Welcome!

Microsoft Cloud Authors: Stackify Blog, Liz McMillan, David H Deans, Automic Blog, Pat Romanski

News Feed Item

Forbes Coal Reports Third Quarter Results

TORONTO, ONTARIO -- (Marketwire) -- 01/14/13 -- Forbes & Manhattan Coal Corp. (TSX:FMC)(JSE:FMC) reports its financial results for the third quarter of fiscal 2013 (three month period ended November 30, 2012). All figures are in Canadian dollars unless specified.

Third Quarter 2013 Financial Results:


----------------------------------------------------------------------------
                                 Third Quarter 2013      Second Quarter 2013
                                  (Sept - Nov 2012)     (June - August 2012)
----------------------------------------------------------------------------
Revenue                              $10.83 million           $23.39 million
----------------------------------------------------------------------------
Gross profit                         -$2.29 million            $2.35 million
----------------------------------------------------------------------------
Consolidated EBITDA (see                                                    
 non-IFRS measures)                  -$3.39 million            $2.72 million
----------------------------------------------------------------------------
Forbes Coal Dundee Stand                                                    
 Alone EBITDA (see non-IFRS                                                 
 measures)                           -$1.43 million            $3.34 million
----------------------------------------------------------------------------
Cash and cash equivalents             $3.73 million            $14.6 million
----------------------------------------------------------------------------

"Third quarter results reflect the four and a half week labour disruption this past November in addition to the challenging international coal market. The company has resumed operating at full production and taking into consideration the seasonal December closure, we are pleased to see the quick ramp up and momentum we have achieved in the weeks since. At a high level, our year to date run of mine tonnes has surpassed the same period in FY2012. Our continued commitment to achieving growth is our priority", commented Stephan Theron, President and Chief Executive Officer.

Operational Overview

During the third quarter the mining industry in South Africa experienced tense labour relations issues. Labour disruptions at the Forbes Coal Dundee properties lasted four and a half weeks of the 13 week quarter, which had a significant negative impact on the operations and financial results of the company.

ROM Production


--  Total run of mine (ROM) production from all operations for Q3 2013 was
    246,000 tonnes, a 40% decrease compared to 415,000 tonnes produced in Q2
    2013. 
    
--  Magdalena ROM production was 184,000 tonnes, a 35% decrease over Q2 2013
    production of 284,000 tonnes. 
    
--  Aviemore run of mine production was 62,000 tonnes, a 53% decrease over
    Q2 2013 of 131,000 tonnes. 

Saleable Production and Sales

The total saleable production at the Magdalena bituminous and Aviemore anthracite operations declined in the third quarter of 2013, when compared to the second quarter of fiscal 2013. Total saleable production for the third quarter was 152,000 tonnes, a 41% decrease from the previous quarter.


--  Magdalena saleable production was 112,000 tonnes, a 37% decrease over
    second quarter 2013 production of 177,000 tonnes. 
    
--  Aviemore saleable production was 40,000 tonnes, a 49% decrease over
    second quarter 2013 production of 79,000 tonnes. 
    
--  In addition, Forbes Coal bought in 25,000 tonnes resulting in 177,000
    total saleable tonnes for the third quarter 2013. 
    
--  Total sales were 147,000 tonnes, a 48% decrease over second quarter 2013
    sales of 286,000 tonnes. 
    
--  The company exported 73,000 tonnes, with domestic sales of 74,000
    tonnes.

Full Financial Statements and the Management Discussion and Analysis Report will be available under the Forbes Coal profile at www.sedar.com or at www.forbescoal.com.


