Exploration company Ivernia has reported a net loss of $239,000 (€195,420) for the second quarter of this year, compared with a loss of $1.2 million in the same period in 2003, writes Emmet Oliver.
The company said the decrease in losses in the period related to lower interest costs due to a significantly reduced debt burden following the sale of the Lisheen mine in Co Tipperary in September 2003. Invernia's principal asset is a 51 per cent stake in the Magellan lead project in western Australia.
Ivernia said the Magellan project has been under construction since May and remains on schedule.
The company and its partner, Sentient Global Resources Fund, are examining tenders for the open pit contract at the site.
The company said a deficit of lead on world markets would give the project strong support.
"The significant global lead metal market deficit that was forecast for this year is being realised, with general consensus that the 2004 market deficit will be of the order of 100,000 to 150,000 tonnes.
"The strong lead market fundamentals indicated that we are bringing Magellan into production at an opportune time," said a company statement.
The company also noted the appointment of Mr Kevin J Ross as chief operating officer.
"Kevin Ross has held several senior mining positions during over his 25 years' experience in the industry, latterly as CEO of Arcon International Resources, where he will remain a director. He is well known to senior members of Ivernia's management team, having worked extensively with Alan De'ath and Ken Sangster at Rio Tinto and TVX Gold," said the company.
