Ann: GRR - Quarterly Report for 3 months ended 30 June 2015, page-220

Another attention grabbing headline
No dividend payout as Grange Resources suffers $80m loss

By SEAN FORD

Aug. 31, 2015, 9:13 p.m.
BIG North-West miner Grange Resources lost nearly $80 million in the first half of the year as iron ore prices slumped.
The Grange board has decided against issuing a dividend and is looking to sell a stake of its Southdown iron ore development project in Western Australia, as questions grow about how close to the financial edge it is sailing.
The Savage River miner managed an underlying profit after tax of $33.3 million for the first six months of 2015, but that was knocked into the red zone by a $113.1 million write down of assets.
Comment was being sought from Grange, including on whether it was trading profitably in the current quarter and on what, if any, cutbacks were being planned.

Its average income per tonne went negative in the three months to the end of June, with costs pushing slightly ahead of prices received.
Grange reported total assets of $541.6 million as at June 30 (down by $86.6 million in six months).
It had about $150 million in cash and term deposits, and liabilities of just $45 million.
Grange - one of the region's major employers - said strong ongoing demand for its magnetite pellets remained despite the weaker underlying iron ore price.
Production was up by about 12 per cent compared to the same half of 2014, but revenue dropped by 10 per cent to $116.6 million.

The company said its operating costs had fallen due to continued cost control discipline.
It received an average price of $US73.22 per tonne during the half, down from $US121.13 per tonne a year earlier.
It said the upgrading of one of its Savage River mills ran ahead of schedule, with the mill commissioned at the end of July.
"The successful completion of this project, along with the installation of a new ball mill motor, has served to de-risk our production profile, improve our productivity and increase our efficiency," it told the ASX.