SUMMARIZED FINANCIAL RESULTS OF FORBES COAL DUNDEE                          
                                                                            
                                                                            
                                                                            
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                              Three months ended          Nine months ended 
                        ----------------------------------------------------
                           August  November  November   November   November 
                         31, 2012  30, 2012  30, 2011   30, 2012   30, 2011 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Run of Mine (ROM) (t)     414,551   246,002   354,003  1,047,628    987,770 
Run of Mine (ROM) coal                                                      
 purchased (t)                  -         -    21,660      1,569     21,660 
Saleable production (t)   256,583   152,013   246,570    653,201    672,483 
Saleable coal purchased,                                                    
 including adjustment                                                       
 (t)                       32,946    24,936    27,313     79,755     27,313 
Plant feed (t)            412,718   239,450   364,358  1,032,088    995,171 
Yield (%) on plant feed      62.2%     63.5%     67.7%      63.3%      67.6%
Inventory tonnes balance                                                    
 open                      73,144    80,407    82,425     41,109    189,778 
Inventory tonnes balance                                                    
 close                     80,407   102,924    38,258    102,924     38,258 
Sales (t)                 286,186   146,559   331,296    667,742    861,925 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Revenue 000,000's (CAD)      23.4      10.8      31.2       55.0       86.0 
EBITDA 000,000's (CAD)        3.3      (1.4)      9.0        5.1       24.4 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
CAD: USD (average)           1.01      0.99      1.02       1.00       0.99 
ZAR: CAD (average)           8.21      8.69      7.77       8.25       7.30 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Selling price (average)                                                     
 / sold production                                                          
 tonnes (CAD)               81.73     73.91     94.03      82.40      99.78 
Selling price (average)                                                     
 / sold production                                                          
 tonnes (USD)               80.85     74.81     92.56      82.45     101.30 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Cash cost of sales and                                                      
 operating expenses                                                         
 000,000's (CAD)             18.3      11.1      20.5       45.6       57.1 
Cash cost of sales and                                                      
 operating expenses /                                                       
 sold production tonnes                                                     
 (CAD)                      63.95     75.96     61.76      68.31      66.19 
Cash cost of sales and                                                      
 operating expenses /                                                       
 sold production tonnes                                                     
 (USD)                      63.26     76.89     60.79      68.35      67.20 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Capital expenditures                                                        
 000,000's (CAD)             1.91      1.77     13.49       5.64      17.45 
Capital expenditures per                                                    
 t of saleable                                                              
 production (CAD)            7.45     11.65     54.69       8.63      25.95 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
(i) Numbers in this chart are derived from the Forbes Coal Dundee stand     
alone financial statements (See non -IFRS measures).                        

NON-IFRS PERFORMANCE MEASURES

The company has included in this document certain non-IFRS performance measures that are detailed below. These non-IFRS performance measures do not have any standardized meaning prescribed by IFRS and, therefore, may not be comparable to similar measures presented by other companies. The company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the company's performance. Accordingly, they are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared with IFRS. The definition for these performance measures and reconciliation of the non-IFRS measures to reported IFRS measures are as follows:


EBITDA - Forbes Coal Consolidated                                           
                                                                            
                                                                            
----------------------------------------------------------------------------
                               Three months ended         Nine months ended 
                         ---------------------------------------------------
                            August  November  November  November   November 
                          31, 2012  30, 2012  30, 2011  30, 2012   30, 2011 
                            $000's    $000's    $000's    $000's     $000's 
----------------------------------------------------------------------------
Net income (loss) for the                                                   
 period                       (226)   (4,972)    3,523    (6,788)     1,097 
  add back                                                                0 
Amortization and                                                            
 depletion                   2,738     1,993     3,907     7,538     12,355 
Income tax (recovery)                                                       
 expense                       (10)   (1,161)     (396)     (893)     2,672 
Foreign exchange (gain)         14         -    (1,203)        2     (1,131)
Fair value adjustment on                                                    
 endowment policy             (331)     (140)        -      (471)         - 
Interest and dividend                                                       
 expense (income)              407       588       306     1,577        827 
Change in estimates on                                                      
 contingent acquisition                                                     
 liability                       -         -       120         -        120 
Accretion                        -         -       475         -      1,540 
Business combination                                                        
 transaction costs               -       273         2       273         24 
Stock based compensation        11         6        64        35      1,996 
Loss on share-based                                                         
 payments                        -         -     1,488         -      1,488 
Unrealized (gain) on                                                        
 marked-to-market                                                           
 securities                    117        27       (54)      512        (54)
----------------------------------------------------------------------------
EBITDA Forbes Coal                                                          
 Consolidated                2,720    (3,386)    8,232     1,785     19,500 
----------------------------------------------------------------------------
                                                                            
