“Efforts have been redoubled to ensure that Palabora remains a safe operation and, while challenges abound on the operations and the economic fronts, the company has enough cash reserves to weather the tough business climate,” it said in an interim statement.

The net profit decreased from R464-million to R141 million, while gross profit declined to R931-million from R1 044-
million in the first half of last year.

The basic earnings a share decreased from earnings of 961c a share to earnings of 291c a share.

Sales of products decreased by R687-million – or 21% – to R2 569-million, largely as a result of lower realised prices of copper of R1 574-million; lower realised prices of R32-million for slimes and R4,7-million less for nickel; lower volumes of copper sales of 42 044 t compared with 44 667 t; and lower vermiculite sales of 
92 000 t compared with 
102 000 t.

These decreases were offset by R150-million higher mag-netite prices and R8-million higher vermiculite sales prices.

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