Date:Jul 27, 2018
Higher coal and vanadium prices have lifted interim revenues at mining royalty specialist Anglo-Pacific PLC (LON:APF).
Royalty income will be in a range of £17.5mln to £18mln in the half year to June, a 10% increase year-on-year after a very strong second quarter.
Kestrel, a coal mine in Australia, will again produce the bulk of this revenue.
Royalty income from the mine is 15% higher than a year ago in a range of £14mln – £14.5mln driven by higher coal prices and production.
Volumes at Kestrel more than doubled in the second quarter compared to the first and will continue at this level for the remainder of the year.
Anglo has also seen a sharp increase in the royalty from the Maracás Menchen vanadium mine in Brazil, which will contribute a record £2.0mln – £2.5mln or already more than the whole of 2017.
Julian Treger, Anglo Pacific’s chief executive, said he is now confident the full year will see ‘further organic growth in our income and cash generation’.