                                                                            
EBITDA - Forbes Coal Dundee Stand Alone                                     
                                                                            
                                                                            
----------------------------------------------------------------------------
                               Three months ended         Nine months ended 
                         ---------------------------------------------------
                            August  November  November  November   November 
                          31, 2012  30, 2012  30, 2011  30, 2012   30, 2011 
                            $000's    $000's    $000's    $000's     $000's 
----------------------------------------------------------------------------
Net income (loss) for the                                                   
 period                       (226)   (4,972)    3,523    (6,788)     1,097 
  add back                                                                  
Amortization and                                                            
 depletion                   2,738     1,993     3,907     7,538     12,355 
Income tax (recovery)                                                       
 expense                       (10)   (1,161)     (396)     (893)     2,672 
Foreign exchange (gain)         14         -    (1,203)        2     (1,131)
Fair value adjustment on                                                    
 financial assets             (331)     (140)        -      (471)         - 
Interest and dividend                                                       
 expense (income)              407       588       306     1,577        827 
Change in estimates on                                                      
 contingent acquisition                                                     
 liability                       -         -       120         -        120 
Accretion                        -         -       475         -      1,540 
Business combination                                                        
 transaction costs               -       273         2       273         24 
Mineral properties                                                          
 investigation costs (Non                                                   
 FC Dundee)                      7         2       190        16        190 
Stock based compensation        11         6        64        35      1,996 
Loss on share-based                                                         
 payments                        -         -     1,488         -      1,488 
Unrealized loss (gain) on                                                   
 marked-to-market                                                           
 securities                    117        27       (54)      512        (54)
General and                                                                 
 administration (Non FC                                                     
 Dundee)                       608     1,957       615     3,255      3,320 
----------------------------------------------------------------------------
EBITDA Forbes Coal Dundee    3,335    (1,427)    9,037     5,056     24,444 
----------------------------------------------------------------------------

About Forbes Coal

Forbes Coal is a growing coal producer in southern Africa. It holds a majority interest in two operating mines through its 100% interest in Forbes Coal (Pty) Ltd., a South African company ("Forbes Coal Dundee") which has a 70% interest in Zinoju Coal (Pty) Ltd. ("Zinoju"). Zinoju holds a 100% interest in the Magdalena bituminous mine and the Aviemore anthracite mine in South Africa (collectively, "the Forbes Coal Dundee Properties"). The mines have a substantial resource base and each mine has a projected life span in excess of 20 years. Forbes Coal is in the process of increasing production at both mines using existing infrastructure and capacity. The company has in-place transportation infrastructure allowing its coal to reach both export corridors and the growing domestic coal market. Forbes Coal has a strong balance sheet and an experienced coal-focused management team.

Please refer to the company's NI 43-101 compliant technical report on the Forbes Coal Dundee Properties dated March 1, 2011 entitled "Technical Report on Slater Coal and Subsidiaries, KwaZulu-Natal Province, South Africa", available on the SEDAR profile of the Company at www.sedar.com. Additional information is available at www.forbescoal.com.

Cautionary Notes:

Johan Odendaal, B.Sc.(Geol.), B.Sc.(Hons)(Min. Econ.), M.Sc. (Min. Eng.), a director of Minxcon and an independent Qualified Person, as defined in National Instrument 43-101 has reviewed and approved the scientific and technical information contained in this release.

The ability of Forbes Coal to increase production amounts has not been the subject of a feasibility study and there is no certainty that the proposed expansion will be economically feasible.

