Oh dear!The net loss of Continental Coal Limited for the...

Oh dear!

The net loss of Continental Coal Limited for the half-year ended 31 December 2013 after providing for income tax was
$16,698,000 (31 December 2012: loss of $7,291,000)

Export coal buy-in 20,953


The facility is guaranteed by Continental Coal Ltd (“CCC”), the Group’s South African subsidiary Continental Coal Ltd (“CCL”), and Mashala Resources (Pty) Ltd. Additionally, Mashala has provided its shareholding in Penumbra and its inter-company loan receivable from Penumbra as security for the facility. Half of the drawdown bears interest at JIBAR at drawdown date; the remaining half is fixed with interest rate swaps.

Subsequent to 31 December 2013 the Group received notice from ABSA that a default event had occurred. The directors are working with ABSA to rectify the default as part of the recapitalisation process.