DMCI Mining 2Q core income rises to Php 542 million

DMCI Mining Corp. has registered a Php542 million core net income for the second quarter of 2022 an eight percent increase from the Php502 million from the same period last year amid lower shipments of nickel and higher fuel costs.

In a report by BusinessMirror, DMCI Mining president Tulsi Das Reyes said that the company is seeing topline weakness due to the depletion of the Berong Mine. However, with elevated nickel prices and the steady production of the other mining assets, DMCI Mining is confident to “end the year strong.”

DMCI Mining’s net income for the second quarter dropped by as much as 28% to Php 542 million from Php 749 million amid the impact of the Corporate Recover and Tax Incentives for Enterprises (CREATE) Act.

The company’s shipments for the second quarter plunged by 51% to only 367,000 wey metric tons after the production from DMCI mining’s sole operating asset Zambales Diversified Metals Corp. (ZMDC) also slipped by 24 percent to 248,000 WMT this period.

For the first half of the year, DMCI registered Php 1.1 billion in its core net income, up 11 percent from Php 979 in the same period last year,

DMCI Mining is looking to expand its mining operations by 3,500 hectares with a potential nickel resource of 200 million WMT. Upon completion of permits, the additional mining assets can sustain the company for at least 50 years.

DMCI Holdings, Inc. earlier said that it is looking to merge DMCI Minning and Semirara Mining and Power Corporation. It is currently assessing if merging the two mining companies would create value for its stockholders.