Eastern Platinum Eastern Platinum Reports Results for the Three Months Ended June 30, 2013

 
TIDMELR 
 
Eastern Platinum Reports Results for the Three Months Ended June 30, 2013 
FOR:  EASTERN PLATINUM LIMITED 
 
TSX, AIM SYMBOL:  ELR 
JSE SYMBOL:  EPS 
 
August 15, 2013 
 
Eastern Platinum Reports Results for the Three Months Ended June 30, 2013 
 
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 15, 2013) - Mr. Ian Rozier, President and CEO of Eastern Platinum 
Limited (TSX:ELR)(AIM:ELR)(JSE:EPS) ("Eastplats" or the "Company") reports financial results for the three months ended 
June 30, 2013. 
 
Summary of results for the three months ended June 30, 2013 ("Q2 2013"): 
 
/T/ 
 
=-  An impairment charge of $147,787,000 was recorded against Crocodile 
    River Mine during the quarter. 
 
=-  Eastplats recorded a loss attributable to equity shareholders of the 
    Company of $139,710,000 ($0.15 loss per share) in the quarter ended June 
    30, 2013 compared to a loss of $86,421,000 ($0.09 loss per share) in the 
    quarter ended June 30, 2012 ("Q2 2012"). 
 
=-  Adjusted EBITDA was negative $8,116,000 in Q2 2013 compared to negative 
    $4,599,000 in Q2 2012. 
 
=-  PGM ounces sold decreased 41% to 15,474 ounces in Q2 2013 compared to 
    26,412 PGM ounces in Q2 2012. 
 
=-  The U.S. dollar average delivered price per PGM ounce decreased 1% to 
    $890 in Q2 2013 compared to $902 in Q2 2012. 
 
=-  The Rand average delivered price per PGM ounce increased 15% to R8,428 
    in Q2 2013 compared to R7,324 in Q2 2012. 
 
=-  Total Rand operating cash costs decreased 14% to R202 million in Q2 2013 
    compared to R235 million in Q2 2012. 
 
=-  Total Rand operating cash costs included one-time retrenchment costs at 
    CRM of approximately R52 million ($5.5 million). 
 
=-  Rand operating cash costs net of by-product credits increased 57% to 
    R11,611 per ounce in Q2 2013 compared to R7,390 per ounce in Q2 2012. 
    Rand operating cash costs increased 47% to R13,069 per ounce in Q2 2013 
    compared to R8,881 per ounce in Q2 2012. 
 
=-  U.S. dollar operating cash costs net of by-product credits increased 35% 
    to $1,226 per ounce in Q2 2013 compared to $910 per ounce achieved in Q2 
    2012. U.S. dollar operating cash costs increased 26% to $1,380 per ounce 
    in Q2 2013 compared to $1,094 per ounce in Q2 2012. 
 
=-  Excluding one-time retrenchment costs, operating cash costs reduced to 
    R9,694 per ounce ($1,024 per ounce) and operating cash costs net of by- 
    product credits reduced to R8,251 per ounce ($871 per ounce). 
 
=-  The Company's Lost Time Injury Frequency Rate (LTIFR) was 3.44 in Q2 
    2013 compared to 1.17 in Q2 2012. 
 
=-  At June 30, 2013, the Company had a cash position (including cash, cash 
    equivalents and short term investments) of $104,763,000 (December 31, 
    2012 - $130,925,000). 
 
/T/ 
 
For complete details of financial results, please refer to the unaudited condensed consolidated interim financial 
statements and accompanying Management's Discussion and Analysis ("MD&A") for the three months ended June 30, 2013. 
These financial statements and MD&A, and the comparative financial statements for the three months ended June 30, 2012 
are all available on SEDAR at www.sedar.com and on the Company's website www.eastplats.com. 
 
The qualified person having reviewed the operating disclosures presented in this press release is Mr. Brian Montpellier, 
P. Eng, V.P. Project Development. 
 
Total shares issued and outstanding - 928,187,807 
 
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information 
contained herein. 
 
Cautionary Statement on Forward-Looking Information 
 
This press release, which contains certain forward-looking statements, is intended to provide readers with a reasonable 
basis for assessing the financial performance of the Company. All statements, other than statements of historical fact, 
are forward-looking statements. The words "believe", "expect", "anticipate", "contemplate", "target", "plan", "intends", 
"continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward looking statements. 
 
Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered 
reasonable by the Company, are inherently subject to significant business, economic and competitive uncertainties and 
contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the 
forward-looking statements. Such factors include, but are not limited to, fluctuations in the currency markets such as 
Canadian dollar, South African Rand and U.S. dollar, fluctuations in the prices of PGM and other commodities, changes 
 in government legislation, taxation, controls, regulations and political or economic developments in Canada, the United 
States, South Africa, or Barbados or other countries in which the Company carries or may carry on business in the 
future, risks associated with mining or development activities, the speculative nature of exploration and development, 
including the risk of obtaining necessary licenses and permits, and quantities or grades of reserves. Many of these 
uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ 
materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. 
Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no 
assurance that such statements will prove to be accurate and actual results and future events could differ materially 
from those acknowledged in such statements. Specific reference is made to the Company's most recent Annual Information 
Form on file with Canadian provincial securities regulatory authorities for a discussion of some of the factors 
underlying forward-looking statements. 
 
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result 
of new information, future events or otherwise, except to the extent required by applicable laws. 
 
/T/ 
 
Eastern Platinum Limited 
Condensed consolidated interim statements of loss 
(Expressed in thousands of U.S. dollars, except per share amounts - 
unaudited) 
 
                                 Three months ended        Six months ended 
                       Note                June 30,                June 30, 
                                   2013        2012        2013        2012 
                                        (Note 3(b))             (Note 3(b)) 
                                        (Note 3(c))             (Note 3(c)) 
=--------------------------------------------------------------------------- 
Revenue                20(c) $   16,561  $   31,152  $   29,903  $   61,808 
=--------------------------------------------------------------------------- 
 
Cost of operations 
  Production costs               24,677      35,751      42,630      68,821 
  Depletion and 
   depreciation           5       2,369       3,810       4,591       8,133 
  Impairment         5 & 13     147,787      88,278     147,787      88,278 
  (Gain) loss on 
   disposal of 
   property, plant 
   and equipment                   (311)      1,569        (581)      1,569 
=--------------------------------------------------------------------------- 
                                174,522     129,408     194,427     166,801 
=--------------------------------------------------------------------------- 
Mine operating 
 loss                          (157,961)    (98,256)   (164,524)   (104,993) 
=--------------------------------------------------------------------------- 
 
Expenses 
  General and 
   administrative       5(d)      1,541       2,476       3,087       4,643 
  Care and 
   maintenance       5(b)(c)        383          16         769          52 
  Share-based 
   payments          6(d)(e)         52          23       3,142       2,340 
=--------------------------------------------------------------------------- 
                                  1,976       2,515       6,998       7,035 
=--------------------------------------------------------------------------- 
 
Operating loss                 (159,937)   (100,771)   (171,522)   (112,028) 
Other income 
 (expense) 
  Interest income                   458         897       1,002       1,929 
  Finance costs           7        (235)     (4,805)       (497)     (5,099) 
  Foreign exchange 
   gain (loss)                    1,425         (45)       (393)        202 
=--------------------------------------------------------------------------- 
 
Loss before income 
 taxes                         (158,289)   (104,724)   (171,410)   (114,996) 
Income tax 
 (expense) 
 recovery                          (252)     15,312        (197)     12,475 
=--------------------------------------------------------------------------- 
Net loss for the 
 period                      $ (158,541) $  (89,412) $ (171,607) $ (102,521) 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
Attributable to 
  Non-controlling 
   interest        3(b) & 8  $  (18,831) $   (2,991) $  (20,931) $   (6,474) 
  Equity 
   shareholders of 
   the Company                 (139,710)    (86,421)   (150,676)    (96,047) 
=--------------------------------------------------------------------------- 
Net loss for the 
 period                      $ (158,541) $  (89,412) $ (171,607) $ (102,521) 
=--------------------------------------------------------------------------- 
 
Loss per share 
  Basic                   9  $    (0.15) $    (0.09) $    (0.16) $    (0.10) 
  Diluted                 9  $    (0.15) $    (0.09) $    (0.16) $    (0.10) 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
Weighted average 
 number of common 
 shares 
 outstanding in 
 thousands 
  Basic                   9     927,805     927,499     927,805     927,499 
  Diluted                 9     927,805     927,499     927,805     927,499 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
Approved and authorized for issue by the Board on August 12, 2013. 
 
