Philex Mining Corp., the country’s largest gold and copper producer, said Monday net profit in 2022 dropped 26 percent year-on-year to P1.8 billion, hurt by lower output from its ageing Padcal mine in Benguet and higher cost of materials and logistics expenses.
Operating revenue last year was down 5.4 percent to P9.26 billion as copper production declined 4.3 percent on year to 25.1 million pounds while gold output dropped 12 percent to 48,567 ounces.
Operating cost and expenses rose 8 percent to P7.12 billion.
Philex said results of confirmatory drilling and technical studies identified additional mineable reserves that would extend the mine life of Padcal to 2027, giving the company extra time to develop and put into operation the Silangan gold and copper mine.
As part of efforts to preserve cash surplus for the Silangan Project, the company’s board only declared a P0.02 per cash dividend, equivalent to P116 million.
Philex said resiliency will be the name of the game moving forward given both domestic and external challenges, including the impact of the pandemic and the war in Ukraine.
Aside from its own gold and copper ventures, the company recently signed a deal with Macawiwili Gold Mining and Development Co Inc. for the possible acquisition shares in mining claims near Padcal. Philex is also looking at nickel projects given its importance in the global energy transition.
