Exhibit |
Description |
|
December 2019 Quarterly Report
|
Paringa Resources Limited
|
||
(registrant)
|
||
Date: February 3, 2020
|
By:
|
/s/ Bruce Czachor |
Name: Bruce Czachor
|
||
Title: Vice President and General Counsel
|
POPLAR GROVE PRODUCTION SUMMARY1
|
||||||||||||||||
Quarter ended
Dec. 31, 2019
|
Quarter ended
Sep. 30, 2019
|
Change Quarter /
Quarter
|
6 months ended
Dec. 31, 2019
|
|||||||||||||
ROM production (kt)
|
323.0
|
272.9
|
+18
|
%
|
595.9
|
|||||||||||
Saleable coal production (kt)2
|
173.6
|
145.3
|
+19
|
%
|
318.9
|
|||||||||||
CCE - ROM inventory movement (kt)3
|
(0.5
|
)
|
(2.7
|
)
|
n/a
|
(3.3
|
)
|
|||||||||
ROM stockpiles (kt)
|
2.5
|
3.7
|
-32
|
%
|
2.5
|
|||||||||||
Saleable coal stockpiles (kt)
|
4.8
|
9.9
|
-52
|
%
|
4.8
|
|||||||||||
Saleable coal loaded (kt)
|
182.0
|
135.8
|
+34
|
%
|
317.8
|
|||||||||||
Realized sales per ton (US$)
|
$
|
41.17
|
$
|
41.98
|
-2
|
%
|
$
|
41.52
|
Site Office:
|
373 Whobry Road | Rumsey | KY | 42371
|
Email:
|
info@paringaresources.com
|
|
Registered Office:
|
Level 9, 28 The Esplanade | Perth | WA | 6000
|
Website:
|
www.paringaresources.com
|
|
ABN:
|
44 155 922 010
|
Appendix 5B
|
Mining exploration entity and oil and gas exploration entity quarterly report
|
Name of entity
|
Paringa Resources Limited
|
ABN
|
Quarter ended (“current quarter”)
|
44 155 933 010
|
31 December 2019
|
Consolidated statement of cash flows
|
Current quarter
US$000
|
Year to date
(6 months)
US$000
|
||||||||
1.
|
Cash flows from operating activities
|
|||||||||
1.1
|
Receipts from customers (1)
|
-
|
-
|
|||||||
1.2
|
Payments for
|
|||||||||
(a) exploration & evaluation
|
-
|
-
|
||||||||
(b) development
|
-
|
-
|
||||||||
(c) production (1)
|
-
|
-
|
||||||||
(d) staff costs (1)
|
(829
|
)
|
(1,871
|
)
|
||||||
(e) administration and corporate costs
|
(886
|
)
|
(1,570
|
)
|
||||||
1.3
|
Dividends received
|
-
|
-
|
|||||||
1.4
|
Interest received
|
12
|
40
|
|||||||
1.5
|
Interest and other costs of finance paid (2)
|
(374
|
)
|
(753
|
)
|
|||||
1.6
|
Income taxes paid
|
-
|
-
|
|||||||
1.7
|
Research and development refunds
|
-
|
-
|
|||||||
Other (provide details if material):
|
||||||||||
1.8
|
(a) insurance proceeds
|
624
|
774
|
|||||||
1.9
|
Net cash from / (used in) operating activities
|
(1,453
|
)
|
(3,380
|
)
|
(1)
|
Prior to the declaration of commercial production, all mine commissioning and ramp-up production costs incurred at Poplar Grove (including direct staff costs), net of any
revenues derived from coal sales, are capitalized against mine development costs. Accordingly, these costs are not included in ‘cash flows from operating activities’ and instead, are included in ‘cash flows from investing activities’.
|
(2)
|
Prior to the declaration of commercial production, all interest paid on borrowings relating to the development of Poplar Grove is capitalized against mine development
costs. Accordingly, these costs are not included in ‘cash flows from operating activities’ and instead, are included in ‘cash flows from investing activities’.
