27th Jan 2014 11:48
LONDON (Alliance News) - African Minerals Ltd Monday confirmed Its sales volumes have jumped on increased shipments, as it announced key development dates and said it will rearrange its banking facilities.
The iron ore exploration, development and production company said its full year 2013 sales volumes reached 12.1 million tonnes, a significant increase on the 4.1 million tonnes sales volumes in 2012.
The company said its fourth quarter sales volumes were 3.8 million tonnes, a million tonne increase on its third quarter and including a company record nine shipments during December.
African Minerals said that it reached its previous export guidance of 11 million to 13 million tonnes in 2013, and it remains confident of achieving a 20 million tonnes per year sustainable run rate as it continues to ramp up operations at its Tonkolili mine in Sierra Leone.
The company said its phase II expansion at Tonkolili is expected to commence at the end of 2014 and a concentrator at the site is expected to be commissioned in 2016.
African Minerals said its focus for 2014 will be the achievement of 20 million tonnes per year of sustainable production run rate, hopefully driving cash costs down to around USD30 per tonne.
The company also announced a review of its banking arrangements. It intends to repay its Standard Bank corporate facility, and replace it in the first quarter with a new corporate facility of longer maturity. It USD250 million PXF operating company facility was syndicated in the fourth quarter of 2013.
The company said it will provide guidance for its full year 2014 production in its preliminary results, expected to be released on March 31.
African Minerals shares were down 4.2% to 175.95 pence Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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