Print PagePrint PageRSS FeedsRSS FeedsReceive E-mail AlertsReceive E-mail Alerts

Press Releases / 2010 / New World Resources unaudited results for the first quarter 2010 

New World Resources unaudited results for the first quarter 2010

19/5/2010

Amsterdam (19 May 2010) – New World Resources N.V. (“NWR” or the “Company”), Central Europe’s leading hard coal and coke producer, announces its financial results for the quarter ended 31 March 2010 (the “period”).

Highlights

1Q 2010 results reflect higher revenues driven by increased coking coal and coke sales volumes relative to 1Q 2009

- Coal and coke production of 2,747kt and 251kt, respectively

- Total external sales of 2,652kt of coal and 279kt of coke, up 30% and 171% respectively due to improved market conditions

- Consolidated revenues for continuing operations of EUR 329 million, up 37%

- Change in inventories reduced EBITDA by EUR 8 million in 1Q 2010, having increased EBITDA by EUR 63 million in 1Q 2009. This inventories’ movement resulted in a negative impact of EUR 71 million in EBITDA between the two periods

- Main operating costs up 2% on a constant currency basis, up 8% including the impact of foreign exchange fluctuations

- EBITDA from continuing operations of EUR 57 million, up 1%

Mining cash cost per tonne at EUR 72, up 8% on a constant currency basis largely due to a 12% decrease in production compared to 1Q 2009. On a constant production run rate basis, cash cost per tonne was stable

Adjusted loss per A share of EUR (0.06) for 1Q 2010

Unrestricted cash of EUR 481 million as at 31 March 2010

Completed EUR 500 million debt financing in April 2010 with no significant debt maturities until 2015

Continued improvement in safety with LTIFR1 in mining operations down 36% in 1Q 2010 compared to 1Q 2009

Production targets for FY 2010 of 11.5Mt of coal and 1Mt of coke on track

Expected total external sales of 10.5Mt of coal for FY2010, 5.5 Mt of coking coal and 5Mt of thermal coal

Successfully negotiated new coal and coke prices in April 2010 securing significant increases in prices as well as more closely aligning pricing with global coal markets

- 80% of total expected coking coal sales priced at a blended average of EUR 163/t for JFY 2010; the remaining 20% priced quarterly at an average of EUR 135/t for 2Q 2010

- Thermal coal priced at an average of EUR 65/t for calendar year 2010

- Coke sales priced at EUR 255/t for 2Q 2010

Longwall productivity rose 16% on the average performance for 2009 following implementation of the POP 2010 investment programme


1 LTIFR represents the number of reportable injuries after three days of absence divided by total number of hours worked expressed in millions of hours.

Full press release available here:

19 May 2010 New World Resources unaudited results for the first quarter 2010 (1096KB PDF)

« Back to 2010