Metal output down 7% on weak gold, nickel yields
The country’s metal output dropped by almost 7 percent in the first semester of 2024 due to lower yields from various metals, including gold and nickel ore, the Mines and Geosciences Bureau (MGB) said.
In a report, the MGB said metallic production reached P114.77 billion in the January to June period, down from P123.01 billion in the previous year.
“The telling factor for this lackluster performance was the continued decline in mine output of gold, and nickel ore, together with processed products mixed sulfide and scandium oxalate,” it said.
The MGB said the “sluggish price” of nickel and other nickel products also added to the sector’s subdued performance.
Gold cornered a significant share in the overall metal production, with 47.74 percent or P54.79 billion.
Although its production value rose by 7 percent from a year ago, the yellow metal’s output decreased by 6 percent to 14,187 kilograms.
The price of gold stood at $2,203.52 per troy ounce, up by 13.9 percent.
The collective values of nickel and nickel products, mixed nickel-cobalt sulfide and scandium oxalate placed second with 38.67 percent or P44.38 billion of the total.
Of these, nickel direct shipping ore accounted for P23.99 billion while mixed nickel-cobalt sulfide was valued at P20.30 billion. The production of scandium oxalate was valued at P89.8 million.
Nickel and nickel products’ performance slowed down on the back of “sluggish” prices and lower volume.
The volume of nickel ore produced declined by 19.42 percent to 13.37 million dry metric tons (DMT) while the commodity’s price averaged $7.94 per pound, down by 27.7 percent.
Copper settled at third with a share of 11.61 percent. Both production volume and value inched up by 6.75 percent to P13.33 billion and 5.01 percent to 142,050 DMT, respectively.
Copper prices improved by 1.8 percent to $4.02 per pound year-on-year.
The volume of silver generated during the period fell by less than a percent to 23,268 kg while its value grew by 22 percent to P1.13 billion.
The country produced 73,013 DMT of chromite estimated at P1.04 billion and 31,798 DMT of iron ore pegged at P104.93 million.
The MGB said excise tax collection is projected at P2.84 billion in the first half.
