Pan African Resources Plc Trading Statement

 
TIDMPAF 
 
Pan African Resources PLC 
                ("Pan African" or "the Company" or "the Group") 
 
(Incorporated and registered in England and Wales under Companies Act 1985 with 
                registered number 3937466 on 25 February 2000) 
 
                            Share code on AIM: PAF 
 
                            Share code on JSE: PAN 
 
                              ISIN: GB0004300496 
 
          TRADING STATEMENT FOR THE FINANCIAL YEAR ENDED 30 JUNE 2017 
 
In terms of paragraph 3.4(b) of the Listings Requirements of the JSE Limited, a 
listed company is required to publish a trading statement as soon as it is 
satisfied that a reasonable degree of certainty exists that the financial 
results for the period to be reported upon next, will differ by at least 
20% from those of the previous corresponding period. 
 
Pan African is incorporated in England and Wales under the Companies Act 1985 
and accordingly, its presentation currency is Pounds Sterling ("GBP"). 
 
The average ZAR:GBP exchange rate affects the reporting of results in GBP. For 
the reporting period ended 30 June 2017 ("current reporting period"), the 
average prevailing ZAR:GBP exchange rate will be used to translate earnings per 
share ("EPS") and headline earnings per share ("HEPS") from ZAR to GBP. 
 
For the reporting period ended 30 June 2016 ("prior reporting period"), the 
average ZAR:GBP exchange rate was ZAR21.45:1. For the current reporting period, 
the ZAR strengthened against the GBP, with an average exchange rate of 
ZAR17.25:1. This 19.6% year-on-year appreciation in the average exchange rate 
should be taken into account for purposes of a comparison with the prior 
reporting period. 
 
The Group records its revenue from precious metals sales in ZAR. The strength 
in the value of the ZAR/USD exchange rate during the period under review had an 
adverse impact on the USD metals revenue received when translated into ZAR. In 
the current reporting period, the average ZAR/USD exchange rate was 6.3% 
stronger at R13.59:1 (2016: R14.51:1). 
 
In the current reporting period the Group's weighted average number of shares 
in issue decreased by 13.6% to 1,564,346,115 shares, from 1,811,427,377 shares 
in the prior reporting period. This reduction is due to the following: 
 
-    For accounting purposes, the weighted average number of shares upon 
consolidation excludes the 436,358,058 shares held by PAR Gold Proprietary 
Limited ("PAR Gold"). The PAR Gold shares were acquired on 7 June 2016 and, in 
the current reporting period, the Group benefitted from a full year exclusion 
of these shares in the calculation of the weighted average number of shares 
outstanding. In the prior reporting period, these shares were only excluded for 
less than a month for the purposes of calculating the weighted average number 
of shares in issue. 
 
-    In the current reporting period, on 12 April 2017, the Group issued 
291,480,983 ordinary shares to fund the equity component of the Elikhulu 
tailings retreatment plant's construction. 
 
Shareholders are referred to the recent Group operational update released on 20 
July 2017, which highlighted the Group's production performance for the year 
ended 30 June 2017. 
 
Pan African advises shareholders that its EPS and HEPS for the current 
reporting period are expected to be between: 
 
1)  EPS: 39% to 29% lower than the 30.20 cents for the prior reporting period 
(being expected EPS of 18.30 cents to 21.32 cents). 
 
2)  HEPS: 38% to 28% lower than the 30.20 cents for the prior reporting period 
(being expected HEPS of 18.66 cents to 21.68 cents). 
 
Using the average ZAR:GBP 17.25:1 exchange rate that prevailed during the 
current reporting period, the Group's EPS and HEPS in GBP terms for the current 
reporting period are expected to be between: 
 
1)  EPS: 24% to 13% lower than the 1.41 pence for the prior reporting period 
(being expected EPS of 1.07 pence to 1.22 pence). 
 
2)  HEPS: 22% to 12% lower than the 1.41 pence for the prior reporting period 
(being expected HEPS of 1.10 pence to 1.24 pence). 
 
Phoenix Platinum (Pty) Ltd. and Uitkomst Colliery (Pty) Ltd. were classified as 
discontinued operations at the end of the current reporting period, therefore 
the EPS and HEPS guidance provided above comprises earnings from discontinued 
and continued operations. There were no discontinued operations in the prior 
reporting period. 
 
The Group's audited year end results for the year ended 30 June 2017 will be 
released on 21 September 2017. 
 
For further information on Pan African, please visit the Company's website at 
www.panafricanresources.com 
 
18 August 2017 
 
Corporate Office 
 
The Firs Office Building 
 
1st Floor, Office 101 
 
Cnr. Cradock and Biermann Avenues 
 
Rosebank, Johannesburg 
 
South Africa 
 
Office:   + 27 (0) 11 243 2900 
 
Facsimile: + 27 (0) 11 880 1240 
 
 
Registered Office 
 
Suite 31 
 
Second Floor 
 
107 Cheapside 
 
London 
 
EC2V 6DN 
 
United Kingdom 
 
Office:   + 44 (0) 20 7796 8644 
 
Facsimile: + 44 (0) 20 7796 8645 
 
 
Cobus Loots                             Deon Louw 
 
Pan African Resources PLC               Pan African Resources PLC 
 
Chief Executive Officer                 Financial Director 
 
Office: + 27 (0) 11 243 2900            Office: + 27 (0) 11 243 2900 
 
 
Phil Dexter                             John Prior / Paul Gillam 
 
St James's Corporate Services Limited   Numis Securities Limited 
 
Company Secretary                       Nominated Adviser and Joint Broker 
 
Office: + 44 (0) 20 7796 8644           Office: [phone] 
 
 
Sholto Simpson                          Matthew Armitt / Ross Allister 
 
One Capital                            Peel Hunt LLP 
 
JSE Sponsor                            Joint Broker 
 
Office: + 27 (0) 11 550 5009            Office: [phone] 
 
 
Julian Gwillim                          Jeffrey Couch/Neil Haycock/Thomas Rider 
 
Aprio Strategic Communications          BMO Capital Markets Limited 
 
Public & Investor Relations SA          Joint Broker 
 
Office: [phone]              Office: [phone] 
 
 
Bobby Morse/Chris Judd 
 
Buchanan Communications 
 
Public & Investor Relations UK 
 
Office: [phone] 
 
www.panafricanresources.com 
 
 
 
END 
 
 
 
END 
 

(END) Dow Jones Newswires

August 18, 2017 06:18 ET (10:18 GMT)