Investor relations

Open dialogue with investors

The Company maintains a open dialogue with its key financial audiences, especially institutional share owners and fund managers.

Presentations take place at the time of publishing interim and final results and the investor relations section of this website provides the latest and historical financial and other information, including the financial reports.

Our SENS releases our available under "News".

CEO Andre Boje provided insights into Wescoal’s prospects in the latest annual report.

Subsequent to the financial year under review, export prices have risen on the back of Asian demand and are steady at $US90 per ton that, coupled with an exchange rate of around R7.60 = $US1, should result in higher domestic pricing during the latter half of 2010. Subject to the logistical infrastructure surrounding the export market performing adequately, the commissioning of Phase V at Richards Bay Coal Terminal (RBCT) will reduce the amount of product available domestically and in turn will benefit the trading division.                                                                      

The trading division has proven to be the mainstay of the group for many years and will ultimately return to the levels achieved in the past. Due to the dynamics of the coal industry, the mining division will produce the bulk of the group`s profits going forward. The last two months of the financial year under review proved that this division can contribute significant profits when compared to other activities. This will continue going forward due to:

  • The division is on track to achieve the stated production target of  1,2 million tons per annum;
  • Saleable washed product will increase from 220,000 tons to 558,000 tons for the coming year;
  • The division secured new contracts to account for the majority of production output;
  • In addition to the washed product, a proven capability of delivering the monthly Eskom contractual requirement.

The group is currently busy with an active drilling and exploration program on its existing Khanyisa and nearby reserves to ensure that production can be maintained at the target of 1,2 million tons per annum. In addition to ensure future growth and sustainability, the group is assessing its existing rights and is exploring a number of additional opportunities that have arisen out of the pending expiry of rights issued to others in 2004 and 2005.