Toronto-based Falconbridge, the western world’s second largest nickel producer reported net earnings of $9.9 million in the three months ended June 30, down from $26.8 million in the same period last year.
Second-quarter revenues also dropped to $463.5 million from $520.9 million in the equivalent period in 1990.
Reflecting the stronger Canadian dollar and significantly lower zinc and copper prices, the nickel miner’s second-quarter operating income declined to $56.6 million from $72.4 million a year ago.
During the same period, Falconbridge sold 14,600 tonnes of nickel at an average price of US$4.07 per lb. and 8,000 tonnes of ferronickel at US$3.99. Second-quarter copper sales totalled 42,800 tonnes at an average US$1.04 per lb. while 41,700 tonnes of zinc were sold during the period for an average of 54 US cents. In addition, Falconbridge sold 3,400 tonnes of zinc concentrate. Earnings for the first six months of 1991 increased to $34.4 million from $29.1 million in the first half of 1990.
Falconbridge is owned equally by Noranda (TSE), and Trelleborg AB of Sweden.
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