https://www.miningweekly.com
Botswana|Copper|Energy|Gold|Resources|Operations
Botswana|Copper|Energy|Gold|Resources|Operations
botswana|copper|energy|gold|resources|operations

Record revenue at Sandfire

28th February 2023

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

Font size: - +

PERTH (miningweekly.com) – Metals miner Sandfire Resources has reported record sales revenue for the half-year ended December, on the back of production and sales contributions from the MATSA operation, in Spain.

Sales revenue for the six months to December reached $431.7-million, up from the $311.8-million reported in the previous corresponding period, with copper sales volumes increasing from 32 422 t to 46 005 t and silver sales from 95 000 oz to 870 000 oz.

Additionally, Sandfire also sold 32 813 t of zinc, 4 125 t of lead and 11 785 oz of gold, which was down from the 14 462 oz produced in the previous corresponding period.

The revenue resulted in group earnings before interest, taxes, depreciation and amortisation (Ebitda) of $135.9-million, up from the $161.6-million in the previous corresponding period.

“The company made substantial progress with its portfolio transformation during the half-year reporting period with ongoing optimisation at MATSA, the winddown at DeGrussa and the new Motheo mine in Botswana now poised to start production,” said Sandfire acting CEO Jason Grace.

“With one mine winding down in Australia, a new mine ramping up in Botswana and MATSA now a mainstay of our operations, Sandfire begins 2023 as a very different-looking company to the one that investors have come to know over the past decade.

“Operationally, the half-year saw a strong across-the-board operational performance with our now-diversified portfolio driving increased metal production and record revenue of $431.7-million. This allowed the company to generate a robust group Ebitda of $135.9-million, with roughly equal contributions from MATSA and the tail-end of the DeGrussa operation,” said Grace.

“The combination of rising inflation and input costs, notably the spike in European energy costs during the half-year, together with slightly weaker metal prices and a significant increase in depreciation and amortisation charges due to the capitalisation of the MATSA acquisition, resulted in a net loss after tax for the period.

“However, with production guidance maintained at 83 000 t to 91 000 t of copper and 78 000 t to 83 000 t of zinc for 2023, energy costs easing in Europe and a strengthened copper price since the start of the year, the second half of 2023 has started on a positive note with improved margins seen in the March 2023 quarter.”

Sandfire reported a loss after tax of $27.08-milion.

Edited by Creamer Media Reporter

Comments

Latest News

Gibb River chairperson Jim Richards and Namibia exploration manager Nico Scholtz visit the Erongo region.
Gibb River enters Namibia uranium sector
Updated 2 hours 30 minutes ago By: Mariaan Webb

Showroom

Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 
SMS group
SMS group

At SMS group, we have made it our mission to create a carbon-neutral and sustainable metals industry.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 21 June 2024
Magazine round up | 21 June 2024
21st June 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.185 0.225s - 114pq - 2rq
1:
1: United States
Subscribe Now
2: United States
2: