Amara Mining

LN: AMA

£72.6m market cap

17.25p last close

The Kalsaka/Sega complex having reached the end of its productive life, Amara Mining is now developing the pre-feasibility stage Yaoure Gold Project in Cote d’Ivoire. It also has a development stage project in Baomahun in Sierra Leone.

Investment summary

Production of 8,008oz of gold in Q3 was below Edison’s expectation of 9,794oz principally as a result of the decision to discontinue the processing of stockpiles of transitional material in the light of the lower gold price. As a result, Amara has reduced its production guidance for the full year from 50,000oz to 40,000oz, while Edison has reduced its expectations from 45,471oz to 40,151oz. Of more significance however is output from material derived from the Sega licence, which achieved an annualised production rate of 56,000oz in November, supporting Amara’s official production guidance of 60-70koz in FY14.

Y/E Dec
Revenue (US$m)
EBITDA (US$m)
PBT (US$m)
EPS (c)
P/E (x)
P/CF (x)
2013A 52.4 (14.3) (22.1) (10.0) N/A 3.2
2014A 53.3 (2.5) (15.1) (3.7) N/A 68.6
2015E N/A N/A N/A N/A N/A N/A
2016E N/A N/A N/A N/A N/A N/A
Share price graph
Balance sheet
Forecast net debt (US$m) N/A
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual 0.0 0.0 0.0
Relative* (2.1) (0.6) (7.0)
52-week high/low 17.2p/17.3p
*% relative to local index
Key management
John McGloin Chairman
Pete Gardner CFO