Perth, Australia — MININGREVIEW.COM — 08 November 2010 – Equinox Minerals Limited “’ the international mining company that is dual listed on the Toronto and Australian stock exchanges “’ turned to profit in the third quarter of 2010 as production at its Lumwana copper mine in Zambia increased.
In a statement issued here, the company revealed that net income had been US$71.2 million (R491 million) for the three months ended 30 September, compared with a loss of US$56.3 million (R388 million) a year ago.
The company confirmed that its US$841 million (R5.8 billion) Lumwana mine had produced
38 445t of copper at a cost of US$1.21 a pound, reaching design capacity after starting operation in 2008. The mine was forecast to produce 140 000t of copper concentrate this year.
“Global copper demand probably will outpace supply by 180 000t this year, with the deficit widening to 482 000t in 2011, said Michael Jansen, an analyst at JPMorgan Securities Limited in London.
Last month Equinox agreed to pay US$1.3 billion (R8.8 billion), based on 5 November closing prices, in cash and shares for Melbourne-based Citadel Resources, placing itself it on target to produce 260 000tpa of copper within four years.