9th Sep 2025 10:30
(Alliance News) - Griffin Mining Ltd on Tuesday said production was "severely impacted" by an operational shutdown in the final quarter of last year, as it posted a 30% decline in interim pretax profit.
The Bermuda-registered mining firm has a majority stake in Chinese zinc, silver and gold projects through its Hong Kong subsidiary, China Zinc Ltd.
Griffin reported a pretax profit of USD14.2 million for the six months that ended June 30, down 30% from USD20.5 million a year earlier.
Driving this weakness was a contraction in the company's top line, as revenue fell 26% to USD63.7 million from USD85.7 million.
Griffing noted that the trading period was characterised by a recovery in production during the second quarter, back to the normal rate of around 1.5 million tonnes of ore per annum.
First quarter production was "severely impacted" by the total suspension of all underground development and operations in the final quarter of 2024, it said.
Griffin Mining reported ore mined in the first quarter of 2025 as 223,745 tonnes, but for the second quarter this improved to 358,938 tonnes.
Ore mined in the first half of the year was down 24% at 582,683 tonnes from 764,683 tonnes a year earlier, with ore processed falling 20% to 588,852 tonnes from 736,010 tonnes.
Shares in Griffin Mining rose 2.1% to 195.00 pence on Tuesday morning in London.
Chair Mladen Ninkov commented: "As the results clearly show, the complete shutdown of operations in the last quarter of 2024, including the barring of all underground access, impacted operations in the first quarter of 2025 with underground capital development needing to be undertaken prior to mining and production recommencing.
"Operations fully recovered by the second quarter of 2025 with the above stated outstanding results. It is a credit to the staff at the Caijiaying mine and the quality of the orebody that the company has returned to 'business as usual.'"
Looking ahead, Griffin Mining said it is awaiting the commissioning of operations with zone two infrastructure development almost finished, with it anticipating the extraction of ore from zone two in the last quarter of this year.
By Christopher Ward, Alliance News reporter
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