(Alliance News) - Edenville Energy PLC on Friday said its first half loss narrowed on lower administrative expenses and the company remains confident going forward.
The company, which is developing the Rukwa coal project in Tanzania, posted a pretax loss in the half ended June 30 of GBP626,398, narrowing from GBP888,045 a year prior.
Administrative expenses were down year-on-year to GBP292,862 from GBP483,112.
Revenue dropped to GBP16,003 From GBP151,140 a year before.
Chair Jeff Malaihollo said: "2020 has been dominated by the Covid-19 pandemic throughout the world. During the second quarter, a Tanzania-wide lockdown forced the company to suspend operations at Rukwa."
Currently, Rukwa has been operating since the beginning of August and with the number of employee on site approximately halved.
Malaihollo said: "However, the third quarter saw a recommencement of mining, processing and sales of coal from Rukwa and also the completion of three related agreements with our strategic partner Infrastructure and Logistics Tanzania Ltd, designed to address mining, sales and the company's capital position."
The three agreements include a USD1 million loan agreement, announced in July, a four-year term coal mining agreement announced in June, and a four-year sales and marketing agreement announced late August.
The company said it is confident going ahead.
Edenville Energy shares were down 6.7% at 0.035 pence each in London on Friday morning.
By Greg Roxburgh; gregroxburgh@alliancenews.com
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