Antam sales revenue increases 40 percent
Antam sales revenue increases 40 percent
The Jakarta Post, Jakarta
Publicly listed state-owned mining company PT Aneka Tambang (Antam) said on Friday its sales revenue surged to around Rp 512 billion in the second quarter of the year, up 40 percent from a year ago.
Higher sales and realized prices helped push up its revenue, but the result would have been better had the rupiah not significantly strengthened against the U.S. dollar during the second quarter, the company said.
"Virtually all of Antam's products are dollar-denominated, such that the 7 percent strengthening in the rupiah over the quarter reduced rupiah sales revenues," the company said in a statement.
Over the quarter, the rupiah averaged 8,324 against the dollar, compared with 8,968 during the same quarter in 2002, Antam's report showed.
In the first half of the year, sales revenue totaled around Rp 915 billion, up from Rp 708 billion a year ago.
The company said it produced 2,629 metric tons of nickel metal contained in ferronickel over the quarter, up 69 percent from a year ago, as it ramped up production and increased its power supply.
This has brought first-half production to 4,429 tons, compared with 3,715 tons a year ago.
Sales also leapt up during the second quarter, jumping 69 percent from a year ago to 3,010 tons of nickel metal contained in ferronickel, bringing the first half figure to 4,612 tons, compared to 3,715 tons during the first half of 2002.
Antam expected to operate near its full annual capacity of 11,000 tons over the remaining two quarters of 2003.
In the second quarter, the average realized price rose 23 percent from a year ago to US$3.73 a pound, while the average cash cost of ferronickel production was $2.59 a pound.
During the quarter, Antam also produced 1,076 kilograms of gold, up 25 percent from a year ago and within the company's expectations.
As of June 30, Antam fully repaid and closed a loan obtained in 1996 to finance the expansion of its Pongkor gold mine.
"In line with the project completion and full repayment of the loan, Antam is no longer bound to any hedging contract," it said.