Philex Mining Corp. opened the year in the red as it posted a net loss of ₱592.48 million in the first quarter, with revenues declining sharply due to lower metal production amid restoration works at the Padcal Mine.

Based on its public disclosure, Philex swung to a net loss in the January-to-March period from a net income of ₱130.58 million in the same period last year.

Revenues during the first three months fell by 43 percent to ₱1.08 billion from ₱1.90 billion, as it failed to capitalize on higher metal prices due to lower production of gold and copper.

The company’s gold output declined by 63 percent to 2,227 ounces from 6,083 ounces a year ago.

Average gold prices in the first quarter surged to a historic high of $4,960 per ounce, more than double the $2,061 per ounce recorded in 2025.

Copper production also declined to 1,869 pounds, significantly lower than the 4.60 million pounds reported in the first quarter last year.

The mining firm’s milled tonnage stood at 931,000 tons by the end of March, down by nearly 42 percent from 1.60 million tons in the previous year. Gold grade in the period reached 0.123 grams per dry metric ton, while copper grade was at 0.123 percent.

The subpar output in the first quarter was attributed to restoration works at the Padcal Mine following damage to a portion of the secondary and tertiary crushing plant caused by structural failure.

Philex said output from the mine is now “slowly improving” as the affected portion has been repaired.

“The company expects that Padcal will normalize its production throughput starting May 2026 and take advantage of the continuing high metal prices to improve operating results for the year,” said Philex.

To support its metal production, the company said it remains on track to begin commercial operations of its Silangan gold and copper mine in Surigao del Norte within the year.

Philex said the underground mine and the tailings storage facility of the Silangan Mine have been completed, while partial and progressive commissioning of the process plant has begun.

“As this will be the first fully gold and copper oxide processing facility in the country, we need to be conservative in the commissioning process,” said Philex president and chief executive officer Eulalio Austin Jr.

Austin said the plan for the first metal pour “has been adjusted to within 2026” following modifications and enhancements to the structured commissioning process for the fully automated gold-copper oxide processing plant.

The company earlier said it was targeting its first metal pour at the Silangan Mine by the end of the first quarter of this year to signal the start of commercial operations.