Copper Mountain posts ‘near record’ quarterly production
(Kitco News) - Copper Mountain Mining (TSX: CMMC) announced Monday that its Copper Mountain mine, located in British Columbia, Canada, produced 25.5 million pounds of copper in Q2 2021, which is 41% more compared to 18.1 million pounds of copper produced in Q2 2020.
The company said that similar to Q1 2021, the higher-grade ore from Phase 3 was the primary driver of the near record production in Q2 2021. The company also produced 7,627 ounces of gold and 147,973 ounces of silver.
The company’s revenue for the second quarter of 2021 was $142.1 million from the sale of 21.7 million pounds of copper, 6,545 ounces of gold, and 121,291 ounces of silver, net of pricing adjustments. Gross profit for the second quarter of 2021 was $85.8 million and net income was $38.7 million, or $0.12 on a per-share basis.
The company noted that it recorded a net income of $32.2 million in Q2 2021 on an adjusted basis, or $0.15 per share, compared to a net loss of $1.5 million in Q2 2020, or $0.01 per share.
The company said it has increased 2021 production guidance range to 90 to 100 million pounds of copper.
“We posted yet another strong production quarter contributing to record operating cash flow,” commented president and CEO Gil Clausen. “As a result of the production achieved to date, we are increasing our production guidance range for 2021 to 90 to 100 million pounds of copper. As previously guided, we expect grades to moderate for the remainder of the year as we mine proportionally more lower grade Phase 2 ore in the second half of the year, especially in Q4 as we commission and ramp up production from Ball Mill 3.”
Copper Mountain’s flagship asset is the 75% owned Copper Mountain mine located in southern British Columbia near the town of Princeton. The Copper Mountain mine currently produces approximately 100 million pounds of copper equivalent per year, with average annual production expected to increase to approximately 140 million pounds of copper equivalent. Copper Mountain also has the development-stage Eva Copper project in Queensland, Australia.