- Copper Mountain Mining (C6C) reported a decrease in quarterly production of copper, gold and silver from its namesake mine in Q4 2021 compared to Q4 2020
- The company attributed the quarterly production decrease to severe weather and equipment damage, however annual production increased in 2021 compared to 2020
- CEO Gil Clausen says while the quarter was “very demanding” C6C still met its sales targets and grew revenue to C$136.8 million (A$150.8 million) in Q4 and C$578.2 million (A$637.42 million) for the full year
- Looking ahead, C6C plans to update the reserves and resource estimate using drill results and will release a new life of mine plan which is expected by mid-2022
- Company shares ended Monday’s session a slight 0.66 per cent in the red to close at $4.55
Copper Mountain Mining (C6C) has released a report outlining figures for the December quarter and calendar year 2021 as a whole.
The Canada-based copper explorer owns a 75 per cent stake in its Copper Mountain Mine in southern British Columbia.
The flagship mine saw a decrease in the production of copper, gold and silver in Q4 2021 compared to Q4 2020.
Specifically, quarterly copper production fell from 23,053 pounds to 16,693 pounds, gold production fell from 8,959 ounces to 5472 ounces and silver production decreased from 144,934 ounces to 80,377 ounces in the December 2021 quarter.
The company attributed the lower production to severe weather in British Columbia followed by cold temperatures causing “extremely difficult” operating conditions. The company also experienced sustained damage to its secondary crusher.
Nevertheless, annual production of copper and silver increased in 2021 and gold production was in line with 2020.
President and CEO Gil Clausen said the fourth quarter was “very demanding” but despite the impact to production, C6C still reached some targets.
“Despite these events, we met our sale targets for the quarter and achieved our upwardly revised annual production guidance, which we had increased earlier in the year. We came in right at the mid-point of our original guidance,” he said.
Sales in Q4 2021 were 19.4 million pounds of copper, 6285 ounces of gold, and 108,020 ounces of silver, bringing sales for the entire year to 93 million pounds of copper, 29,691 ounces of gold, and 533,096 ounces of silver.
Copper Mountain Mining reported C$136.8 million (A$150.8 million) in quarterly revenue and C$578.2 million (A$637.42 million) for the full year — both of which were higher figures than those of the prior corresponding periods.
The company ended the year with C$178.4 million (A$196.6 million) in cash, equivalents and restricted cash.
Looking ahead, Copper Mountain Mining’s production guidance for 2022 is between 80 and 90 million pounds of copper, and 90 to 105 million pounds of copper for 2023.
The company provided a two-year guidance as it expects its life of mine plan to change beyond that period.
“We plan on updating the life of mine plan mid-2022, which will be based on an anticipated larger mineral reserve and mineral resource estimate at the Copper Mountain Mine, with a mine/mill expansion study,” Mr Clausen said.
Company shares ended Monday’s session a slight 0.66 per cent in the red to close at $4.55.