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Ncondezi Energy Loss Widens On Coal Asset Impairment Charge

29th Jul 2015 12:05

LONDON (Alliance News) - Ncondezi Energy Ltd on Wednesday said its pretax loss in 2014 widened significantly thanks to impairment charges.

The company, which does not produce any revenue, said its pretax loss for the year was USD37.7 million, significantly wider than the USD7 million it posted a year earlier.

The loss was driven by a USD31.8 million impairment charge the company booked on the value of its coal mining asset in northern Mozambique.

The company is holding talks with a number of potential financiers to raise funds to back further work at the Mozambique project and said it is working to cut its cost base.

Shares in Ncondezi were up 7.1% to 1.74 pence on Wednesday.

By Sam Unsted; [email protected]; @SamUAtAlliance

Copyright 2015 Alliance News Limited. All Rights Reserved.


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