Philex Mining Corporation, one of the oldest and largest gold and copper producers in Southeast Asia, reported a 118 percent jump in core net income last year to P2.53 billion from P1.16 billion in 2020.
In a disclosure to the Philippine Stock Exchange, the firm said “Favorable and sustained higher level of realized prices for Gold and Copper resulted in higher operating revenues in 2021, registering a healthy 25 percent increase over the year 2020.”
Operating revenues reached P9.8 billion in 2021 from P7.83 billion in 2020. Realized Gold prices was at its highest level in the fourth quarter of 2021 reaching $1,783 per ounce, while Copper reached $4.44 per pound in October 2021.
Tonnage milled in 2021 reached 7.946 million tons, or 1.4 percent higher than 2020. Ore grades continue to hold at the same level as in 2020, leading to minimal impact on Gold and Copper output in 2021 compared with 2020.
Annual gold production reached 55,149 ounces, slightly lower by 1.6 percent from 2020 Gold output. Copper output for 2021 stood at 26.2 million pounds, 1.4 percent lower from the 2020 Copper output.
The sustained prices of Gold and Copper in the global market are providing Philex a continuing window of opportunity to optimize the mineable reserves and metal output.
Profitability and liquidity since 2020 have been on a positive trend and has materially enhanced the Company’s profitability and financial condition, allowing the Company to expedite the launching of the development of Silangan project under its In Phase Mine Plan.
At the same time, studies are underway to explore and determine the feasibility of the mineable resources and/or reserves surrounding the Padcal mine, whilst the Gold and Copper prices are at its current high levels.
“No doubt, 2021 was a blessing for us considering the high metal prices for Copper & Gold that even with the marginal grades of ore that we are mining, we continue working on our business continuity plans,” said Philex President and CEO Eulalio B. Austin, Jr.
“We will continue our relentless drive to improve our operations, and are now looking at new investment opportunities, whilst prolonging the life of our Padcal mine,” said Philex Chairman M. V. Pangilinan.