|
Appendix 5B
|
Mining exploration entity and oil and gas exploration entity quarterly report
|
Consolidated statement of cash flows
|
Current quarter
US$000
|
Year to date
(6 months)
US$000
|
||||||||
Cash flows from investing activities
|
||||||||||
2.1
|
Payments to acquire:
|
|||||||||
(a) property, plant and equipment:
|
||||||||||
(i) capitalized mine development costs and other plant & equipment
|
(4,114
|
)
|
(5,908
|
)
|
||||||
(ii) capitalized mine operating expenditures, net of revenues (1)
|
(2,463
|
)
|
(6,473
|
)
|
||||||
(iii) capitalized interest paid, relating to mine development (2)
|
-
|
(1,411
|
)
|
|||||||
(b) tenements (see item 10)
|
-
|
-
|
||||||||
(c) investments
|
-
|
-
|
||||||||
(d) other non-current assets
|
(66
|
)
|
(128
|
)
|
||||||
2.2
|
Proceeds from the disposal of:
|
|||||||||
(a) property, plant and equipment
|
-
|
1
|
||||||||
(b) tenements (see item 10)
|
-
|
-
|
||||||||
(c) investments
|
-
|
-
|
||||||||
(d) other non-current assets
|
-
|
-
|
||||||||
2.3
|
Cash flows from loans to other entities
|
-
|
-
|
|||||||
2.4
|
Dividends received (see note 3)
|
-
|
-
|
|||||||
2.5
|
Other (provide details if material)
|
-
|
-
|
|||||||
2.6
|
Net cash from / (used in) investing activities
|
(6,643
|
)
|
(13,919
|
)
|
3.
|
Cash flows from financing activities
|
|||||||||
3.1
|
Proceeds from issues of shares
|
3,436
|
5,546
|
|||||||
3.2
|
Proceeds from issue of convertible notes
|
-
|
-
|
|||||||
3.3
|
Proceeds from exercise of share options
|
-
|
-
|
|||||||
3.4
|
Transaction costs related to issues of shares, convertible notes or options
|
(239
|
)
|
(311
|
)
|
|||||
3.5
|
Proceeds from borrowings
|
147
|
697
|
|||||||
3.6
|
Repayment of borrowings
|
(1,063
|
)
|
(2,033
|
)
|
|||||
3.7
|
Transaction costs related to loans and borrowings
|
(392
|
)
|
(742
|
)
|
|||||
3.8
|
Dividends paid
|
-
|
-
|
|||||||
3.9
|
Other (provide details if material):
|
|||||||||
(a) proceeds from royalty financing
|
9,000
|
9,000
|
||||||||
3.10
|
Net cash from / (used in) financing activities
|
10,889
|
12,157
|
(1)
|
Prior to the declaration of commercial production, all mine commissioning and ramp-up production costs incurred at Poplar Grove (including direct staff costs), net of any
revenues derived from coal sales, are capitalized against mine development costs. Accordingly, these costs are included in ‘cash flows from investing activities’.
|
(2)
|
Prior to the declaration of commercial production, all interest paid on borrowings relating to the development of Poplar Grove is capitalized against mine development
costs. Accordingly, these costs are included in ‘cash flows from investing activities’.
|
Appendix 5B
|
Mining exploration entity and oil and gas exploration entity quarterly report
|
Consolidated statement of cash flows
|
Current quarter
US$000
|
Year to date
(6 months)
US$000
|
||||||||
4.
|
Net increase / (decrease) in cash and cash equivalents for the period
|
|||||||||
4.1
|
Cash and cash equivalents at beginning of period
|
4,095
|
12,038
|
|||||||
4.2
|
Net cash from / (used in) operating activities (item 1.9 above)
|
(1,453
|
)
|
(3,380
|
)
|
|||||
4.3
|
Net cash from / (used in) investing activities (item 2.6 above)
|
(6,643
|
)
|
(13,919
|
)
|
|||||
4.4
|
Net cash from / (used in) financing activities (item 3.10 above)
|
10,889
|
12,157
|
|||||||
4.5
|
Effect of movement in exchange rates on cash held
|
(7
|
)
|
(15
|
)
|
|||||
4.6
|
Cash and cash equivalents at end of period
|
6,881
|
6,881
|
5.
|
Reconciliation of cash and cash equivalents
at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts
|
Current quarter
US$000
|
Previous
quarter
US$000
|
|||||||
5.1
|
Bank balances
|
394
|
2,190
|
|||||||
5.2
|
Call deposits
|
6,487
|
1,905
|
|||||||
5.3
|
Bank overdrafts
|
-
|
-
|
|||||||
5.4
|
Other (provide details)
|
-
|
-
|
|||||||
5.5
|
Cash and cash equivalents at end of quarter (should equal item 4.6 above)
|
6,881
|
4,095
|
Payments to directors of the entity and their associates
|
Current quarter
US$000
|
|||||
6.1
|
Aggregate amount of payments to these parties included in item 1.2
|
(196
|
)
|
|||
6.2
|
Aggregate amount of cash flow from loans to these parties included in item 2.3
|
-
|
||||
6.3
|
Include below any explanation necessary to understand the transactions included in items 6.1 and 6.2
|
Payments to directors for services and defined contribution plans.
