Consolidated Minerals Limited, a leading manganese producer, announces its quarterly results for the period ended 31 March 2011.
|Unaudited||31 March 2011||31 March 2010||% change|
|Manganese ore produced (dry kt)||802.6||680.3||18.0%|
|Manganese ore sales (dry kt)||799.4||639.0||25.1%|
|Average C1 manganese unit cash cost ($/dmtu)1||3.51||2.98||17.8%|
|Average manganese FOB Sales price ($/dmtu)||5.33||5.80||(8.1%)|
|Chromite ore produced (kt)||55.4||33.6||64.9%|
|Chromite sales (kt)||46.6||25.6||82.0%|
|Average C1 chromite unit cash cost ($/t)1||280||112||150.0%|
|Average chromite FOB sales price ($/t)||303||209||45.0%|
|Revenue ($ million)||171.4||182.7||(6.2%)|
|Adjusted EBITDA ($ million)2||59.1||77.7||(23.9%)|
|Quarter ended||Year ended|
|Unaudited||31 March 2011||31 December 2010||% change|
|Cash and cash equivalents ($ million)||111.8||97.7||14.4%|
|Gross debt ($ million)||58.3||66.7||(12.6%)|
|Net debt/(cash) ($ million)||(53.5)||(31.0)||(72.6%)|
1Average C1 manganese or chromite unit cash cost represents the cash cost incurred at each processing stage from mining through to shiploading, over the total manganese dmtus or chromite tonnes produced. Included within the C1 manganese unit cash cost are allocation of offsite, non-corporate, support services. Depreciation, government royalty payments, deferred stripping adjustments and stockpile movements are not included in the calculation.
2 Adjusted EBITDA is defined as operating profit plus depreciation and amortisation, impairment write-back/expense, net foreign exchange gain/loss and non-cash inventory write-downs. Adjusted EBITDA is not a uniformly or legally defined measure and is not recognised under IFRS or any other generally accepted accounting principles. We consider this measure an important indicator of our representative, recurring operations. Other companies in the mining industry may calculate this measure differently and consequently, our presentation of Adjusted EBITDA may not be readily comparable to other companies’ figures.
Commenting on the results, Glenn Baldwin (CEO of Consmin) said:
“We are pleased to publish our inaugural quarterly results for Consmin, which show increased production levels across both our manganese and chromite operations. We introduced a new high grade manganese product at Woodie Woodie during the quarter, which expands Consmin’s premium product range. Manganese sales have increased significantly confirming the value of our products in alloy and manganese metal production. Although the Australian dollar was appreciably stronger against the US dollar, and the benchmark manganese price was weaker, the increased production matched with cost reduction projects resulted in a solid EBITDA margin. The successful $405 million bond financing that we finalised in April 2011 will enable the Company to focus on the extensive exploration potential of our assets in Australia and Ghana.”
The full version of the quarterly results report is available for download here
Consmin is a leading manganese ore producer within mining operations in Australia and Ghana. The principal activities of the Company and its subsidiaries (the “Group”) are the exploration, mining, processing and sale of manganese products. The Group’s operations are primarily conducted through four major operating/trading subsidiaries; Consolidated Minerals Pty Limited (Australia), Ghana Manganese Company Limited (Ghana), Manganese Trading Limited (Jersey) and Pilbara Trading Limited (Jersey).
Consolidated Minerals Limited is headquartered in Jersey and the address of its office is Commercial House, 3 Commercial Street, St Helier, Jersey, Channel Islands, JE2 3RU.
For further information, please visit our website www.consmin.com or contact:
Tel: +44(0)1534 513 300
Glenn Baldwin, CEO
Jackie Callaway, CFO
Pelham Bell Pottinger (Investor and Media Relations)
Tel: 44(0)20 7861 3232
There will be a conference call for analysts and bondholders on 8 June 2011 at 12:00 pm London time.
The dial-in details are as follows:
Participant dial in number: +44 (0)20 8515 2302