Blyvoor motivates for lifting of judicial management order
17 March 2010
Johannesburg, South Africa. 17 March 2010. DRDGOLD Limited’s (JSE: DRD; Nasdaq: DROOY) 74%-owned subsidiary, Blyvooruitzicht Gold Mining Company Limited ("Blyvoor") today filed papers with its joint judicial managers in anticipation of a meeting scheduled with them for tomorrow (18 March 2010), supporting its view that the mine should be lifted from judicial management.
In the filed papers, Blyvoor provides guidance on the rehabilitation of underground panels damaged in seismicity and the opening up and development of underground areas accessed through Blyvoor’s ongoing WAP project, and makes the following submissions in support of its view:
- Between the months of November 2009 to February 2010, Blyvoor made a net profit of R33.6 million and generated net cash flows after capital expenditure of R27.5m.
- The majority of pre-judicial management debts have been paid in full and all trade creditors are back on normal terms.
The meeting has been scheduled and the papers provided to ensure that the judicial managers are in possession of adequate and complete information to compile and submit to the High Court the required written report on the financial status of Blyvoor by 13 April 2010.
Yesterday (16 March 2010), the High Court granted a 28-day extension to the judicial management order, in order for the aforementioned report to be filed.
The financial information included in this announcement has not been reviewed or reported on by the Company’s auditors.
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