(01/05/08) Trading Update
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RNS Number:5096T
GTL Resources PLC
01 May 2008
FOR IMMEDIATE RELEASE
01 May 2008
GTL Resources PLC
("GTL" or the "Company)
Change of Nominated Adviser and Trading Update
GTL Resources PLC (AIM:GTL), the US based ethanol production and project
development company, is pleased to announce the appointment of Arbuthnot
Securities Limited as Nominated Advisor and Broker to the Company with
immediate effect.
The initial 50 million gallon per annum ("mgpa") nameplate ethanol plant has
achieved production of 114% of nameplate capacity during the 12 months to 31
March 2008. This compares favourably to US quoted industry peers for their years
to 31 December 2007. The plant's strong ethanol production has been fully sold
during the period, with over 90% of sales continuing to be made into the main
target market of Chicago, thereby allowing the Company to benefit, in terms of
transportation costs, from its proximity to market.
The Company anticipates that whilst turnover and operating profit for the year
ended 31 March 2008 will reflect a weaker second half, due to more difficult
trading conditions, they will nonetheless continue to be in line with market
expectations.The Company does, however, expect to record a US$2.6million non-
cash and non-operating provision reflecting a mark to market of interest rate
swaps on part of its senior debt.
Expansion Progress
Construction commenced as planned in August 2007 on the expansion project to
double capacity from 50 mgpa to 100 mgpa of nameplate capacity at the Company's
ethanol plant at Rochelle, Illinois. The project, the majority of which is on a
fixed price contract, continues to proceed both to schedule and on budget. The
fully funded project includes a $10million project contingency, none of which
has been drawn upon.
Richard Ruebe, GTL's CEO, commenting on the trading update, said:
"At a time when some ethanol projects are disclosing project delays and cost
overruns we are encouraged by the continued excellent progress being achieved
with the expansion at Rochelle - it remains on budget and to schedule.
With the efficient running of the plant at above peer group rates, we look
forward to reporting on continued progress at the site."
For further information please contact:
GTL Resources PLC
Michael Brennan, Finance Director Tel; +44 1642 794000
Richard Ruebe, CEO Tel; U.S. +1 312 474 7845
Arbuthnot Securities Limited
James Steel +44 20 7012 2100
Antonio Bossi +44 20 7012 2116
David Cunningham +44 20 7012 2082
Buchanan Communication
Charles Ryland Tel; +44 20 7466 5000
Nick Melson Tel; +44 20 7466 5000
This information is provided by RNS
The company news service from the London Stock Exchange
END
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