Revett Minerals loses $4.1 million in first quarter

While work in the Troy mine remains at a near standstill, the recent first quarter report shows Revett Minerals has lost millions of dollars since the underground operations ceased in December.

The mining company has posted a net loss of $4.1 million in the first quarter of 2013, and total capital has dropped $6.2 million, from $28.7 million at the turn of the New Year to $22.5 at the end of the first quarter, March 31.

The work stoppage has drained the company’s coffers due to maintenance and repairs.

The losses have sunk Revett’s stock 12 cents a share, and John Shanahan, president and CEO of Revett, has been disappointed with progress.

“We’re still completing our evaluation phase,” he said. “It is what it is. We’re doing our best to determine safety and to do things right.”

Work virtually shut down in the mine after rock fall in early December. 

To give an idea of the impact on the company, in the first three months of 2012, Revett posted revenue of $19.2 million. This year, however, the company posted total revenue of $200,000.

Shanahan was hesitant to disclose much more information, but remained optimistic for clearing rock fall in the Troy mine as well as the permitting process for Rock Creek Mine.

Revett has kept its employees on the payroll while the mine remains inaccessible.