Sandfire Resources has reported its maiden interim profit, as it continues to ramp up production at the DeGrussa open pit and underground copper-gold mine near Meekatharra.
The miner announced a half-year net profit of $79.1 million, up from a $19.5 million loss in the previous corresponding six months.
The profit came on sales revenue of $272.4 million from 34,001 tonnes of contained copper and 17,626 ounces of gold.
Managing director Karl Simich said the result was largely driven by the company's open pit operations at DeGrussa.
Mining operations commenced at DeGrussa in February last year, with production being boosted to between 70,000 and 80,000 tonnes of copper per year and 36,000 ounces of gold annually by the end of 2012.
“The strong cash flows generate have enabled us to deposit our first finance facility funds and maintain a strong focus on near-mine exploration and other organic growth opportunities,” Mr Simich said in a statement.
“Our focus now is to complete the ramp-up into the middle of the year, ensuring that we maximise metal production while balancing and optimising the blend of underground and open pit feed during this transitional period until the underground mine hits full speed by mid-year.
“This will pave the way for another strong year for Sandfire in FY2014.”
At 9:30AM, WST, Sandfire shares were down 1.8 per cent, trading at $6.43.
