Belvedere Resources said its Hitura Nickel mine in Central Finland remained profitable in the third quarter despite slumping Nickel prices.
Revenues for the quarter ended September 30 totaled EUR 6.82 million (CAD 8.49 million) versus EUR 8.86 million (CAD 11.38 million) in the preceding quarter. As a result of a focus on cost reduction the bottom line remained positive, with net income of EUR 0.28 million (CAD 0.35 million), versus the preceding quarter's EUR 1.31 million (CAD 1.68 million).
Capital assets increased to EUR 16.61 million EUR 16.59 million as a consequence of development work at the Hitura mine and on the company's gold properties.
The company said that "Nickel pricing is expected to improve from current levels over the next six months as significant production has been removed from the market due to project delays, mine closures and the loss of the higher cost Nickel pig-iron production. The forecast Nickel surplus for 2013, in management's opinion, will not materialise and the market will return to balance, with a subsequent re rating of the Nickel price. Should this happen Belvedere will be well positioned to exploit the price increases from a lower cost base."
Belvedere's chief executive officer David Pym said that "We remain committed to developing our gold operations with bulk metallurgical studies underway at our Kopsa gold copper project, and a significant new grass roots discovery at our Antikanpera gold project. Both of these projects are within a 50 kilometre radius of our Nickel mill."
