NEW YORK PolyMet Mining Corp. fell deeper into the red
in its fiscal first quarter, when it increased spending on its
copper-nickel-platinum group metals NorthMet project.
The St. Paul, Minn.-based company posted a net loss of $1.66
million for the three months ended April 30, up 32.8 percent
from a $1.25 million loss in the same period last year.
Spending on the project in northeastern Minnesota has increased
as the company moves through the permitting process, chief
financial officer Douglas Newby said. Were not in
operation so were not making any revenue. Its not
that were losing money on the (mine) ... the losses are
positive in the sense that as we move toward completing
permitting we spend more money.
PolyMet spent nearly $4.86 million on the NorthMet project in
the first quarter, up 18.5 percent from $4.1 million a year
earlier, and general and administrative expenses jumped 68.4
percent to more than $1.12 million from $667,000 in the same
Currently, the Environmental Protection Agency is performing
another review of NorthMets supplemental draft
environmental impact statement (EIS).
The company could have the draft approved as early as this
summer, and once the EIS process is complete it should take 15
months for the mine to begin production, Brad Moore, executive
vice president of environmental and government affairs, said at
a conference earlier this month (
amm.com, June 6
The mine is expected to produce 72 million pounds of copper
annually for the first five years.