Riversdale Mining (ASX: RIV) has released its Quarterly Activities Report for the period ending 30 September 2010.
Benga Coal Project (Riversdale 65%)
• The mining contractor (MCC Contracts Pty Limited) and Coal Handling and Processing Plant contractor (Sedgman Limited) have mobilised to site and construction has progressed to building foundations and platforms for the CHPP.
• Progress has been made in infrastructure access for rail and port.
Benga Power Plant (‘BPP’)
• Negotiations with potential off-takers have progressed.
• Discussions and due diligence visits have occurred during the quarter with possible Engineering, Procurement and Construction contractors.
• Two strategic equity partners have entered discussions with the Company on securing a significant stake in the Benga Power Project.
Zambeze Coal Project (Riversdale 100%)
• Non binding MoU signed with Wuhan Iron and Steel (Group) Corporation and a logistics partnership agreement with China Communications Construction Company for the development of the Zambeze Project.
• Whilst the MoU has recently expired, the parties remain fully engaged and committed to concluding definitive agreements as soon as possible on the basis of the terms contained in the MoU.
Exploration in Mozambique
• Reconnaissance drilling is under way on licences in the Tete, Changara and Cahora Bassa areas.
• A number of promising prospects have been identified by drilling on the Changara leases west of Tete with indications of coking and thermal coal.
Zululand Anthracite Colliery (‘ZAC’)
• ROM production for the September quarter was 166,125 tonnes, a decrease of 11,005 tonnes on the June quarter due to challenging mining conditions.
• Saleable production totalled 132,616 tonnes for the September quarter, down 12.5% on the June quarter as plant feed and yield were constrained.
• Product sales were 161,671 tonnes for the quarter (June quarter: 191,353 tonnes).
• The Ngwabe Project is progressing well with ground conditions to date being consistent with expectations.
• The Department of Mineral Resources has awarded mining rights for leases adjoining the Western Extension which will allow a rapid ramp up of production.
• Wage negotiations successfully concluded without industrial action.
• The Company undertook a fully underwritten Capital Raising comprising an Entitlement Offer and Placement to raise A$337 million to facilitate accelerated development of the Benga Coal Project.
• Cash on hand was A$548.2 million at 30 September 2010.
Please find details in the attached announcement.
For further information, please contact:
Ph: +612 8299 7900
Ph: +612 8299 7900
CFO & Company Secretary
Ph: +612 8299 7900
Ph: +612 9331 0655
Mob: +61 400 122 449
Fortbridge.NET is a specialist web-based service for clients ("Issuer") of Fortbridge Consulting Pty Ltd. For all enquiries related to this announcement or any attachments, please contact the Issuer directly on the contact details provided.
DISCLAIMER: The message and attachment issued with this email may contain "forward-looking statements", which are projections that reflect the Issuer`s reasonable beliefs based on information currently available. Although they may have been approved by qualified persons to be announced in this manner, such statements are subject to various risks and uncertainties that could cause actual results and future events to differ materially from projections expressed or implied by the Issuer. Therefore, readers are cautioned that "forward-looking statements" are not guarantees of future performance or achievements. Readers are also encouraged to take notice of any further disclaimers or compliance statements that may be included at the end of each announcement attached, especially those specific to different stock exchanges and their jurisdictions.
Fortbridge is a Public Relations consultancy. The shareholders in Fortbridge may also be shareholders either directly or indirectly in the companies Fortbridge represents.
PRIVACY: You have been regarded as a relevant contact through research. If you believe there is another member of your organization who would make better use of announcements like this, please reply to this e-mail and let us know. If you simply wish to be excluded from our distribution list with no substitute, reply to this e-mail with the subject "Please Remove Me".
Please consider the environment before printing this document.