Listed nickel miner Marcventures Holdings Inc. posted an impressive turnaround in 2019 and continued the sustained profitability in the first half this year, driven by its nickel subsidiary, Marcventures Mining and Development Corp. which reported a 258-percent improvement in 2019 net income to P165.4 million from a loss of P262.9 million in 2018.
MHI said consolidated net income reversed the 2018 loss of P388.8 million to a positive P37.8 million, representing a substantial improvement of P426.6 million.
MHI president Isidro Alcantara said the 2019 results were due to the increased tonnage and reduction of mining and overhead cost by 30 percent. This also supported the first-half net income P196.7 million.
The company said that in June alone, MMDC posted a net income of P316.9 million. Early and strict implementation of mining protocols under the Mines and Geosciences Bureau and local government units allowed normal, although delayed operations despite the COVID 19 pandemic, it said.
“The parent company had to step in for 2019 and made wholesale changes by fully revamping mine management and making changes in MMDC corporate management to recover profitable operations. MMDC actually operated without a CEO for 2019 as the board and the holding company, MHI, took an active part,” Alcantara said.
The company said further increases in tonnage and the combination of cost efficiencies and improving nickel prices indicate continuing better prospects in 2020.
MHI said it aimed to develop another mining property in Surigao under BrightGreen Nickel in time for the improved market. It is also undertaking activities for its bauxite properties—the aluminum raw material in Samar prior to applying for an environmental compliance certificate and approval of mining project feasibility.