Copper Mountain Announces 2017 Year End Results

(firmenpresse) -
Copper Mountain Announces 2017 Year End Results

This release should be read with the audited financial statements and management's discussion and analysis available at www.cumtn.com and filed on www.sedar.com. Our financial results are prepared in accordance with IFRS and expressed in Canadian dollars, unless otherwise noted. Sales and production volumes for the Company's 75%-owned Copper Mountain mine are presented on a 100% basis unless otherwise indicated.

Vancouver, British Columbia - February 20, 2018 - Copper Mountain Mining Corporation (TSX: CMMC) (the Company or Copper Mountain) announces 2017 year end revenues of $304 million, after pricing adjustments and treatment charges, from the sale of 73.9 million pounds of copper, 23,800 ounces of gold, and 264,800 ounces of silver. Total cash cost for the year was US$1.81 per pound of copper sold, net of precious metals credits.

2017 Highlights (100% CAD$ Basis)

- Mine production for the year was 88.3 million pounds of copper equivalent, made up of 75.8 million pounds of copper, 23,600 ounces of gold and 277,000 ounces of silver.
- Revenue for the year was $304 million from the sale of 73.9 million pounds of copper, 23,800 ounces of gold, and 264,800 ounces of silver, net of pricing adjustments.
- Cash flows from operations before changes in working capital items for the year were $102.8 million.
- Gross profit for the year was $59.1 million.
- EBITDA was $122.5 million for the year.
- Adjusted EBITDA was $91.0 million for the year.
- Site cash costs for the year were US$1.38 per pound of copper produced net of precious metal credits.
- Total cash costs for the year were US$1.81 per pound of copper sold net of precious metal credits.
- Realized prices on metal sales in the quarter were US$3.12 per pound of copper, US$1,279 per ounce of gold and US$16.77 per ounce of silver.
- Paid back $50 million in principle and interest on project loans

- Cash on hand at the end of the year increased to $45 million

Jim ORourke, President and CEO of Copper Mountain, remarked During 2017, Copper Mountain continued to demonstrate efficiency in production and mine operations. The installment of the SAG mill bull gear in April 2017 was a major maintenance project that was completed ahead of schedule. The mine had $102.8 million in cash flow from operations and generated $67 million in earnings. The mine has continued to focus on cost controls and production efficiencies.

Mr. ORourke continued, At the end of 2017 the Companys cash position increased to $45 million and we are looking forward to the strong copper markets of 2018 to further strengthen the Companys balance sheet.

Summary Financial Results

Three months ended Year ended
December 31, December 31,
(In Thousands of CDN$, othe2017 2016 2017 2016
r than per share and per $ $ $ $
pound
amounts
)

Revenues 85,687 84,523 304,080 277,996
Gross profit (loss) 20,013 15,836 59,095 19,666

Cash flow from operations (31,597 28,128 102,796 68,892
before w/c
changes)

Operating income 17,873 14,164 50,151 12,924
Adjusted earnings (loss) Ad20,374 7,090 35,786 (11,717)
justed earnings (loss) and
adjusted earnings (loss)
per share are non-GAAP
financial measures which
remove unrealized
gains/losses on interest
rate swaps and unrealized
foreign currency
gains/losses.


Net Income 23,538 2,881 67,339 11,597
Earnings attributable to 16,479 2,098 47,963 7,723
shareholders of the
Company

Earnings per share Calculat0.12 0.01 0.36 0.06
ed based on weighted
average number of shares
outstanding under the
basic method based on
earnings attributable to
shareholders.



Adjusted earnings (loss) pe0.15 0.06 0.27 (0.09)
r
share
Calculated based on
weighted average number
of shares outstanding
under the basic method
based on adjusted
earnings.


EBITDA 31,566 20,760 122,504 79,082
Adjusted EBITDA 28,402 24,969 90,951 55,768

Cash and cash equivalents 45,133 31,409
Working capital 6,893 (791)
Equity 265,285 195,533

Copper produced (lbs) 19,500 20,800 75,800 82,900
Gold produced (oz) 5,200 7,100 23,600 30,800
Silver produced (oz) 70,400 71,100 277,000 291,900

Copper sold (lbs) 18,000 21,000 73,900 82,700
Gold sold (oz) 5,000 7,200 23,800 29,900
Silver sold (oz) 65,400 83,300 264,800 283,900
Site cash costs per pound $1.60 $1.30 $1.38 $1.17
of copper produced (net
of gold, silver credits)
(US$)

Total cash costs per pound $2.05 $1.69 $1.81 $1.60
of copper sold (net of
gold, silver credits)
(US$)

