Antam's Q1 profit up by 71%

State owned mining company PT Aneka Tambang (Antam) (Persero) Tbk announced on Friday that its audited financial statements for the year ending Dec. 31, 2010, with net profit of Rp346.6 (1US$ = Rp 8,600), an increase of 71% compared to the same period of last year.

The significant increase in net profit was caused by higher ferronickel production, sales and prices during the period.

Ferronickel production during the quarter reached 4.836 tons nickel (TNi), 10% increase over the same period of last year with sales rose 33 percent during the period to 2,209 TNi.

Higher sales volume and a 31 percent increase of nickel price to US$12.32 per lb. generated Rp 538 billion of ferronickel revenue, 70 percent higher compared to the same period last year.

The company is targeting ferronickel production of 18,000 TNi in this year.

During the quarter, Antam sold 1,626,806 wet metric ton (wmt) of nickel ore, a 25 percent increase compared to the same period last year. Due to increased sales volumes as well as higher sales price, Antam?s nickel ore sales revenue in the first quarter this year increased 23 percent to Rp 654 billion.

During the quarter of 2011, gold production decreased by 14 percent to 588 kg. Antam sold 1,730 kg of gold in the quarter, a 16 percent decrease compared to the same period last year.

A 26 percent increase of sales price to US$1,411.24 per toz in the quarter generated a 1 percent increase in gold revenue to Rp 698 billion compared to the same period of last year. (kanti)