http://www.philexmining.com.ph/

Philex Mining Corp. reported a more than fivefold increase in profit in the first quarter, fueled by higher gold and copper prices in the global market.

The listed miner told the stock exchange its net income attributable to equity holders of the parent company surged to P559.57 million in the January to March period, from P102.3 million during the same period in 2020.

Core net income increased over five times to P540 million, as revenues rose 38% to P2.37 billion.

Philex Mining said realized gold prices hit $1,781 per ounce in the first quarter, up 11% from year ago levels. Realized copper prices stood at $3.95 per pound in the first quarter this year, 68% higher than a year ago.

“Gold was still on the upswing and maintained its status as a safe haven asset brought about by factors that included a transition in the US presidency, a weak dollar index, and increasing geopolitical tensions. Copper prices were still favorable and would eventually stabilize as the global economic recovery kicks in,” Philex Mining said.

From January to March, tonnage inched up 3% to 2.03 million tonnes, driving operating costs and expenses 6% higher to P1.647 billion.

Philex Mining produced a total of 13,413 ounces of gold, and 6.77 million pounds of copper as of end-March.

“The higher prices of gold and copper helped the Company maintain its uninterrupted operations despite the challenges brought about by the pandemic. God willing, the favorable gold and copper prices will continue up to the end of the year, as the pandemic is still with us and many more challenges may lie ahead,” Philex President and Chief Executive Officer Eulalio B. Austin Jr., said.

Meanwhile, Philex Mining’s subsidiary PXP Energy Corp. said its consolidated attributable net loss to equity holders of the parent stood at P4.3 million in the first quarter, less than the P32 million loss a year ago.

PXP Energy said its consolidated costs and expenses stood at P18 million, lower by 32.5% year on year since the firm did not recognize production costs in the service contract (SC) 14C-1 Galoc.

Shares of Philex Mining improved 7.09% or 45 centavos to close at P6.80 apiece, while shares of PXP Energy slipped 3.75% or 30 centavos to finish at P7.70 apiece on Friday.

Philex Mining is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Metro Pacific Investments Corp. and PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has interest in BusinessWorld through the Philippine Star Group, which it controls. — Angelica Y. Yang