UPDATE: Taseko Mines Falls Toward Yr Lows After Announcing Second Quarter 2011 Results
Taseko Mines Limited (TKO.TO) has fallen toward an existing year low of $3.30 after announcing second quarter 2011 results. Highlights included: operating profit was $11.8 million in the second quarter compared to $12.8 million in the second quarter of 2010; the company's share of Gibraltar's copper production and sales volumes for the second quarter 2011 was 15.0 million lbs and 10.7 million lbs, respectively; Taseko's 75% share of inventory at quarter end was 9.0 million lbs of copper metal; adjusted net earnings for the second quarter were $7.3 million, an increase over adjusted net earnings of $0.8 million for the prior-year period; total cash costs of production were US$2.32/lb. Higher costs resulted from maintenance and consumable costs, a strengthened Canadian dollar, combined with reduced metal production in the quarter. The company purchased put options for approximately 90% of its 75% share of Gibraltar's 2012 copper production, ensuring a minimum selling price of US$3.50/lb.