Copper Mountain Mine

During 2017, the Company shipped and sold 73.9 million pounds of copper, 23,800 ounces of gold, and 264,800 ounces of silver which generated $304 million in revenue net of treatment and refining charges and pricing adjustments. Site cash costs were US$1.38 per pound of copper produced and total cash costs were US$1.81 per pound sold, net of precious metal compared to site cash costs of US$1.17 per pound of copper produced and total cash costs of US$1.60 per pound of copper sold, net of precious metal credits for 2016

Mining activities continued to be focused in the Pit #2, Saddle and Oriole areas for the fourth quarter of 2017 with a majority of ore coming from the Pit #2 area. Oriole accounted for about 8% of the ore processed during the period. During the year a total of 72.6 million tonnes of material was mined, including 26.2 million tonnes of ore and 46.4 million tonnes of waste for a strip ratio of 1.77:1. High equipment mechanical availability was maintained during the quarter which helped contribute to the above average mining rates of 198,900 tonnes per day moved, well above our 2017 mining guidance rate of 180,000 tonnes per day moved. Mining costs per tonne during the year was $1.69 per tonne moved.

During the year the mill processed a total of 14.1 million tonnes of ore grading 0.32% copper to produce 75.8 million pounds of copper, 23,600 ounces of gold, and 277,000 ounces of silver. Mill recoveries were 77.2% for the year while mill operating time was 90.3%. Mill throughput increased during the second half of the year as planned, after the replacement of the SAG bull gear. The mill achieved an average throughput rate of 38,600 tpd for the 2017 year.

During the year, the Company completed a total of thirteen shipments of copper concentrate containing approximately 73.9 million pounds of copper, 23,800 ounces of gold, and 264,800 ounces of silver which generated $304 million in revenue net of treatment and refining charges and pricing adjustments. Gold and silver revenues accounted for about 14% of gross revenues during the year.

The Company currently has 461 operating employees engaged at the mine site and continues to maintain an excellent safety record.

Listed below is a summarized balance sheet and income statement as well as details for our conference call schedule:

Summarized Balance Sheet

DecemberDecember
31,
31,
2017
$ 2016
$
Assets
Cash 45,133 31,409
Accounts Receivable and 29,314 26,048
prepaids

Inventory 68,135 48,465
Property, plant and 414,041 463,080
equipment


Other Assets 111,326 78,788
667,949 647,790
Liabilities
Current liabilities 92,056 84,060
Amounts payable to related 43,633 22,653
parties

Electricity deferral - 15,385
Provisions 6,521 6,312
Interest rate swap liability2,081 4,088
Long-term debt 258,373 319,759
402,664 452,257
Equity
Share capital 195,670 194,208
Contributed surplus 15,724 14,773
Deficit (25,693)(73,656)
Non-controlling interest 79,584 60,208
Total equity 265,285 195,533
667,949 647,790

Summarized Income Statement

Three months Year ended
ended December 31,


December 31,
(CDN$) 2017 2016 2017 2016
$ $ $ $
Revenues 85,687 84,523 304,080 277,996
Cost of sales Cost of sales (65,674) (68,687(244,985(258,330
consists of direct mining ) ) )
and milling costs (which
include

mine site employee
compensation and
benefits
, mine site general and
administrative costs,
non-capitalized stripping
costs, maintenance and
repair costs, operating
supplies and external
services), depreciation and
offsite
transportation
costs.

Gross profit 20,013 15,836 59,095 19,666

Other income and expenses
General and administration (1,131) (1,150)(6,757) (5,594)
Property investigation - (338) (35) (338)
Share based compensation (1,030) (184) (2,152) (810)
Operating income 17,852 14,164 50,151 12,924

Pricing adjustments on (4,404) (3,134)(10,691)(11,041)
concentrate and metal
sales

Finance income (41) 56 319 199
Finance expense (3,368) (3,418)(13,070)(12,642)
Current resource tax expense (621) (578) (1,879) (1,157)
Deferred income and resource t10,956 - 10,956 -
ax
recovery

Adjusted earnings Adjusted 20,374 7,090 35,786 (11,717)
earnings (loss) is a
non-GAAP financial measure
which

excludes unrealized
gains/losses on derivative
instruments, changes in
fair
value of financial
instruments, foreign
currency
gains/losses
, pricing adjustments related
to metal
sales
and non-recurring
transactions
.
(loss)

Pricing adjustments on 4,404 3,134 10,691 11,041
concentrate and metal
sales

Unrealized gain (loss) on 610 2,580 (87) (91)
interest rate
swap

Unrealized (loss) gain on (1,871) (9,923)20,949 13,007
foreign
exchange

Loss on sale of fixed asset - - - (643)
Net income and comprehensive i23,517 2,881 67,339 11,597
ncome
for the period

Net income and comprehensive i
ncome
attributable to:
Shareholders of the company 16,479 2,098 47,963 7,723
Non-controlling interest 7,059 783 19,376 3,874
23,538 2,881 67,339 11,597

Income per share 0.12 0.01 0.36 0.06
Adjusted earnings (loss) per 0.15 0.06 0.27 (0.09)
share

The full set of financial statements and accompanying MD&A are posted on Sedar.com.

