Central Norseman profit halved

Press, 8 September 1982, Page 29

Central Norseman profit halved

PA Melbourne Lower world bullion prices nearly halved Central Norseman Gold Corporation, Ltd's profit in the year to June 22, directors said. Earnings dropped to sAustlo.9 million from $20.4 million as turnover tumbled 20 per cent to $28.3 million from $35.5 million. Central Norseman, halfowned by Western Mining Corporation Holdings, Ltd, received an average price of

sAust3s6 an ounce for gold during the year compared with $483 an ounce in the previous year. The directors said that rising operating costs and higher development redemption from the increased mining and treatment of ore from the No. 3 open cut ore at the Norseman field also checked profit growth. Gold production for the year rose to 79,672 ounces from 73,002 ounces because of the mining of higher grades of ore. The directors noted the increase in gold prices since June but made no forecast about the West Australian gold miner’s profit outlook. Interest received was

lower but investment income only dipped to $2.6 million from $2.3 million. Gold mining income exempt from tax was halved to $4.3 million from $8.7 million and tax was up to $917,000 ($693,000 previously). Interest charges were slightly . higher at $36,000 ($33,000) and depreciation was $2.1 million ($l.B million). Although the final payout to shareholder was a steady 12.5 c a share, the annual dividend amounted to 25c a share against last year’s 50c a share. Net tangible asset backing rose to 183 c a share (167 c but earnings a share declined to 42c from 78.4 c.