| Mon 25 Oct 2010, 10:30 | | Opt - Optimum Coal Holdings Limited - Chairman`s AGM statement - annual general |
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OPT
OPT
Opt - Optimum Coal Holdings Limited - Chairman`s AGM statement - annual general
meeting 25th October 2010
OPTIMUM COAL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2006/007799/06)
Share code: OPT
ISIN: ZAE000144663
Issuer code: OPT
CHAIRMAN`S AGM STATEMENT - ANNUAL GENERAL MEETING 25TH OCTOBER 2010
"Ladies and gentlemen,
While the scrutineers are counting the votes, let me take this time, to update
shareholders about Optimum Coal`s future.
Strategic Update
There are indeed positive signs that increasing demand for South African thermal
coal is sustainable, driven by domestic power generation requirements and
internationally, from Europe and Asia, predominantly China and India.
We will continue to supply into local power generation requirements and
simultaneously enhance our exposure to the export market. Negotiations with
Eskom, in an attempt to resolve our dispute continue and we are working together
constructively towards a resolution before March 2011.
As stated before, we will review our options regarding the disposal of our
platinum assets and acquisitive opportunities will be evaluated where they make
strategic, financial, BEE and geographic sense. Our balance sheet is strong
with manageable levels of debt and sufficient headroom to take on more debt if
required.
Our operational management and executive team have a solid track record and we
are confident that we can increase our levels of production as targeted this
year, as well as reduce our cost profile over time. The management team is most
keenly focused on safety, tons and cost.
I firmly believe that Optimum Coal`s strong BEE credentials, low gearing, strong
balance sheet and JSE listed platform, positions the Company strongly as a South
African owned coal champion and industry consolidator. I am also very confident
that our Company is in great hands. The Board and management across the group
is experienced and strong. Despite the challenges of the past year, Optimum
Coal stands steady to meet those challenges and to convert certain opportunities
that lie before it.
It was announced on SENS (27 September 2010) that I would not be available for
re-election as Chairman. The reason for my resignation from the board is to
enable me to focus more of my time and attention on my own company, namely The
HolGoun Group. I believe the time is right to do this and I remain a committed
long-term shareholder in Optimum Coal.
Mr Godsell will be the Acting Chairman until the next Optimum Coal Board meeting
and until the Board has given its approval. I would also like to take this
opportunity to thank all the Board members for their individual contributions
and to the staff and management of the Company - thank you."
Dr. Sivi Gounden
Non-Executive Chairman
25 October 2010
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Financial Communications Advisers
COLLEGE HILL
Date: 25/10/2010 10:30:01 Produced by the JSE SENS Department.
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