[miningmx.com] – KEATON Energy continued to drive production upwards at its thermal and metallurgical coal assets capitalising on the dry winter months which seasonally provide the best two production quarters for South African coal producers.
Commenting on the group’s June quarter figures, Keaton CEO, Mandi Glad, said: “The dry and relatively holiday-free June and September quarters are traditionally the strongest production months for opencast coal producers and we met our production goals and cash targets”.
Output from Vanggatfontein, a thermal and metallurgical coal operation in Mpumalanga province, was 617,314 tonnes of washed 2-and 4- seam coal equating to a 17% increase over the 2013 June quarter. The production was also 17% higher than in the previous March quarter.
Metallurgical coal sales supplied into South Africa’s domestic market increased 46% year-on-year to 36,799 tonnes from Vanggatfontein
Keaton produced an improved performance from its KwaZulu-Natal metallurgical coal asset, Vaalkrantz – an operation which has difficult geology and therefore vulnerable to uneven production numbers.
Production from Vaalkrantz increased 22% over the corresponding period last year to 93,578 tonnes, a 6% improvement over March quarter sales.
“Vaalkrantz’s performance was outstanding in the quarter with cash generation
exceeding expectation,” said Glad.
“Keaton Energy ended the quarter in a positive mood. Production profiles and cash generation met plan and safety improved. Expansion and optimisation projects are advancing to enhance our production footprint. We are well positioned for the coming years,’ she said.
