Capstone Mining Corp. (TSX:CS) incurred an $18.3 million net loss in 2009, the Vancouver-based copper miner has announced.
The drop was mostly due to a $142.1 million loss on outstanding derivative instruments, which it said is largely due to an increase in copper prices.
Capstone's primary assets are its Mexican Cozamin copper-silver-zinc-lead mine and the Minto copper-gold-silver mine in the Yukon.
Despite the loss, the company said 2009 was a year of strong operating results.
Capstone's gross sales revenue for 2009 was $250 million compared with $123 million the year before.
The company's adjusted net earnings totaled $65 million compared with nearly $3 million in 2008.
In 2009, Capstone generated $112 million in cash flow compared with almost $19 million the year before.
"In the current robust metal price environment, with our debt almost eliminated and expansions completed at both the Cozamin and Minto Mines, we look forward to generating significant cash flow in 2010," said Darren Pylot, Capstone's vice-chair and CEO.
Capstone's share price range during the past week: $3.05 and $3; 52-week high: $3.30; 52-week low: $1.47.