"David Cohen"                         "Robert Gayton" 
David Cohen, Director                 Robert Gayton, Director 
 
 
Eastern Platinum Limited 
Condensed consolidated interim statements of comprehensive loss 
(Expressed in thousands of U.S. dollars - unaudited) 
 
=--------------------------------------------------------------------------- 
                                 Three months ended        Six months ended 
                                           June 30,                June 30, 
                                   2013        2012        2013        2012 
                                        (Note 3(b))             (Note 3(b)) 
=--------------------------------------------------------------------------- 
Net loss for the period      $ (158,541) $  (89,412) $ (171,607) $ (102,521) 
Other comprehensive (loss) 
 income 
  Items that may 
   subsequently be 
   reclassified to loss or 
   profit 
  Exchange differences on 
   translating foreign 
   operations                   (36,787)    (39,836)    (83,157)     (6,814) 
  Exchange differences on 
   translating non- 
   controlling interest           1,684         359       2,591         219 
=--------------------------------------------------------------------------- 
Comprehensive loss for the 
 period                      $ (193,644) $ (128,889) $ (252,173) $ (109,116) 
=--------------------------------------------------------------------------- 
 
Attributable to 
  Non-controlling interest      (17,147)     (2,632)    (18,340)     (6,255) 
  Equity shareholders of the 
   Company                     (176,497)   (126,257)   (233,833)   (102,861) 
=--------------------------------------------------------------------------- 
Comprehensive loss for the 
 period                      $ (193,644) $ (128,889) $ (252,173) $ (109,116) 
=--------------------------------------------------------------------------- 
 
 
Eastern Platinum Limited 
Condensed consolidated interim statements of financial position as at 
June 30, 2013, December 31, 2012 and January 1, 2012 
(Expressed in thousands of U.S. dollars - unaudited) 
 
 
                                        June 30,   December 31,  January 1, 
                                            2013           2012        2012 
                                Note                    (Notes 3(b) & 4(a)) 
=--------------------------------------------------------------------------- 
 
Assets 
Current assets 
  Cash and cash 
   equivalents                    10  $   46,781  $      70,699  $  151,838 
  Short-term investments                  57,982         60,226      98,963 
  Trade and other 
   receivables              11 & 3(b)     12,805         14,854      22,842 
  Inventories                     12       3,041          4,746       7,989 
=--------------------------------------------------------------------------- 
                                         120,609        150,525     281,632 
 
Non-current assets 
  Property, plant and 
   equipment                       5     360,255        577,031     615,439 
  Refining contract               13       2,785          7,270       9,009 
  Other assets                    14       8,716          9,062       7,995 
=--------------------------------------------------------------------------- 
                                      $  492,365  $     743,888  $  914,075 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
Liabilities 
Current liabilities 
  Trade and other payables  15 & 3(b) $   18,640  $      17,387  $   39,945 
  Finance leases                               -              -       1,675 
=--------------------------------------------------------------------------- 
                                          18,640         17,387      41,620 
 
Non-current liabilities 
  Provision for 
   environmental 
   rehabilitation                 16      10,739         12,066       8,390 
  Deferred tax liabilities                17,559         19,977      33,520 
=--------------------------------------------------------------------------- 
                                          46,938         49,430      83,530 
=--------------------------------------------------------------------------- 
 
Equity 
  Issued capital                   6   1,230,358      1,230,358   1,230,358 
  Treasury shares             6(c)(e)       (204)          (204)       (334) 
  Equity-settled employee 
   benefits reserve              4(a)     11,896          8,991      34,391 
  Foreign currency 
   translation reserve           3(b)   (185,320)      (102,163)    (77,142) 
  Deficit                 3(b) & 4(a)   (581,553)      (431,114)   (355,028) 
=--------------------------------------------------------------------------- 
  Capital and reserves 
   attributable to equity 
   shareholders of the 
   Company                               475,177        705,868     832,245 
  Non-controlling interest         8     (29,750)       (11,410)     (1,700) 
=--------------------------------------------------------------------------- 
                                         445,427        694,458     830,545 
=--------------------------------------------------------------------------- 
                                      $  492,365  $     743,888  $  914,075 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
 
