Anpario Regulatory News (ANP)

11 Feb 2008 07:00

Anglo Platinum Limited11 February 2008 ANGLO PLATINUM RESULTS FOR THE YEAR ENDED 31 DECEMBER 2007 Anglo Platinum is pleased to announce record headline earnings for the yearended 31 December 2007. Headline earnings and headline earnings attributable toordinary shareholders increased to R12.3 billion with headline earnings perordinary share decreasing 3% to R52.39 as a result of an increased weightedaverage number of shares in issue in 2007. The primary factors contributing tothe increased earnings were higher US dollar prices realised on metals soldoffset by lower sales volumes on the back of reduced production from miningoperations. A final dividend of R23.00 per ordinary share has been declared,bringing the full-year dividend to R52.00 per share and maintaining a dividendcover ratio of 1. Joint acting CEO Norman Mbazima said, "Our record financial performance wasdriven by strong demand and record metal prices despite the tough operatingconditions. We are pleased with the progress made on implementing the MvelaResources and Anooraq Resources BEE transactions and our employee shareownership plan, all of which further enhance transformation of the South Africanmining sector and further progress our economic and social transformationobjectives." Platinum production from mining operations decreased by 6% to 2.47 millionounces in 2007 as a result of reduced labour efficiency and interventions aimedat achieving a significant improvement in employee safety. The reduction inrefined ounces, also to 2.47 million ounces, was a 12% decrease due to reducedmining output and movements in process pipeline stocks. Joint acting CEO Duncan Wanblad commented, "Anglo Platinum remains committed tothe principle of zero harm and we have implemented a major shift in our approachto safety. The creation of a culture in which safety standards are paramountremains our overriding priority and is at the heart of our new approach. Whileinterventions to achieve a significant improvement in employee safety, ashortage of skilled labour and the unsettled labour situation were the primaryreasons for lower production, we believe that the actions we have taken toaddress these challenges are starting to take effect. " Anglo Platinum remains confident of continued robust demand for platinum and iscommitted to increasing production in line with growth in global demand. "It is pleasing that in 2007 our board approved new capital expenditure to thevalue of R10.7 billion in continued support of maintaining existing anddeveloping additional production capacity. In 2008, a further R5.9 billion toexpand output at our Twickenham mine was approved," said Duncan. "The challengesencountered in 2007 have been compounded in 2008 by production disruptionsarising from constrained electricity supply by Eskom. We continue to engageEskom and the relevant Government departments directly and with the SouthAfrican mining industry to address the constraints in the most effectivemanner", he added. Anglo Platinum's commitment to employee safety, including the principle of zeroharm, will continue to be an area of focus in 2008. The new approach to safety,alongside the operational difficulties, has had a material impact in 2007, whichis likely to continue in 2008. Production disruptions arising from Eskom'sinability to supply sufficient power have been experienced in 2008. Consequentlyrefined platinum production is expected to be 2.4 million ounces. Johannesburg11 February 2008 For further information, please contactTrevor Raymond +27 (0) 11 373-6462, +27 (0) 82 654 8467 This information is provided by RNS The company news service from the London Stock Exchange