CoAL revenue rockets
Johannesburg - JSE-listed coal company Coal of Africa [JSE:CZA] (CoAL) grew its revenue 166 percent, according to its results
for the financial year ended June 30, 2011, released on Monday.
"The company underwent a significant internal
restructuring during FY2011 and has refocused the business into three core
areas, namely exploration, development and mining," CEO John Wallington
said in a statement.
Total revenue generated rose by 166% to R1.97bn.
Gross profit was 40% up year on year at R286m.
Wallington said the former junior explorer and development
stage company was "implementing additional structures, processes and
resources as the company gears up to become a significant developer and
operator of large-scale mining projects and operations."
Work at its Vele coking coal project in Limpopo had resumed
after the lifting of a regulatory hold imposed by the department of
environmental affairs in August 2010.
However, its water use licence had been suspended after an
appeal by a non-governmental coalition so work at Vele is limited to activities
that do not require the use of water.
Wallington said the company had petitioned the minister of
environmental affairs to lift the suspension.
Vele Colliery was expected to start production in the first
half of 2012.
CoAL's second major coking coal project in Limpopo was
Makhado. The company had applied for a new order mining right and was preparing
for regulatory approval of the environmental management programme and the
granting of a water use licence.
CoAL's other projects were the Mooiplaats and Woestalleen
collieries which both produce thermal coal.