Skip to content
Join our Newsletter

Copper price plunge pummels Amerigo

Vancouver copper miner Amerigo Resources Ltd. (TSX:ARG) reported tough times in its second quarter results It lost US$2.3 million and saw revenues plummet 42% to US$18.1 million. The company had generated a $6.

Vancouver copper miner Amerigo Resources Ltd. (TSX:ARG) reported tough times in its second quarter results

It lost US$2.3 million and saw revenues plummet 42% to US$18.1 million.

The company had generated a $6.2 million profit in the same period in 2008.

A plunge in metal prices was to blame, the company said.

Amerigo produces copper and molybdenum from its MVC operations near Santiago, Chile.

Copper fell from about US$7,700 per tonne last August to around $3,000 per tonne in early January and is now nearly $6,150 per tonne.

Molybdenum prices went on a similar ride. Prices for molybdenum oxide that contains 57% molybdenum went from about US$74 per tonne last August to under US$20 in April. It has since doubled to about US$40 per tonne.

"We successfully achieved a significant copper production increase in the quarter and started generating cash flow from operations again," said Amerigo's chair Steven Dean.

Amerigo's share price this week ranged between $0.52 and $0.55; 52-week high: $1.55; 52-week low: $0.23.