Teck sale boosts Metall profit

A $6.5-million gain on the sale of its Teck (TSE) shares helped boost Metall Mining’s fourth-quarter earnings to $9.78 million last year (18 cents per share) from $1.03 million (2 cents per share) in 1991.

Metall also cited increased production, higher sales prices and lower unit costs at its Copper Range complex in Michigan for an improved quarterly and annual performance.

For the year ended Dec. 31, 1992, the producer reported earnings of $22.2 million (41 cents per share) compared with $15.2 million (35 cents per share) in 1991. For the same period, cathode copper production at Copper Range grew to 137 million lb. from 116 million lb.

But a $11.7-million provision for mine closure and rehabilitation costs took its toll on Metall’s new 50.4% owned subsidiary, Minnova (TSE). As a result of the provision, Minnova lost $10.7 million in the fourth quarter and $1.8 million for the year. Minnova also blamed lower zinc prices, lower production and higher depreciation costs associated with the pending closure of its Ansil mine for the loss.

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