British mining company Bisichi Mining continues to see strong demand for coal being mined at Black Wattle, its South African coal mining subsidiary, in both domestic and export markets.
The company announced that the South African coal market continued to benefit from stable market conditions and the improved performance of the South African railway network, Transnet.
Strong monthly average
Between January and September, the Black Wattle mine achieved a strong average monthly production of 145 000 t. For the remainder of the year, Bisichi expects a short term impact on production after an incident at one of Black Wattle mine’s main production pits, in which the company has mined into old underground workings that were unrecorded on historical mine plans.
The machinery working in the area is being relocated to another area, however it will take some time to return to full production, and consequently the company expects an impact on 2013 earnings. The incident is an isolated issue and will not affect production and profitability next year.
Bisichi added that its UK property portfolio continues to perform well despite ongoing difficulties in the UK retail property sector.
Adapted from press release by Katie Woodward