Franco earnings dip slightly

Low commodity prices have barely clipped the bottom line of Franco-Nevada Mining (AGM-T), a royalty company with a 50% interest in the newly producing Ken Snyder gold mine in Nevada.

Franco posted net earnings of $30.8 million (or 39 cents per share), for the 9-month period ended Dec. 31, 1997, compared with $37.8 million (51 cents per share) for the last nine months of 1997. For the last quarter of 1998, net earnings were $10.2 million (13 cents per share), compared with $11.3 million a year earlier.

The company says its profitability should improve now that Ken Synder has achieved commercial production. The US$84-million underground mine was completed on budget and four months ahead of schedule.