30th Mar 2015 08:29
LONDON (Alliance News) - Ironveld PLC Monday said its pretax loss widened slightly in the first half of the financial year as it continues to progress with the smelter at its South African project on schedule.
For the six months ended December 31, the South African focused miner reported a pretax loss of GBP399,000 compared with a GBP394,000 loss a year earlier. The company does not currently generate any revenue and had a cash balance of GBP928,000 at the end of 2014.
"We have made excellent progress during the period as we work towards bringing our world class high purity iron, vanadium and titanium (Ironveld) project to production on time and to budget. We have worked hard to ensure it has the government's commitment and are delighted with the support shown to date to the project further enhancing its attractive economics," said Chairman Giles Clarke.
The company said construction of the smelter will begin in the middle of 2015 with commissioning due before the end of the first-half of 2016, followed by full production in the second-half of 2016. The smelter is due to have an annual output of around 42,000 tonnes of high purity iron, 415 tonnes of vanadium and 8,269 tonnes of titanium.
"Positive discussions continue around the financial arrangements for the project which we are in the process of finalising and the offtake arrangements for the three products," said Clarke.
Still, Ironveld shares were down 2.2% to 5.50 pence per share on Monday morning.
By Joshua Warner; [email protected]; @JoshAlliance
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Ironveld