Weatherly registers maiden profit

WEATHERLY International yesterday announced its annual results, which showed a profit of US$12,4 million (N$84,32 million) amid other positive developments for the year ended June 30 2007.

The AIM-listed company has copper mining and smelting operations in Weatherly Mining Namibia, formerly Ongopolo, which it acquired for US$35 million in July 2006. Total production of blister copper was recorded at 22 711 tonnes for the period under review, and turnover amounted to US$63,1 million.Operating profit was at US$9,71 million, while assets value was recorded at US$96,4 million and net asset per share increased to 23,62 (US) cents from 11,93 cents.Net profit attributable to shareholders was at US$12,4 million for the year under review compared to US$734 000 for the six months ended June 30 2006.In August, Weatherly raised £9,28 million (N$137,2 million) through the issue of 48 million shares at 21 pence.As part of its start-up operations, Weatherly rebuilt its Tsumeb smelter and is currently expanding its capacity to 50 000 tonnes per year, and successfully refurbished Ongopolo’s four other existing mines and commissioned a new mine, bringing the total to five mines in production.This investment has been seen as a significant development to the Namibian economy considering that at the time of acquisition, Ongopolo only had one mine – Otjihase – in production.Weatherly Chief Executive Officer, Rod Webster said he was pleased that his company was managing to tackle the challenges.”Weatherly has had an outstanding year, culminating in a maiden profit of US$12,4 million.Since our acquisition of the distressed Ongopolo assets, we have successfully rehabilitated the mines and refurbished the smelter.”We are in sound position with US$13,3 million cash in the bank, no material debt and a balance sheet which more accurately reflects our assets, following its restructuring.This provides Weatherly with a solid base going forward,” he said.Ongopolo was renamed in July this year, while a subsidiary housing the smelter was and also renamed Namibia Custom Smelters.The company sees a positive outlook for 2008 and Webster said Weatherly would be mainly focusing on regional exploration and completing the Berg Aukas and Tschudi Open Pit feasibility studies.Currently Weatherly employs over 1 000 people, including 120 new jobs created during the past year.Total production of blister copper was recorded at 22 711 tonnes for the period under review, and turnover amounted to US$63,1 million.Operating profit was at US$9,71 million, while assets value was recorded at US$96,4 million and net asset per share increased to 23,62 (US) cents from 11,93 cents.Net profit attributable to shareholders was at US$12,4 million for the year under review compared to US$734 000 for the six months ended June 30 2006.In August, Weatherly raised £9,28 million (N$137,2 million) through the issue of 48 million shares at 21 pence.As part of its start-up operations, Weatherly rebuilt its Tsumeb smelter and is currently expanding its capacity to 50 000 tonnes per year, and successfully refurbished Ongopolo’s four other existing mines and commissioned a new mine, bringing the total to five mines in production.This investment has been seen as a significant development to the Namibian economy considering that at the time of acquisition, Ongopolo only had one mine – Otjihase – in production.Weatherly Chief Executive Officer, Rod Webster said he was pleased that his company was managing to tackle the challenges.”Weatherly has had an outstanding year, culminating in a maiden profit of US$12,4 million.Since our acquisition of the distressed Ongopolo assets, we have successfully rehabilitated the mines and refurbished the smelter.”We are in sound position with US$13,3 million cash in the bank, no material debt and a balance sheet which more accurately reflects our assets, following its restructuring.This provides Weatherly with a solid base going forward,” he said.Ongopolo was renamed in July this year, while a subsidiary housing the smelter was and also renamed Namibia Custom Smelters.The company sees a positive outlook for 2008 and Webster said Weatherly would be mainly focusing on regional exploration and completing the Berg Aukas and Tschudi Open Pit feasibility studies.Currently Weatherly employs over 1 000 people, including 120 new jobs created during the past year.