Taseko Mines Ltd. is not expecting to see a major impact on its revenue or production in the forseeable future as a result of the devastating earthquake and tsunami in Japan.
Copper shipments to a smelter in Onahama, Japan, have been halted in the wake of last week's twin disasters, said Taseko chief executive Russell Hallbauer on a conference call Friday.
But he was unable to make any immediate conclusions on the situation.
"At this juncture we have little more information than that. We do not foresee any problems with respect to concentrate sales revenue in the near term, nor any effect on production," he said.
A consortium of three Japanese companies own a 25 per cent stake in Taseko's Gibraltar mine near Williams Lake, B.C.
"Gibraltar's concentrate is of the highest quality, and if deliveries are affected over a longer period of time, we will have no problem selling it into the spot market. But it's premature to think about that at this juncture," Hallbauer said.
Hallbauer made his remarks a day after the Vancouver-based company (TSX:TKO) said it reversed a fourth-quarter loss and nearly doubled revenues.
Profits during the last three months of 2010 were $25.3 million, or 14 cents per share, compared to a loss of $2 million, or a penny per share a year earlier.
Operating profit increased to $57.5 million from $15.7 million.
Revenues nearly doubled to $109 million from $56 million.
Full-year earnings soared to $148.6 million from $10.6 million in 2009, which on a per share basis was 73 cents versus six cents. Revenues rose to $278.5 million from $188.9 million.
"Strong financial performance in 2010 was driven by improved copper production and the rising copper price environment," said Hallbauer.
He said annual copper production rose by 30 per cent over the previous year while molybdenum production increased by 50 per cent over the same period, though he noted some caution over currency.
"The strength of the Canadian dollar, up 33 per cent since the first half of 2009, has had a material impact on Gibraltar's U.S. dollar denominated operating costs. In the past year alone, the change in exchange rate has increased total costs by approximately 17 cents US per pound."
The miner recently resubmitted a proposal for the huge Prosperity gold and copper mine in the B.C. interior after its initial proposal was rejected by the federal cabinet last fall over environmental concerns.
The original plan would have turned the lake into a tailing pond, which sparked anger among environmental advocates and First Nations leaders who said the lake was vital to aboriginal people.
"We'll work as hard and diligently as possible to ensure that we do the right thing for the project and its many stakeholders," Hallbauer said on the conference call.
Taseko stock rose 19 cents or 3.3 per cent to $5.94 in afternoon trading on the Toronto Stock Exchange.
