South32 posts jump in cash, lowers silver and lead guidance
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The news: South32 posted a USD299 million ($470.35 million) increase in net cash to USD252 million during the March quarter.
The numbers: The miner said the jump in net cash was due to strong operating results, a partial unwind in working capital and a one-off receipt of USD100 million relating to operational agreements at Worsley Alumina.
Both aluminium production and Brazil alumina increased 6% year-to-date while Sierra Gorda payable copper production increased by 20%. South32 also expects manganese export sales to recommence during the June 2025 quarter after it installed all major structures for its damaged wharf.
However, the miner said that its Cannington silver and lead mine production guidance for FY25 had been lowered by 10% due to difficult geotechnical conditions and reduced operator availability in the quarter due to weather disruptions in Queensland.
South32 shares were 0.56% higher to $2.68 in early trading.
What they said: South32 chief executive Graham Kerr said: “Looking ahead, our focus on operating discipline, active cost management and a strong balance sheet leaves us well positioned to manage a period of potential uncertainty in global markets”.
The source: ASX
