| Thu 12 May 2011, 13:49 | | EPS - Eastern Platinum Limited - Eastern Platinum reports results for the |
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EPS
EPS
EPS - Eastern Platinum Limited - Eastern Platinum reports results for the
three months ended March 31, 2011
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR ISIN: CA 2768551038
Share Code AIM: ELR ISIN: CA 2768551038
Share Code JSE: EPS ISIN: CA 2768551038
May 11, 2011
Trading Symbol: ELR (TSX & AIM) EPS (JSE)
S&P TSX Composite Index
NEWS RELEASE
EASTERN PLATINUM REPORTS RESULTS FOR THE THREE MONTHS ENDED MARCH 31, 2011
Mr. Ian Rozier, President and CEO of Eastern Platinum Limited ("Eastplats")
is pleased to report financial results for the three months ended March 31,
2011.
Summary of results for the three months ended March 31, 2011 ("Q1 2011"):
* Eastplats recorded a net loss attributable to equity shareholders of the
Company of $5,633,000 ($0.01 loss per share) in Q1 2011 compared to
earnings of $824,000 ($0.00 per share) in the first quarter of 2010 ("Q1
2010").
* EBITDA decreased 29% to $6,412,000 in Q1 2011 compared to $8,996,000 in
Q1 2010.
* PGM ounces sold decreased 17% to 25,387 ounces in Q1 2011 compared to
30,531 ounces in Q1 2010.
* The U.S. average delivered basket price per PGM ounce increased 18% to
$1,136 in Q1 2011 compared to $959 in Q1 2010.
* The Rand average delivered price per PGM ounce increased 11% to R7,963 in
Q1 2011 compared to R7,202 in Q1 2010.
* Rand operating cash costs net of by-product credits increased 16% to
R6,167 per ounce in Q1 2011 compared to R5,336 per ounce in Q1 2010. Rand
operating cash costs increased 28% to R8,090 per ounce in Q1 2011 compared
to R6,315 per ounce in Q1 2010.
* U.S. dollar operating cash costs net of by-product credits increased 24%
to $880 per ounce in Q1 2011 compared to $711 per ounce achieved in Q1 2010.
U.S. dollar operating cash costs increased 37% to $1,154 per ounce in Q1
2011 compared to the $841 per ounce in Q1 2010.
* Head grade decreased to 3.9 grams per tonne in Q1 2011 from 4.1 grams per
tonne in Q1 2010.
* Average concentrator recovery increased to 79% in Q1 2011 compared to 78%
in Q1 2010.
* Development meters increased by 50% to 4,219 meters and on-reef
development increased by 26% to 2,434 meters compared to Q1 2010.
* Stoping units decreased 14% to 44,674 square meters in Q1 2011 compared
to 51,760 square meters in Q1 2010.
* Run-of-mine ore hoisted decreased by 19% to 247,369 tonnes in Q1 2011
compared to 304,309 tonnes in Q1 2010.
* Run-of-mine ore processed decreased by 16% to 245,500 tonnes in Q1 2011
compared to 290,854 tonnes in Q1 2010.
* The Company`s Lost Time Injury Frequency Rate (LTIFR) improved to 1.54 in
Q1 2011 compared to 1.77 in Q1 2010.
* At March 31, 2011, the Company had a cash position (including cash, cash
equivalents and short term investments) of $349,719,000 (December 31, 2010 -
$350,292,000).
"The traditional slow start in January combined with the changes to improved
stope support standards and the consequent retraining of underground
personnel resulted in a significant decrease in production and,
correspondingly, earnings for the quarter. We are confident that the impact
of this is short term and that production and earnings will quickly return to
anticipated levels. Development of Crocette is progressing, and in the
Eastern Limb, we anticipate awarding construction contracts for Mareesburg
and the concentrator shortly", said Ian Rozier.
The qualified person having reviewed the operating disclosures presented in
this press release is Mr. Brian Montpellier, P. Eng, V.P. Project
Development.
Financial Information
For complete details of financial results, please refer to the SENS
announcements released simultaneously herewith relating to the unaudited
condensed consolidated interim financial statements and accompanying
Management`s Discussion and Analysis ("MD&A") for the three months ended
March 31, 2011. These financial statements and MD&A, and the comparative
unaudited condensed consolidated interim financial statements for the three
months ended March 31, 2010 are all available on SEDAR at www.sedar.com and
on the Company`s website www.eastplats.com.
Teleconference call details
Eastplats will host a telephone conference call on Thursday, May 12, 2011 at
10:00 am Pacific (1:00 pm 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 Thursday, May
19, 2011 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 - 908,187,807
March 31, 2011 financials to be attached here.
March 31, 2011 MD&A to be attached here
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:
Mark Williams / Ryan Cohen
Canaccord Genuity Limited, London
Email: MWilliams@canaccordgenuity.com / rcohen@canaccordgenuity.com
Tel: +44 20 7050 6500
JSE SPONSOR:
Johan Fourie
PSG Capital (Pty) Limited
Email: johanf@psgcapital.com
Tel: +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: 12/05/2011 13:49:01 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.
