MANILA, Philippines - Atlas Consolidated Mining & Development Corp. is likely to exceed last year’s net profit of P2.6 billion despite soft copper prices, according to a top company official.
Atlas executive vice-president Adrian Ramos said copper prices have improved over the past months but remained 14 percent lower than last year.
Ramos said the company is set to make two shipments, totaling 10,000 tons of copper concentrates, to the Philippine Associated Smelting and Refining Corp.
Controlled by Anglo–Swiss commodity trading and mining company Glencore International Plc., Pasar is the only copper smelter and refinery in the Philippines.
“We are the first local firm to supply Pasar in 18 years,” Ramos said.
The concentrate shipment is mined out of the Toledo mine operated by wholly-owned subsidiary Carmen Copper Corp.
The shipments would boost Atlas’ revenues, which stood at P11.36 billion in the nine months ended September this year, 13.6 percent higher than the same period in 2011. The company posted consolidated net earnings of P1.91 billion, up 19.37 percent year-on-year.
Ramos said Atlas has already exceeded its projected shipments this year and remains on track to increase copper production to 120 million pounds next year.
Atlas expects to produce 90 million pounds of copper this year, up from the original plan of 80 million pounds.
Moving forward, the company remains bullish on its prospects next year, hopeful that the leadership change in the People’s Republic of China will boost demand for metals.
“We are bullish even if there are short-term abberations. Demand from China will come back and will be resurgent in the second half of next year. Worldwide, we see a continuing shortfall on supply,” Ramos said.
Ramos said the expansion program of Carmen Copper mine is already in full swing and is tracking ahead of schedule by around 12 months. The new milling facility is expected to commence operations by end of the first half of 2013.
Atlas has earmarked some $ 105 million for the upgrade of mine facilities and to increase copper production of Carmen Copper.