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Labrador Iron Ore Royalty Corporation - Results for the third quarter ended September 30, 2014
TORONTO , Nov. 6, 2014 /CNW/ - Labrador Iron Ore Royalty Corporation ("LIORC", TSX: LIF) ...
About this update from Labrador Iron Ore Royalty Corporation
[{"type":"text","content":"\n\nTORONTO, Nov. 6, 2014 /CNW/ - Labrador Iron Ore Royalty Corporation (\"LIORC\", TSX: LIF) announced today its operation and cash flow results for the third quarter ended September 30, 2014.\n\nRoyalty income for the third quarter of 2014 amounted to $30.3 million as compared to $35.6 million for the third quarter of 2013. The shareholders' adjusted cash flow (see below for definition) for the third quarter was $37.8 million or $0.59 per share as compared to $20.0 million or $0.31 per share for the same period in 2013. The higher cash flow for the quarter reflected an IOC dividend, of which LIORC's share was $20.7 million or $0.32 per share. Net income was $29.0 million or $0.46 per share compared to $41.2 million or $0.65 per share for the same period in 2013. Equity earnings from Iron Ore Company of Canada (\"IOC\") amounted to $11.1 million or $0.17 per share as compared to $25.8 million or $0.40 per share in 2013.  \n\nFrozen material not moved in previous quarters was shipped in this quarter and as a result concentrate sales were 20% higher than the previous quarter and 54% higher than the corresponding quarter in 2013. Pellet sales, although 3% higher than the previous quarter, were 13% lower than the third quarter of 2013 due to higher than expected utility grade pellet inventories, which are planned to be shipped by year end. Saleable production was 3% lower than the second quarter of 2014 and 2% lower than the third quarter of 2013 as a result of lower material movement from the mine, tailings flume sanding events due to ore quality and unfavourable weight yield. Pellet production was 10% higher than the previous quarter due to higher asset availability following machine rebuilds and planned annual shutdowns. When compared with the same quarter of the previous year, pellet production was 5% higher due to increased throughput rates. As a result of increased feed requirement for pellet production, concentrate for sale production was 17% lower than the second quarter of 2014 and 11% lower than the third quarter of 2013. The lower royalty revenue for the quarter reflected the continuation of the decline in the iron ore index price that started early in the year, with the price for the quarter being about 34% below the 2013 year end level, and 11% below the previous quarter. The lower equity earnings from IOC also re...