11th Jun 2008 07:00
11 June 2008
Eurasian Natural Resources Corporation PLC
Extract from Annual General Meeting Statement
Eurasian Natural Resources Corporation PLC ('ENRC' or, together with its subsidiaries, the 'Group'), the holding company of a leading diversified natural resources group based in Kazakhstan, will hold its Annual General Meeting today at 14.30 (BST) at The Lanesborough Hotel, Hyde Park Corner, London, SW1X 7TA.
Sir David Cooksey, ENRC's Chairman, will make the following comments to shareholders on the Group's performance and outlook as part of his address:
"As we disclosed in our Interim Management Statement on 14 May 2008, the first quarter of 2008 has laid the foundations for a very strong year with a positive price outlook for our core commodities. There was a significant increase in Group revenue, largely attributable to higher commodity prices, and in the principal operating divisions revenue growth was well ahead of cost growth. Overall production volumes increased despite adverse weather conditions and there was good sales volume growth in the Ferroalloys, Iron Ore and Energy Divisions, and from new aluminium sales.
Into the second quarter of 2008 the trends underlying trading this year have continued. Significant price increases will feed through to benefit ferroalloys and iron ore revenues. In addition we have a new revenue stream from the aluminium smelter - which is expected to generate sales of about 100,000 tonnes in 2008.
Further, in the second quarter, we completed a ferroalloys acquisition in Russia, the Serov group and certain related entities ('Serov'), and the purchase of a 50% stake in the development of a significant iron ore deposit in Brazil through Bahia Mineracao Limitada ('BML'). We also announced the intended acquisition of a 50% stake in a Chinese ferroalloy producer, Xinjiang Tuoli Taihang Ferro-Alloy Co. LTD, and that the Logistics Division of ENRC had won the Kazakhstan State tender for the 'China Gateway Project', a new railway and transhipment link between Kazakhstan and China.
We note the announcement yesterday from Kazakhmys Plc that the Government of Kazakhstan intends to become a shareholder in Kazakhmys. Kazakhmys announced that the Government will exchange ENRC shares for those of Kazakhmys enabling Kazakhmys to acquire a further 7.7% stake in ENRC."
- ENDS -
For further information, please contact:
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ENRC |
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Mounissa Chodieva |
+44 (0) 20 7389 1879 |
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James S Johnson |
+44 (0) 20 7389 1862 |
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Marianna Adams |
+44 (0) 20 7389 1886 |
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M: Communications |
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Hugh Morrison |
+44 (0) 20 7153 1534 |
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Edward Orlebar |
+44 (0) 20 7153 1523 |
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Julia Kalcheva |
+44 (0) 20 7153 1517 |
Notes to Editors
About ENRC PLC
ENRC is the holding company of a leading diversified natural resources group with integrated mining, processing, energy, logistical, and marketing operations, based in Kazakhstan. ENRC is the world's largest producer of ferrochrome, based on chrome content, the world's sixth largest iron ore exporter by volume and world's fifth largest supplier of traded alumina by volume (CRU and Heinz H. Pariser, 2006 data). The Group's revenue was US$4,106 million for the year ended 31 December 2007 (2006: US$3,256 million) and EBITDA before exceptional items was US$1,906 million (2006: US$1,256 million); EBITDA for the year ended 31 December 2007 was US$1,724 million (2006: US$1,250 million). For further information please see the Group's website at www.enrc.com.
Forward looking statement
This announcement includes forward-looking statements that reflect the current views of the management of the Group with respect to future events. These forward-looking statements include matters that are not historical facts or are statements regarding the Group's intentions, beliefs or current expectations concerning, among other things, the Group's results of operations, financial condition, liquidity, prospects, growth, strategies, and the industries in which the Group operates. Forward-looking statements are based on current plans, estimates and projections, and therefore too much reliance should not be placed upon them. Such statements are subject to risks and uncertainties, most of which are difficult to predict and generally beyond the Group's control. The Group cautions you that forward-looking statements are not guarantees of future performance and that if risks and uncertainties materialise, or if the assumptions underlying any of these statements prove incorrect, the Group's actual results of operations, financial condition and liquidity and the development of the industry in which the Group operates may materially differ from those made in, or suggested by, the forward-looking statements contained in this announcement. In addition, even if the Group's results of operations, financial condition and liquidity and the development of the industry in which the Group operates are consistent with the forward-looking statements contained in this announcement, those results or developments may not be indicative of results or developments in future periods. The Group does not undertake any obligation to review or confirm analysts, expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events that occur or circumstances that arise after the date of this announcement.
Related Shares:
ENRC.L