MERAFE RESOURCES LIMITED - Production report for the six months ended 30 June 2012
MRF 201207310012A
Production report for the six months ended 30 June 2012
Merafe Resources Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1987/003452/06)
JSE share code: MRF
ISIN: ZAE000060000
(?Merafe? or ?the Company?)
Production report for the six months ended 30 June 2012
Shareholders of the Company are advised that ferrochrome production volumes in the first half of
2012 were 21% lower than the 2011 comparative period, mainly due to the rescheduling of
maintenance programmes and power buyback deals with Eskom, the South African national electricity
supplier, in a rather soft market. Ferrochrome production volumes at the less energy efficient
furnaces were curtailed according to Eskom?s requirements for consumption reductions. The
compensation provided by Eskom for the electricity not consumed was adequate to cover the costs
and lost profits on the associated volumes.
Ferrochrome producers achieved a 17% increase in the European benchmark ferrochrome price from
$1.15 per pound in the first quarter of 2012 to $1.35 per pound in the second quarter of 2012, driven
by reduced supply in the market. The third quarter European benchmark ferrochrome price was
settled lower at $1.25 per pound.
Six months to 30 Six months to 30 Year ended 31
June 2012 June 2011 December 2011
Attributable ferrochrome production (kt) 118 150 263
Indicative average published ferrochrome price
(USc/lb) (Metal Bulletin) 125.0 130.0 125.0
Sandton
31 July 2012
Sponsor
Merrill Lynch South Africa Proprietary Limited
Date: 31/07/2012 08:30:00 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.
Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information.
