LONDON (Alliance News) - Rambler Metals & Mining PLC on Wednesday said its loss widened sharply in 2018 due to a rise in production costs and administrative expenses, as well as higher depreciation and amortisation.
Shares in Rambler were down 11% at 2.08 pence shortly before market close.
Ramber posted a pretax loss of USD18.4 million for 2018 - over three times wider than its USD5.4 million loss the year before - on revenue of USD29.7 million, 2.0% below its USD30.3 million revenue in 2017.
Production costs were the largest single factor in this widened loss, increasing 18% to USD31.2 million from USD26.4 million.
Another contributor was depreciation and amortisation, which increased 27% to USD9.9 million from USD7.8 million. Administrative expenses rose also, reaching USD5.8 million versus USD3.4 million in 2017.
Average prices for the year rose to USD2.93 per point of copper from USD2.79 in 2017, and USD1,265 per ounce of gold from USD1,257.
In total, 15,525 dry metric tonnes of concentrate was provisionally invoiced in 2018, rising from 14,907 tonnes. This contained 4,187 tonnes of saleable copper metal, up from 3,968 tonnes, and 4,189 ounces of saleable gold versus 3,357 ounces in 2017.
In 2019, Rambler is guiding for between 5,000 and 6,000 tonnes of saleable copper and between 5,000 and 7,000 ounces of saleable gold.
In total, 364,176 dry tonnes of ore was milled in 2018, up 7% from 339,631 year-on-year. Rambler's 2019 target is for between 400,000 and 450,000 dry tonnes milled.
Ramber President & Chief Executive Andre Booyzen said: "Given the productivity improvements in the mine operation, which has provided access to better grade material in both the Lower Footwall Zone and the Ming massive sulfide deposits, and the positive outlook on long term copper price forecasts, we are now turning our attention to increasing the overall feed grade delivered to the plant and returning the company to positive cash flows."