Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Solid Energy’s Financial Position

21 February 2013

Solid Energy’s Financial Position
Solid Energy’s trading position has continued to deteriorate despite a number of initiatives to reduce costs,
preserve cash and restructure the business to meet the on-going challenging global coal market.

Solid Energy Chairman, Mark Ford, says: “We are in discussions with our banks and Treasury on the debt and equity support required for future operations of the business. A restructuring and turnaround plan for the company is being prepared by the newly appointed Board in support of these discussions. We believe that this plan can provide a sustainable future business to meet expected market conditions.”

“Despite some modest recovery of international coal prices from a low of around US$140 per tonne in September last year - down from US$224 in June 2012 and a high of US$350 in January 2011 - the company expects any sustained recovery will be prolonged,” he says. “The company is carrying substantial debt and the half-year result will record a significant loss.

“This coal market downturn has resulted in weak prices negatively impacting the company’s operating results for the half year.

Mark Ford says that the company appreciates the on-going support of Treasury and the company’s banking partners in this difficult and challenging period.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Food: New National Science Challenge To Launch Research

What if New Zealand developed the next generation of foods that will help consumers maintain their health and protect them against diabetes, irritable bowel syndrome or chronic allergies? What if we could answer some big science questions – use that knowledge to develop foods with proven health benefits and boost our economy at the same time? More>>


Trade & Retail: Chinese Disaster Spells Quiet Season For NZ Fireworks Sales

In August, two massive explosions at a warehouse at the port in the port of Tianjin, Northern China, killing more than a hundred people and devastating large areas of the city. In the wake of the disaster, Chinese authorities rushed to regulate the distribution of all dangerous goods... More>>



Oceans: NOAA Declares Third Ever Global Coral Bleaching Event

As record ocean temperatures cause widespread coral bleaching across Hawaii, NOAA scientists confirm the same stressful conditions are expanding to the Caribbean and may last into the new year, prompting the declaration of the third global coral bleaching event ever on record. More>>

Scoop Business: A Decade Of Government Pre-Seed Investment

More publicly-funded science is being commercialised after a decade of government ‘pre-see’d investment, according to an independent review. More>>


Solid Energy: Plan To Shut Unprofitable Huntly East Mine

Solid Energy, the state-owned coal miner in voluntary administration, plans to shut down its unprofitable Huntly East mine and lay off 65 staff after deciding the site stands "no chance whatsoever" of finding a buyer. More>>


E Tū: Merger Creates NZ's Biggest Private Sector Union

E tū has been created by the merger of the Engineering, Printing and Manufacturing Union and Service and Food Workers’ Union. It represents more than 50,000 working New Zealanders in industries as diverse as aviation, construction, journalism, food manufacturing, mining and cleaning. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news