TSX:TECK.A - Post by User
Post by
Mine_Professoron Apr 20, 2009 9:57am
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Post Says
Post SaysPost says market awaits Teck Cominco's Q1 results
2009-04-20 09:26 ET - In the News
The Financial Post reports in its Monday edition the first-quarter earnings season for miners kicks off today. The Post's Peter Koven writes the fourth quarter will go down as one of the messiest the mining industry has seen. The shocking collapse in base-metal prices last fall triggered a dizzying round of writedowns and negative mark-to-market price adjustments that overshadowed any good news the companies had to offer.
Desjardins Securities analyst John Hughes noted that despite the remarkable rally in base metals that began in March, average prices in the quarter were still lower than they were in the fourth quarter. Copper, for example, averaged about $1.60 (U.S.) a pound in Q1, compared with $1.80 (U.S.) a pound in Q4. "What we're more excited about is the second quarter. So far it's been a brilliant start." First up is Teck Cominco, which will announce its results after the close of markets Monday. With debt-laden Teck, all the focus from investors will be on how the company will continue to sell assets so that it can refinance its $5.3-billion (U.S.) bridge loan due in October. They will also be watching to see if Teck will to an equity offering. Teck shares have doubled in the last four weeks.