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Johannesburg - First Uranium (FUM) on Wednesday reported a loss per share for the year ended March 2008 of US0.18c from a loss of 0.08c the year before.
The total loss for the year was $22.347m from a previous $7.928m. Operating loss was $18.454m from $6.566m.
"By mining industry standards, we have accomplished a lot in a very short time," said Gordon Miller, president and chief executive officer of First Uranium.
"At MWS we accelerated our gold production by a year with the acquisition of a gold plant in June 2007. At the Ezulwini Mine we accelerated by three months our target to begin commissioning the gold plant, met that target and are on plan to begin to commission the uranium plant this month.
"Meeting our production deadlines sets us apart from many of our competitors and is noteworthy given the scarcity for steel and cement for construction, sulphuric acid for uranium production and, in South Africa, electrical power," he said.
"Risk mitigation has also been a high priority and is designed to ensure that we meet our future production targets."
Assuring investors
"For example, we have now completed the majority of the work to stabilise our main shaft against movement of the surrounding rock in the Western Area Formation, acquired generators to reduce exposure to any further power shortages in South Africa and, subject to financing, we are planning to build an acid plant to secure a low-cost supply of sulphuric acid, which is needed to produce uranium.
"We believe that by taking this risk adverse approach, investors will be assured that we can continue to achieve our goals and be good stewards of their investment in First Uranium," said Miller.
"During the fourth quarter, First Uranium said it had produced and sold a total of 9 995 ounces of gold from the Ezulwini mine and MWS at an average selling price of $888 per ounce, generating revenue of $6.4m from MWS, resulting in $2.8m gross profit, net of total cost of sales.
During FY 2008, First Uranium said it produced and sold a total of 35 927 ounces of gold from the Ezulwini mine and MWS at an average selling price of $784 per ounce, generating revenue of $21.4m from MWS, resulting in $4.8m gross profit, net of total cost of sales.
It said it ended FY 2008 with $164.7m of cash and cash equivalents on hand and toll-treated 46 271 tonnes of ore from the Ezulwini Mine at a recovered grade of 5.2 grams of gold per tonne, producing 7 735 ounces of gold.
The company said it had treated a total of 4.1 million tonnes of tailings through the MWS gold plant at a recovered grade of 0.22g of gold per tonne, producing a total of 28 192 ounces of gold at a cash cost of $533 per ounce.
- I-Net Bridge