Vancouver — Yet another miner to see the benefits of a diversified portfolio, Australian-based MIM Holdings reported net earnings of A$104.6 million (US$55 million) on sales of A$3.38 billion for the fiscal year ended June 30, 2001.
This compares with A$166.6 million in earnings tallied last year. Despite the drop, the major saw significant production gains in its copper and coal operations, while taking a big hit on its lead-zinc mines. A 13.6% increase in sales revenue for the year was attributed to higher coal prices and increased coal production compared with the year ago period. The average price of coal came in 20% higher than a year earlier, while the price for copper, zinc and gold lost 4%, 9% and 7%, respectively, from the previous year.
MIM also flagged its intention to exit its investment in Avonmouth and its Duisburg zinc smelter in Germany. Earnings (before interest and tax) from lead-zinc production for the year fell to A$21.2 million from A$51.5 million a year ago. The decline is attributed to a poor performance from Avonmouth, which recorded a loss of A$38.5 million for the year, down from a loss on the previous year of A$7.1 million.
The company holds a stake in three copper operations at Mt. Isa, as well as the Ernest Henry copper mine and an interest in the Ravenswood gold operation in Queensland. The major also holds a number of zinc-lead-silver operations in Queensland and the Northern Territory, plus the Bajo de la Alumbrera copper-gold property in Argentina.
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