Business
Altius Minerals Reports Third Quarter Attributable Royalty Revenue1 of $16.9M
ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--Altius Minerals Corporation (“Altius”) reports that it will release financial results for its third quar
About this update from Altius Minerals Corporation
[{"type":"text","content":"ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--Altius Minerals Corporation (“Altius”) reports that it will release financial results for its third quarter of 2018 on November 7, 2018 after the close of market. The Q3 2018 results for the period ended September 30, 2018 will be presented in comparison with the three-month period ended October 31, 2017 as a result of the recent conversion to a calendar year end. Altius expects to report attributable royalty revenue1 of approximately $16.9 million, or $0.39 per share, for the three-month period ended September 30, 2018, which is 2% higher compared to $16.5 million during the prior quarter and 6% lower than the $17.9 million reported during the quarter ended October 31, 2017. Base metals royalties were $6.8 million or 11.4% lower than Q2 2018 on lower zinc and copper prices and lower production sales volumes at 777, offset by higher volumes at Chapada. A settlement was reached with the operator of the Voisey’s Bay Mine that will see the resumption of royalty payments in coming quarters and that will apply to a recently announced significant mine life expansion. Potash royalties were $4.2 million, up by 9.3% compared to the last quarter on increasing mine production volumes and prices. Thermal coal royalties were $2.7 million or 18.9% lower than Q2 2018 revenue due to mine sequencing as mining at Sheerness occurred mainly on lower paying royalty lands. The October 9, 2018 announcement of Westmoreland Coal Company filing for Chapter 11 bankruptcy protection in the United States is not expected to have a material negative impact on the Canadian operations, which include being the mine operator of the Genesee, Paintearth, and Sheerness mines in Canada. Most of the underlying thermal coal royalties are paid either directly through the utilities, or through joint ventures that are managed by both the mine operator and the underlying utility. Third quarter iron ore revenue, which consists of dividends paid related to the Corporation’s share ownership of Labrador Iron Ore Royalty Corporation (LIORC), of $1.9 million was up significantly from the $788,000 recorded in Q2, but 36% lower than in the comparable year ago period. While the underlying IOC mine production volume was slightly lower than in the prior year as production ramp up continued following a labour strike during Q2, pr...