https://www.engineeringnews.co.za

Anglo Pacific rides royalty wave as bulk commodity prices firm

3rd November 2016

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

Font size: - +

VANCOUVER (miningweekly.com) – A bullish Anglo Pacific Group on Wednesday announced that royalty income for the September quarter surged 147% year-on-year to £4.7-million, boosted by price activity in both coking and thermal coal prices since the half-year.

The LSE- and TSX-listed company said it saw the price of coking coal more than triple, and the price of thermal coal more than double since the half-year, which is posturing for a strong fourth-quarter result.

“We believe that more good news is still to come in Q4 2016, when increased coal prices and mining in our royalty areas should benefit the company still further,” stated CEO Julian Treger.

Anglo Pacific also advised that royalty income for 2016 was expected to be considerably higher than previous expectations. The company noted that Peabody and Glencore had settled contracts at $200/t, up 117%, and that it would make an announcement once prices had been set.

Anglo Pacific owns a portfolio of royalties on coal assets in Australia and remains one of the only listed royalty companies that provides high levels of exposure to coking coal price fluctuations.

It also has precious metals and uranium royalties outside Australia.

The company added it now expected full dividend cover for 2016 ahead of the previous guidance, and an acceleration in the timeframe when the group can consider gradually increasing its dividend.

“With the outlook for robust coal prices set to continue through H1 2017, we look forward to the corresponding benefit to our dividend cover,” Treger said.

Edited by Samantha Herbst
Creamer Media Deputy Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

The Steel Tube Export Association of South Africa
Steel Tube Export Association of South Africa

The Steel Tube Export Association of South Africa was established to develop sustainable, internationally competitive carbon steel tube and pipe...

VISIT SHOWROOM 
Rentech
Rentech

Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.064 0.865s - 140pq - 2rq
Subscribe Now