Apex Mining Co., Inc. nearly doubled its consolidated net income in the first quarter of 2026 as significantly higher gold prices offset lower gold sales volume and weaker ore grades at its Maco mine.
The listed mining firm reported consolidated net income of PHP 2.82 billion for Q1 2026, up 94% from PHP 1.45 billion recorded in the same period last year.
Despite the strong earnings growth, Apex Mining said gold sales volume declined 20% year-on-year to 20,354 ounces from 25,362 ounces in Q1 2025.
However, average realized gold prices surged to USD 4,909 per ounce from USD 2,953 per ounce last year, significantly boosting the company’s profitability.
Apex Mining also reported lower ore grades at the Maco mine in Davao de Oro, averaging 2.43 grams per tonne (gpt) during the quarter compared to 3.16 gpt in the same period last year.
According to Apex Mining President and CEO Luis R. Sarmiento, ASEAN Eng., the decline was caused by several “lean zones” encountered during mining operations.
To address this, the company is continuing the construction of the Tagbaros Drain and Ventilation Tunnel, which is expected to provide access to deeper and potentially higher-grade ore blocks.
“Once completed, this tunnel will provide access to deeper ore blocks while improving water and ventilation systems, thereby enhancing the working environment and safety of our miners as we work in the lower levels where higher-grade deposits are expected to be located,” Sarmiento said.
Apex Mining also outlined significant capital expenditure (CAPEX) plans tied to expansion and copper development projects.
The company said its Asia-Alliance copper project is expected to require approximately USD 300 million in CAPEX over the next three years, including development and plant construction costs before commercial operations begin.
Meanwhile, the company is upgrading the Maco Mine’s processing capacity from 3,000 tonnes per day (TPD) to 3,500 TPD under a separate PHP 100-million expansion project.
Apex Mining said strong cash inflows, a solid asset base, and good relationships with local banks provide the company with flexibility to fund its expansion pipeline.
Sarmiento also said the company is not slowing down operations despite ongoing geopolitical tensions involving the United States and Iran.
“Fuel costs account for approximately four percent to five percent of its total production cost and its fuel supply remains secure in the coming months,” Sarmiento said.
“We also continue to identify and develop reliable alternative sources of fuel to mitigate the potential impact of the volatility in oil prices and supply on our operations,” he added.
The company also highlighted several recent recognitions, including inclusion in the Financial Times and TIME lists of high-growth and best-performing companies in the Asia-Pacific region.
Apex Mining is currently included in both the Philippine Stock Exchange midcap index and the Morgan Stanley Capital International (MSCI) small cap index.
As gold prices remain elevated and demand for critical minerals continues to rise, will Philippine mining companies accelerate expansion and diversification projects in the coming years?
Follow Ang Minero on Facebook and LinkedIn for more updates.
