Philex profit up 34% in H1

Pangilinan- led Philex Mining Corp. posted a 34- percent increase in its first half profit to P757 million, largely driven by higher metal prices and improved production.

Revenue from gold rose to almost P3 billion from P2.8 billion owing to improved gold prices in the world market.

“From an operational and financial standpoint, the pricing environment, at least for gold, has so far been favorable to us during the first half. We hope this trend is sustained for the remainder of the year, which we aim to take full advantage of by further ramping up our production, which already started during the month of June,” said Eulalio Austin Jr., president of Philex.

Copper revenues, on the other hand, fell four percent to P1.79 billion while revenues from silver slightly went down to P37 million.

The Padcal mine milled 4.7 million tons of ore, translating to 17.3 million pounds of copper and 49,589 ounces of gold produced.

The increased metal production for the six-month period was driven by improved equipment efficiency, manpower optimization and better ore grades as new draw points started to deliver higher grades.

Philex likewise attributed the drop in income to cost reduction efforts.

Cost and expenses declined eight percent to P3.2 billion.

The company paid $6.5 million out of its outstanding $70.5 million debt last year, bringing down total debt to $64 million as of end-June.

Meanwhile, Philex said it welcomes the new government and its commitment to promote responsible mining in the country.

“The DENR’s strong stance against unlawful and irresponsible mining activities will clean up the local mining sector. We will continue to uphold our tradition of responsible mining, in accordance with law, and pursue inclusive growth within our areas of operation,” Austin said.