VANCOUVER (miningweekly.com) – Multinational miner OceanaGold’s TSX-listed equity tread water on Thursday after the company on Thursday reported a 50% drop in first-quarter profit over the prior period.

The TSX- and ASX-quoted miner said gold output fell 24% for the March quarter to 125 646 oz, which the company noted was according to plan, but production was also impacted by unusually cold weather at the Haile mine, South Carolina early in the New Year.

This resulted in 24% fewer ounces sold at 127 473 oz, which, combined with all-in sustaining costs rising 42% to $799/oz over the previous period, conspired to weigh heavy on the bottom line. Net profit came to $44.5-million, or $0.07 a share, compared with $88.6-million in the December fourth quarter.

Revenue of $196.7-million was 20% lower for the period.

The company also produced 3 889 t of copper at its Didipio mine, which was nearly 6% better than the preceding three-months. This was offset by a 4.4% drop in the average realised copper price at $3.03/lb.

Earnings before interest, taxes, interest, depreciation and amortisation rose fell 32% to $100.9-million.

OceanaGold’s cash balance increased to $89.1-million, excluding $71.4-million in marketable securities. At the end of the first quarter, the company had immediate available liquidity of $119.3-million.

The company has started the permitting process for a ten-year mine life extension at Waihi, while at Haile, the company is preparing to start permitting the expansion in the middle of the year. At Didipio, ramp-up of underground operations continues to progress as planned and development of panel two continued during the quarter, the miner reported.

OceanaGold continues to budget for exploration activities, with extensive drill programmes at Haile and Waihi in particular, focused on multiple targets within the existing operating footprint and at greenfield opportunities.

The company advised that non-executive directors Dr Diane Garrett, William Myckatyn and Jose Leviste Jr will not be seeking re-election to the board at the company’s upcoing annual general meeting scheduled for June 1. Ian Reid has joined the board in a non-executive capacity with immediate effect.

OceanaGold has guided for full-year output of 480 00 oz to 530 000 oz of gold, with the Macraes and Haile mines contributing the bulk of production.

The company’s stock fell as much as 1.7% on Tuesday to C$3.39 a share.