FNI's profits boosted by higher prices (Sabong News)
Author
James A. Loyola
Date
MARCH 28 2022
Global Ferronickel Holdings, Inc. (FNI), the country’s second-largest nickel ore producer, posted a 5.9 percent improvement in net income to P1.98 billion for 2021 from the P1.87 billion earned in 2020.
In a disclosure to the Philippine Stock Exchange, the firm said its revenues are up by 6.1 percent to P7.71 billion last year against the P7.26 billion registered in 2020.
FNI President Dante R. Bravo said “We are delighted with the continued surge in nickel prices, which has allowed us to grow our top and bottom line despite having experienced relatively bad weather conditions throughout last year’s mining season.”
Bad weather resulted in a 13.1 percent drop in shipment volume as the Group only managed to ship 90 vessels of nickel ore for a total of 4.89 million wet metric tons (WMT) in 2021 against the 103 vessels totaling 5.63 million WMT in 2020.
The product mix was 77 percent (3.76 million WMT) low-grade ore and 23 percent (1.13 million WMT) medium-grade ore in 2021 versus last year’s mix of 68 percent (3.83 million WMT) low-grade ore and 32 perrcent (1.79 million WMT) medium-grade ore.
The overall average realized nickel ore price for the year ended December 31, 2021 was higher by 21.5 percent at $31.78 per WMT compared to $26.16 per WMT for 2020.
Low-grade ore was 22.2 percent higher at $30.07 per WMT in 2021 compared to $24.61 per WMT in 2020. Medium-grade ore was 27.2 percent higher at $37.47 per WMT in 2021 compared to $29.47 per WMT in 2020.
“We are hoping to have more favorable weather conditions in our Cagdianao site this year to boost production,” said Bravo.
