Philex posts P647.79-m net loss

Philex Mining Corp., the country’s biggest gold producer, reported a net loss of P647.79 million in 2019, a 206-percent turnaround from its net income of P608.46 million in 2018.

In a disclosure to the stock exchange, the company said this was primarily due to noncash impairment provisions in the company’s mine and mining assets and associated companies.

Philex’s gross revenues also decreased to P7.4 billion in 2019 against P8.31 billion in 2018 des­pite favorable metal prices. This was due to lower tonnage milled and slightly lower grades recovered as the company continued to optimize the remai­ning minable reserves of its 61-year old Padcal mine.

Core earnings before interest, taxes, depreciation and amortization during the period also declined by 33 percent to P1.66 billion from P2.49 billion in 2018.

Moving forward, the company said it would focus on sustaining and maximizing the potential of its Padcal mine while also searching for additional mine assets that could be developed within or at the vicinity of the Padcal mine area in Tuba, Benguet.

As for its ambitious Silangan Project in Surigao del Norte, Philex said its management has been “doubling efforts” to find a strategic partner.

“Philex should be able to bring Silangan into operation before Padcal mine in Benguet ceases operations, which is projected by end of 2022. Vicinity explorations at Padcal is being pursued relentlessly,” company president Eulalio Austin Jr. said.

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