COALFIELD Resources, the troubled coal mining turned property company, soared nearly 30 per cent in trading yesterday after a bullish half-year update.
The Doncaster-based company offloaded its mining interests in December and now focuses solely on the sale and development of land around former collieries in the north of England.
The company owns a 24.9 per cent stake in the owner of the land, Harworth Estates Group, and stands to gain from increased interest in brownfield development sites owned by the group.
Yesterday it said it received £300,000 in profits from Harworth in the six months to June but costs associated with offloading its mining business wiped out the boost and delivered overall losses for the period of £1.7m, it said.
Coalfield chairman Jonson Cox said the development of sites like the former Waverley mine in South Yorkshire – which was boosted by new facilities from Rolls Royce and the University of Sheffield buildings – would be a “catalyst” for more development.
“Coalfield Resources is in a position to move forward and concentrate on developing the value of its investment,” he said.
Shares closed up 28.7 per cent.