JSE-listed coal miner Wescoal, which is currently also exploring opportunities in the renewable space, expects its headline earnings per share (HEPS) for the six months ended September 30, to be between 19.3c and 21.5c.
This is at least a 485% increase on the HEPS of 3.3c apiece posted for the six months ended September 30, 2020.
Earnings per share are expected to be between 18.3c and 20.2c, an increase of about 604% on the prior comparable period’s 2.6c.
Wescoal says the improved profitability was driven by a 1.1-million-tonne coal contribution from the Moabsvelden project and consistent operational performance from the other mining operators.
The group expects to report 4.7-million tonnes of interim production, compared with the 4.4-million tonnes produced in the prior comparable period.
Wescoal will release its interim results on or about December 10.
The miner's strategy is to transition into a diversified energy group.
"Wescoal understands the growing need for South Africa to move to less carbon-emitting energy technologies, and the group is setting itself up to play a key role in helping the country achieve this objective without leaving workers and communities in affected areas, as far as possible, in a worse off position," it states.