After a record first quarter with total copper production of 9.1 million lb. from its Minto mine in central Yukon, a near 71% increase over Q1 2021, Minto Metals (TSXV: MNTO) has now reaped the rewards with strong financial results for the three-month period.
Total revenue from its copper sales, and by extension net cash flow generated, both more than doubled from last year. Revenue grew from C$25.5 million to C$53.3 million, while cash flow increased by C$8 million to C$15 million.
For the quarter, Minto recorded adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) of C$19.2 million, a significant turnaround considering it booked a loss of C$900,000 this time last year.
The company saw improvements in several operating metrics during the quarter. Mill Feed was 237,239 dry metric tonnes, an 11.7% increase from Q1 2021. Cash costs per pound of copper sold averaged $2.44, a 31.3% decrease from last year. All-in sustaining costs (AISC) were $3.44/lb., a 15.9% decrease.
“Our excellent operating performance and cost containment in a higher copper price environment has surpassed our expectations. Our team has strong momentum and has delivered a positive performance for the second consecutive quarter,” Minto’s CEO Chris Stewart said in a news release.
Located in the Minto copper belt of Yukon, the Minto mine has been in operation since 2007. It started out as an open pit operation, and was later supported by an underground operation. Approximately 500 million lb. of copper have been produced from the Minto mine to date.
Shares of Minto Metals rose 12.2% by 12:45 p.m. ET in Toronto. The company has a market value of C$168.4 million.