Philex's Padcal mine output surges 60% in 5 months

MANILA, Philippines - Copper-gold producer Philex Mining Corp. said yesterday the value of its mineral output from its Padcal mine in Benguet surged 60 percent in the first five months of the year to around P6.72 billion.

In a disclosure to the Philippine Stock Exchange, Philex said higher metal prices and better ore grades helped boost the value of its shipments by 44 percent to P4.72 billion from P3.28 billion a year earlier.

The mine has produced 3.85 million dry metric tons (DMT) of ore compared to 3.61 million DMT last year while shipments amounted to 20,150 DMT of concentrates as against 20,084 DMT in the first five months of 2010.

Philex senior adviser Rogelio G. Laraya said the Padcal mine delivered 810,763 DMT of ore in May, resulting in 5,881 DMT of concentrates containing 62.19 grams per DMT of gold, 24.38 percent copper and 59.48 grams per DMT of silver.

The ore grade translates to 11,864 ounces of gold, 3.16 million pounds of copper and 11,252 ounces of silver from the concentrates produced in May.

The estimated value of the month’s production is P1.38 billion. Of this, P789 million is from gold, P573 million from copper and P19 million from silver, said Laraya.

This estimate is based on provisional metal prices of $1,537 per ounce of gold, $4.18 per pound of copper, and $38.65 per ounce of silver at the exchange rate of P43.291 to $1.

Meanwhile, Philex reported that it shipped about 10,228 ounces of gold, 2.71 million pounds of copper and 9,926 ounces of silver. The shipment for Louis Dreyfus Commodities Metals Suisse SA had an estimated gross value of P1.11 billion based on average provisional metal prices of 1,386 per ounce of gold, $4.08 per pound of copper, and $38.99 per ounce of silver.

The estimated gross value consists of P612 million from gold, P477 million from copper and P17 million from silver.