Exploration Update: Mine Site

The Company began a summer 10,000m exploration drilling program at the Copper Mountain Mine. The 2017 program was targeting to further extend Pit 2 to the West and to follow up on the 2016 drilling that indicated a significant north-west extension of Pit 2. Drilling south west of Pit 2 continued to intercept mineralization, but was intermittent as drilling moved outside of the western extremities of the current pit limits, indicating that additional drilling may be required.

New Ingerbelle

During the year, the Company completed a review of historical data from the New Ingerbelle Pit and completed a 14- hole 5,000 metre diamond drill program. Historical drill data in the Ingerbelle deposit consisted of 582 drill-holes totalling 80,500m, approximately half of which are below the previously mined area. Drill hole locations were designed to intersect the historically defined mineralization in an evenly distributed pattern to the extent that topography, and water or backfilled areas allowed. The 35 significant drill intersections from the current program, were tabulated in the Companys February news release and had an average Cu Eq grade of 0.48% ( 0.34% Cu, 0.70g/t Ag and 0.22g/tAu).

The Ingerbelle resource, estimated from the historical data (inferred) that is within a whittle pit shell, generated using a US$2.75 copper price and current mine costs, contains 104Mt grading 0.42% Cu Eq. (0.30% Cu and 0.20g/t Au) based on a 0.2% copper cut-off grade. A revised resource estimate, using both historical and new drill data, will be completed during 2018. Additional drill programs and engineering studies will be designed to upgrade resources to reserve status and targeted to define sufficient reserves that could contribute an additional 10 years of production to Copper Mountains life-of-mine plan.

About Copper Mountain Mining Corporation:
Copper Mountains flagship asset is the Copper Mountain mine located in southern British Columbia near the town of Princeton. The Company has a strategic alliance with Mitsubishi Materials Corporation who owns 25% of the mine. The Copper Mountain mine has a large resource of copper that remains open laterally and at depth. This significant exploration potential is being explored over the next few years in order to fully appreciate the propertys full development potential. Additional information is available on the Companys web page at www.CuMtn.com.

A conference call and audio webcast will be held on Tuesday, February 20th, 2018 at 7:30 am (Pacific Daylight Time) for management to discuss the 2017 fourth quarter and year end 2017 financial results. This discussion will be followed by a question-and-answer period with investors.

Live Dial-in information

Toronto and international: 647-427-7450
North America (toll-free): 1-888-231-8191
To participate in the webcast live via your computer go to:
http://event.on24.com/r.htm?e=1580534&s=1&k=716CEA9C0B2C3740086DE02F2C4CA5BF

Replay call information

Toronto and international: 416.849.0833, passcode 2098038
North America (toll-free): 1.855.859.2056, passcode 2098038
The conference call replay will be available from 10:30 am (PDT) on February 20th, 2018, until 20:59 pm PDT on March 6th, 2018. Participant audio webcast will also be available on the Companys website at http://www.CuMtn.com


On behalf of the Board of

COPPER MOUNTAIN MINING CORPORATION

Rod Shier-

Rodney A. Shier, CPA, CA
Chief Financial Officer

For further information, please contact:
Dan Gibbons, Investor Relations 604-682-2992 ext. 238 Email: Dan(at)cumtn.com
Rod Shier, Chief Financial Officer 604-682-2992 ext.222 Email: Rod(at)CuMtn.com
Website: www.CuMtn.com

Note: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents, filed by the Company on SEDAR at www.sedar.com, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to review or confirm analysts expectations or estimates or to release publicly any revisions to any forward-looking statement.

Unternehmensinformation / Kurzprofil:
Leseranfragen:
Bereitgestellt von Benutzer: irw
Datum: 21.02.2018 - 08:32 Uhr
Sprache: Deutsch
News-ID 572423
Anzahl Zeichen: 17630

contact information:
Town:

Wien

Kategorie:

Business News

Diese Pressemitteilung wurde bisher 195 mal aufgerufen.


Die Pressemitteilung mit dem Titel:
"Copper Mountain Announces 2017 Year End Results
"
steht unter der journalistisch-redaktionellen Verantwortung von

Copper Mountain Mining Corp (Nachricht senden)

Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).

Alle Meldungen von Copper Mountain Mining Corp