|Monday, 25 March 2019, 10:22 HKT/SGT|
|Targets on Mining High-grade Ore;|
Actively Increases Production Volume of Tin Metal
HONG KONG, Mar 25, 2019 - (ACN Newswire) - Greentech Technology International Limited ("Greentech Technology" or the "Company", together with its subsidiaries the "Group"; stock code: 00195) is pleased to announce its audited annual results for the year ended 31 December 2018.
During the reporting period, the business operation of Greentech Technology remained stable. The turnover, gross profit and gross profit margin were HK$431,969,000, HK$14,544,000 and 3.4% respectively, representing increase of 0.7%, and decrease of 72.2% and 8.8 percentage points respectively. Meanwhile, the profit attributable to shareholders and earnings per share were HK$39,345,000 and HK$0.6 cents respectively. The Board of Directors did not recommend payment of final dividend for the year ended 31 December 2018.
In 2018, the Group continued exploration work in the Renison underground mine to discover potential tin resources. However, due to the relatively lower grade of ore excavated during the first three quarters, total production volume of tin metal of the Renison underground mine was 6,557 tonnes in 2018 (2017: 7,083 tonnes). YT Parksong Australia Holding Pty Limited, a non wholly- owned subsidiary of the Group which has 50% interest in the Renison underground mine, was entitled to 3,279 tonnes of tin metal (2017: 3,542 tonnes) available for sale. Fortunately, attributable to the growth of global tin metal consumption of 2.5% and the appearance of supply-demand gap in the market during the reporting period, the annual average tin cash settlement price increased 0.3% year-on-year to USD20,153 per tonne, thus alleviating the negative impacts partially caused by the decrease in production volume.
According to the mine's estimation reports, the total mineral resources of the Renison underground mine was 16,437,000 tonnes as at 31 December 2018, representing a 10.5% year-on-year increase as compared with 14,974,000 tonnes in previous year. Such abundant amount of resources and reserves provides the Group a solid foundation for production expansion.
In June 2018, construction of the new purpose-built three-stage crushing, screening and ore sorting plant has been completed, trial operation commenced in the third quarter. Commissioning process has been carried out according to its performance. The mining of higher grade ore for processing, along with the improved efficiency of the new purpose-built plant, increased tin metal production of the Renison underground mine from 1,616 tonnes in the third quarter to 1,798 tonnes in the fourth quarter.
During the year, Greentech Technology continued to cement its close business partnership with Yunnan Tin Group Company Limited ("Yunnan Tin PRC"). In January 2019, the Group signed an agreement with Yunnan Tin Australia TDK Resources Pty Ltd., a wholly-owned subsidiary of Yunnan Tin PRC on the renewal of tin concentrate supply contracts through YT Parksong Australia Holding Pty Limited. The contract is effective until January 2022, and will contribute a stable income source to the Group.
The data from late 2018 and this year's February has shown that Area 5 and Leatherwood Trend within the Renison mine contain very significant zones of high-grade mineralisation, offering better chances to locate high-grade ore. As the Group excavates high-grade ore in the Renison underground mine, and the new ore sorting machine commences operation, the tin metal production of Renison mine is expected to be benefited. The Renison underground mine recorded its highest monthly tin metal production ever in January 2019. Looking forward to 2019, the Group will target on mining high-grade ore, and refine the excavating and mining procedures in hope of achieving sustainable and high-quality development.
The Group has long been focusing on tin mining business given that it is optimistic about the long-term fundamentals of this scarce metal. In addition, the supply shortage of tin metal is expected to drive tin price, thereby bringing positive impacts to the the Group's income. Looking forward, the Group will continue to seize the opportunities in the fast-growing industry, actively enhance the production volume of tin metal and operational efficiency in order to boost income, thus bringing more fruitful returns to investors and shareholders.
About Greentech Technology International Limited
Greentech Technology is a non-ferrous resource company engaging in mining and sale of tin. The Group operates tin mining and excavation business in Tasmania, Australia, through joint venture YT Parksong Australia Holding Pty Limited (Greentech Technology and Yunnan Tin PRC hold 82% and 18% interests respectively). The Group and Yunnan Tin PRC jointly hold 50% interests in the Renison mine, the largest tin metal mine in Australia, Mount Bischoff open-cut tin project and Rentails tailings retreatment project, whilst the remaining 50% interests is hold by Metals X, a listed company in Australia. Yunnan Tin Australia TDK Resources Pty Ltd., a wholly-owned subsidiary of long-term partner Yunnan Tin PRC, has been the offtake purchaser of the tin concentrates produced by the Group since 2010.
For more information, please visit: http://www.green-technology.com.hk/c/index.php
Anli Financial Communications Limited
Ms. Judith Cheung 852-3956 1646 [email protected]
Mr. Caleb Leung 852-3596 7406 [email protected]
Topic: Press release summary
Sectors: Metals/Mining, Daily Finance, Daily News
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