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13 Mar 2012 07:00
INTERIM MANAGEMENT STATEMENTFOR IMMEDIATE RELEASE13 MARCH 2012 Bisichi Mining Plc Interim Management Statement
Bisichi Mining Plc ("Bisichi"), the UK mining company with direct coal mining operations in South Africa, is pleased to provide the following update on its operations:
In 2012, to date the mine has maintained the average monthly production of 135,000 tonnes which it achieved in the second half of 2011.
The demand for Black Wattle's output continues to remain strong in both the domestic and export market. Price increases for the first quarter of 2012 have been achieved in most of our domestic markets. Coal stockpile levels on the mine remain low and costs are in line with expectations.
As previously announced on 27 January 2012, we are pleased to report that Black Wattle has been approved an allocation of 87,500 tonnes of export tonnage at Richards Bay Coal Terminal. The allocation will allow Black Wattle direct access to the coal export market.
In addition, income from Bisichi's UK property portfolio remains steady, with no significant change.
Finally, as announced on 26 January 2012, the Company has entered into an agreement to dispose of its 49% shareholding in Ezimbokodweni Mining (Pty) Ltd ("Ezimbokodweni") to Hasty Shelf Trade and Invest 17 (Proprietary) Limited (the "Disposal"). Consideration for the sale is ZAR 54.2million in cash. The Disposal is subject to several conditions precedent including but not limited to:
1. South African Reserve Bank and Exchange Control Approval;
2. Ministerial consent from the South African Department of Mineral Resources
in relation to the transfer of the above mentioned prospecting right to
Ezimbokodweni; and
3. Shareholder approval.
For further information, please call:
Andrew Heller, Bisichi Mining PLC 020 7415 5030
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