Benguet Corp posts P31-M net loss in H1

Listed miner Benguet Corp. incurred a net loss of P31 million in the first semester, a reversal of the P400.2 million profit reported in the same period a year ago due to lower mineral prices in the market.

In a disclosure to the local bourse, Benguet said revenue fell 55 percent to P1.2 billion owing to a decline in shipment volume.

The company shipped an aggregate volume of 778,485 metric tons (MT) of nickel ore, down from the 1.3 million MT shipped a year earlier.

For the second quarter alone, the company suffered a loss of P86.3 million as against a net income of P45.5 million the previous year.

Total shipments decreased to 15 boatloads from 24, exacerbated by the decline in nickel ore prices from the average $34.65 per MT in 2015 to $23.05 per MT this year.

The Department of Environment and Natural Resources earlier suspended Benguet’s Sta. Cruz nickel operation in Zambales early last month as a result of the Writ of Kalikasan and complaints lodged by anti-mining groups.

Benguet, however, remains confident it will be allowed to resume operations after the ongoing mining audit as it has passed international environmental standards.

Meanwhile, gold produced for the first half plunged to 4,256.14 ounces from 7,173 ounces due to lower tons milled even as the average realized gold price improved to $1,217.67 per ounce from $ 1,206.52 per ounce a year ago.

A side from producing and marketing gold, nickel laterite ore, and limestones, the company provides logistics, port and shipping services, healthcare services.

It also sells industrial equipment and supplies, and develops water resources and real estate projects.