Minnova’s metal sales and operating profits increased substantially this year following summer production start-ups at the Ansil copper mine near Rouyn-Noranda, Que., and the Samatosum silver-base metal mine (70% interest) about 60 miles north of Kamloops, B.C. In northwestern Ontario near Schreiber, the company’s Winston Lake zinc mine has been in production since the first half of 1988.
The Ansil mine produced at 80% capacity during the third quarter, and the Samatosum project at 95%, the company reports.
Gold production for the Lac Shortt and Opemiska mining operations in northwestern Quebec totalled 50,000 oz to the end of September, down 12,000 oz for the same period in 1988. The company attributes the gold output decline to lower average head grades.
During the 9-month period, capital expenditures, principally on construction and development at Ansil, Samatosum and Lac Shortt (underground development), amounted to $36.9 million. In other news, Minnova’s immediate parent, Kerr Addison Mines (TSE), reported net income for the first nin e months of 1989 of $16.6 million (95 cents per share). Last year for the same period, the company announced net income of $7.1 million (41 cents per share).
Kerr, playing the role of a holding company, reported cash and short-term investments totalling $99.5 million at Sept 30.
Minnova is owned 50.5% by Kerr, which in turn is owned 50.2% by Noranda Inc.
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