HudBay’s profit up

For the quarter ended Sept 30, Hudson Bay earned $12 million on revenue of $109.3 million, compared with earnings and revenue of $2.1 million and $88.6 million respectively last year. For the 9- month period, the company earned $34.6 million, compared with $13.6 million realized in the corresponding period in 1988.

Higher copper and zinc prices were partially offset by higher employee bonuses, increased maintenance costs and lower copper grades at the Ruttan mine in Manitoba.

Hudson Bay’s 60%-owned Namew Lake nickel mine is not meeting initial design objectives. During its development in 1987 and early 1988, the mine was forecast to produce about 20 million lb of nickel per year. In 1989, however, the mine will likely produce 8.3 million lb, of which Hudson Bay’s share will be five million pounds, the company says. Outokumpu Ltd., a Finnish mining company, owns the remaining 40% interest.

]]>