ATH Ath Resources

 

TIDMATH 
 
RNS Number : 4271A 
ATH Resources plc 
08 October 2009 
 

+------------------------------------+----------------------------------------+ 
| Press Release                      |                        08 October 2009 | 
+------------------------------------+----------------------------------------+ 
 
 
ATH Resources plc 
("ATH Resources" or "the Group") 
Pre-Close Trading Statement 
ATH Resources plc, one of the UK's largest coal producers, today issues the 
following trading update ahead of the Group's preliminary results for the year 
ended 4 October 2009, which will be announced on Wednesday 9 December 2009. 
Sales for the full year are 1.8 million tonnes, around 100,000 tonnes lower than 
previous expectations.  Full production was resumed in late August at the 
Group's mine at Muir Dean, Fife, following the implementation of an ongoing 
comprehensive water reduction plan to deal with the groundwater inflow into part 
of the mine experienced earlier in the year. Production at other sites was 
maximised in the second half of the year but, due to exceptionally wet weather 
during August and early September, which hampered the opening up of two mine 
extensions at Skares and Glenmuckloch, the full amount of lost production was 
not entirely replaced.  Average prices continued to increase during the year to 
over GBP42 per tonne. 
The reduction in sales volumes will, to a limited extent, result in the profit 
for the year being below the Directors' expectations although, as planned, debt 
levels reduced by GBP5 million in the second half, to around GBP40 million. 
Planning consent was received in August for a 600,000 tonnes extension to the 
Skares mine which, together with the previously approved 330,000 tonnes 
extension at Glenmuckloch is now operating satisfactorily. 
In June, a planning application for an 800,000 tonnes site at Duncanziemuir, 
adjacent to the Group's Laigh Glenmuir mine, was submitted to East Ayrshire 
Council. Determination of this application is expected during the first half of 
2010. 
In September, the appeal commenced against the previously announced decision by 
Derbyshire County Council to refuse planning permission for the 500,000 tonne 
coal reclamation scheme at Langton. The Directors expect that the decision by 
the Planning Inspectorate will be available before the end of December 2009 
which, if positive, will allow production to commence in the second quarter of 
the 2010 calendar year. 
The Group had estimated Proven and Probable Reserves at 4 October 2009 of 
4.7 million tonnes and 3.5 million tonnes respectively. This follows a recent 
addition of 1.8 million tonnes to Probable Reserves arising from a mine in East 
Ayrshire. 
Total Reserves increased by more than 1 million tonnes to 8.2 million tonnes 
since the half-year, an increase of over 15%. 
-Ends- 
For further information: 
+-------------------------------------------+--------------------------------+ 
| ATH Resources plc                         |                                | 
+-------------------------------------------+--------------------------------+ 
| Tom Allchurch, Chief Executive            | Tel: +44 (0) 1302 760 462      | 
+-------------------------------------------+--------------------------------+ 
| tom.allchurch@ath.co.uk                   | www.ath.co.uk                  | 
+-------------------------------------------+--------------------------------+ 
 
 
+-------------------------------------------+---------------------------------+ 
| Evolution Securities Limited              |                                 | 
+-------------------------------------------+---------------------------------+ 
| Joanne Lake / Peter Steel                 | Tel: +44 (0)113 243 1619        | 
+-------------------------------------------+---------------------------------+ 
| joanne.lake@evosecurities.com             | www.evosecurities.com           | 
+-------------------------------------------+---------------------------------+ 
 
 
Media enquiries: 
+-------------------------------------------+---------------------------------+ 
| Abchurch Communications                   |                                 | 
+-------------------------------------------+---------------------------------+ 
| Charlie Jack / George Parker              | Tel: +44 (0) 20 7398 7719       | 
+-------------------------------------------+---------------------------------+ 
| george.parker@abchurch-group.com          | www.abchurch-group.com          | 
+-------------------------------------------+---------------------------------+ 
 
 
  Notes to Editors 
 
 
ATH Resources is an AIM-listed operator of surface coal mines in the UK with 
five operational mines in Scotland; Skares Road, Grievehill and Laigh Glenmuir 
in East Ayrshire, Glenmuckloch in Dumfries and Galloway and Muir Dean in Fife. 
The Company is currently the third largest producer of coal in the UK, producing 
approximately 2 million tonnes per annum. Coal is used to generate around a 
third of the UK's electricity and the Company now holds coal supply contracts 
with four of the UK's main electricity generating companies. 
The management team has been in place since 1998. It acquired the rights to 
operate (and subsequently acquire) the Skares Road mine with support from The 
Alchemy Plan. Following ATH Resources' incorporation in October 2003, and backed 
by a follow on investment from The Alchemy Plan, the Company acquired the 
Garleffan mine in November 2003. Garleffan is currently being restored having 
finished coaling in June 2006. ATH Resources listed on the AIM market of the 
London Stock Exchange in June 2004. 
In June 2005, having raised GBP18 million by way of an Open Offer, the Group 
acquired two new opencast sites, Grievehill and Glenmuckloch in Scotland. The 
acquisition increased the Group's reserve base by 160%. 
In May 2006, the Group acquired ATH Regeneration, a successful coal recovery, 
land remediation and regeneration business with a particular focus on colliery 
spoil heap reclamation projects. The acquisition, which was earnings enhancing, 
allowed ATH to build on its skills as a regenerator of land, whilst developing 
strong relationships with key English planning authorities. The Company has been 
successfully integrated into the Group. The operational diversification that the 
acquisition brings to the Group will be a significant driver of ATH's organic 
growth going forward both in the UK and overseas and the business is actively 
pursuing a number of projects in Australia. 
For the year ending 28 September 2008, the Group achieved turnover of GBP76.9 
million, an increase of 9% on its 2007 year end, whilst operating profit 
increased by 7% to GBP11.9m for the same period. 
Further information on ATH Resources can be found at www.ath.co.uk. 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
 TSTDGMGGVNKGLZM 
 

ATH Resources (LSE:ATH)
Historical Stock Chart
From Jun 2024 to Jul 2024

ATH Resources (LSE:ATH)
Historical Stock Chart
From Jul 2023 to Jul 2024