Alphamin produces record tin volumes in 4th quarter 2021
MAURITIUS – Alphamin Resources, a producer of 4% of the world’s mined tin from its high grade operation in the Democratic Republic of Congo, has provided the following update for the quarter ended December 2021:
- Contained tin production up 10% from the prior quarter to 3,114 tons
- Contained tin sales up 13% from the prior quarter to 3,056 tons
- Record Q4 EBITDA4 guidance of US$74m, up 38% from prior quarter actual
- Net cash position increases to US$68m
- FY2021 dividend of CAD$0.03 per share declared
OPERATIONAL AND FINANCIAL PERFORMANCE
Contained tin production of 3,114 tons is 10% above the previous quarter. Improved underground mining practices relating to stope planning, delineation and blasting resulted in better grade control with an average tin grade of 3,8% processed during the five months ended December 2021. Waste development is now well ahead of current mining areas providing flexibility in blending high- and low-grade areas for a more consistent grade profile.
Contained tin sales of 3,056 tons increased 13% from the prior quarter.
EBITDA guidance of US$74m for Q4 2021 is estimated to be 38% higher than the actual EBITDA for the previous quarter of US$53,7m as a result of increased tin production and sales volumes, together with a higher average tin price achieved of US$38,084/t (Current tin price: US$39,000/t).
The Group Net Cash position as at 31 December 2021 increased by US$67m from the prior quarter.
Contained tin production guidance for the financial year ending December 2022 is 12,000 tons. The mineral resource estimation exercise for the Mpama South deposit commenced in December 2021. Drilling activities continue with six rigs on-site and the next large batch of external assay results is expected during January 2022.
Alphamin’s audited consolidated financial statements and accompanying Management’s Discussion and Analysis for the quarter and year ended 31 December 2021 are expected to be released on or about 7 March 2022.
