MANILA, Philippines - Weighed down by lower metal prices, Atlas Consolidated Mining and Development Corp. incurred a net loss of P611 million in the first semester, a reversal of the P989 million profit recorded in the same period last year.
Atlas Mining, however, noted that a stronger second quarter performance contained its net loss for the January to June period. Improved production volumes and favorable metal prices enabled the mining firm to post a net income of P26 million from April to June as revenues rose six percent to P2.8 billion.
The steep drop in first half profit was largely attributed to the 39 percent decline in revenues.
Atlas Mining said while copper prices improved during the second quarter, the average realized copper price of $2.67 per pound was still 15 percent lower than the $3.15 per pound realized in the first half of 2014.
The average realized gold price also fell by seven percent to $1, 201 per ounce from $1, 295/oz the previous year.
Production of Atlas Mining subsidiary Carmen Copper Corp. also slowed by 13 percent to 46.4 million pounds of copper metal in concentrate in the first six months.
This was due to unusually heavy rainfall, pit slope ground movement and maintenance activities in the expanded processing plant.
As a result, the total volume of copper concentrate shipments fell by 13 percent to 77, 500 dry metric tons. Copper metal content fell by 14 percent to 45.2 million pounds of copper metal in concentrate while gold content rose by nine percent to 12, 043 ounces.
“We are making significant progress towards addressing all of the issues that hampered production during the first half of 2015. We will continue to address those issues in order to maximize production and be competitive in the current difficult environment and we are optimistic that we will be able to make up for the shortfall in production in the second half of the year,” said Atlas Mining president Adrian Ramos.