Philex Mining Corp. said Thursday net income in the first nine months jumped 76 percent from a year ago, on higher production and metal prices.
Philex said in a statement net income in January to September hit P1.33 billion, up from P756 million registered in the same period last year.
Net income attributable to equity holders of the parent company increased 59 percent to P1.355 billion from P851 million. Core net income also grew 64 percent from P811 million in 2015.
The company’s Padcal mine milled 7.2 million tons of ore in the nine-month period, up from 6.9 million tons last year.
The tonnage translated into 27.1 million pounds of copper, which was 6 percent more than the previous year’s 25.7 million pounds.
Gold production, however, went down to 79,845 ounces from 81,599 ounces in 2015 because of lower gold grades and metal recovery.
Philex said the strong performance was generally attributed to operational enhancements, higher equipment efficiency and fully depreciated draw points still yielding good grades of copper and gold.
Revenues in the first nine months increased 7 percent to P7.705 billion from P7.173 billion, with gold contributing P4.797 billion, copper accounting for P2.841 billion and silver adding P66.4 million.
Philex said the average realized prices for gold reached $1,273 per ounce in the first nine months, up from $1,171 per ounce last year. This more than offset the lower gold output while the increase in copper output compensated for the 11-percent drop in average copper prices to $2.19 per pound from $2.45 per pound.
The mining company said despite the increase in production, it continued to proactively manage costs and expenses, resulting in a 5-percent reduction in consolidated costs and expenses to P5.048 billion from P5.339 billion in the same period last year.
Philex said efforts to manage costs and expenses through periodic operational reviews, policy changes and organizational streamlining enhanced core profitability and strengthened balance sheet, allowing the company to sustain its corporate social responsibility and environmental protection programs.
“Our corporate initiatives have provided us with an optimal organizational structure and operational framework that will allow us to sustain the long-term viability of operations and continuously and consistently perform our mandate as a responsible and conscientious mineral resource development company,” said Philex president and chief executive Eulalio Austin Jr.
“We are glad that the government, through the Department of Environment and Natural Resources and other bodies, has taken note of our efforts to practice and continuously undertake responsible mining during the recent audit conducted at our Padcal Mine,” Austin said.
