JSE-listed Merafe Resources reports that its attributable ferrochrome production from the Glencore Merafe chrome venture for the six months ended June 30 decreased by 42% year-on-year.
The decrease is as a result of production cutbacks in response to Covid-19, market conditions and electricity curtailments.
Merafe is expecting to report a basic loss a share and headline loss a share of between 2.79c and 3.41c respectively for the period, compared with the basic earnings a share and headline earnings a share of 6.6c reported for the first half of 2019.
The expected decrease in basic earnings and headline earnings per share is primarily driven by substantially lower chrome ore and ferrochrome prices and lower sales volumes, which were partially offset by a weaker average rand/dollar exchange rate.
Merafe’s results for the period are expected to be released on or about August 11.