Metal prices boost Hudson Bay results

Improved copper and zinc prices spurred Hudson Bay Mining and Smelting (TSE) to a profitable first quarter.

The company reported first quarter net earnings of $8.8 million on revenues of $94.3 million compared with $14.8 million on revenues of $76.6 million at the same time last year.

Improved earnings from the Ruttan mine at Leaf Rapids, Man., were partially offset by higher unit costs resulting from temporary production problems at the company’s Flin Flon, Man., copper smelter and zinc plant.

Excluding one-time gains, Hudson Bay Mining’s first quarter operating results represent a $9.5-million increase in operating margins from the same period last year, said President Lloyd Nilsen.

First quarter results in 1987 included an $11.4 million gain from the sale of a 40% interest in the Namew Lake nickel property as well as a $4.1 million recovery of deferred income taxes.

Hudson Bay Mining is a wholly- owned subsidiary of New York- based Inspiration Resources.