Interim Results for first six months of 2010 published
18.08.2010
Sunkar Resources plc is pleased to announce its results for the six months ended 30 June 2010.
HIGHLIGHTS
- The Company received the consent of the Government of Kazakhstan to change its work programme commitments under its Subsoil Use Contract ("SUC") to develop the Chilisai phosphate deposit
- The SUC changes will align mining development with future fertilizer production and will mean ore extraction commitments in 2010 to 2012 of 1 million tonnes per annum with cumulative development expenditure commitments extended from 2014 to 2020
- Resource estimate of 293 million tonnes in the Measured and Indicated category and a further 182 million tonnes in the Inferred category in accordance with JORC announced during the period
- Resource estimate, which covers 40% of the overall of the licence area, more than sufficient to meet the first 20 years of fertilizer production
- Engineering contractor SNC-Lavalin selected to prepare and have commenced a Bankable Feasibility Study ("BFS")
- Preliminary results of BFS due in the second half, final results due in first half of 2011
- Discussions on supply and off-take agreements continue
- Mining rate on course to complete 1 million tonnes extraction in 2010
- The Company is well financed for immediate needs: cash at US$7.5m at 30 June 2010: Equity Line Facility of £10 million in place
Charirman Teck Soon Kong commented "the long term outlook for the phosphates sector remains positive and world prices began to increase in the second half of 2010, with the benchmark of US Gulf DAP now nearing US$500 per tonne. The underlying fundamentals of food demand and population growth in Asia remain and thus, I believe, that our project, which benefits from scale, location and developed infrastructure is well positioned for the future."
For further information please contact:
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Sunkar Resources plc |
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Serikjan Utegen, CEO |
Tel: +44 20 7930 8678 |
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Donald Sinclair, CFO |
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Canaccord Genuity Limited |
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Andrew Chubb |
Tel: +44 20 7050 6500 |
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Bhavesh Patel |
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GMP Securities Europe LLP |
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Andrew Young |
Tel: +44 20 7647 2800 |
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Bankside Consultants |
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Simon Rothschild |
Tel: +44 20 7367 8888 |
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Louise Mason |
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