Business Breaking News

The Canadian Press - ONLINE EDITION

Osisko Mining reports drop in fourth-quarter net earnings to $9.6 million

By: The Canadian Press

Thursday, Feb. 21, 2013 at 6:17 PM | Comments: 0

MONTREAL - Osisko Mining Corp. (TSX:OSK) has posted lower fourth-quarter profits as a number of non-cash items affected its bottom line.

The Montreal-based miner said net earnings for the last three months of 2012 were $9.6 million, or two cents per share.

That's a steep drop from the $37.8 million, or 10 cents per share it earned during the same 2011 period.

Revenues were $191 million, up from $128.1 million during the same 2011 period.

Osisko took a $10.9 million charge related to its 9.5 per cent interest in Ryan Gold Corp.

It also saw a 66-cent-per-share reduction of Queenston Mining Inc. stock, which it bought from Agnico Eagle in November.

And Osisko's tax provision also went up compared to 2011, when the company had a tax recovery related to its Canadian Malartic mine in Quebec starting operations.

"Despite the various challenges that we faced, we generated cash from mine operations of $305.6 million, which clearly demonstrates the strength of Canadian Malartic," said CEO Sean Roosen

"The past year had its challenges as we continued ramping up Canadian Malartic to its nameplate capacity.

"In the fourth quarter we were affected by delays in executing a major blast over old underground mine workings which reduced our operating flexibility and impacted our mining plan. We anticipate Canadian Malartic will generate improved and strong cash flow once the ramp up phase is completed later this year."

In addition to operating the flagship Canadian Malartic gold mine, Osisko is has exploration and development activities elsewhere in Canada and in Latin America.

Rate this
This article has not yet been rated.

We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

You can also register and/or login to the site and join the conversation by leaving a comment.

Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

Sort by: Newest to Oldest | Oldest to Newest | Most Popular 0 Comments

You can comment on most stories on brandonsun.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.

There are no comments at the moment. Be the first to post a comment below.

Post Your Comment

The Brandon Sun does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.