Apex profit soars as gold prices rally

MANILA, Philippines — Razon-led Apex Mining Co. Inc. said its net income from January to September rose by a third to P3 billion as revenues soared, driven by higher ore milled and elevated gold prices.

Profit during the nine-month period reached P3.07 billion, up from P2.31 billion in the same period last year, Apex Mining said.

“Our high performing team focused on driving efficiency and productivity despite operational challenges,” said Apex Mining president and CEO Luis Sarmiento while crediting higher ore milled and surge in gold prices as the main drivers of the company’s positive performance during the reference period.

The miner’s revenues rose by almost a quarter year-on-year to P10.84 billion from P8.725 billion.

The company attributed its strong top line to higher realized gold prices during the nine-month period.

Apex Mining sold 78,105 ounces of gold at a realized price of $2,359 per ounce versus last year’s 77,652 ounces valued at $1,939 per ounce each.

Gold revenues accounted for the bulk of the company’s total revenues, reaching P10.436 billion, up by almost a fifth from P8.38 billion in the same period last year.

Meanwhile, revenues from silver also grew by 17 percent year-on-year to P404.308 million from P345.501 million.

Apex Mining said its Maco Mine milled 10 percent more this year compared to last year’s performance. During the reference period, Maco Mine milled 657,975 metric tons of ore, up from last year’s 597,443 metric tons.

The increase in ore milled offset the slight dip in the gold recovery rate and gold grades recorded by the mining firm at 85.2 percent and 3.58 grams per metric ton, respectively.

The mining firm reported an 18 percent increase in its production costs, reaching P5.889 billion versus last year’s P4.983 billion.