Buffalo records losses in first half

20th August 2021 By: Donna Slater - Features Deputy Editor and Chief Photographer

JSE- and TSX-V-listed coal miner Buffalo Coal Corporation recorded a 14% drop in revenue for the half-year to June 30, to R174.27-million, from the R201.65-million recorded in the first half of 2020.

As for the financial performance in the second quarter, the miner managed to increase its revenue by 25% year-on-year, from R74.47-million in the second quarter of 2020, to R93.1-million in the second quarter of this year.

Buffalo reported a basic loss a share, a headline loss a share and a normalised loss a share of 31c for the six months. That was a 35% improvement on the 21c loss a share achieved in the corresponding period of 2020.

For the second quarter, the miner reported a basic loss a share, a headline loss a share and a normalised loss a share of 1c.

In both periods, no dividends were declared or paid.

Buffalo owns 100% of the shares in Buffalo Coal Dundee (BC Dundee), a South African company, with an interest in two operating coal mines in South Africa – the Aviemore anthracite mine and the Magdalena bituminous mine.

BC Dundee indirectly holds a 70% interest in BC Dundee’s properties through its 70% interest in Zinoju Coal, which holds all of the mineral rights with respect to the BC Dundee properties.

The remaining 30% interest in Zinoju is held by South African black economic empowerment partners.