Antam reports reduced profit

Antam reports reduced profit

JAKARTA (JP): Publicly listed gold and nickel mining company
PT Aneka Tambang (Antam) reported on Tuesday a 70 percent decline
in net profit to Rp 34.06 billion (about US$4 million) in the
first quarter this year, from Rp 112.45 billion in the same
period last year.

The company attributed the downturn to lower prices and
falling production.

The company said the average nickel price plunged by 22
percent to $1.91 per pound during the first quarter this year,
from an average of $2.45 per pound in the same period last year.

The decline in first quarter earnings was also due to a slump
in the production of ferronickel and gold, which met the total
target set for the first quarter of 1999, but was respectively 57
percent and 40 percent short of the volume sold in the
corresponding period in 1998.

Earnings for the first quarter of this year were also lower
than those in 1998, following the strengthening of the rupiah
against the dollar to reach Rp 8,799 per U.S. dollar this year,
compared to Rp 9,091 per dollar last year, the company said.
(cst)