Curragh profit up in second quarter

Despite increased production at Curragh Resources’ (TSE) Faro lead-zinc mine in the Yukon, the Toronto-based company experienced a slight drop in profits during the first half of 1990. Curragh reported net income of $29.3 million or $1.13 per share during the six months ended June 30, compared with $31 million or $1.24 per share during the same period last year.

First half revenues increased to $132.4 million in the first six months of 1990, compared with $115.2 million in the equivalent 1989 period.

Curragh, which recently became a publicly listed company, is the sixth largest producer of lead and zinc concentrates in the western world. According to Chairman Clifford Frame, an increase in second- quarter profits was due to gains in production and productivity at the Faro operation.

Curragh reported net income of $15.1 million or 56 cents per share during the three months ended June 30, compared with $10.7 million or 43 cents per share in the same period last year.

Second-quarter revenues increased to $70.5 million from $50.6 million at the same time last year.

During the quarter, the cost per pound of payable lead and zinc metal (in the concentrates after adjusting for metal deductions from the smelter) increased to 22 cents from 21 cents a year ago, Curragh said.

On June 30, Curragh had $132.5 million, compared with $213.9 million a year ago. Curragh Resources (TSE) $000s except per-share items 6 mos. ended June 30 1990 1989 Revenue $70,479 $50,669 Net earnings 15,073 10,654

per share 0.56 0.43004