re: agm report shows good progress

AGM report highlighted many issues discussed on this board. Looks promising so far.

* They have reduced their debt by $30 million.

* South Africa operations is now operating at break-even with good prospects of returning to profits.

* Discussions with BEE investors for BTX which may lead to an opportunity for Brandrill to divest its South African business. If they gave BTX away they would record a profit which they wouldn't, so the sale of BTX will strengthen their balance sheet greatly.

* Contingent asset in the Rewards Deep Claim, the compensation for costs and losses incurred on the contract is over $7mil they expect to receive significant cash from this.

* Quick Draw is expected to be sold next year bringing in more cash.

* All current contracts are profitable and there are excellent prospects for growth in both surface and underground in the 2nd half.

* Strong growth in minerals demand from China has led to accelerated expansion plans in the West Australian Iron Ore industry, where we are well established. We have been advised that one of our contracts in Pilbara is expected to increase by 50% over the next six months.

* Great potential in providing drill and blast services to clients in the eastern states coal fields. The recently awarded $16m contract at Ensham is a good example of this, and are confident of more to come.

* Currently bidding on over $130 million on surface jobs. Also tendering on two medium scale underground projects to be undertaken on a alliance basis. The outcome of both of these should be determined by next month.

* RockTek is focusing its sales growth on the use of PCF for civil engineering applications, particularly in urban environments.

* Accordingly, we are targeting new market arrangements in Europe, and North and South America that could lead to global distribution services.

* In the second half we expect Australian contracting revenue to return to levels of prior years.

* We expect to return to profitability for the full year.


Would have liked to have seen more in this report but a good effort nontheless.