Saturday, April 19th0.4°C
21417
20725

Thompson Creek Metals posts bigger loss than expected, revenue bellow estimates

DENVER - Thompson Creek Metals Co. Inc. (TSX:TCM) had an unexpectedly big loss in the fourth quarter.

The Denver-based company, which has two operating mines in British Columbia and other Canadian development properties, had an adjusted net loss of US$28.5 million or 17 cents per share.

Analysts had been looking for a loss of just three cents per share during the quarter.

Thompson Creek's revenue was also below expectations, at US$117.1 million compared with the general estimate of $123.77 million.

A year earlier, Thompson Creek had US$99.4 million of revenue in the fourth quarter of 2012 as well as an $11.9 million adjusted net loss, or seven cents per share.

The adjusted losses exclude non-cash items required under standard U.S. accounting. Including those items, Thompson Creek's net loss was US$120.5 million or $1.24 per share in the fourth quarter.

Thompson Creek produces a variety of commodities including molybdenum and copper — two widely used industrial metals — as well as gold and silver.

Its Thompson Creek moly mine and mill are in Idaho while its new Mt. Milligan copper and gold mine and its Endako molybdenum mines are in British Columbia.

The company said Thursday that it will suspend operations at its Thompson Creek molybdenum mine by the end of this year, due to persistent low prices for the base metal.

The company has also reduced its reserve estimates for the Endako moly mine in British Columbia to reflect a lower price for the metal.

As a result of the two measures, Thompson Creek recognized non-cash impairments to the value of those assets. At the Idaho mine, the pre-tax charge was US$129.4 million and at the B.C. mine the writedown of its 75 per cent share of Endako was $64.7 million.

During the fourth quarter, Mt. Milligan achieved commercial production levels.

"Our most significant achievement in 2013 was the commissioning and start-up of Mt. Milligan Mine," said Jacques Perron, the company's chief executive officer.

"As expected, our financial results were negatively impacted in the fourth quarter of 2013 as a result of Mt. Milligan revenue and costs being reflected in operating income rather than in start-up costs, as required by U.S. GAAP.

"Additionally, as a result of declining molybdenum prices, we had non-cash asset impairments at both of our molybdenum mines, which significantly impacted our non-cash operating results."

The Canadian Press


Read more Business News

21100


Recent Trending




Today's Market
S&P TSX14500.39+53.87
S&P CDNX998.770.80
DJIA16408.54-16.31
Nasdaq4095.516+9.291
S&P 5001864.85+2.54
CDN Dollar0.90720.00
Gold1293.80-9.2999
Oil104.59+0.83
Lumber326.10-2.70
Natural Gas4.735+0.205

 
Okanagan Companies
Pacific Safety0.115+0.01
Knighthawk0.01-0.005
QHR Technologies Inc1.29+0.07
Cantex0.055+0.01
Anavex Life Sciences0.3750.00
Metalex Ventures0.08+0.005
Russel Metals30.66+0.11
Copper Mountain Mining2.35-0.07
Colorado Resources0.255-0.01
ReliaBrand Inc0.12-0.01
Sunrise Resources Ltd0.025-0.005
Mission Ready Services0.25+0.02

 



20304

FEATURED Property
14673344408 28 Street
2 bedrooms 1 baths
$10
more details
image2image2image2
Click here to feature your property
Please wait... loading


Learning to flirt with the edge

With all of the adventure activities I have done and still do, I wonder sometimes if the edge still exists. The systematic approach to learning a new adventure or extreme activity combined with the r...


Time spent prospecting

How much time should you put into prospecting? The question is a bit of a puzzle. Ideally, there would be a reference book that lists, by industry, how much time you should invest in prospecting acti...


Valuation fears grip markets

The Big Picture Valuation fears grip markets Growing concerns about the level of stock market valuations sparked a risk-off trade in global markets this week. Investors are worried that many companies...

_



21368

21641


Member of BC Press Council


21202