Campbell benefits from Joe Mann gold

Higher gold output from the Joe Mann mine at Chibougamau, Que., allowed Campbell Resources (TSE) to remain in the black during the first nine months of this year. The 27% owned Northgate Exploration (TSE) affiliate reported net earnings of $1.8 million or 2 cents a share in the nine months ended Sept. 30, compared with net income of $2.2 million or 3 cents a share in the same period last year. Nine- month revenues were up slightly in the period to $33.6 million from $32.8 million a year ago.

Of the 54,200 oz. gold and 1.6 million lb. copper produced so far this year by Campbell, at a cash cost of US$303 per oz., 49,000 oz. and one million pounds copper was from Joe Mann. The balance came from Campbell’s S-3 and Cedar Bay mines (also in Chibougamau) which are no longer in production.

In the equivalent 1989 period, Campbell produced 43,700 oz. gold and 2.3 million lb. copper at a cost of US$351 per oz., including 29,600 oz. and 865,000 lb. from Joe Mann.

With a $20-million expansion program in progress, Joe Mann is expected to produce 60,000 oz. this year. As part of the expansion, Campbell has extended the shaft to a depth of 2,050 ft. and future plans may include a further extension to the 3,000-ft. level.

Meanwhile, Campbell reported a third-quarter loss of $141,000 or 0.02 cents a share compared with earnings of $205,000 or 0.003 cents a share in the same period last year. Third- quarter revenues declined marginally to $8.6 million from $8.8 million a year ago.

Campbell holds a 30% stake in the LAB partnership, the world’s largest producer of asbestos fibre. While income from LAB declined slightly in the first nine months of 1990, compared with last year, a Campbell spokesman says a buyer hasn’t yet emerged for the asset.

Campbell Resources (TSE) 3 months ended Sept. 30 1990 1989 Revenue $8,651 $8,868 Net earnings (loss) (141 ) 205

per share(0.002 ) 0.003 9 months ended Sept. 30 1990 1989 Revenue $33,658 $32,849 Net earnings 1,849 2,193

per share 0.02 0.03