Can't see why Ferreira would be closed down considering the...

Can't see why Ferreira would be closed down considering the recent announcement regarding Ferreira mine extensions -

Agreement was reached during April 2012 for Mashala Resources to develop the Prospecting Right immediately adjacent to and adjoining the current open cast mining activities at the Ferreira Coal Mine.

Negotiations with further parties to acquire additional resources that are in close proximity to the Ferreira Coal Mine continued during the month. Mine planning work has already commenced on the Prospecting Right and it is anticipated that the production of between 350,000 to 400,000 ROM tonnes will extend the mine life further and return earnings to levels achieved in previous quarters.

Year to date ROM coal production of 574,419 tonnes and export sales of 496,065 tonnes has been achieved at the Ferreira Coal Mine and the Delta Processing Operations with an unaudited net profit after tax of ZAR37.1m reported against a budget of ZAR24.4m.

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Also, with the USD/ZAR currently at 8.32 and RB coal at USD97.21 the ZAR price received for coal of is ZAR 809 - actually improving now - given the USD/ZAR was back around 7.5 in March (equivalent ZAR780 at USD104 RB prices). Remember that Conti's costs at Ferreira are all priced in ZAR.

Also it makes no sense to idle the Delta operations & lay off staff there when Penumbra coal is scheduled to be processed through Delta in several months' time.