Castlereagh profit, loan written off

Press, Volume CXI, Issue 32563, 24 March 1971, Page 26

Castlereagh profit, loan written off

Castlereagh Securities, Ltd, Sydney, mining investor and coal miner, announced a group net profit of $131,904 for the period from incorporation to December 31.

The net result is after writing down investments and all money invested in Mineral Secunties Australia, Ltd (in liquidation), amounting to $1,093,682. “It is also after taxation of $95,232, and minority interests of $4540. The directors say that the share trading portfolio had been revalued, and the company’s $300,000 loan to Minsec was written off. In no case does the book value of stocks exceed cost or market value, whichever is the higher, they say. The directors say that they

considered it prudent to make full provision in the halfyearly result for a contingent loss of the unsecured loan to Minsec pending a final assessment of the realisable value of this loan at balance-date (June 30, 1971) when determining the trading results for the full period. During the period under review, the company acquired a "substantial holding” in Kathleen Investments Australia, Ltd. The company’s coal subsidiary, New Hope Collieries Pty., Ltd (which mines steaming coal on the West Moreton coalfields in Queensland), operated profitably during the six months to December 31. Reorganisation of the mine with a view to increasing production and improving efficiency is progressing a? planned, the directors say.