Morocco's Managem H1 profit falls 19 pct on gold, silver prices
RABAT, Sept 16
RABAT, Sept 16 (Reuters) - Morocco's biggest mining holding Managem posted a 19 percent drop in its first-half net profit to 213 million dirhams ($25 million) hurt by a drop in silver and gold prices in the first half of 2013.
Managem, which is controlled by the Moroccan royal family's holding company SNI, produces gold, silver, cobalt and copper in Morocco and Gabon and recently won contracts to search for gold in two mineral-rich areas of Sudan.
Most of its business is in silver and gold production. The company said it was badly hit by a 14 percent drop in silver and cobalt prices, and an 8 percent fall in gold prices, over the first six months of 2013.
Shares in Managem were down 1.67 percent in late afternoon trading on the Casablanca stock exchange, following the announcement of its results.
The company said it planned to increase the output of its Bakoudou gold mine in Sudan and to improve its costs control in the second half of this year.
Its consolidated sales rose 2 percent to 1.87 billion dirhams in the first six months of 2013. (Reporting By Aziz El Yaakoubi; Editing by Sophie Walker)