| Wed 31 Mar 2010, 16:41 | | EPS - Eastern Platinum Limited - Eastern Platinum Reports Results For The Year |
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EPS
EPS
EPS - Eastern Platinum Limited - Eastern Platinum Reports Results For The Year
Ended December 31, 2009
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR & ISIN: CA2768551038
Share Code AIM: ELR & ISIN: CA2768551038
Share Code JSE: EPS & ISIN: CA2768551038
March 31, 2010
Trading Symbol: ELR (TSX & AIM) EPS (JSE)
S&P TSX Composite Index
NEWS RELEASE
EASTERN PLATINUM REPORTS
RESULTS FOR THE YEAR ENDED DECEMBER 31, 2009
Mr. Ian Rozier, President and CEO of Eastern Platinum Limited ("Eastplats") is
pleased to report financial results for the year ended December 31, 2009.
Highlights for the quarter ended December 31, 2009 ("Q4 2009")
- Eastplats recorded a net profit attributable to equity shareholders of the
Company of $330,000 ($0.00 per share) compared to a net loss attributable
to equity shareholders of $230,176,000 ($0.34 loss per share) in the fourth
quarter of 2008 ("Q4 2008").
- Production at CRM was 34,000 PGM ounces, an increase of 17% compared to
29,015 PGM ounces in Q4 2008.
- EBITDA was $10,008,000 compared to negative EBITDA of $18,179,000 in Q4
2008.
- The U.S. average delivered basket price per PGM ounce was $860, an increase
of 56% compared to $550 in Q4 2008.
- The Rand average delivered basket price per PGM ounce was R6,450, an
increase of 18% compared to R5,456 in Q4 2008.
- Rand operating cash costs net of by-product credits were R4,661 per ounce,
a decrease of 19% compared to R5,734 per ounce in Q4 2008. Rand operating
cash costs were R5,296 per ounce, a decrease of 15% compared to R6,231 per
ounce in Q4 2008.
- U.S. dollar operating cash costs net of by-product credits were $621 per
ounce, a 7% increase from $578 per ounce achieved in Q4 2008. Operating
cash costs were $706 per ounce, an increase of 12% compared to the $628 per
ounce in Q4 2008.
- Head grade increased to 4.1 grams per tonne in Q4 2009 from 4.0 grams per
tonne in Q4 2008.
- Average concentrator recovery increased to 79% from 76% in Q4 2008.
- Development meters decreased by 29% to 3,254 meters and on-reef development
decreased by 27% to 2,135 meters compared to Q4 2008, mainly as a result of
the planned reduction in reserve development that was initiated in November
2008.
- Stoping units increased by 19% to 55,153 square meters compared to Q4 2008.
- Run-of-mine rock ore hoisted increased by 14% to 321,393 tonnes compared to
280,933 tonnes in Q4 2008.
- Run-of-mine ore processed increased by 8% to 321,983 tonnes in Q4 2009
compared to 298,514 tonnes in Q4 2008.
- The Company`s Lost Time Injury Frequency Rate (LTIFR) was 3.45 in Q4 2009,
an increase of 78% compared to 1.94 in Q4 2008.
- At December 31, 2009, the Company had a cash position (including cash, cash
equivalents and short term investments) of $21,658,000 (December 31, 2008 -
$61,063,000).
Highlights for the year ended December 31, 2009
- Eastplats recorded a net profit attributable to equity shareholders of the
Company of $5,650,000 ($0.01 per share) compared to a net loss attributable
to equity shareholders of $209,381,000 ($0.31 loss per share) in the year
ended December 31, 2008.
- Production at CRM was 130,338 PGM ounces, an increase of 11% compared to
117,909 PGM ounces in 2008.
- EBITDA was $28,526,000 compared to EBITDA of $34,720,000 in 2008.
- The U.S. average delivered basket price per PGM ounce was $723, a decrease
of 42% compared to $1,255 in 2008.
- The Rand average delivered basket price per PGM ounce was R6,006, a
decrease of 40% compared to R9,956 in 2008.
- Rand operating cash costs net of by-product credits were R4,306 per ounce,
a decrease of 12% compared to R4,893 per ounce in 2008. Rand operating
cash costs were R5,286 per ounce in 2009, a decrease of 4% compared to
R5,530 per ounce in 2008.
- U.S. dollar operating cash costs net of by-product credits were $521 per
ounce, a 16% decrease from $622 per ounce achieved in 2008. Operating cash
costs were $636 per ounce, a decrease of 6% compared to the $674 per ounce
in 2008.
- Head grade increased to 4.1 grams per tonne in 2009 from 4.0 grams per
tonne in 2008.
- Average concentrator recovery increased to 79% from 76% in 2008.
- evelopment meters decreased by 26% to 15,035 meters and on-reef development
decreased by 23% to 9,302 meters compared to 2008, as a result of the
planned reduction in reserve development that was initiated in November
2008.
- Stoping units increased by 11% to 187,856 square meters.
- Run-of-mine ore processed increased by 4% to 1,225,508 tonnes in 2009 from
1,175,519 tonnes in 2008.
- The Company`s twelve month (LTIFR) was 2.21 in 2009, a decrease of 18%
compared to 2.70 in 2008.
"We are pleased to end the year strongly with record quarterly production after
a challenging third quarter that was disrupted by industry-wide labour action.
Despite this disruption, all aspects of our mining operations at CRM improved in
2009 compared to 2008, with increased production, increased recoveries, and
operating cash costs down by 16%. With the addition of new ounces from the
Crocette section within the next twelve months, our growth plans for CRM to be a
200,000 ounce per year producer are back on track. We are also currently
evaluating alternatives for the development of our Eastern Limb projects in
order to significantly increase the growth profile of the Company. With an
increasing production profile at CRM, low cost operations, no debt, and with all
our assets intact, Eastplats is very well positioned to benefit quickly as PGM
prices continue to improve", said Ian Rozier.
The qualified person having reviewed the operating disclosures presented in this
press release is Mr. Brian Montpellier, V.P. Project Development, P. Eng.
Financial Information
For complete details of financial results, please refer to the SENS
announcements released simultaneously herewith regarding the audited
consolidated financial statements and accompanying Management`s Discussion and
Analysis ("MD&A") for the year ended December 31, 2009. These financial
statements and MD&A, and the comparative financial statements for the year ended
December 31, 2008 are all available on SEDAR at www.sedar.com and on the
Company`s website www.eastplats.com.
Teleconference call details
Eastern Platinum Limited will host a telephone conference call on March 31, 2010
at 10:00am Pacific (1:00pm 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 April 7,
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 - 681,313,264
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 - Canaccord Adams Limited
Ryan Gaffney - Ryan.Gaffney@CanaccordAdams.com
+44 20 7050 6500
JSE SPONSOR - PSG Capital (Pty) Limited
Johan Fourie - johanf@psgcapital.com
+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: 31/03/2010 16:41:01 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.
