Metal production up 4% in first half of 2018

MANILA, Philippines — The country’s metallic production improved in the first half, rising four percent to P55 billion amid better metal prices in the world market.

According to the Mines and Geosciences Bureau (MGB), the aggregate value of metal production output from January to June was higher than the P52 billion recorded in 2017.

Gold production accounted for 41 percent of the total production value with aggregate earnings of P22.3 billion, down three percent, as output decreased to 10,703 kilograms.

“The sluggish performance was attributed to production shortfall of major producers, particularly OceanaGold Philippines Inc. and Philex Mining Corp.,” MGB said.

Gold metal price accelerated to $1,318.33 per troy ounce from $1,238.46 per troy ounce year-on-year.

Direct shipping nickel ore and mixed nickel-cobalt sulfides took the second spot with P21.2 billion, up 11 percent year-on-year.

Nickel price increased to $6.19 per pound from $4.39 per pound amid higher demand from stainless steel production coupled with falling inventories.

Revenue from copper production, which comprises 19 percent of total metal production value, went up by 16 percent to P10.4 billion despite an almost flat output at 137,929 dry metric tons.

The growth was attributed to the better copper price during the period from $2.58 per pound to $3.12 per pound.

The production value of silver, however, decreased eight percent to P418 million following lower production.

The remaining one percent of total metallic production, or P640 million, came from the combined value of silver, iron ore and chromite.

The Masbate Gold Project of Filminera Mining Corp. was the country’s major gold producer in the first semester.

Out of the 18 producing nickel mines in the country during the period, the Claver Nickel project of Taganito Mining Corp. topped the list with 26,713 MT output.

Meanwhile, Carmen Copper Corp. in Cebu dominated the copper production during the period.

To date, the country hosts 30 operating metallic mines consisting of 18 nickel, seven gold with silver as co-product, four copper with gold and silver as co-products, one chromite, and two nickel plant.

These are in addition to the numerous small-scale gold mining operations across the country.