Eastern Platinum Limited 
Condensed consolidated interim statements of cash flows 
(Expressed in thousands of U.S. dollars - unaudited) 
 
 
                                 Three months ended        Six months ended 
                               June 30,    June 30,    June 30,    June 30, 
                       Note        2013        2012        2013        2012 
=--------------------------------------------------------------------------- 
Operating 
 activities 
Loss before income 
 taxes                       $ (158,289) $ (104,724) $ (171,410) $ (114,996) 
Adjustments to net 
 loss for non-cash 
 items 
  Depletion and 
   depreciation           5       2,414       3,878       4,699       8,266 
  Impairment         5 & 13     147,787      88,278     147,787      88,278 
  (Gain) loss on 
   disposal of 
   property, plant 
   and equipment                   (311)      1,569        (581)      1,569 
  Refining 
   contract 
   amortization          13         291         340         600         697 
  Share-based 
   payments          6(d)(e)         52          23       3,142       2,340 
  Interest income                  (458)       (897)     (1,002)     (1,929) 
  Finance costs           7         235       4,805         497       5,099 
  Foreign exchange 
   (gain) loss                   (1,425)         45         393        (202) 
Net changes in 
 non-cash working 
 capital items 
  Trade and other 
   receivables                      (61)      2,461         306      (3,192) 
  Inventories                     1,128       1,959       1,076       1,322 
  Trade and other 
   payables                       3,072      (2,284)      3,020        (739) 
=--------------------------------------------------------------------------- 
Cash used in 
 operations                      (5,565)     (4,547)    (11,473)    (13,487) 
Adjustments to net 
 loss for cash 
 items 
  Interest income 
   received                         612       1,237         989       2,056 
  Finance costs 
   paid                             (50)     (4,428)        (94)     (4,466) 
  Taxes received 
   (paid)                           427        (173)        892         543 
=--------------------------------------------------------------------------- 
Net operating cash 
 flows                           (4,576)     (7,911)     (9,686)    (15,354) 
=--------------------------------------------------------------------------- 
 
Investing 
 activities 
  Net maturity of 
   short-term 
   investments                  (10,747)     22,445        (892)    (12,022) 
  Purchase of 
   other assets                    (467)       (378)     (1,004)       (712) 
  Property, plant 
   and equipment 
   expenditures                  (3,917)    (34,031)     (8,921)    (56,654) 
  Disposal of 
   property, plant 
   and equipment                    543         554       1,068         554 
=--------------------------------------------------------------------------- 
Net investing cash 
 flows                          (14,588)    (11,410)     (9,749)    (68,834) 
=--------------------------------------------------------------------------- 
 
Financing 
 activities 
  Acquisition of 
   Lion's Head                        -           -           -     (10,000) 
  Payment of 
   finance leases                     -         127           -      (1,553) 
=--------------------------------------------------------------------------- 
Net financing cash 
 flows                                -         127           -     (11,553) 
=--------------------------------------------------------------------------- 
Effect of exchange 
 rate changes on 
 cash and cash 
 equivalents                       (487)     (1,419)     (4,483)      1,300 
=--------------------------------------------------------------------------- 
 
Decrease in cash 
 and cash 
 equivalents                    (19,651)    (20,613)    (23,918)    (94,441) 
Cash and cash 
 equivalents, 
 beginning of 
 period                          66,432      78,010      70,699     151,838 
Cash and cash 
 equivalents, end 
 of period                   $   46,781  $   57,397  $   46,781  $   57,397 
=--------------------------------------------------------------------------- 
=--------------------------------------------------------------------------- 
 
/T/ 
 
 
-30- 
 
FOR FURTHER INFORMATION PLEASE CONTACT: 
 
Eastern Platinum Limited 
Ian Rozier 
President & C.E.O. 
[phone] 
[phone] (FAX) 
[e-mail] 
www.eastplats.com 
 
OR 
 
NOMAD: 
Andrew Chubb, Damien Hackett 
Canaccord Genuity Limited, London 
[phone] 
 
OR 
 
JSE SPONSOR: 
Johan Fourie 
PSG Capital (Pty) Limited 
[phone] 
[e-mail] 
 
 
 
 
Eastern Platinum Limited