Gold and copper miner Philex Mining Corp. said it registered a net income of P1.8 billion in 2022, down 26 percent year-on-year on lower production and high cost and expenses.
Philex said in a disclosure to the stock exchange revenues in 2022 reached P9.26 billion, down 5.5 percent from P9.8 billion in 2021 as total tonnage milled dropped 6.5 percent to 7.432 million tons from 7.946 million.
Gold ore production reached 48,567 ounces, lower by 12 percent than 55,149 ounces gold output in 2021, while copper output totaled 25.086 million pounds, slightly lower than t26.200 million pounds in the previous year.
Gold ore grades declined by 5.6 percent, while copper ore grades improved 2.1 percent.
Operating cost and expenses climbed 8 percent year-on-year to P7.12 billion on higher cost of materials and supplies and logistics expense caused by inflationary pressures and depreciation of the peso against US dollar.
Rising coal prices impacted and increased the company’s operating costs.
The mining firm said it would continue to pursue efforts to sustain Padcal’s mining operations in Benguet following the extension of its mine life until 2027.
The company said it would also explore more participation in the “green metals space” particularly with nickel and its importance to global energy transition.
Philex singed an agreement in January to acquire Macawiwili Gold Mining and Development Co.—a 90-year-old miner engaged in exploration and production in Itogon, Benguet.
The company also commenced development works in Silangan copper-gold project in Suridao del Norte.
Philex chairman Manuel Pangilinan said he was expecting the company to grow in 2023.
“The recent signing of the term sheet with MGMDCI coupled with the completed confirmatory drillings that successfully identified additional mineable reserves that extended the Padcal mine life from 2024 to 2027 are both good starts to what looks like a promising year. Add to this the expected developmental milestones in our ongoing Silangan project and the continued government support and it will be an exciting year for all of us,” Pangilinan said.