Operational Improvements Lead to Better Q2 Performance for Taseko

Taseko Mines Ltd. (TSX:TKO,NYSEMKT:TGB) announced its results for the three- and six-months ended June 30, 2014, commenting that its Q2 earnings from mining operations before depletion and amortization came to $26.7 million, a 107-percent rise from the year-ago quarter.

Other Q2 highlights include:

• Cash flows from operations were $13.6 million, and this was achieved despite a $6.8 million negative working capital adjustment related to timing of cash receipts from customers.
• Revenues for the second quarter 2014 were $107.3 million, up 57% from the same period in 2013.
• The Gibraltar Mine produced 38.5 million pounds of copper and 667 thousand pounds of molybdenum in the second quarter, a 37% and 100% increase, respectively, over second quarter 2013.
• Total sales for the quarter were 38.7 million pounds of copper (100% basis), 39% higher than the second quarter 2013.

Russell Hallbauer, president and CEO of Taseko, commented:

Operational improvements at Gibraltar are now being reflected in our financial performance. The increase in operating profit is a combination of reduced operating costs and higher copper production in the second quarter. Gibraltar total operating costs decreased to $2.12 per pound in the second quarter, 15% lower than the first quarter. This cost reduction is not only sustainable, but can be improved, especially as the copper grade and copper recoveries trend higher in the second half of 2014. Costs are also benefitting from a significantly higher by-product credit due to increased molybdenum production from the new molybdenum plant as well as a strengthened molybdenum price. We ended the quarter with a strong cash balance of $77 million. We spent $17 million in the quarter on principal and interest payments on our long-term debt.

Click here to read the full Taseko Mines Ltd. (TSX:TKO,NYSEMKT:TGB) press release.