Southern Alliance Mining expects H1 net loss on lower iron ore production

SOUTHERN Alliance Mining (SAM) is expected to report a net loss for the six months ended Jan 31, the Malaysian-based iron ore producer said in a profit guidance issued on Friday (Mar 10).

The Catalist-listed company attributed the losses for H1 FY2023 to a decrease in iron ore production as a result of intense overburden removal activities, in accordance with the group’s mining schedule.

Lower sales volume of iron ore, coupled with a lower average realised selling price for iron ore concentrate and iron ore tailing, also resulted in a lower revenue for the group.

Details of the company’s financial performance will be disclosed when it releases its financial results by Mar 17.

SAM shares closed flat at S$0.60 on Friday before the announcement.