Production contributions from the new Ansil and Samatosum mines in the first quarter of 1990 resulted in higher earnings for base metal and gold miner Minnova (TSE). Net income for the quarter increased to $4.5 million (31 cents per share), compared with $233,000 (2 cents per share) in 1989. Net sales grew to $47.8 million, more than double the $22.6 million at the same time a year ago. The results reflect strong production performances by the company’s operations and contributions from its two new mines which began production on July 1, 1989.
Minnova anticipates that a preliminary feasibility study should be available in the third quarter for its 50/50 joint venture with Audrey Resources (TSE) on the Mobrun 1,100 lens polymetallic deposit near Rouyn-Noranda, Que.
The 1100 lens could be in production by the end of 1992, the company said. Underground drilling is nearly half complete and a drift to reach the mineralized zone has commenced with bulk sampling to follow. Preliminary reserves were last reported at 10 million tonnes grading 0.9% copper, 6.2% zinc, 43 grams silver per tonne and 1.6 grams gold.
Cash and short-term securities increased by $3.6 million during the quarter to a balance of $15.4 million at March 31. Capital expenditures, principally on deep development at Lac Shortt, declined to $3.7 million for the quarter. Minnova (TSE) $000s except per-share items Quarter ended Mar. 31 1990 1989 Net sales $47,755 $22,580 Net income 4,479 233
per share 0.31 0.02
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