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Amerigo ups net income in first quarter on higher copper production and metal prices

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(Kitco News) - Amerigo Resources (TSX: ARG) said yesterday that its Q1 2022 copper production was 16.5 M lbs, 6% higher than Q1 2021 production of 15.5 M lbs.

The company explained that copper production increase was due to higher tonnage, grade and recoveries from fresh tailings and higher grade and recoveries from Cauquenes.

The company's molybdenum production during Q1 2022 was 0.2 M lbs (Q1 2021: 0.4 M lbs) due to lower molybdenum content in fresh tailings.

Revenue during Q1 2022 was $53.8 million (Q1 2021: $48.9 million), including copper tolling revenue of $50.4 million (Q1 2021: $45.4 million) and molybdenum revenue of $3.4 million (Q1 2021: $3.5 million).

Net income during Q1 2022 was $15.5 million (Q1 2021: $10.9 million), due to higher copper production and higher metal prices.

"We are pleased to report a robust start to the year for Amerigo. We met our copper production and cash cost targets, and our average quarterly copper price increased to $4.64 per pound," the company said in a statement.

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In addition, the company reported that on May 2, 2022, its Board of Directors declared a quarterly dividend of Cdn$0.03 per share, payable on June 20, 2022, to shareholders of record as of May 30, 2022.

Amerigo Resources is an innovative copper producer with a long-term relationship with Chile's Codelco, the world's largest copper producer. Amerigo produces copper concentrate and molybdenum concentrate as a by-product at the MVC operation in Chile by processing fresh and historic tailings from Codelco's El Teniente mine, the world's largest underground copper mine.

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