Uranium One posts 2Q 2011 net earnings of $29.7 million

Canada and South Africa listed uranium miner, Uranium One, majority owned by Russia’s ARMZ, has posted a 2Q 2011 net earnings of $29.7 million under IFRS.

­The net result compares with 2Q 2010 net earnings of $5.4 million, with 2Q EBIT rising from $9.9 million in 2010 to $40.2 million this year, as 2Q revenues climbed from $66 million to $112 million.  The 2Q results made for 1H 2011 net earnings of $43.7 million, compared with 1H 2010 net earnings of $4 million, with 1H EBIT rising from $9.1 million in 2010 to $61.8 million this year, as 1H revenues jumped from $101.5 million to $214.8 million.
The company, which also has operations in Australia, Kazakhstan, the US and Tanzania, said the 2Q figures reflected a 33% increase in attributable production, coupled with a rise in average sales prices and focus on costs, with CEO Chris Sattler noting the ARMZ acquisition of the former Mantra Resources operation in Tanzania, would be the key priority in the short term.
“The Uranium One team continues to post strong operational and financial results in 2011. This quarter saw a continued low cash cost with a higher than market average sales price. Following the close of ARMZ’s Mantra Resources acquisition, Uranium One became the operator of the Mkuju River Project and we continue to focus on integrating Mantra Resources and updating the Mkuju River Definitive Feasibility Study.”

Leave a comment