* FY net profit falls to $75.98 mln
* Q4 loss at $47.27 mln versus profit year ago
* Board recommends 2012 dividend of $0.118 per share
MOSCOW, March 1 Nord Gold, Russia's
third largest gold miner, said on Friday net profit for 2012
fell 70 percent to $75.98 million compared with the previous
year, citing increased costs and mechanical issues which
The firm said a fall in sales and rising costs had led to a
loss of $47.27 million in the fourth quarter compared with
profit of $78.3 million in the same quarter of 2011.
Analysts had expected the company to post $43.8 million in
quarterly net profit.
Nord Gold, controlled by billionaire Alexei Mordashov, was
spun off from Mordashov-owned Severstal in 2012 and listed its
global depositary receipts (GDRs) in London as part of expansion
Revenue for the year was flat at $1.198 billion. Production
fell 5 percent year-on year to 716.9 thousand gold equivalent
ounces, the company said in a statement on Friday.
"While we are not fully satisfied with the full year
production number, the investment we have made across our
portfolio in particular in the first half, will pay dividends in
the long term," Nord Gold Chief Executive Nikolai Zelenski said
in a statement.
Unusually for major Russian gold miners, Nord Gold, a
relative newcomer, has bet heavily on Africa, with assets in
Guinea and Burkina Faso.
The firm said on Friday its net debt stood at $680.51
million in the fourth quarter, almost four times up
year-on-year, due in part to construction work at its Bissa
project in Burkina Faso.
The firm's board recommended paying a dividend for the last
year of $0.118 per share, the company said.