Riversdale Mining's Zululand anthracite colliery in South Africa.

In its half-year financial report, the Sydney-based company said a major contributor to the net profit was the $100 million it received from the sale of its 35% interest in the Benge and Tete licences to Tata Steel.

The two tenements lie in the Moatize region of Mozambique and cover an area of 24,960 hectares.

Riversdale also reported revenue of $33.6 million for the half year, up 1.3% on the previous corresponding period.

Cash at hand at 31 December 2007 was $313.8 million, compared to $49 million at 30 June 2007, after a $215 million capital raising in November and the $100 million in consideration received from Tata Steel.

The Zululand Anthracite Colliery (ZAC) recorded earnings before interest tax (EBIT) for the half year of $4.1 million compared to $4.8 million in the corresponding half.

The company said the reduction was primarily due to costs associated with consulting services related to the ZAC business improvement process.

At ZAC, mining for the half year was conducted in both the Kwa-Sheleza and Deep E Blocks with improvements in both the ZAC Run of Mine and saleable production as a result of improved mining and production practices.

In Mozambique, transactions during the half year included the Tata Steel joint venture and acquisition of additional tenements in the Tete province.

Riversdale's exploration drilling in Mozambique resulted in an initial inferred coal resource of 1.225 billion tonnes being defined during the reporting period.