JSE-listed tin concentrate producer Alphamin Resources’ tin production for the second quarter, ended June 30, increased by 29% quarter-on-quarter to 2 739 t.
This exceeded the production guidance for the period.
As a result, production guidance for the third quarter is now estimated at between 2 600 t and 2 800 t of contained tin.
Meanwhile, plant throughput during the quarter ended June 30 increased by 8% to 91 928 t from higher underground volumes derived from the new mining method, the company said on July 8.
Mined volumes had exceeded plant throughput by about 4 000 t, thereby increasing the run-of-mine stockpiles.
The processing plant is also performing well, Alphamin noted, adding that various initiatives aimed at achieving consistently higher throughput were under way.
The all-in sustaining cost per ton of payable tin sold reduced by 13% to $10 849, which the producer said was mainly attributable to increased tin production.
Earnings before interest, taxes, depreciation and amortisation (Ebitda) of $12.9-million were recorded at an average tin price of $15 359/t, which Alphamin said represents an Ebitda margin of 32% in a relatively low tin price environment.
The producer has been able to continue with normal production and concentrate sales activities during the prevailing Covid-19-impacted period.
Alphamin’s unaudited consolidated financial statements for the second quarter are expected to be released on or about August 7.