Petmin Ltd. said its outlook for its financial performance in 2008-09 is ‘encouraging’ as it reported higher full-year profits on increased revenues.
The mining sand processing company, which is listed on AIM and the Johannesburg Stock Exchange, said its pretax profit in the year to June amounted to 417.15 million rand ($51.5 million) against 90.03 million rand a year earlier, while revenues totalled 667 million rand, up from 382 million rand in the same comparison.
Although Petmin said the power shortages that occurred in South Africa during the year did not have a material effect on its production and sales, it has ordered standby generators to mitigate against the risk of power cuts in its operations. These will be in operation in the first quarter of 2009.
The company said mining at Somkhele is progressing well and anthracite is being mined from two pits in the project’s Area 2.
The development of Area 1 is progressing well and Petmin expects first production from the area in the second half of calendar 2008, it added.
© 2009 Petmin Limited