From a loss of P206 million in 2007, Lepanto Consolidated Mining Co. expects a turn-around this year and sees a net income of P200 million because its old copper reserve will resume operations.

Bryan U. Yap, Lepanto Consolidated president and chief operating officer, said the resumption of production in the Enargite copper/gold orebody at its 70-year-old facility in Benguet will enable the company to increase its total revenue to P2.8 billion this year.

This numbers reflect as 64-percent increase from P1.7 billion last year when the company piled up a P206-million loss.

Yap said the 2007 revenue was due to a failure of the company to improve on the 1,500 tons per day production in its Victoria gold reserve. The situation was aggravated by the appreciation of the peso that weighed its export sales.

In the first quarter of the year, Lepanto reported a net loss of P100 million.

However, this will change dramatically in the coming months as Enargite, which was left unexploited since 1996, may ramp up production to 3,000 tons per day with the reopening of two more mining levels.

“The price of copper is going up so it makes sense for us to get the copper,” Yap said.

The company has also closed a supply/purchase deal with a Chinese trading firm for Lepanto’s 11,500 tons of gold/copper concentrates this year.

“Given all of the above, we expect to produce total payable metals of 55,000 ounces of gold and 5.3 million pounds of copper this year. This will translate to a net income of P200 million,” Yap said at the company’s stockholders meeting Monday at The Peninsula Manila Hotel.

Meanwhile, Yap also reported that its $70-million deal with Zijin Mining Group Co. Ltd. for the sale of Lepanto’s 20-percent share in the Far Southeast Gold Reserves Inc. is nearing conclusion as the Chinese firm is now just awaiting the Chinese government’s approval.

Yap said a technical review of the project, also in Benguet, is in progress “and we have begun discussions of the sales agreement and are optimistic that it will be finalized soon.

Far Southeast is estimated to have a mineral ore deposit of 657 million tons at 0.65-percent copper and 0.94 gram gold per ton. Mineable ore reserves stands at 123 million tons at 0.8-percent copper and 1.51 grams of gold per ton.

DIGITAL Telecommunications Phils. Inc. (DIGITEL), the listed phone subsidiary of JG Summit Holdings Inc., is allotting $393 million to expand the network coverage of its mobile-brand unit Sun Cellular.

COA recommends that NTC go after Piltel on fees

THE Commission on Audit (COA) has recommended to the National Telecommunications Commission (NTC) to collect from Piltel (Pilipino Telephone Corp.) P492.62 million of unpaid regulatory fees.

A SOUTH Cotabato-based firm is investing P100 million to make animal feeds that will supply the Mindanao area and carry the B-Meg brand of San Miguel Foods Inc.

GLOBAL remittance company iRemit Inc. reported Monday that remittance volume grew 59 percent in the first two months of the year to $155 million from $97 million a year earlier.

From a loss of P206 million in 2007, Lepanto Consolidated Mining Co. expects a turn-around this year and sees a net income of P200 million because its old copper reserve will resume operations.

BAYAN Telecommunications is projecting an explosion in subscriber base for wireless landline as the company plans to roll out the service in several key cities nationwide.

IT maybe about time for “mediabetic” politicians to just focus their energy in the more efficient use of their several-million peso pork barrel renamed countryside development fund instead of spreading dirt and destructive criticisms through the media.