Company news: Emeco & Sandfire Resources
Emeco provided guidance for its FY-20 result. The company expects an operating profit (EBITDA) of between $244-$247m – which is ahead of our expectations. The reduction in the company’s gearing also remains on track. Pleasingly, the recently acquired Pit N Portal has demonstrated its strong position in underground mining - executing a five-year contract with nickel producer Mincor Resources NL (ASX: MCR).
Sandfire Resources provided an update to the market. The company has maintained strong operating performance during the COVID-19 pandemic and expects production to be in line with its previous guidance, with costs trending lower. The company also expects to restart drilling in the highly prospective Kalahari Copper Belt in early June 2020 after an easing of restrictions.