Independence posts strong quarterly results, production up 19%

A truck at the Long Operation. Image: IGO

Miner Independence Group (IGO) has posted its December 2017 quarterly results and the news is largely positive.

Revenue and income was $207.3 million for the quarter, up $59.8 million from the $147.5 million figure posted in the last quarter.

Production was also up 19 per cent over the September quarter, leading to results surpassing the company’s  full-year guidance. However, it is worth noting that company profits were down for the quarter, with a loss of $1.5 million after tax.

In first quarter, the company posted a healthy $4.7 million profit, taking its year-to-date profit to $3.2 million overall. The company’s overall net debt was reduced to $120 million from $164 million at the start of the financial year.

The company is known for its Nova, Long and Jaguar mines in Western Australia, which produce a variety of metals, including nickel, copper, cobalt, zinc and silver. IGO is also a minor gold producer on account of its joint venture with AngloGold Ashanti, owning a 30 per cent interest in the Tropicana gold mine, also in WA.

“IGO enjoyed another strong quarter, with Nova and Tropicana both delivering production and costs within or better than guidance,” said Peter Bradford, managing director and chief executive officer of IGO.

“This result, combined with robust commodity prices, has resulted in our balance sheet continuing to strengthen, and net debt reduced to $120 million.”

The MD-CEO said that particular attention had gone into its in-development Nova operation in the Fraser range over the last quarter.

“In parallel, we continue to build our exploration team and ramp up our exploration activities across the business,” he said.

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