Philex Mining Corp., the country’s largest gold producer, said Friday net income in the second quarter dropped 32 percent year-on-year to P214.7 million, weighed down by other charges such as foreign exchange losses and interest expense.
For the first half, net income was more than halved to P329.4 million from P704.1 million in the year-earlier period.
Total revenue in the second quarter rose to P2.24 billion from P2.05 billion as gold and copper prices increased.
Gold prices averaged USD2,008 per ounce in the April-June quarter, up from USD1,937 per ounce in the previous year but slightly below the USD2,061 seen in the first quarter of 2024. Copper prices also increased, averaging USD4.45 per pound in the second quarter compared to USD3.82 per pound in the year earlier period and USD4.00 in the first quarter.
Operationally, Philex saw improvements with tonnage milled rising to 1.687 million tons in second quarter from 1.585 million tons in first quarter. Gold production increased to 7,962 ounces from 7,803 ounces, and copper output climbed to 5.133 million pounds from 4.669 million pounds.
For the first half of 2024, Philex milled 3.272 million tons, producing 15,765 ounces of gold and 9.802 million pounds of copper.
Philex said it is making significant progress at its Silangan Copper and Gold Project in Surigao del Norte, with the tunnel to Boyongan Ore body and construction of the tailings storage facility nearing completion. Earthworks for the process plant are underway, with major equipment procurement completed. The general contractor is set to begin the design and construction phase of the process plant.
Philex president and chief executive officer Eulalio Austin Jr. said the company is focused on accelerating the Silangan Project. “We are targeting to achieve our first metal output by the end of 2025. As we approach the Boyongan Ore body by the end of this quarter, we will start block development works for the first production level, with ore expected from the Boyongan Ore body shortly thereafter,” Austin said.
Construction of additional facilities, including a ventilation shaft, is also progressing under the management of a mining contractor.