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the anticipated production results with respect to the Forbes Coal Dundee Properties, future financial or operating performance of Forbes Coal and its projects, statements regarding the anticipated improvements in logistical support and anticipated improvements in sales, statements made with respect to prospects for the business of Forbes Coal, requirements for additional capital, government regulation of the mineral exploration industry, environmental risks, acquisition of mining licences, title disputes or claims, limitations of insurance coverage and the timing and possible outcome of pending litigation and regulatory matters. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward- looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Forbes Coal to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, foreign operations, political and social uncertainties; a history of operating losses; delay or failure to receive board or regulatory approvals; timing and availability of external financing on acceptable terms; not realizing on the potential benefits of the proposed transaction; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of mineral products; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; and, delays in obtaining governmental approvals or required financing or in the completion of activities. Although Forbes Coal has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forwardlooking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
Multiple data types are pouring into IoT deployments. Data is coming in small packages as well as enormous files and data streams of many sizes. Widespread use of mobile devices adds to the total. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will look at the tools and environments that are being put to use in IoT deployments, as well as the team skills a modern enterprise IT shop needs to keep things running, get a handle on all this data, and deli...
Grape Up is a software company, specialized in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market across the USA and Europe, we work with a variety of customers from emerging startups to Fortune 1000 companies.
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
Financial Technology has become a topic of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 20th Cloud Expo at the Javits Center in New York, June 6-8, 2017, will find fresh new content in a new track called FinTech.
SYS-CON Events announced today that CollabNet, a global leader in enterprise software development, release automation and DevOps solutions, will be a Bronze Sponsor of SYS-CON's 20th International Cloud Expo®, taking place from June 6-8, 2017, at the Javits Center in New York City, NY. CollabNet offers a broad range of solutions with the mission of helping modern organizations deliver quality software at speed. The company’s latest innovation, the DevOps Lifecycle Manager (DLM), supports Value S...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
The Internet of Things is clearly many things: data collection and analytics, wearables, Smart Grids and Smart Cities, the Industrial Internet, and more. Cool platforms like Arduino, Raspberry Pi, Intel's Galileo and Edison, and a diverse world of sensors are making the IoT a great toy box for developers in all these areas. In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists discussed what things are the most important, which will have the most profound e...
SYS-CON Events announced today that Hitachi, the leading provider the Internet of Things and Digital Transformation, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Hitachi Data Systems, a wholly owned subsidiary of Hitachi, Ltd., offers an integrated portfolio of services and solutions that enable digital transformation through enhanced data management, governance, mobility and analytics. We help globa...
SYS-CON Events announced today that Grape Up will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company specializing in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market across the U.S. and Europe, Grape Up works with a variety of customers from emergi...
@ThingsExpo has been named the Most Influential ‘Smart Cities - IIoT' Account and @BigDataExpo has been named fourteenth by Right Relevance (RR), which provides curated information and intelligence on approximately 50,000 topics. In addition, Right Relevance provides an Insights offering that combines the above Topics and Influencers information with real time conversations to provide actionable intelligence with visualizations to enable decision making. The Insights service is applicable to eve...
SYS-CON Events announced today that Hitachi Data Systems, a wholly owned subsidiary of Hitachi LTD., will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City. Hitachi Data Systems (HDS) will be featuring the Hitachi Content Platform (HCP) portfolio. This is the industry’s only offering that allows organizations to bring together object storage, file sync and share, cloud storage gateways, and sophisticated search an...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
@GonzalezCarmen has been ranked the Number One Influencer and @ThingsExpo has been named the Number One Brand in the “M2M 2016: Top 100 Influencers and Brands” by Analytic. Onalytica analyzed tweets over the last 6 months mentioning the keywords M2M OR “Machine to Machine.” They then identified the top 100 most influential brands and individuals leading the discussion on Twitter.
SYS-CON Events announced today that T-Mobile will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on ...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Data is an unusual currency; it is not restricted by the same transactional limitations as money or people. In fact, the more that you leverage your data across multiple business use cases, the more valuable it becomes to the organization. And the same can be said about the organization’s analytics. In his session at 19th Cloud Expo, Bill Schmarzo, CTO for the Big Data Practice at Dell EMC, introduced a methodology for capturing, enriching and sharing data (and analytics) across the organization...
Five years ago development was seen as a dead-end career, now it’s anything but – with an explosion in mobile and IoT initiatives increasing the demand for skilled engineers. But apart from having a ready supply of great coders, what constitutes true ‘DevOps Royalty’? It’ll be the ability to craft resilient architectures, supportability, security everywhere across the software lifecycle. In his keynote at @DevOpsSummit at 20th Cloud Expo, Jeffrey Scheaffer, GM and SVP, Continuous Delivery Busine...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...