BINDURA Nickel Corporation (BNC) has recorded an after-tax profit of $3,3 million for the half-year to September 30, 2013 from a loss position in the same period last year due to growth in revenue
Revenue rose to $21,3 from nearly $1 million due to increase in output. In the same period last year, the miner posted a loss of $7,9 million.
Tarisai Mandizha,Business Reporter
In a statement accompanying the group’s half-year financial results, BNC company secretary Conrad Mukanganga said the corporation has implemented the new mining plan for Trojan Mine, the results being that the company are achieving high levels of nickel output since implementation. This resulted in a record output at Trojan Mine in September 2013 when 993 tonnes of nickel in concentrate was produced.
“Following the introduction of a new mining plan, the corporation is well positioned to remain cash generative at low nickel prices, and can continue to do so in the short term. This has enabled the corporation to become self-sustaining and to fund its operational and capital expenditure from its own cash inflows,” Mukanganga said.
He said in the short to medium term, the corporation would be looking at refurbishing the smelter to enable further processing of nickel in concentrate to a higher value leach alloy and the plan would be reviewed by a competent person before the end of the financial year.
“The effect of the new mining plan is that the company is now self-sufficient from a cash generation perspective with no need for an additional shareholders’ loan as was anticipated in the previous mining plan,” he said.