Philex Mining profit down on lower metals prices

Philex Mining Corp. on Thursday said earnings were down during the first half of the year, mainly on lower metals prices.

 

Net income was down 5.83 percent to P565 million in January to June from P600 million a year earlier.

 

Metals prices during the period were the lowest on record over the last five years, the miner said, noting that gold declined by 11 percent and copper by 16 percent.

 

Revenues in the first six months registered declines across the miner's various activities. Gold was down 6.28 percent to P2.894 billion P3.088 billion on-year. Petroleum posted a drop of 57.78 percent to P83.5 million from P197.8 million. Silver declined by 12.55 percent to P37.6 million from P43.0 million.

 

Total consolidated revenues for the semester reached P4.886 billion, down 15.49 percent from P5.782 billion.

 

The Padcal mine operated for 178 days in January to June, producing 4.47 million tons of ore which translated to 53,869 ounces of gold – up 3.02 percent from 52,286 ounces. Copper output dropped 7.14 percent to 16.9 million pounds from 18.2 million pounds, with lower copper grades of 0.206 percent from 0.218 percent. 

 

Consolidated operating costs and expenses decreased by 17 percent year-on-year to P3.728 billion from P4.468 billion.

 

“As we navigate through the turbulent global developments, we remain focused on maximizing our operating mine and at the same time setting our sights on the development of the Silangan project," said President and CEO Eulalio B. Austin Jr. 

 

"Right now, we are benefitting from our cost-containment measures and are confident that the results of these initiatives will be more pronounced in the longer term,” Austin added.

 

Silangan Mindanao and Mining Co. Inc. President Yulo E. Perez said the necessary permits are now being secured so the company may proceed to develop the mine. – Jon Viktor Cabuenas/VS, GMA News