Watermark Global plc is engaged in developing innovative environmental solutions in water management with a key focus on Acid Mine Drainage and the manufacture of Coal Briquettes in South Africa. In June 2012, Watermark sold its wholly-owned operating subsidiary, Western Utilities Corporation Limited ( WUC ) to Mine Restoration Investments Limited ( MRI ) for a consideration of £4.50 million comprising £1.81 million in cash and £2.69 million ( 40% ) in MRI shares.
Mine restoration Investments Limited are listed on the ALTx market of the Johannesburg Stock Exchange in South Africa, and carry the years of expertise built up from watermark global in Acid Mine Drainage alongside an additional new focus in the lucrative Coal Briquette market.
Watermark released their half yearly results on the 28th of September 2012 which showed that the company restructure has already positioned them into a strong position. Highlights of the interims showed profit after tax for the six month period ended 30 June 2012 was £2,716,000 and earnings of 0.17p per share .This profit is inclusive of the gain made in the sale of WUC to MRI for £2,751,000.
Stated net asset value at 30 June 2012 was 0.33p per share and cash position of the Company at 30 June 2012 was approximately £796,000. Since the listing of MRI the value of watermarks investment has risen by over 50% ( as of 10/10/2012 ) equating to a NAV of 0.41p per share.
Full Statement - http://www.investegate.co.uk/Article.aspx?id=20120928070000Z5712
Acid Mine Drainage
Acid mine drainage ( AMD ) is one of mining's most serious threats to water. A mine draining acid can devastate rivers, streams, and aquatic life for hundreds of years and under the "right" conditions thousands of years.
At metal mines, the target ore (like gold, silver, copper, etc) is often rich in sulfide minerals.When the mining process exposes the sulfides to water and air together they form sulfuric acid.This acid can and often does dissolve other harmful metals and metalloids (like arsenic) in the surrounding rock. Acid mine drainage can be released anywhere on the mine where sulfides are exposed to air and water, including waste rock piles, tailings, open pits, underground tunnels, and leach pads.
To date WUC are the only company to submit a full long term plan to deal with Acid mine drainage to the south african government, who are coming under increasing pressure from the…
