previously allocated to the income statement.
In compliance with the Listings Requirements of the JSE Limited, the financial
results will be reported in accordance with IFRS. The group`s year-end results
are expected to be released at approximately 8:00am on 9 March 2010.
The information on which this trading statement is based, has been reviewed by
the group`s auditors.
Johannesburg
01 March 2010
Sponsor:
J.P. Morgan Equities
Date: 01/03/2010 13:57:02 Produced by the JSE SENS Department.
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