|
Appendix 5B
|
Mining exploration entity and oil and gas exploration entity quarterly report
|
7.
|
Payments to related entities of the entity and their associates
|
Current quarter
US$000
|
||||
7.1
|
Aggregate amount of payments to these parties included in item 1.2
|
-
|
||||
7.2
|
Aggregate amount of cash flow from loans to these parties included in item 2.3
|
-
|
||||
7.3
|
Include below any explanation necessary to understand the transactions included in items 7.1 and 7.2
|
Not applicable.
|
8.
|
Financing facilities available
Add notes as necessary for an understanding of the position
|
Total facility amount
at quarter end
US$000
|
quarter end
US$000
|
|||||||
8.1
|
Loan facilities:
|
|||||||||
Term loan facility (1)
|
40,000
|
40,000
|
||||||||
Equipment financing facility (2)
|
26,500
|
25,070
|
||||||||
8.2
|
Credit standby arrangements
|
-
|
-
|
|||||||
8.3
|
Other (please specify)
|
-
|
-
|
|||||||
8.4
|
Include below a description of each facility above, including the lender, interest rate and whether it is secured or unsecured. If any additional facilities have been entered into or are proposed to be entered
into after quarter end, include details of those facilities as well.
|
(1) |
The Company has a US$40 million Term Loan Facility (“TLF”) from Tribeca Global Resources Credit Pty Limited (“Tribeca”) (as agent), which was amended during the quarter. The
key terms of the three-year TLF are are a floating interest rate comprising the U.S. Prime Rate (subject to a floor of 5.50% p.a.) plus a margin of 7.5% p.a. (temporarily increased to 9.5% p.a. until such time that two consecutive quarters
of EBITDA of no less than US$4.0 million has been delivered) with the Term Loan Facility being repayable by April 30, 2022.
|
||
(2) | The Company has a secured financing facility with Komatsu (and its subsidiary Joy Underground Mining) to finance the purchase of up to US$19.0 million of equipment from Komatsu for use at the Poplar Grove Mine, on instalment terms. Komatsu has also agreed to provide an additional equipment financing facility of up to US$7.5 million for the purchase of non-Komatsu equipment. Interest rates vary for each piece of equipment, based on standard commercial rates for leased mining equipment in the United States. Improved lease rates were negotiated by agreeing to provide upfront deposits, representing approximately 10% of the equipment cost. |
US$000
|
||||||
9.1
|
Exploration and evaluation
|
-
|
||||
9.2
|
Development
|
-
|
||||
9.3
|
Production
|
-
|
||||
9.4
|
Staff costs
|
(500
|
)
|
|||
9.5
|
Administration and corporate costs
|
(700
|
)
|
|||
9.6
|
Other (provide details if material):
|
|||||
(a) mine capital expenditures and operating expenditures, net of revenues from coal sales
|
(5,300
|
)
|
||||
9.7
|
Total estimated cash outflows
|
(6,500
|
)
|
Appendix 5B
|
Mining exploration entity and oil and gas exploration entity quarterly report
|
10.
|
Changes in
tenements
(items 2.1(b) and
2.2(b) above)
|
Tenement
reference and
location
|
Nature of
interest
|
Interest at
beginning of
quarter
|
Interest at
end of quarter
|
|||||
10.1
|
Interests in mining tenements and petroleum tenements lapsed, relinquished or reduced
|
-
|
-
|
-
|
-
|
|||||
10.2
|
Interests in mining tenements and petroleum tenements acquired or increased
|
Buck Creek Complex located in Kentucky, USA
|
Coal leases with private mineral owners
|
100%
(40,114 acres)
|
100%
|
1 |
This statement has been prepared in accordance with accounting standards and policies which comply with Listing Rule 19.11A.
|
2 |
This statement gives a true and fair view of the matters disclosed.
|
Sign here: |
Date: January 31, 2020 | ||
(
|
|||
Print name: |
Gregory Swan
|
1. |
The quarterly report provides a basis for informing the market how the entity’s activities have been financed for the past quarter and the effect on its cash position. An entity that wishes to disclose additional information is
encouraged to do so, in a note or notes included in or attached to this report.
|
2. |
If this quarterly report has been prepared in accordance with Australian Accounting Standards, the definitions in, and provisions of, AASB 6: Exploration for and Evaluation of Mineral Resources and AASB 107: Statement of Cash Flows
apply to this report. If this quarterly report has been prepared in accordance with other accounting standards agreed by ASX pursuant to Listing Rule 19.11A, the corresponding equivalent standards apply to this report.
|
3. |
Dividends received may be classified either as cash flows from operating activities or cash flows from investing activities, depending on the accounting policy of the entity.
|
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