25 February 2010 -- PAP, WNP.PL --- Industrial Development Agency: Positive Results in Mining Thanks to Bogdanka
Last year the total net loss in the Polish hard coal mining sector amounted to approximately PLN 167 million. However, that amount does not contain the result of the Bogdanka mine, based in the region of Lublin, which last year debuted on the stock exchange.
With the forecasted results of the partially privatised Bogdanka, it may be expected that the whole hard coal sector’s profit will amount to approximately PLN 15 - 35 million – as indicated by preliminary data published by the Polish Industrial Development Agency (Agencja Rozwoju Przemysłu, ARP) which is involved in monitoring the situation of Polish mining industry.
The information about the last year’s situation in mining was given on Thursday by Robert Marzec from the ARP during a seminar organised on the course of the 19th edition of School of Underground Mining.
The ARP data show that mining sector’s revenue amounted to nearly PLN 23 billion out of which PLN 19 billion come from coal sale. The costs accounted for over PLN 18 billion and the result on the basis of the coal sale activity reached PLN 868.5 million.
The fact that the result was decreased by additional losses incurred on other types of activity, led the mining companies held (either directly or indirectly) by the State Treasury to a loss of approximately PLN 167 million. A representative from the ARP stressed that these are preliminary and unaudited results.
Referring to the press information, Robert Marzec reminded that the last year’s profit of the Bogdanka mine is estimated to reach ca. PLN 180-200 million which in total would account for a positive result of ca. PLN 15 - 35 million in the whole mining industry.
The official reports indicate that Bogdanka’s net profit after three quarters of 2009 amounted to PLN 174,38 million. In October the company increased the net profit forecast for the whole 2009 to PLN 178,07 million but analysts suggested that a slightly higher profit would be possible.
According to the ARP, at the end of the previous year the liabilities of the Polish mining sector amounted to PLN 7,5 billion, out of which ca. PLN 1 billion constitutes old debts that the company owes to the Social Insurance Institution (ZUS) and which are included in restructuring process and repaid in quarterly instalments. The real liability amounts to approx. PLN 6,5 billion, with the debt of the mining industry constituting approx. PLN 2 billion. The sector systematically pays its liabilities to the central budget.
According to the ARP, the most important last year’s problems in the mining sector include large amount of coal reserves on mounds, an increased level of coal import to Poland, relatively low prices of that raw material on the world’s markets, slump in sales to coking plants, downward trend in sales to the power industry as well as a decrease in production and consumption of electricity generated from coal.
A week ago Joanna Strzelec-Łobodzińska, the Vice Minister of Economy, concluded on the basis of the preliminary estimation made by the Ministry of Economy that the total profit from the mining sector for 2009, including Bogdanka, will amount to approx. PLN 70 million.
As the previously given preliminary information referring to the particular companies indicate, Jastrzębska Spółka Węglowa, the company most affected by the crisis, closed the previous year with the loss of PLN 340 million, Katowicki Holding Węglowy generated a profit of approx. PLN 87 million and Kompania Węglowa earned PLN 38,4 million.
Południowy Koncern Węglowy from the Tauron Group and the Bogdanka mine achieved the remaining profits in the overall sector balance. Their profits balance the loss of Jastrzębska Spółka Węglowa and make the mining result positive. However, their results have not been given officially so far.
25-02-2010 PAP, WNP.PL
back
With the forecasted results of the partially privatised Bogdanka, it may be expected that the whole hard coal sector’s profit will amount to approximately PLN 15 - 35 million – as indicated by preliminary data published by the Polish Industrial Development Agency (Agencja Rozwoju Przemysłu, ARP) which is involved in monitoring the situation of Polish mining industry.
The information about the last year’s situation in mining was given on Thursday by Robert Marzec from the ARP during a seminar organised on the course of the 19th edition of School of Underground Mining.
The ARP data show that mining sector’s revenue amounted to nearly PLN 23 billion out of which PLN 19 billion come from coal sale. The costs accounted for over PLN 18 billion and the result on the basis of the coal sale activity reached PLN 868.5 million.
The fact that the result was decreased by additional losses incurred on other types of activity, led the mining companies held (either directly or indirectly) by the State Treasury to a loss of approximately PLN 167 million. A representative from the ARP stressed that these are preliminary and unaudited results.
Referring to the press information, Robert Marzec reminded that the last year’s profit of the Bogdanka mine is estimated to reach ca. PLN 180-200 million which in total would account for a positive result of ca. PLN 15 - 35 million in the whole mining industry.
The official reports indicate that Bogdanka’s net profit after three quarters of 2009 amounted to PLN 174,38 million. In October the company increased the net profit forecast for the whole 2009 to PLN 178,07 million but analysts suggested that a slightly higher profit would be possible.
According to the ARP, at the end of the previous year the liabilities of the Polish mining sector amounted to PLN 7,5 billion, out of which ca. PLN 1 billion constitutes old debts that the company owes to the Social Insurance Institution (ZUS) and which are included in restructuring process and repaid in quarterly instalments. The real liability amounts to approx. PLN 6,5 billion, with the debt of the mining industry constituting approx. PLN 2 billion. The sector systematically pays its liabilities to the central budget.
According to the ARP, the most important last year’s problems in the mining sector include large amount of coal reserves on mounds, an increased level of coal import to Poland, relatively low prices of that raw material on the world’s markets, slump in sales to coking plants, downward trend in sales to the power industry as well as a decrease in production and consumption of electricity generated from coal.
A week ago Joanna Strzelec-Łobodzińska, the Vice Minister of Economy, concluded on the basis of the preliminary estimation made by the Ministry of Economy that the total profit from the mining sector for 2009, including Bogdanka, will amount to approx. PLN 70 million.
As the previously given preliminary information referring to the particular companies indicate, Jastrzębska Spółka Węglowa, the company most affected by the crisis, closed the previous year with the loss of PLN 340 million, Katowicki Holding Węglowy generated a profit of approx. PLN 87 million and Kompania Węglowa earned PLN 38,4 million.
Południowy Koncern Węglowy from the Tauron Group and the Bogdanka mine achieved the remaining profits in the overall sector balance. Their profits balance the loss of Jastrzębska Spółka Węglowa and make the mining result positive. However, their results have not been given officially so far.
25-02-2010 PAP, WNP.PL